Finding 280746 (2022-006)

- Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-26
Audit: 267869

AI Summary

  • Core Issue: Insufficient documentation for eligibility and waiting list management in the Section 8 Housing Choice Vouchers program.
  • Impacted Requirements: Compliance with HUD's documentation standards, including income verification and lease adjustments.
  • Recommended Follow-Up: Conduct staff training and regular internal audits to ensure adherence to documentation policies and procedures.

Finding Text

2022-6 Lack of Proper Documentation Grantor: Department of Housing and Urban Development (HUD) Program Name: Section 8 Housing Choice Vouchers CFDA number: 14.871 Criteria: HUD and Four Square?s Administration Plan require proper documentation to support eligibility, proper maintance of a waiting list and understanding of responsibilities by tenants and landlords. Condition: Documentation was insufficient to show priority points calculated and how people are chosen from the waiting list, some discrepancies on income verification documents were not properly explained; changes to utilities provided where not properly corrected on several leases; and instances when a landlord gave notice of termination, documentation didn?t show the offer of a new voucher to tenants. Effect: Currently there are more vouchers than people on the waiting list and all questioned items could be resolved after further review or discussed with client; however, the failure to document compliance with policies and procedure increases the risk of noncompliance with federal agency and organizational requirements. Cause: Lack of retaining required documentation in tenant files. Recommendation: Staff meetings and random internal audits of tenant files should continue, focusing on proper training of the Administrative Plan, HUD notices and proper documentation. Lack of proper documentation is a repeat finding for this program. Views of responsible officials and planned corrective actions: Four Square agrees with this finding and will adhere to the correction action plan beginning on page 50 in this audit report.

Corrective Action Plan

Name of Contact Person: Sue Ledford, Executive Director. Corrective Action and Proposed Completion Dates: 1. ED monthly 1:1 with Directors meetings to continue. Implemented 5/1/2022. 2. Monthly Group meeting with Directors/Leadership Team to continue. Implemented 5/1/2022. 3. Internal Audit (monitoring) to be conducted quarterly by each Departmental Director. Partner with Leadership Team to complete. Implement by 3/30/23. a. Review mandated contractual compliance, financial compliance, and adequate documentation processes. b. Documentation to filed on FSCA Common Drive. 4. Continue internal audits/monitoring of HUD tenant files with focus on compliance to Administrative Plan, HUD notices, and proper documentation. Implemented 7/1/22.

Categories

HUD Housing Programs Eligibility

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.239 Home Investment Partnerships Program $119,867
10.558 Child and Adult Care Food Program $90,158
81.042 Weatherization Assistance for Low-Income Persons $84,796
93.600 Head Start $61,755
93.569 Community Services Block Grant $38,039
93.568 Low-Income Home Energy Assistance $36,807
14.871 Section 8 Housing Choice Vouchers $26,730