Finding 1113977 (2024-005)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-03-26

AI Summary

  • Core Issue: The Authority failed to conduct timely inspections of housing units, violating Housing Quality Standards (HQS).
  • Impacted Requirements: Biennial inspections and quality control re-inspections were not performed as required, leading to material noncompliance.
  • Recommended Follow-Up: Implement controls to ensure timely HQS inspections and maintain proper documentation.

Finding Text

2024 – 005 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: MD015VO – 2024 Award Period: July 1, 2023 – June 30, 2024 Compliance Requirement: Special Tests and Provisions – HQS Inspections Type of Finding: Material Weakness in Internal Control over Compliance Material Noncompliance (Modified Opinion) Criteria or Specific Requirement: The Authority must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the Authority must conduct quality control re-inspections. The PHA must prepare a unit inspection report (24 CFR sections 982.158(d) and 982.405(b)). Condition: The Authority did inspect units timely or maintain proper inspection documentation. Questioned Costs: Unable to determine. Context: Exceptions were noted in 11 out of 60 units tested for annual HQS: 9 instances where the Authority failed to conduct the inspection timely. 2 instances where no information was provided. Exceptions were noted in 1 out of 14 quality control re-inspections. The re-inspection was not completed within 90 days of the original inspection. Cause: The Authority did not inspect units timely. Effect: The Authority is not in compliance with HQS inspection requirements Repeat Finding: No Recommendation: We recommend the Authority implements controls to ensure that HQS inspections are performed timely. Views of Responsible Officials: There is no disagreement with the audit finding.

Categories

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

Other Findings in this Audit

  • 537526 2024-001
    Significant Deficiency Repeat
  • 537527 2024-002
    Significant Deficiency Repeat
  • 537528 2024-003
    Significant Deficiency Repeat
  • 537529 2024-004
    Material Weakness Repeat
  • 537530 2024-005
    Material Weakness
  • 537531 2024-001
    Significant Deficiency Repeat
  • 537532 2024-002
    Significant Deficiency Repeat
  • 537533 2024-003
    Significant Deficiency Repeat
  • 537534 2024-004
    Material Weakness Repeat
  • 537535 2024-005
    Material Weakness
  • 1113968 2024-001
    Significant Deficiency Repeat
  • 1113969 2024-002
    Significant Deficiency Repeat
  • 1113970 2024-003
    Significant Deficiency Repeat
  • 1113971 2024-004
    Material Weakness Repeat
  • 1113972 2024-005
    Material Weakness
  • 1113973 2024-001
    Significant Deficiency Repeat
  • 1113974 2024-002
    Significant Deficiency Repeat
  • 1113975 2024-003
    Significant Deficiency Repeat
  • 1113976 2024-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.850 Public Housing Operating Fund $2.39M
14.871 Section 8 Housing Choice Vouchers $2.24M
14.872 Public Housing Capital Fund $381,200
14.896 Family Self-Sufficiency Program $191,687
14.218 Community Development Block Grants/entitlement Grants $91,815