Finding Text
2025-001 – Documentation of Controls U.S. Department of Housing and Urban Development 14.871 – Section 8 Housing Choice Vouchers E. Eligibility, L. Reporting, and N. Special Tests and Provisions – Significant Deficiency Condition: During review of the Housing Choice Voucher tenant files, RBT noted that the Authority did not establish appropriate controls over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Criteria: As a condition of receiving federal awards, the PHA agrees to comply with laws, regulations, and the provisions of grant agreements and contracts, and to also maintain internal controls to provide reasonable assurance of compliance with these requirements. Cause: The Authority did not establish controls over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Effect: Potential loss of funding due to noncompliance or additional noncompliance if a control is missed. Questioned Costs: None identified. Perspective: Although the Authority was in compliance with the noted compliance attributes, none of the 60 tenant files selected for testing contained documentation of the internal controls performed. Repeat Finding: Not a repeat finding. Recommendation: RBT recommends the Authority establish a checklist for the Housing Coordinators to use during the recertification process to ensure all compliance requirements are met. The checklist should be signed or initialed by the Housing Coordinator preparing the checklist and a reviewer and maintained in the tenant’s file. This checklist will serve as documentation that all compliance requirements were verified for the tenant. Auditee’s Response: See corrective action plan.