Finding Text
2024-003 U.S. Department of Housing and Urban Development Housing Voucher Cluster -
14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers - Material
Weakness
Condition and Criteria: The Agency is to retain supporting documentation for individuals served by
the program to support assistance payments made to these individuals. The Agency was unable to
retrieve some of their scanned documentation for part of the year audited (four tenants in the
sample).
Cause: The Agency relies solely on an outside vendor to back-up their data. The Agency switched
vendors for part of the year audited and upon terminating the agreement with that vendor, some
scanned documentation was lost and is irretrievable. The Agency did not maintain paper files.
Effect: There is a possibility rental assistance payments could be considered disallowed expenditures
due to lack of supporting documentation identified.
Context: The Agency identified the issue and recreated lost documentation to the best of their ability.
A sample of grants totaling $33,038 was selected for audit from a population of $6,470,217. The test
found questioned costs totaling $1,962. Our sample was a statistically valid sample.
Auditor’s Recommendation: The Agency should retain paper documentation for at least two years in
addition to ensuring there are adequate back-up procedures in place.
Views of Responsible Officials and Planned Corrective Actions: The Agency concurs and has
attempted to recreate all lost documentation, but some could not be reconstructed. The
recommendation to retain paper documentation has been implemented.