Finding Text
During the 2024 audit of Federal Program 14.856 - Lower Income Housing Assistance Program – Section 8 Moderate Rehabilitation, we noted that in four out of 14 tenant files sampled, management did not agree certain items from the income certification to the supporting documentation in four tenant files. In accordance with the eligibility requirements of this program, income items used in the certification calculations need to be agreed to supporting documentation such as bank statements. This occurred due to a change in personnel and responsibilities during the year. Failure to reconcile certification items to supporting documentation may result in the incorrect calculation of tenant rent and the associated subsidy, which may also result in a loss of future funding. Recommendation - We recommend that management establish a procedure to ensure that all income items are compared and reconciled to appropriate supporting documentation and maintained in the tenant files, and the certifications are reviewed by the appropriate individual.