Finding 1217898 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-06-17
Audit: 403998
Organization: Boulder Housing Partners (CO)

AI Summary

  • Core Issue: The Authority failed to notify families and landlords of failed inspections within the required 5 business days, impacting their ability to correct deficiencies on time.
  • Impacted Requirements: Notifications must be sent within 5 days as per the Admin Plan, and deficiencies must be corrected within 30 days under 24 CFR § 982.405.
  • Recommended Follow-Up: The Authority should implement procedures to ensure timely distribution of inspection letters and hire additional support for HQS inspections.

Finding Text

Assistance Listing Number, Federal Agency, and Program Name - 14.881, U.S. Department of Housing and Urban Development, Moving to Work Demonstration Program Federal Award Identification Number and Year - Not applicable Pass through Entity - Not applicable Finding Type - Significant deficiency Repeat Finding - No Criteria - Under the Admin Plan for the program, the Authority must notify the family and landlord of the inspection results within 5 business days of the inspection. Under 24 CFR § 982.405, Housing Quality Standards (HQS) deficiencies must be corrected within 30 calendar days or within a specified approved extension. If the cited HQS deficiencies are not corrected within the specified correction period, the Authority must stop (abate) the HAP. Condition - The Authority did not send failed HQS inspection notices within the 5 business day requirement to participants who needed to correct deficiencies. Questioned Costs - None If Questioned Costs Are Not Determinable, Description of Why Known Questioned Costs Were Undetermined or Otherwise Could Not Be Reported - Not applicable Identification of How Questioned Costs Were Computed - Not applicable Context - A total of 40 inspections were tested, and the results are as follows: A total of 7 had failed inspections where the letter to the owner was not sent within the 5 day requirement; therefore, participants could not correct deficiencies found before the 30 day requirement from the time of inspection was performed. Cause and Effect - The Authority did not adequately monitor HQS inspection outcomes to ensure that deficiency notifications were sent out timely, and, as a result, participants were unable to correct the identified deficiencies within the required 30 day window. Once notified, the owner did correct within 30 days of the notification. Recommendation - The Authority should establish procedures to ensure inspection letters are sent timely. Views of Responsible Officials and Corrective Action Plan - The Authority will hire additional support for HQS inspections to ensure timely distribution of deficiency notifications.

Corrective Action Plan

Condition: The Authority was unable to send failed HQS inspection notices timely to participants who needed to correct deficiencies. Planned Corrective Action: Throughout 2025, BHP implemented several process improvement measures for inspections for the Housing Choice Voucher Program, including detailed preparations for the implementation of NSPIRE standards. As noted in the audit, BHP needed to improve our timely notification to landlords of failed inspection items. To address the noted deficiency, BHP implemented a daily email notification to the HCV team summarizing all failed inspections that have occurred in the prior 48 hours. These improvements were implemented in the second half of 2025 and have successfully addressed the noted concern. In addition, BHP implemented additional inspection improvements during the year, including hiring additional qualified personnel to assist with scheduling inspections, as well as timely distribution of any notices of failed inspections. BHP is working to improve our processes to better serve clients and create efficiencies within their workflows as we prepare for full NSPIRE implementation. Contact person responsible for corrective action: Karen Brunnemer, MTW and Federal Policy Director and Omar Llamas, HCV Program Manager Anticipated Completion Date: 12/31/2026

Categories

Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.881 MOVING TO WORK DEMONSTRATION PROGRAM $16.47M
14.879 MAINSTREAM VOUCHERS $3.57M
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $3.40M
14.871 COVID-19 - SECTION 8 HOUSING CHOICE VOUCHERS $422,167
14.267 CONTINUUM OF CARE PROGRAM $92,215