Finding 1224147 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-07-21
Audit: 407547
Organization: Aurora Housing Authority (CO)
Auditor: EIDE BAILLY LLP

AI Summary

  • Core Issue: The Authority is not completing annual certifications for Housing Choice Vouchers on time, with 10 out of 60 tested being late.
  • Impacted Requirements: This affects compliance with eligibility criteria, risking potential noncompliance due to weak internal controls.
  • Recommended Follow-up: Implement stronger controls to ensure timely completion of all certifications moving forward.

Finding Text

2025-002 U.S Department of Housing and Urban Development – ALN #14.871/14.879 Housing Choice Vouchers Cluster Applicable Federal Award Number and Year – HCV2025 Eligibility Material Weakness in Internal Control over Compliance and Immaterial Instance of Noncompliance Criteria: The program requires the Authority to complete certifications annually for individuals enrolled in the program. Condition: During our testing, we noted several instances of certifications being completed over one year after the previous certification. Cause: The Authority’s internal controls related to maintaining proper files were not operating as designed and was due to lack of proper levels of staffing. Effect: Weaknesses in internal control over compliance could result in the Authority failing to comply with eligibility requirements. Questioned Costs: None reported. Context/Sampling: A nonstatistical sample of 60 certifications were selected for testing from a population of over 250. 10 out of the 60 certifications were not completed timely. Repeat Finding from Prior Year: Yes. Recommendation: We recommend that the Authority establish controls to ensure that all certifications are completed timely. Views of Responsible Officials: Management agrees with the finding.

Corrective Action Plan

The Authority will establish controls to ensure all certifications are completed timely and in accordance with requirements.

Categories

Eligibility HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1224145 2025-002
    Material Weakness Repeat
  • 1224146 2025-002
    Material Weakness Repeat
  • 1224148 2025-003
    Material Weakness Repeat
  • 1224149 2025-003
    Material Weakness Repeat
  • 1224150 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $1.28M
14.879 MAINSTREAM VOUCHERS $795,668
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $381,802
14.239 HOME INVESTMENT PARTNERSHIPS PROGRAM $61,218
14.850 PUBLIC HOUSING OPERATING FUND $17,603
14.872 PUBLIC HOUSING CAPITAL FUND $16,757