Finding Text
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: VA001, 2021 Award Period: 1/1/2021-12/31/2021 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: According to the Authority's Internal Control Policy, check signers should examine all original supporting documentation to ensure that each item has been properly reviewed prior to signing a check. After checks are printed, the Director of Finance or designee should review all documentation for accuracy. (24 CFR sections 982.151 through 982.155). Condition: Of the 40 files tested: - 1 instance where the disbursement did not have an invoice/supporting documentation that was approved/reviewed by proper personnel. Questioned costs: $226 Context: Of the 40 files tested, 1 file contained exceptions. Cause: The Authority did not follow internal controls designed to ensure that supporting documentation was properly reviewed in accordance with the Authority's policies. Effect: The Authority does not have controls in place to ensure compliance with allowable costs requirements. Recommendation: We recommend the Authority review its internal controls over allowable costs to ensure all documentation is maintained at the time expenses are paid. Views of responsible officials: There is no disagreement with the audit finding.