Finding 1210881 (2025-001)

FINDING No. 2025-001: Section 202 - Supportive Housing for the Elderly, ALN 14.157 Finding Resolution Status: Unresolved. Information on Universe Population Size: Fifty-one tenants. Sample Size Information: Ten tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: HUD regulations require timely collection and retention of all initial and ongoing tenant eligibility documentation. Statement of Condition: Missing documentation in tenant files: One tenant file did not include a form HUD-50059 that was dated by the tenant and the Property Manager; One tenant file did not include security deposit payment support that matched the amount per the form HUD-50059; One tenant file did not include a dated and time-stamped housing application. Cause: The Project did not follow HUD regulations for determining tenant eligibility and maintaining required tenant documentation. Effect or Potential Effect: Unable to verify tenant eligibility and cost of assistance may be disallowed. 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 implement stronger internal controls over the administration of tenant eligibility and file maintenance, inclusive of more rigorous staff training, to ensure HUD regulations are followed timely and accurately. Response Indicator: Agree. Completion Date: 12/31/2026 Response: Staff training has been provided with additional HUD training inclusive of EIV reporting and tenant file maintenance and included in monthly reporting procedures.