Finding Text
Finding No. 2023-003 - Uniform Guidance Compliance Requirement Code: E-Eligibility - Significant Deficiency
HUD HOME Investment Partnerships Program
Federal Assistance Listing Number #14.239
HOME Investment Partnership Program Entity Identifying Number Initial year Finding instances
Passed-through Clark County:
Covington Commons - HUD 2011-HOME-11H01 2011 1
Criteria
Each owner must comply with the requirements set forth in 24 CFR Part 92 regulations as outlined in the "Compliance in HOME Rental Projects: A Guide for Property Owners" published by HUD which requires the property to maintain the contracted number of HOME units as well as the designated splits in bedroom size and High Home/Low Home unit ratios.
Condition
The owner did not make available to HOME tenants the contracted number and type of HOME units.
Cause
Management's policies with respect to maintaining the number and split of contracted HOME units were not consistently followed.
Effect or Potential Effect
The procedures for determining and maintaining the correct HOME units within the property were not applied. This could result in ineligible tenants occupying HOME designated units.
Questioned Costs: Not applicable.
Context
In connection with the procedures applied to our HOME units testing, one of the five properties tested did not meet the contracted HOME units size portfolio (there should be four 3-bedroom units (there are 5); and there should be three 4-bedroom units (there are 2)).
Repeat Finding: Yes - Finding 2022-003
Recommendation
Management should follow procedures in place to ensure consistent application and adherence to the requirements in accordance with the "Compliance in HOME Rental Projects: A Guide for Property Owners" published by HUD.
Views of Responsible Officials
A unit will be re-classified the next time there is a vacant unit of the corresponding size/type.