Finding Text
2023-003 Assistance Listing No. 14.239 HOME Investment Partnerships Program
Criteria: 2 CFR Part 200.303 establishes internal control requirements over federal awards that provides reasonable assurance the entity is managing the federal award in compliance with Federal Statutes.
Condition: The Organization contracted with a third party to determine eligibility of tenants. During the year, the third party failed to complete annual recertifications timely. Internal controls should be present to monitor the activities of the third party to ensure timely completion of recertifications.
Cause: The Organization relied on a third-party provider to perform the work they were contracted to perform and did not implement internal controls to monitor the services provided to ensure they complied with Federal Statutes.
Effect: Annual recertifications were not performed timely.
Questioned Costs: None
Recommendations: The Organization should implement internal controls to monitor the activities of third-party providers to ensure the services being provided are in compliance with Federal Statutes.
Views of Responsible Officials and Planned Corrective Actions: See corrective action plan included in report.