Finding Text
Federal Authority: U.S. Department of Housing and Urban Development (HUD) Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 and 14.879 Federal Award Identification Number and Year: DC001 - 2025 Award Period: October 1, 2024 – September 30, 2025 Type of Finding: • Material Noncompliance and Material Weakness in Internal Control over Compliance for Eligibility Criteria or specific requirement: For both family income examinations and reexaminations, the PHA must obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent (24 CFR section 982.516). Condition: • For 3 out of 60 beneficiaries selected for eligibility, the expenses reported on the 50058 form were not supported. • For 4 out of 60 beneficiaries selected for eligibility, we did not observe 3rd party verification of reported income. • For 3 out of 60 beneficiaries selected for eligibility, we did not observe biennial reexaminations of Family income and composition • For 1 out of 60 beneficiaries selected for eligibility, we did not observe a signed Authorization for Release of Information/Privacy Notice Act(HUD-9886) form. • For 1 out of 60 beneficiaries selected for eligibility, we did not observe a General Release form signed by all members of the household over the age of 18. • For 1 out of 60 beneficiaries selected for eligibility, we did not observe a signed move-in or recertification checklist completed by a housing specialist. Questioned costs: Unknown. Cause: The Authority did not sufficiently monitor controls to ensure compliance with eligibility requirements. Effect: The Authority is not in compliance with federal regulations regarding eligibility. Tenant rent or HAP may have been miscalculated due to using incorrect information in the recalculations. Tenant recertifications were not shown to be performed on a timely basis. Repeat Finding: Yes: 2024-022 Recommendation: We recommend that Authority staff review the controls in place to ensure that required eligibility determination documentation is complete, accurate, and available for audit. Views of responsible officials: Management agrees with the finding. Refer to the corrective action plan on current findings in this report.