Finding 1167913 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-01-06

AI Summary

  • Core Issue: The Authority failed to submit Actual Modernization Cost Certificates (AMCCs) on time for three Capital Fund Program grants.
  • Impacted Requirements: AMCCs must be submitted within ninety days after the final expenditure date to comply with HUD regulations.
  • Recommended Follow-Up: Update the checklist for closing grants to include tracking methods for AMCC submission deadlines throughout the grant period.

Finding Text

Finding Reference: 2025-001 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Public Housing Capital Fund AL Number(s): 14.872 Category of Finding: Reporting - Other Criteria: Upon expenditures by the PHA of all funds, or termination by HUD of the activities funded in a modernization or development program, a PHA shall submit the closeout forms, including the Actual Modernization Cost Certificate (AMCC), to their local HUD field office for review and approval. PHAs must submit the AMCC within ninety days after the expenditure deadline. Condition/Context: The Authority did not submit AMCCs by the reporting deadline, within ninety days of the final expenditure date, for Capital Fund Program (CFP) grant numbers VA36P016501-20, VA36P016501-21 and VA36P016501-22. Cause: The Authority's process for closing CFP grants did not include an effective mechanism to track and monitor AMCC submittal deadlines. Effect: The delay in submitting closeout forms to HUD could impair the Authority's ability to properly record CFP activity and participate in future HUD programs, thereby impairing the Authority's ability to fund capital improvements. Questioned Costs: There are no questioned costs related to this finding. Recommendation: We recommend that the Authority update its checklist for closing CFP grants to include a method of tracking the deadline for AMCC submittal at the beginning of the grant and monitoring that deadline throughout the grant period. Management's Response to Finding: See separately prepared Corrective Action.

Corrective Action Plan

RE: Capital Fund Program Financial Reporting Finding Corrective Action Plan CRHA recognizes it did not submit timely AMCCs by the reporting deadline for CFP grant numbers VA36P016501-20, VA36P016501-21 and VA36P016501-22. To effectively avoid this for grant fund close outs, we are updating our checklist to ensure current and any future staff submits all reports correctly and within calendar deadlines. Further, our procedure will dictate that the CRHA accounting staff member(s) authorized and responsible for drawing federal funds in ELOCCS will prepare grant funds closing reports and documents, with subsequent review and submission to the HUD field office by the finance director.

Categories

HUD Housing Programs

Programs in Audit

ALN Program Name Expenditures
14.850 PUBLIC AND INDIAN HOUSING $2.38M
14.872 PUBLIC HOUSING CAPITAL FUND $978,853
14.879 MAINSTREAM VOUCHERS $472,016
14.877 PUBLIC HOUSING FAMILY SELF-SUFFICIENCY UNDER RESIDENT OPPORTUNITY AND SUPPORTIVE SERVICES $158,381
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $138,402
14.870 RESIDENT OPPORTUNITY AND SUPPORTIVE SERVICES - SERVICE COORDINATORS $42,000
14.895 JOBS-PLUS PILOT INITIATIVE $26,235