Finding Text
Finding SA2021-004: Missing Tenant Documents AL number: 14.850 AL Title: Public and Indian Housing Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification number and year: CA010 (2021) Criteria: 24 CFR section 960 requires Public Housing Authorities (PHA) that receive public housing funds to remit payment to eligible tenants and to maintain documentation for the payments through a contract. Condition: We reviewed 51 tenant files for existing and new tenants for FY2021 and noted that the Authority did not maintain all required documentation. Furthermore, approximately 69% of the tenants are missing some required forms and documents, and 7 of the tenants have no related tenant personnel files and documents for FY2021. Cause: We understand that the staff overseeing the federal awards during fiscal year 2021 are no longer with the Authority, and therefore, the staff overseeing the federal awards subsequent to the fiscal year were unable to provide such documentation. Effect: The Housing Authority is not in compliance as stated in 24 CFR section 960. Identification as a repeat finding: Yes, since 2017. Recommendation: The Housing Authority must develop procedures to ensure that all required documentation for public housing tenants is properly maintained and readily accessible for future audits. Management Response: As part of ongoing efforts to strengthen file integrity and compliance standards, the Authority has implemented the following measures: • Standardized File Checklist: A comprehensive checklist has been developed and is included in all resident files. This tool is designed to ensure that all required documentation is accounted for and consistently organized. • Dedicated File Oversight Personnel: The Authority has hired designated staff responsible for the oversight, organization, and quality control of file documentation. These individuals will ensure ongoing compliance with HUD regulations and internal standards, as well as support audit readiness. • Income Certification Systemization: All income calculations for resident certifications are now completed and documented exclusively within the Property Management system, Yardi One. This centralizes data processing, improves accuracy, and ensures a reliable audit trail for all income determinations.