Finding Text
Eligibility Housing Voucher Cluster Significant Deficiency in Internal Control Material Noncompliance (Repeated in part from prior year, Finding No. 2023-004) Condition: Out of an approximate population of 1,800 Housing Voucher Cluster tenants we tested 42 tenants and the following deficiencies were noted: • Two files did not agree with the amount of HAP reported in the HAP register, • Two files did not have inspection documentation during the period, • Two files were missing QC checklists, • One file was missing a signed 9886 form effective for the period, • One file was missing required identification for an adult member of a household, and • One file will missing all supporting documentation. Criteria: The Authority’s Administrative Plan and 24 CFR 982.516 requires internal controls to be in place to ensure proper procedures are being followed in compliance with HUD requirements regarding timely, complete, and accurate tenant files. Context: The auditor randomly selected tenant files out of the population from each program as outlined, which we consider to be a statistically valid sample size. The auditor reviewed the tenant files and support to ensure that proper procedures are being followed and that the Authority is in compliance with HUD requirements regarding timely, complete, and accurate tenant files. Cause: The Authority experienced staffing and operational challenges and did not have the available staff to follow the established internal controls to ensure proper compliance with regards to timely recertifications and collection of required HUD documentation to verify eligibility and calculate accurate housing assistance payments. Effect: The Authority is not in compliance with HUD requirements regarding eligibility which could result in the incorrect amount of rental assistance provided. Questioned Costs: Unknown. Auditor Recommendations: The Authority should reevaluate their established procedures and controls in place to ensure full compliance in regards to eligibility and the timeliness of recertifications. The Authority needs to correct the deficiencies noted in the tested files and consider the impact to the rest of the population of tenant files that were not selected as part of the auditor’s sample.