FAC Explorer

Finding 1220215 (2025-001)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-06-29
Audit: 405326
Organization: Chillicothe Metropolitan Housing Authority (OH)
Auditor: BHM CPA GROUP INC

AI Summary

  • Core Issue: The Authority failed to complete 23 out of 25 required annual reexaminations of family income and composition.
  • Impacted Requirements: CFR sections 960.253, 960.257, and 960.259 mandate annual reexaminations to adjust tenant rent and housing assistance.
  • Recommended Follow-Up: Increase training on annual recertifications and enhance quality control reviews to catch errors before implementation.

Finding Text

CFR section 960.253, 960.257, and 960.259, requires that the Authority reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third-party verification. Per review of tenant annual recertifications in the Public Housing Operating Fund Program we noted twenty-three of twenty-five reexaminations were not fully completed. The Authority should implement increased training on performing of annual re-certifications and a greater number of quality control reviews to identify errors before re-certifications go into effect.

Corrective Action Plan

Chillicothe Metropolitan Housing Authority discovered multiple errors in the work performed by the Public Housing Assistant during a quality control file review. As per policy, disciplinary actions were taken and subsequently the employee was terminated from CMHA. In addition, CMHA has had significant staffing turnover in this position. The staff now performing the PH annual and interim recertifications have received/are currently receiving additional training, and more frequent quality control reviews are being completed to ensure accuracy and timely completion. All files for which the former PH Assistant was responsible for annual and interim calculations are being recertified and the calculations reviewed. Any errors found will be corrected going forward.

Categories

HUD Housing Programs

Programs in Audit

ALN Program Name Expenditures
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $4.40M
14.850 PUBLIC HOUSING OPERATING FUND $1.49M
14.872 PUBLIC HOUSING CAPITAL FUND $1.42M
14.896 FAMILY SELF-SUFFICIENCY PROGRAM $95,895