Finding Text
Finding 2025-002: Failure to File SEMAP (Material Weakness, Material Noncompliance) Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Section 8 Housing Choice Vouchers Federal Assistance Listing Number: 14.871 Compliance Requirement: Reporting Criteria: Pursuant to 24 CFR § 985.101, Public Housing Agencies (PHAs) administering a Section 8 tenant-based assistance program are required to submit an annual SEMAP certification to HUD no later than 60 days after the PHA’s fiscal year-end. Condition: The Authority failed to submit its annual SEMAP Certification (form HUD-52648) to HUD within 60 days after the end of its fiscal year. Context: PHAs are required to submit the annual SEMAP Certification to HUD no later than 60 days after the PHA’s fiscal year end. Cause: The Authority failed to establish and implement effective internal controls to track regulatory reporting deadlines. Consequently, no SEMAP certification was completed or transmitted within the required period. Questioned Costs: None Effect: By failing to file the required certification, the PHA does not have a confirmed SEMAP score on record. Under HUD regulations, the lack of a timely submitted certification may cause the agency to receive a “troubled” designation for the entire fiscal year, which limits appeal rights and subjects the program to heightened HUD monitoring. Repeat Finding: This is not a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure the annual SEMAP certification are submitted by the required due date. Views of Responsible Officials: The Authority agrees with the finding.