Finding 1224463 (2022-004)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2026-07-23

AI Summary

  • Core Issue: Significant deficiencies in documentation for Housing Choice Voucher participant files, with many files missing key annual recertifications and income verifications.
  • Impacted Requirements: Non-compliance with 24 CFR requirements, including timely recertifications and proper documentation for special tests and provisions.
  • Recommended Follow-Up: Conduct a thorough review of all tenant file regulations to ensure adherence to Housing Choice Voucher Program policies.

Finding Text

2022-004 Deficiencies Noted in Documentation of Controls - Housing Choice Voucher Participant Files – Significant Deficiency Condition: In a sample of twenty-five (25) Housing Choice Voucher Program Participant files the following deficiencies were noted (Testing was suspended after 10 files reviewed due to pervasive errors): 8 of 10 files reviewed lacked timely FY 2022 Annual Recertifications 2 of 10 files reviewed lacked FY 2022 Annual Recertification 2 of 10 files reviewed lacked 3rd party income verifications 5 of 10 files reviewed lacked accurate rent calculation 5 of 10 files reviewed lacked FY 2022 Annual Inspection Additionally, the Authority lacked sufficient support to document the Special Tests and Provisions outlined in the Compliance Supplement, including Waiting List Support, Vouchers Issued Support, Failed Inspections Support, Abatement Support, Rent Reasonable Support. There was a lack of documentation over controls in the Housing Choice Voucher Program. Assistance Listing #: 14.871 Questioned Costs: None Criteria: 24 CFR requirements for Housing Choice Voucher Program. Cause/Effect: The Authority did not perform the required Housing Choice Voucher Program requirements, and they were not in complete compliance with HUD regulations or their own policies. Recommendation: We recommend a complete review of all Housing Choice Voucher Program tenant file regulations to ensure compliance with these policies.

Corrective Action Plan

2022-004 – Deficiencies Noted in Documentation of Controls - Housing Choice Voucher Participant Files - Significant Deficiency Auditor Recommendations: The Authority should establish a checklist for the Housing Choice Voucher Coordinator to use during the recertification process to document the procedures performed to ensure all compliance requirements are met. We recommend a complete review of all Housing Choice Voucher Program tenant file regulations to ensure compliance with these policies. Response: The Executive Director will actively oversee all financial aspects of the agency. Additionally, the director will ensure that finances are current and accurate monthly. A complete review of all Housing Choice Voucher Program tenant file regulations will be performed to ensure compliance with these policies. Timeframe: By completion of the 2027 FYE audit Individual responsible for correction: Mr. Marc Starling, Executive Director

Categories

HUD Housing Programs Special Tests & Provisions Allowable Costs / Cost Principles Significant Deficiency

Other Findings in this Audit

  • 1224464 2022-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.850 PUBLIC AND INDIAN HOUSING $304,335
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $94,948
14.870 RESIDENT OPPORTUNITY AND SUPPORTIVE SERVICES - SERVICE COORDINATORS $8,395