Finding Text
Criteria: Per 24 CFR Section 891.410(a), HUD requires the maintenance of a waiting list and the selection of applicants in chronological order of application date. Condition: During our review, management was unable to provide a waiting list or other records demonstrating that applicants were maintained and selected in chronological order as required by 24 CFR Section 891.410(a). Cause: The project changed property management agents during the fiscal year. Effective controls were not in place to ensure that the tenant waiting list records were maintained and transferred during the change in property management, resulting in the absence of documentation demonstrating compliance with HUD tenant selection requirements. Effect: Without a documented tenant waiting list, there is no support to demonstrate that applicants were selected and admitted in accordance with the established order or applicable program requirements. Identification as a Repeat Finding, if applicable: Not applicable. Recommendation: Project management should implement effective controls to ensure tenant waiting list documentation is maintained and retained in accordance with 24 CFR Section 891.410(a).