Finding 1137742 (2024-001)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-05-22

AI Summary

  • Core Issue: A tenant file was not uploaded to the PIC system within the required 60 days, leading to a significant deficiency in internal controls.
  • Impacted Requirements: Compliance with the Administrative Plan for timely reporting of HUD-50058 data is essential for accurate funding reporting.
  • Recommended Follow-Up: BRHP should adhere to its weekly reporting policy and improve staff retention to prevent future delays.

Finding Text

Finding No. 2024 - 001: Federal Agency: Department of Housing and Urban Development ("HUD") Federal Program Title: Moving to Work Demonstration Program (HCVP Only) Federal Assistance Listing Number: 14.881 Award Period: January 1, 2024 through December 31, 2024 Pass-through Entity: Housing Authority of Baltimore City Federal Award Identification Number and Year: Not available Compliance Requirement: Reporting Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Condition/Context A sample of 40 tenant files tested found that 1 file did not have HUD-50058 data uploaded to the PIH Information Center ("PIC") in a timely manner. Our sample was a statistically valid sample. Questioned Costs N/A Criteria Per the agreement between BRHP and the Housing Authority of Baltimore City, BRHP shall create an Administrative Plan for the program. Per BRHP's Program Administrative Plan, tenant information must be uploaded to the PIC system for each HUD-50058 report completed no later than 60 calendar days from the effective date of any action recorded on the form HUD-50058. Cause The HUD-50058 in this case had an effective date of April 28, 2023, and was approved by staff on July 5, 2023, 68 days after the effective date. The HUD-50058 file was pulled for upload to PIC on July 6, 2023, consistent with the policy of weekly uploads to PIC implemented in 2022. However, due to the late approval of the HUD-50058 action, timely upload to PIC was not possible. The late approval of the HUD-50058 action was due partially to employee turnover and transition at the time, as the prior supervisor overseeing Housing Assistance Payment ("HAP") Contract execution left the organization, and partially to human error. Effect or Potential Effect The delay in uploading information to the PIC system may result in inaccurate reporting to HUD which is used for funding purposes. Identification of a Repeat Finding This is a repeat finding from the immediate previous audit, Finding No. 2023-001. Recommendations We recommend that BRHP follow its internal policy of reporting to HUD on a weekly basis. Views of the Responsible Officials BRHP continues weekly reporting of Request for Tenancy Approval processing and HAP Contract executions to identify any files where the 60-day deadline is approaching. PIC uploads continue to occur weekly. Hiring and retention of staff while also managing through transitions remains a focus to preserve continuity for Housing Choice Voucher functions.

Categories

HUD Housing Programs Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 561300 2024-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
14.881 Moving to Work Demonstration Program $180,005
21.023 Emergency Rental Assistance Program $130,392