Finding 1227790 (2024-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2026-08-25

AI Summary

  • Core Issue: There was a mismatch between the unaudited financials submitted and the unadjusted financials received.
  • Impacted Requirements: Compliance with HUD's reporting standards for timely GAAP-based financial information.
  • Recommended Follow-Up: Review staffing and management processes to ensure accurate financial reporting moving forward.

Finding Text

Finding No: 2024-002 Type: Noncompliance with provisions of contracts or grant –Housing Choice Vouchers, Assistance Listing No. 14.871; Condition: We identified the following non-compliances: submitted unaudited financials submitted through FASS-PH did not match unadjusted financials received. Criteria: The Code of Federal Regulations and HUD guidelines give the requirements for reporting “The Uniform Financial Reporting Standards require PHAs to submit timely GAAP-based unaudited financial information electronically to HUD [via FASS-PH]” Amount: Not determined Cause: There was staffing turnover and management changes throughout the year. Effect or Potential Effect: 1. There may be reconciling items between financial information submitted to HUD and the Authority’s financials. Repeat Audit Finding: No

Corrective Action Plan

MCHA has created policies to address this issue and staff have received training on how to follow it. The 2025 unaudited submission was filed in a timely manner.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1227789 2024-001
    Material Weakness Repeat
  • 1227791 2024-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $1.28M
14.850 PUBLIC HOUSING OPERATING FUND $1.17M
10.427 RURAL RENTAL ASSISTANCE PAYMENTS $130,376
14.872 PUBLIC HOUSING CAPITAL FUND $29,543