Finding 1137513 (2024-001)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-05-20

AI Summary

  • Core Issue: The PHA scored 100% on its SEMAP certification but lacked documentation to support this score, failing to maintain a clear audit trail.
  • Impacted Requirements: This violates 24 CFR Part 985.3, which mandates that PHAs must provide unbiased quality control samples for verification.
  • Recommended Follow-Up: PHA personnel should receive training on SEMAP documentation and establish control systems to ensure proper record-keeping for future submissions.

Finding Text

Finding 2024-001 – Special Tests and Provisions, SEMAP reporting – ALN 14.871 – Significant Deficiency & Other Matter Criteria: 24 CFR Part 985.3 states that PHAs “must leave a clear audit trail that can be used to verify that the PHA’s quality control sample was drawn in an unbiased manner.” Condition & cause: The PHA received a score of 100% on its 2024 SEMAP certification. However, the PHA was unable to produce documentation to support the scores that were given. We determined that the PHA has failed to maintain adequate records to provide a clear audit trail in relation to SEMAP. Effect: The SEMAP certification provides HUD with a system to evaluate a PHA’s Section 8 performance. Failure to provide proper supporting documentation can lead to ineffective measurements of Authority performance, as well as its ability to meet the needs of eligible families. Furthermore, misleading SEMAP certifications can disguise a troubled agency who may need HUD intervention. Recommendation: We recommend that the PHA personnel obtain the appropriate training for SEMAP documentation and certification. We also recommend that the PHA establish control systems to ensure SEMAP documentation is adequately gathered to support its submission in the future. Questioned Costs: None Repeat Finding: No Was sampling statistically valid? Yes

Categories

HUD Housing Programs Reporting Significant Deficiency Special Tests & Provisions

Other Findings in this Audit

  • 561071 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.872 Public Housing Capital Fund $1.33M
14.850 Public Housing Operating Fund $1.22M
14.871 Section 8 Housing Choice Vouchers $794,478
14.182 Lower Income Housing Assistance Program_section 8 New Construction/substantial Rehabilitation $120,094