Finding 1218839 (2025-001)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2025
Accepted
2026-06-25

AI Summary

  • Core Issue: HUD found that the Housing Authority failed to conduct required Quality Assurance Inspections and complete a Physical Needs Assessment, leading to non-compliance with federal regulations.
  • Impacted Requirements: The findings relate to multiple HUD programs, including Public Housing and Housing Choice Vouchers, which must adhere to specific operational guidelines.
  • Recommended Follow-Up: Ensure the Authority implements HUD's corrective actions as outlined in the February 2025 Review Report to avoid future compliance issues.

Finding Text

Finding 2025-001 – HUD Comprehensive Compliance Monitoring Review, Public Housing Program – 14.850, Housing Choice Vouchers – 14.871, Resident Opportunities and Supportive Services -14.870 Family Self-Sufficiency Program – 14.896; Grant Period – year ended September 30, 2025. (Other Matters) Criteria: The Code of Federal Regulations, the Public Housing Program Guidebook, the Housing Choice Voucher Program Guidebook and other HUD PIH Notices and Handbooks provide requirements and guidance for which the Housing Authority Programs are to be administered and operated under. Condition and Perspective: In June of 2025, HUD conducted a Comprehensive Compliance Monitoring Review of the Housing Authority’s Programs. The Review Report dated February 3, 2025, included the following Review Findings which were not cleared as of September 30, 2025: Finding #13 - Quality Assurance Inspections are not being conducted. Finding #17 - The Authority has not completed a Physical Needs Assessment. Finding #23 – The Authority cannot locate approvals for $1,039.87 withdrawn from the Training Costs line item in LOCCS in the ROSS Program. Effect: Non-compliance with HUD regulations. Questioned Costs: $1,039.87. Recommendation: We recommend that the Authority execute the corrective actions that HUD has outlined in the Comprehensive Compliance Monitoring Review Report dated February 3, 2025. Management’s Response to Finding: The Authority has completed all corrective actions submitted to HUD on March 24, 2025. The Authority received the official close out letter that all findings have been closed on March 12, 2026. Responsible Party: Darold Sterling, Executive Director, (256)329-2201. Anticipated Completion Date: September 30, 2026. - 51

Corrective Action Plan

– HUD Comprehensive Compliance Monitoring Review, Public Housing Program –14.850, Housing Choice Vouchers – 14.871, Resident Opportunities and Supportive Services -14.870 Family Self-Sufficiency Program – 14.896; Grant Period – year ended September 30, 2025. Corrective Action: The Authority has completed all corrective actions submitted to HUD on March 24, 2025. The Authority received the official close out letter that all findings have been closed on March 12, 2026. Responsible Party: Darold Sterling, Executive Director, (256)329-2201. Anticipated Completion Date: September 30, 2026.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1218836 2025-001
    Material Weakness Repeat
  • 1218837 2025-001
    Material Weakness Repeat
  • 1218838 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.872 PUBLIC HOUSING CAPITAL FUND $2.77M
14.850 PUBLIC HOUSING OPERATING FUND $1.94M
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $1.62M
14.896 FAMILY SELF-SUFFICIENCY PROGRAM $80,539
14.870 RESIDENT OPPORTUNITY AND SUPPORTIVE SERVICES - SERVICE COORDINATORS $79,395