Finding 1217382 (2025-009)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-06-12
Audit: 403580
Auditor: 47-0812943

AI Summary

  • Core Issue: The Agency lacks a system for quality control re-inspections, violating federal requirements for the Housing Choice Voucher Program.
  • Impacted Requirements: Noncompliance with 24 CFR 982.158(d) and 24 CFR 982.405(b) due to insufficient procedures for independent quality control.
  • Recommended Follow-Up: Establish and implement procedures for quality control re-inspections and maintain documentation of these inspections in Agency records.

Finding Text

Finding 2025-009: Special Tests and Provisions - HQS Re-Inspections Section 8 Housing Choice Voucher Cluster Program, Assistance Listing #14.871 Material Weakness/Noncompliance Criteria: In accordance with 24 CFR 982.158(d) and 24 CFR 982.405(b), the Agency is required to inspect each assisted unit at least annually to ensure compliance with Housing Quality Standards (HQS). In addition, the Agency must perform and document quality control re-inspections to ensure the effectiveness and accuracy of the inspection process. Condition: During our audit, we noted the Agency does not have a system in place to perform quality control re-inspections. While annual inspections are conducted by the maintenance supervisor, no additional procedures were implemented to provide independent quality control over the inspection process for the year ended September 30, 2025. Cause: The condition appears to be the result of the Agency not establishing procedures to perform and document required quality control re-inspections. Effect or Potential Effect: The lack of quality control re-inspections increases the risk that deficiencies in unit conditions may not be identified or corrected in a timely manner. As a result, the Agency is not in compliance with Section 8 Housing Choice Voucher Program requirements. Recommendation: We recommend the Agency establish and implement procedures for performing quality control re-inspections in accordance with the applicable CFR requirements. Documentation supporting the completion and results of these re-inspections should be maintained in the Agency’s records. View of Responsible Official: Management agrees with the Finding.

Corrective Action Plan

Finding 2025-009 – HQS Re-Inspections Management agrees with the finding regarding quality control HQS re-inspections. The Housing Authority is implementing procedures requiring periodic quality control re-inspections of units inspected under the Housing Choice Voucher Program. These re-inspections will be documented and reviewed to ensure inspection consistency, compliance with HUD standards, and accuracy of inspection determinations. Management will maintain written records of all quality control reviews and establish schedules to ensure compliance with applicable HUD regulations. Responsible Party: Executive Director and Maintenance Supervisor Expected Completion Date: July 31, 2026

Categories

HUD Housing Programs Special Tests & Provisions Material Weakness

Other Findings in this Audit

  • 1217375 2025-004
    Material Weakness Repeat
  • 1217376 2025-004
    Material Weakness Repeat
  • 1217377 2025-005
    Material Weakness Repeat
  • 1217378 2025-006
    Material Weakness Repeat
  • 1217379 2025-007
    Material Weakness Repeat
  • 1217380 2025-007
    Material Weakness Repeat
  • 1217381 2025-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $377,218
14.872 PUBLIC HOUSING CAPITAL FUND $376,887
14.850 PUBLIC HOUSING OPERATING FUND $341,246