Finding 1213604 (2021-006)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2021
Accepted
2026-05-04
Audit: 400515
Organization: Richmond Housing Authority (CA)

AI Summary

  • Core Issue: The Housing Authority failed to include a separate column for CARES Act funding in the Financial Data Schedule (FDS) as required by federal guidelines.
  • Impacted Requirements: This oversight violates the reporting criteria set forth in PIH Notice 2020-24, affecting the accuracy of CARES Act expenditure reporting.
  • Recommended Follow-Up: Implement a process to ensure compliance with reporting requirements and provide additional training for staff on HUD guidelines to prevent future issues.

Finding Text

Finding SA2021-006: CARES Act Funding FDS Reporting 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: In accordance with Notice PIH 2020-24, Public Housing Authorities (PHAs) that received CARES Act funding are required to include a separate reporting column in Financial Data Schedule (FDS) in its FASS-PH submission. Condition: During our review of unaudited FDS, we noted a separate column for CARES Act funding was not included as required by PIH Notice 2020-24. Cause: The staff was unaware that CARES Act funding need to report in a separate column in FDS. Effect: We were unable to verify the accuracy and completeness of the CARES Act expenditures reported in FDS. Recommendation: We recommend that Housing Authority implement a process to ensure that a separate column for CARES Act funding is included in the audited FDS submissions for FY2021 and future submissions in accordance with PIH Notice 2020-24. Management Response: The Authority acknowledges this finding. Staff were not aware of the requirement to use a separate FDS reporting column for CARES Act funds. Updated procedures now include mandatory review of HUD PIH Notices and reporting standards prior to annual submission. The Authority will ensure all future FASS‑PH filings include the required separate column for CARES Act expenditures, and staff assigned to FDS reporting will complete additional HUD training to avoid recurrence. Staff will implement CARES Act funding column during 2021 Audited FDS submission.

Corrective Action Plan

Finding Reference Number: SA2021-006: CARES Act Funding FDS Reporting Assistance Listing Number: 14.850 Assistance Listing Title: Public and Indian Housing Name of Federal Agency: Department of Housing and Urban Development Contact Person: Rita Martinez, Finance Manager II Corrective Action Plan: Updated procedures now include mandatory review of HUD PIH Notices and reporting standards prior to annual submission. The Authority will ensure all future FASS‑PH filings include the required separate column for CARES Act expenditures, and staff assigned to FDS reporting will complete additional HUD training to avoid recurrence. Staff will implement CARES Act funding column during 2021 Audited FDS submission. Anticipated Completion Date: May 1, 2026

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1213599 2021-001
    Material Weakness Repeat
  • 1213600 2021-002
    Material Weakness Repeat
  • 1213601 2021-003
    Material Weakness Repeat
  • 1213602 2021-004
    Material Weakness Repeat
  • 1213603 2021-005
    Material Weakness Repeat
  • 1213605 2021-007
    Material Weakness Repeat
  • 1213606 2021-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.850 PUBLIC HOUSING OPERATING FUND $1.66M
14.872 PUBLIC HOUSING CAPITAL FUND $388,682