Finding 2069 (2023-001)

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Requirement
N
Questioned Costs
-
Year
2023
Accepted
2023-11-17
Audit: 3579
Organization: Cara Estates, Inc. (RI)
Auditor: D'ambra CPA

AI Summary

  • Core Issue: Errors found in tenant income re/certifications, including missing applications and incorrect calculations.
  • Impacted Requirements: Compliance with HUD Occupancy handbook standards for tenant documentation.
  • Recommended Follow-Up: Management should continue to review files for completeness to prevent future errors.

Finding Text

Federal program - PRAC; Criteria - The HUD Occupancy handbook specifies the nature and content of the tenant income re/certifications; Condition - in testing tenant /certification files, I noted the following errors: no application (1 of 2 files): incorrect medical expense calculation (1 of 2 files); no form 9887A (2 of 2 files); Cause - management oversight; Recommendation - management should review the files for completeness and correct the errors. Response: Management has corrected the errors.

Corrective Action Plan

Management has reviewed all files, obtained the required information, and corrected calculations. Site staff will be trained in correct procedures.

Categories

HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $89,237