Finding 1140667 (2023-010)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-06-09
Audit: 358331
Organization: Housing Authority of Alto (TX)

AI Summary

  • Core Issue: SEMAP indicators for FY 2023 lack adequate documentation and quality control, leading to potential inaccuracies in certification.
  • Impacted Requirements: Internal controls for SEMAP certification were not properly maintained, affecting the reliability of the Authority's submissions.
  • Recommended Follow-Up: Implement improved procedures for supporting documentation and ensure compliance with HUD requirements to enhance future SEMAP certifications.

Finding Text

2023-010 SEMAP Supporting Documentation Criteria: SEMAP indicators should be supported by sufficient documentation. Condition: I noted that all indicators on FY 2023, SEMAP certification could not be verified as they were either not supported by adequate documentation or no quality control work were performed to substantiate PHA’s response. Questioned Costs: None noted. Effect: Responses on SEMAP certification may not be an accurate representation of PHA’s FY 2023 submission. Cause: Proper internal control procedures relating to SEMAP were not performed or maintained for SEMAP certification. Recommendation: I recommend that the Authority implement and perfect the procedures necessary to provide accurate and complete supporting documentation for future SEMAP certification. Management’s Response: The auditor noted that the Authority did not maintain supporting documentation for the Section Eight Management Assessment Program (SEMAP). Management has revised the SEMAP documentation process, implemented a submission checklist, and created a backup retention system to ensure compliance with HUD requirements.

Categories

HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 564224 2023-009
    Material Weakness Repeat
  • 564225 2023-010
    Material Weakness Repeat
  • 564226 2023-011
    Material Weakness Repeat
  • 1140666 2023-009
    Material Weakness Repeat
  • 1140668 2023-011
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $991,902
14.850 Public and Indian Housing $160,924
14.872 Public Housing Capital Fund $79,006