Finding 32031 (2022-001)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-05-29
Audit: 37231
Organization: City of Ashland (KY)

AI Summary

  • Core Issue: Reports for the Housing Choice Voucher Program missed over $100,000 in HAP expenses for January and February 2022.
  • Impacted Requirements: All public housing agencies must submit accurate monthly reports via the Voucher Management System (VMS) to determine funding levels.
  • Recommended Follow-Up: Implement procedures to ensure accurate reporting in VMS, especially for new fields related to Project Based Vouchers.

Finding Text

2022-001 FEDERAL COMPLIANCE ? VMS REPORTING Federal Program Name: Housing Choice Voucher Program Catalog of Federal Domestic Assistance Number: 14.871 Federal Agency: U.S. Department of Housing and Urban Development (?HUD?) Compliance Requirement: Reporting Criteria: All public housing agencies (?PHA?) are required to submit form HUD-52681-B, Voucher for Payment of Annual Contributions and Operating Statement, through the Voucher Management System (?VMS?) monthly. This information included on this form is utilized by HUD to determine funding levels. Condition: During our review of the reports submitted for FY22, we noted that the reports excluded HAP expenses for project-based vouchers for January and February of 2022 totaling over $100,000. Effect and Questioned Costs: Inaccurate reporting in VMS could result in a negative effect on funding levels. Repeat Finding: No Recommendation: We recommend that procedures be implemented to ensure that accurate information is reported in VMS. Management?s Response: Prior to March 2022, reporting of Project Based Vouchers HAP payment amounts were not an option to input. This is a new field in the system. Administrator will ensure field will be reported for each month following February 2022.

Corrective Action Plan

Prior to March 2022, reporting of Project Based Vouchers HAP payment amounts were not an option to input. This is a new field in the system. Administrator will ensure field will be reported for each month following February 2022.

Categories

HUD Housing Programs Reporting

Other Findings in this Audit

  • 32032 2022-002
    Material Weakness
  • 32033 2022-003
    Material Weakness
  • 32034 2022-004
    Material Weakness
  • 32035 2022-005
    Material Weakness
  • 32036 2022-006
    Material Weakness
  • 32037 2022-007
    Material Weakness
  • 32038 2022-008
    Material Weakness
  • 608473 2022-001
    Material Weakness
  • 608474 2022-002
    Material Weakness
  • 608475 2022-003
    Material Weakness
  • 608476 2022-004
    Material Weakness
  • 608477 2022-005
    Material Weakness
  • 608478 2022-006
    Material Weakness
  • 608479 2022-007
    Material Weakness
  • 608480 2022-008
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $3.54M
20.507 Federal Transit_formula Grants $974,424
14.218 Community Development Block Grants/entitlement Grants $315,263
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $59,522
95.001 High Intensity Drug Trafficking Areas Program $48,379
20.616 National Priority Safety Programs $520