Finding Text
2024 – 009 – Reporting REAC Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster and Public Housing Operating Fund Assistance Listing Number: 14.871;14.879 and 14.850 Federal Award Identification Number and Year: FL007, 2024 Award Period: July 1, 2023 to June 30, 2024 Type of Finding: • Material Weakness in Internal Control over Compliance • Material Noncompliance (Modified Opinion) Criteria or specific requirement: Financial Reports (OMB No. 2535-0107)-Financial Assessment subsystem, FASS-PH. The Uniform Financial Reporting Standards (24 CFR section 5.801) require PHAs to submit timely GAAP-based unaudited and audited financial information electronically to HUD. The FASS-PH system is one of HUD's main monitoring and oversight systems of the Authority. Condition: The Authority is required to submit an unaudited REAC to HUD within 2 months (August 31, 2024) and audited submission within 9 months (March 31, 2025) of their fiscal year end. The Authority submitted multiple unaudited submissions and has not submitted an audited. Questioned costs: N/A Context: The Authority failed to submit the audited REAC submission within the required time. Cause: The Authority failed to provide adequate monitoring of the deadline submission. Effect: The Authority failed to submit information to HUD in a timely manner. Repeat Finding: Yes Recommendation: We recommend that the Authority designate an individual to provide oversight of the REAC submission. Views of responsible officials: There is no disagreement with the audit finding.