Core Issue: LBSH management is not reviewing tenant income worksheets before submission, risking incorrect rent and subsidy amounts.
Impacted Requirements: Lack of controls means compliance with housing funding regulations is compromised.
Recommended Follow-up: Implement a review process for income worksheets to ensure accuracy and compliance.
Finding Text
LBSH management does not review tenant income worksheets prepared by its consultants before being submitted to New York State Housing Trust Fund or the U.S. Department of Housing and Urban Development. Controls should be in place to provide reasonable assurance that tenants are paying the proper rent and the Corporation is receiving the proper subsidy. There are no procedures in place to catch incorrect reporting on income worksheet in a timely manner.
Corrective Action Plan
We recommend that finance personnel not involved in income certification, review income worksheet for accuracy before being submitted. L.B.S.H. Housing Corporation agrees with the finding and the recommended procedures have been implemented.