Finding 1161703 (2024-001)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-10-31

AI Summary

  • Core Issue: Some tenants in the housing project are under 62 years old, violating federal eligibility rules.
  • Impacted Requirements: The project must only house individuals aged 62 or older with very low incomes, as per HUD guidelines.
  • Recommended Follow-up: Review tenant eligibility and take action to ensure compliance with HUD requirements moving forward.

Finding Text

Finding 2024-001: Eligibility Federal Assistance Listing Number: 14.157 Name of Federal Program or Cluster: Supportive Housing for the Elderly Agency: U.S. Department of Housing and Urban Development Criteria: Under the terms of its federal grant, beneficiaries of the housing developed under this program must be elderly (62 years of age or older) and have qualifying very low-incomes. Condition: Not all tenants currently occupying the Project are aged 62 or older. Questioned Costs: None. Context As of the year ended December 31, 2024, 1 unit, out of the total population of 32 units, has been identified as housing age ineligible tenants. Cause: Meadow Lane Housing Development Fund Company, Inc. initially applied for HUD funding as part of the Section 202/8 program which allows for the leasing of units to individuals that are either elderly or handicapped. Additionally, management submitted their initial marketing plan in which they included that they expect to lease units to elderly and handicapped individuals. The Project ultimately was funded by the Section 202 program which only allows for elderly tenants. During initial lease up, a number of ineligible tenants moved into the Project. Effect. Meadow Lane Housing Development Fund Company, Inc. did not comply with HUD’s eligibility requirements.

Corrective Action Plan

An age waiver has been submitted to HUD and is currently being reviewed. We are awaiting their decision. While we await a decision, Meadow Lane will review all existing application for eligibility and advise any existing applicants who are not of age that they are no longer eligible via mail.

Categories

Eligibility HUD Housing Programs

Other Findings in this Audit

  • 1161702 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.157 SUPPORTIVE HOUSING FOR THE ELDERLY $404,667