Finding 1116019 (2024-001)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-03-28

AI Summary

  • Core Issue: The Authority is missing key tenant documentation, including income verification and citizenship proof, leading to compliance gaps.
  • Impacted Requirements: This affects the eligibility criteria set by 2 CFR for Public Housing Authorities (PHAs) regarding documentation and verification.
  • Recommended Follow-Up: Enhance policies and internal controls to ensure accurate income reporting and proper documentation retention.

Finding Text

Finding 2024-001: Missing Tenant Information (Significant Deficiency) Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public and Indian Housing Federal Assistance Listing Number: 14.850 Compliance Requirement: Eligibility Criteria: Per 2 CFR, PHAs are required to obtain and document third party verification of reported family annual income, eligibility documentation for verification of citizenship and/or legal residency, and signed release forms. Condition: The Authority was unable to locate income verification documentation, citizenship and/or legal residency documentation, signed release forms, as well as reported the incorrect income amount on the Family Report. Context: Out of the 40 tenant files reviewed for income verification, 15 did not have citizenship and/or legal residency documentation, 15 did not have complete signed release forms, 2 did not have proper documentation of income, and 1 income calculation was incorrect. Effect: The Authority did not have the proper information necessary to validate compliance with eligibility requirements. Cause: The Authority did not have the proper controls in place to ensure documentation and calculations of income were correct. Repeat Finding: This is not a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure the recertifications include the correct income amount and is adequately retained in the Authority’s files. Views of Responsible Officials: The Authority agrees with the finding.

Categories

Eligibility HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 539577 2024-001
    Significant Deficiency
  • 539578 2024-002
    Significant Deficiency
  • 1116020 2024-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $7.44M
14.872 Public Housing Capital Fund $2.79M
14.850 Public Housing Operating Fund $2.70M
14.892 Choice Neighborhoods Planning Grants $140,000
14.218 Community Development Block Grants/entitlement Grants $75,000
14.870 Resident Opportunity and Supportive Services - Service Coordinators $74,540
14.896 Family Self-Sufficiency Program $65,445