Finding Text
Criteria In accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, for all new admissions, including Initial Certifications (IC), the owner must review the Income Report within 90 days after transmission of the move-in certification to TRACS to confirm/validate the income reported by the household. Condition In connection with our review of 1 lease file for move-ins we noted the following deficiency: 1 file did not have timely income verification through Enterprise Income Verification System (EIV). Cause Management's policies with respect to the determination of eligibility and the maintenance of tenant lease files in accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs were not consistently followed. Effect or Potential Effect The procedures for determining tenant eligibility and maintaining tenant lease files were not consistently applied in accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs. This could result in units being rented to ineligible tenants or errors in the rent subsidies paid by HUD. Questioned Costs N/A Identification as a Repeat Finding N/A Recommendation Management should establish procedures and monitor compliance with those procedures to ensure that tenant eligibility is correctly determined and that tenant lease files are properly maintained in accordance with the requirements of HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs. HUD Auditor Noncompliance Code R. Section 8 program administration Uniform Guidance Auditor Noncompliance Code E- Eligibility Finding Resolution Status: In process Views of Responsible Officials Management has addressed the issue by recertifying the tenant and does not expect late recertifications or income verification to occur again.