Finding 1172679 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-02-06

AI Summary

  • Core Issue: The waiting list for tenant applications was not updated with the correct application dates, violating HUD regulations.
  • Impacted Requirements: Failure to maintain a proper waitlist and select applicants in chronological order can lead to non-compliance with Section 8 Program Administration.
  • Recommended Follow-Up: Rebuild the waiting list using accurate application dates and implement procedures to ensure future applications are recorded correctly.

Finding Text

FINDING No. 2025-002: Section 8 Project Based Rental Assistance (PBRA), ALN 14.195 Finding Resolution Status: Unresolved. Information on Universe Population Size: Five moved-in tenants. Sample Size Information: Two moved-in tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: HUD regulations require the maintenance of a waitlist and the selection of applicants in chronological order of application date or adequate documentation of the reasoning for an applicant being passed over for an applicant with a later application date. Statement of Condition: The Project’s waiting list did not reflect the actual tenant application dates for all applicants. Cause: The Project did not update the waiting list using the date stamped on the tenant applications. Effect or Potential Effect: Unable to determine the date for the receipt of applications for proper waiting list placement and subsequent selection to occupancy. Auditor Non-Compliance Code: R – Section 8 Program Administration. Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendations will be adopted. Recommendation: The Project should rebuild the waiting list based on the date stamps on the original tenant applications and implement procedures to ensure that all future applications are recorded accurately and maintained in chronological order. Response Indicator: Agree. Completion Date: 06/30/2026 Response:Staff training has been provided to ensure that there are date stamps on the wait list tenants.

Corrective Action Plan

FINDING No. 2025-002: Section 8 Project Based Rental Assistance (PBRA), ALN 14.195 Recommendation: The Project should rebuild the waiting list based on the date stamps on the original tenant applications and implement procedures to ensure that all future applications are recorded accurately and maintained in chronological order. Action Taken: Staff training has been provided to ensure that there are date stamps on the wait list tenants.

Categories

HUD Housing Programs Reporting

Other Findings in this Audit

  • 1172678 2025-001
    Material Weakness Repeat
  • 1172680 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.155 MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS $2.60M
14.195 PROJECT-BASED RENTAL ASSISTANCE (PBRA) $1.08M