FAC Explorer

Finding 1151146 (2024-001)

Significant Deficiency Repeat Finding
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-08-26
Audit: 364984
Organization: City of West Allis (WI)
Auditor: Cliftonlarsonallen LLP

AI Summary

  • Core Issue: The City failed to complete required income verification for tenants, leading to noncompliance with federal eligibility criteria.
  • Impacted Requirements: Compliance with 24 CFR sections 5.230, 5.609, and 982.516 regarding tenant income verification.
  • Recommended Follow-Up: The City should review and strengthen its internal controls and procedures to prevent future noncompliance.

Finding Text

2024 – 001: Eligibility Federal Agency: Housing Choice Voucher Program Federal Program Name: U.S. Department of Housing and Urban Development Assistance Listing Number: 14.871 Federal Award Identification Number and Year: WI201VO2024 Award Period: January 1, 2024 – December 31, 2024 Type of Finding:  Significant Deficiency in Internal Control over Compliance  Other Matters Criteria or specific requirement: As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: During our testing, we noted the City did not complete the Enterprise Income Verification (EIV) in accordance with the stated criteria. Questioned Costs: Known - Undeterminable| Likely - Undeterminable Context: From a sample of forty (40) program participant files selected for testing, two (2) files did not maintain evidence of completion of income verification in accordance with the stated criteria. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Cause: The City’s system of internal controls included in the policies and procedures failed to identify the noncompliance as described in the condition selection of this finding. Effect: The failure of the internal controls has resulted in noncompliance with the requirements of the stated criteria. Repeat Finding: Yes; 2023-001 Recommendation: We recommend that the City review its system of internal control related to the policies and procedures in place to mitigate the risk of noncompliance with the stated criteria. Views of responsible officials and planned corrective action: There is no disagreement with the audit finding.

Categories

HUD Housing Programs Eligibility Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 574704 2024-001
    Significant Deficiency Repeat
  • 574705 2024-002
    Significant Deficiency Repeat
  • 574706 2024-001
    Significant Deficiency Repeat
  • 574707 2024-002
    Significant Deficiency Repeat
  • 1151147 2024-002
    Significant Deficiency Repeat
  • 1151148 2024-001
    Significant Deficiency Repeat
  • 1151149 2024-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $14.47M
95.001 High Intensity Drug Trafficking Areas Program $2.27M
14.218 Community Development Block Grants/entitlement Grants $2.09M
14.871 Section 8 Housing Choice Vouchers $453,505
16.838 Comprehensive Opioid, Stimulant, and Other Substances Use Program $226,162
16.922 Equitable Sharing Program $181,844
66.818 Brownfields Multipurpose, Assessment, Revolving Loan Fund, and Cleanup Cooperative Agreements $106,696
14.239 Home Investment Partnerships Program $81,804
93.967 Centers for Disease Control and Prevention Collaboration with Academia to Strengthen Public Health $52,170
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $50,779
16.607 Bulletproof Vest Partnership Program $26,744
10.557 Wic Special Supplemental Nutrition Program for Women, Infants, and Children $23,805
16.738 Edward Byrne Memorial Justice Assistance Grant Program $21,380
93.103 Food and Drug Administration Research $17,376
20.616 National Priority Safety Programs $11,766
16.710 Public Safety Partnership and Community Policing Grants $9,698
93.268 Immunization Cooperative Agreements $9,663
93.994 Maternal and Child Health Services Block Grant to the States $8,841
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $7,460
16.001 Law Enforcement Assistance Narcotics and Dangerous Drugs Laboratory Analysis $7,215
93.136 Injury Prevention and Control Research and State and Community Based Programs $7,090
93.991 Preventive Health and Health Services Block Grant $6,137
90.404 Hava Election Security Grants $6,006
20.600 State and Community Highway Safety $5,965
93.070 Environmental Public Health and Emergency Response $5,864
93.048 Special Programs for the Aging, Title Iv, and Title Ii, Discretionary Projects $5,094
81.128 Energy Efficiency and Conservation Block Grant Program (eecbg) $2,900
15.904 Historic Preservation Fund Grants-in-Aid $2,397
93.421 Strengthening Public Health Systems and Services Through National Partnerships to Improve and Protect the Nation’s Health $2,039
93.069 Public Health Emergency Preparedness $1,439