Finding Text
Criteria In accordance with HUD program guidelines under which the Project operates, the annual tenant recertification Form 50059 is required to be signed by the tenant prior to the required annual recertification date. Condition In connection with lease file testing, we noted 4 out of 8 tenant files did not have annual tenant recertification Form 50059 completed timely. Cause Personnel responsible for tenant recertifications failed to obtain signatures on all Forms 50059 prior to the required annual recertification date. Effect or Potential Effect Noncompliance with HUD guidelines could result in units being rented to ineligible tenants or errors in the rent subsidies paid by HUD. Questioned Costs N/A Recommendation The cooperative should ensure that all Form 50059s are signed by the tenant prior to the required annual recertification date. Auditor Noncompliance Code: R - Section 8 program administration. Finding Resolution Status: In process. Views of Responsible Officials Management agrees with the finding and the auditor's recommendations have been adopted. The management's compliance department will schedule bi-annual on-site visits to provide training as well monitoring all the recertifications to ensure that they are completed timely.