Finding 1116020 (2024-002)

Finding 2024-002: Missing Unit Inspections (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: Special Tests and Provisions Criteria: Per 2 CFR, the Authority is required to ensure the units subsidized by HUD are safe and sanitary. Per the Authority’s internal policies and procedures, an annual inspection is required for each unit. Condition: The Authority did not inspect each unit at least once during a 12-month period. Context: Out of the 40 units selected for testing, 8 of them did not have an inspection performed during the 12-month period and 3 did not have inspections performed at all. Effect: The Authority did not comply with its internal requirements to comply with 2 CFR. Cause: The Authority did not have the proper controls in place to ensure the annual inspections were performed. Repeat Finding: This is not a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure the annual inspections are performed and on time. Views of Responsible Officials: The Authority agrees with the finding.