Finding 1095513 (2023-005)

-
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2025-01-13

AI Summary

  • Core Issue: The Authority failed to provide adequate documentation for an applicant on the waiting list, violating HUD requirements.
  • Impacted Requirements: Internal controls as per 24 CFR 960.202 were not followed, leading to non-compliance in the applicant selection process.
  • Recommended Follow-Up: The Authority should review and strengthen their procedures and controls to ensure compliance with waiting list selection and documentation retention.

Finding Text

2023-005 Special Tests and Provisions - Waiting List Moving to Work Demonstration Program AL No. 14.881 Other Matter to be Reported Under the Uniform Guidance Condition: While testing of applicants that reached the top of the waiting list during the year ended December 31, 2023, the Authority was unable to provide sufficient documentation for one of the applicants to support their position on the list. Criteria: 24 CFR 960.202 requires internal controls to be in place to ensure proper procedures are being followed to be in compliance with HUD requirements regarding waiting list applicant selection. Context: The auditor selected the 40 applicants that had reached the top of the waiting list, which we consider to be a statistically valid sample size. The auditor reviewed the applicant’s file and support to ensure that proper procedures for selection from the waiting list are being followed and that the Authority is in compliance with HUD requirements regarding waiting list selection. Cause: The Authority experienced staffing and operational challenges during the onset of COVID- 19 and did not have the available staff to follow the established internal controls to ensure proper compliance with all regulations. This resulted in the Authority not maintaining the appropriate documentation to adequately provide information required by federal regulations so the waiting list could be monitored for proper compliance. Effect: The Authority does not have adequate controls in place to ensure they are in compliance with HUD requirements regarding the waiting list applicant selection process. Questioned Costs: Unknown. Auditor Recommendations: The Authority should reevaluate their established procedures and controls in place to ensure full compliance in regards to waiting list selection process and document retention requirements. Management Response: See Corrective Action Plan.

Categories

Special Tests & Provisions HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 519069 2023-001
    Material Weakness Repeat
  • 519070 2023-002
    Material Weakness Repeat
  • 519071 2023-005
    -
  • 519072 2023-001
    Material Weakness Repeat
  • 519073 2023-003
    Material Weakness Repeat
  • 519074 2023-001
    Material Weakness Repeat
  • 519075 2023-003
    Material Weakness Repeat
  • 519076 2023-001
    Material Weakness Repeat
  • 519077 2023-004
    Material Weakness Repeat
  • 519078 2023-001
    Material Weakness Repeat
  • 519079 2023-004
    Material Weakness Repeat
  • 1095511 2023-001
    Material Weakness Repeat
  • 1095512 2023-002
    Material Weakness Repeat
  • 1095514 2023-001
    Material Weakness Repeat
  • 1095515 2023-003
    Material Weakness Repeat
  • 1095516 2023-001
    Material Weakness Repeat
  • 1095517 2023-003
    Material Weakness Repeat
  • 1095518 2023-001
    Material Weakness Repeat
  • 1095519 2023-004
    Material Weakness Repeat
  • 1095520 2023-001
    Material Weakness Repeat
  • 1095521 2023-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.881 Moving to Work Demonstration Program $236.73M
14.871 Section 8 Housing Choice Vouchers $11.01M
14.879 Mainstream Vouchers $6.18M
14.239 Home Investment Partnerships Program $4.36M
14.856 Lower Income Housing Assistance Program Section 8 Moderate Rehabilitation $2.97M
14.267 Continuum of Care Program $2.26M
14.870 Resident Opportunity and Supportive Services - Service Coordinators $833,588
14.895 Jobs-Plus Pilot Initiative $266,217
14.249 Section 8 Moderate Rehabilitation Single Room Occupancy $194,601
14.191 Multifamily Housing Service Coordinators $188,859