FAC Explorer

Finding 23870 (2022-003)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-26
Audit: 19862
Organization: Northwest Oregon Housing Authority (OR)
Auditor: Cliftonlarsonallen

AI Summary

  • Core Issue: The Authority failed to conduct timely annual inspections of housing units, violating HUD regulations.
  • Impacted Requirements: Non-compliance with 24 CFR sections 982.158(d) and 982.405(b) regarding Housing Quality Standards inspections.
  • Recommended Follow-up: Review and update HQS inspection policies to ensure timely inspections and proper documentation are maintained.

Finding Text

Finding 2022-003 ? Annual HQS Inspections Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program Assistance Listing Number: 14.871 Award Period: 7/1/21-6/30/22 Type of Finding: Material Weakness in Internal Control Over Compliance Criteria: 24 CFR sections 982.158(d) and 982.405(b) state that the PHA must inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct qualify control re-inspections. The PHA must prepare a unit inspection report. Context: During our testing of 60 files for HQS inspection criteria, we noted the following: - 20 of 60 files tested had an inspection that was not performed timely. Questioned Costs: Unable to determine. Cause: The Authority did not have written procedures in place prior to 2021 for documenting inspections. Support was often not available for prior period inspections and/or inspections were not completed timely. The Authority experienced challenges during COVID in completing inspections timely. Effect: The Authority is not in compliance with HUD regulations. Repeat Finding: Yes Recommendation: The Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. View of Responsible Officials: There is no disagreement with this audit finding.

Corrective Action Plan

2022-003 Housing Voucher Cluster ? Assistance Listing No. 14.871 Recommendation: The Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Northwest Oregon Housing Authority has reviewed its inspection policies regarding timely inspections and maintenance of inspection documents. NOHA attempted to conduct inspections on all units following the lifting of COVID restrictions. NOHA is continuing to clean up software data to ensure proper documentation of inspections. Name(s) of the contact person(s) responsible for corrective action: Sandra Soucie, HCV Manager, HCVManager@nwoha.org Planned completion date for corrective action plan: 3/31/2023

Categories

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 23868 2022-001
    Significant Deficiency Repeat
  • 23869 2022-002
    Significant Deficiency Repeat
  • 23871 2022-004
    Significant Deficiency Repeat
  • 23872 2022-001
    Significant Deficiency Repeat
  • 23873 2022-002
    Significant Deficiency Repeat
  • 23874 2022-003
    Material Weakness Repeat
  • 23875 2022-004
    Significant Deficiency Repeat
  • 600310 2022-001
    Significant Deficiency Repeat
  • 600311 2022-002
    Significant Deficiency Repeat
  • 600312 2022-003
    Material Weakness Repeat
  • 600313 2022-004
    Significant Deficiency Repeat
  • 600314 2022-001
    Significant Deficiency Repeat
  • 600315 2022-002
    Significant Deficiency Repeat
  • 600316 2022-003
    Material Weakness Repeat
  • 600317 2022-004
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $9.04M
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $330,481
14.182 Section 8 New Construction and Substantial Rehabilitation $275,551
14.871 Emergency Housing Voucher $187,157
10.415 Rural Rental Housing Debt $99,369
10.427 Rural Rental Assistance Payments $70,850
10.415 Rural Rental Housing Subsidy $11,532
14.239 Home/tenant Based Assistance $0