Finding Text
Assistance Listing, Federal Agency, and Program Name - 14.872, U.S. Department of Housing and Urban Development, Public Housing Capital Fund Program Federal Award Identification Number and Year - Not applicable Pass-through Entity - Not applicable Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - Yes 2024-001 Criteria - Under 24 CFR 905.324, Data Reporting Requirements, the Commission must submit the following: For modernization projects, the Commission shall submit form HUD-53001, Actual Modernization Cost Certificate, within 90 days after the expenditure end date. The Commission shall submit form HUD 50075.1, Annual Statement Performance and Evaluation Report, within 90 days of the expenditure end date. Condition - The Commission did not submit the required financial report and performance report. Questioned Costs - None Identification of How Questioned Costs Were Computed - Not applicable Context - The required financial reporting (HUD-53001) and performance report (HUD- 50075.1) for grant number MI28P001501-18 were not completed within 90 days of the expenditure end date. The required financial reporting (HUD-53001) for grant number MI28P001501-21 was not completed within 90 days of the expenditure end date. Cause and Effect - The Commission did not have the proper controls in place to ensure the timely completion and submission of required reports. Recommendation - The Commission should establish procedures to ensure financial reporting is filed and completed timely. Views of Responsible Officials and Planned Corrective Actions - The Capital Team Project Manager continues to reconcile HUD’s EPIC and ELOCC systems with Yardi monthly to ensure timely filing of capital projects' closeouts. This tracking critical spreadsheet, created by the Lead Performance Officer, will trigger key reporting dates for the DHC Capital Fund Program to remain in compliance with HUD reporting deadlines. At a minimum, monthly, this critical spreadsheet is distributed to the Supervisor of Capital and the Lead Performance Officer to ensure compliance. However, this was on the radar and continues the process of cleaning older items for corporate hygiene. As of December 2025, this was closed out and approved in EPIC by HUD.