Finding 1153832 (2024-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-09-22
Audit: 366922
Organization: Chattanooga Housing Authority (TN)

AI Summary

  • Core Issue: The Authority failed to provide documentation showing compliance with its waiting list selection policies for new applicants at Cromwell Hills Apartments.
  • Impacted Requirements: The Authority did not adhere to its own administrative plan for selecting applicants, leading to noncompliance with federal requirements.
  • Recommended Follow-Up: Implement and monitor new procedures to ensure compliance with waiting list selection policies, including regular staff training and oversight.

Finding Text

Finding: 2024-001 Program Name: Housing Voucher Cluster (14.871-CL) Federal Awarding Authority: Department of Housing and Urban Development Compliance Requirement: Selection from the Waiting List Type of Finding: Nonmaterial Noncompliance Criteria: The Authority must have written policies in its Housing Choice Voucher program administrative plan for selecting applicants from the waiting list and documentation must show that the Authority follows those policies when selecting applicants for admission from the waiting list. Condition: The Authority was unable to provide documentation to show that the three (3) new applicants tested for the project-based voucher development Cromwell Hills Apartments were housed in accordance with the Authority’s administrative plan. Cause: The Authority did not maintain documentation to support that the Authority’s administrative plan was followed in the selection of applicants from the waiting list. Effect: The Authority was not in compliance with the waiting list selection compliance requirements for the year ended December 31, 2024. Auditor Recommendation: The Authority implemented a process prior to December 31, 2024 to ensure that waitlist procedures at the property were correctly followed. We recommend the Authority monitor the property to ensure these new policies are being followed. Questioned Costs: None. Management’s Response: The Authority has hired a staff person to oversee the selection of applicants for Cromwell Hills Apartments. The Authority is conducting weekly meetings with staff to provide ongoing guidance and review of the process.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1153830 2024-001
    Material Weakness Repeat
  • 1153831 2024-002
    Material Weakness Repeat
  • 1153833 2024-002
    Material Weakness Repeat
  • 1153834 2024-001
    Material Weakness Repeat
  • 1153835 2024-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.850 Public Housing Operating Fund $8.94M
14.195 Project-Based Rental Assistance (pbra) $3.07M
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.20M
14.872 Public Housing Capital Fund $2.10M
14.251 Economic Development Initiative, Community Project Funding, and Miscellaneous Grants $1.44M
14.871 Section 8 Housing Choice Vouchers $526,183
14.218 Community Development Block Grants/entitlement Grants $184,535
14.879 Mainstream Vouchers $180,887
14.889 Choice Neighborhoods Implementation Grants $168,376
14.870 Resident Opportunity and Supportive Services - Service Coordinators $138,606
14.896 Family Self-Sufficiency Program $81,907