Finding 1229127 (2025-001)

FINDING No. 2025-001: Section 202 Supportive Housing for the Elderly – Capital Advance, ALN 14.157 Finding Resolution Status: Unresolved. Information on Universe Population Size: Fifty-four tenants. Sample Size Information: Ten tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: HUD regulations require timely collection and retention of all initial and ongoing tenant eligibility documentation. Statement of Condition: Missing documentation in tenant files: • Four tenant files were missing their initial EIV report. • One tenant file did not contain a background check. • Two form HUD-50059’s were signed by owner/agent after the effective date. Cause: The Project did not accurately perform the tenant eligibility and screening process in accordance with HUD requirements. Effect or Potential Effect: Unable to verify tenant eligibility and cost of assistance may be disallowed. Auditor Non-Compliance Code: R – Section 8 Program Administration. Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendations will be adopted. Recommendation: The Project should implement procedures to ensure that initial and ongoing tenant eligibility documentation is obtained timely and maintained in tenants’ files. Response Indicator: Agree. Completion Date: 12/31/2026 Response: Staff training has been provided with additional HUD training inclusive of EIV reporting and tenant file maintenance and included in monthly reporting procedures.