Finding 1123365 (2024-002)

Federal Agency: Department of Housing and Urban Development Federal Program Name: Supportive Housing for Persons with Disabilities Listing Number: 14.181 Award Period: 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. Condition: Upon performing testing over payroll disbursements, we noted a discrepancy between the documented hours on the timesheet and the amount billed by the managing agent to the Project. Questioned Costs: None Context: The timesheet for 1 out of 5 payroll disbursements tested did not match the amount billed by the managing agent to the Project. Cause: This was an oversight by management. Effect: Overpayment of payroll to the managing agent. Repeat Finding: No Recommendation: We recommend that management review the amount billed to the Project and compare it to the timesheet to ensure that the amount billed is accurate. Views of Responsible Officials: There is no disagreement with the audit finding.