Finding 1166834 (2025-006)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2025-12-29

AI Summary

  • Core Issue: One tenant file is missing a signed Housing Assistance Payment (HAP) contract, and two files could not be found.
  • Impacted Requirements: This situation violates HUD regulations that mandate maintaining signed HAP contracts for voucher assistance.
  • Recommended Follow-Up: Implement stronger procedures and regular file reviews to ensure all tenant files contain signed HAP contracts.

Finding Text

2025-006 New Admissions – Missing Signed Housing Assistance Payment (HAP) Contract Condition: Signed HAP contract missing from one file. Additionally, two files out of a sample of ten could not be located (see related finding 2025-003). Criteria: HUD regulations require PHA’s to collect and maintain a signed HAP contract with the landlord to provide assistance under the voucher program. Context: The Authority could not locate the signed HAP contract although an unsigned copy was maintained in the file. Effect: The Authority is out of compliance with HUD requirements. Additionally, the lack documented evidence of an agreement with the landlord increases the risk for unsupported or ineligible payments. Recommendation: We recommend the Authority strengthen procedures to ensure all tenant files include a signed HAP contract. Response: BPHA has initiated corrective actions to strengthen internal procedures to ensure all files include fully executed HAP contracts. A standardized file review process will be implemented that includes periodic file reviews to ensure all documents required are complete and included.

Corrective Action Plan

BPHA has initiated corrective actions to strengthen internal procedures to ensure all files include fully executed HAP contracts. A standardized file review process will be implemented that includes periodic file reviews to ensure all documents required are complete and included.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1166831 2025-003
    Material Weakness Repeat
  • 1166832 2025-004
    Material Weakness Repeat
  • 1166833 2025-005
    Material Weakness Repeat
  • 1166835 2025-007
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $4.07M
14.879 MAINSTREAM VOUCHERS $511,638
14.850 PUBLIC HOUSING OPERATING FUND $247,510
14.872 PUBLIC HOUSING CAPITAL FUND $219,965