Finding 21583 (2022-001)

Material Weakness
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-04-18

AI Summary

  • Core Issue: Tenant files were not updated, leading to incorrect rent charges.
  • Impacted Requirements: The Housing Authority must accurately calculate and verify tenant rents based on current income data.
  • Recommended Follow-Up: Assign a different employee to review tenant files to ensure proper maintenance and accurate rent calculations.

Finding Text

Finding 2022-001: Tenant Rents Material Weakness Criteria: The Housing Authority is responsible for calculating the tenant?s rents based on the tenant?s adjusted annual income and for verifying the tenant?s annual income. Condition: During the audit we noted that one tenant?s file was not updated completely since December, 2018. This resulted in improper tenant charges during the year. Cause: The Housing Authority did not maintain the tenant?s file since initially being in the program and were not updating the recertification and rent amounts. Effect or Potential Effect: Some tenant files were not maintained leading to inaccurate tenant rents. Recommendation: The Housing Authority should have another employee review the tenant?s file and verify that the tenant?s file being properly maintained and that the tenant?s rent is calculated properly. The employee reviewing the files should be someone other than the employee performing the recertification.

Corrective Action Plan

Corrective Action Plan #2022-001 ? Tenant Rents ? The Housing Authority will have another employee review tenant files during their annual recertification to make sure the files are being maintained properly and tenant rents are being calculated properly. Responsible official: Sue Weis? Executive Director Anticipated completion date: 6/30/2023

Categories

Material Weakness

Other Findings in this Audit

  • 598025 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.415 Rural Rental Housing Loans $986,106
14.850 Public and Indian Housing $78,432
14.872 Public Housing Capital Fund $49,260
10.427 Rural Rental Assistance Payments $32,174
14.U01 Public Housing Cares Act Funding $1,427