Finding 37154 (2022-002)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-28

AI Summary

  • Core Issue: There are errors in the waiting list for the Section 8 Housing Voucher Program, leading to potential misranking of applicants.
  • Impacted Requirements: Compliance with HUD regulations and the Authority's policies for maintaining the waiting list and selecting applicants is not being met.
  • Recommended Follow-Up: Increase training for staff and implement a review process to ensure proper admission order and documentation for applicants.

Finding Text

2022-002 Special Tests and Provisions: HCV Current Waiting List Section 8 Housing Voucher Cluster (Section 8): Section 8 Housing Choice Vouchers Program ? CFDA Number 14.871 Mainstream Vouchers ? CFDA Number 14.879 Material Weakness in Internal Control, Material Noncompliance Condition: Out of a total waiting list population of approximately 1300 applicants, 25 applicants were selected for testing. Exceptions were noted as follows: ? 1 preference point error where the applicant selected the involuntary displacement and homeless preference points on their pre-application, which agrees to the information in Yardi, but doesn?t agree to the generated waiting list. ? 7 preference point errors where the applicants? selected the residency preference points on their pre-applications, which agrees to the information in Yardi, but doesn?t agree to the generated waiting list. As a result of the above, applicants may not be ranked properly on the waiting list and applicants may be selected out of order. Criteria: Applicants on the waiting list must be kept in the proper order based on application date and/or approved preferences. The Authority is required to admit tenants based on the waiting list in accordance with HUD requirements and the Authority?s policies. The Authority must have written policies in its HCV Administrative Plan for selecting applicants from the waiting list and Authority documentation must show that the PHA follows these policies when selecting applicants for admission from the waiting list. All proper documentation must be kept in the tenant file. In addition, only applicants who are eligible should be admitted to the program. Questioned Costs: None. Effect: The Authority is not in compliance with applicable HUD regulations and admission policies and as a result may admit applicants from the waiting list in an improper order. Cause: The waiting list software did not interface properly with the application preferences. Thus, procedures to ensure compliance with all of the HUD requirements were not carefully followed. Auditor?s Recommendation: The Authority should review procedures and increase training to employees and reviewers to ensure that the Authority is in compliance with HUD rules for new admissions and waiting list maintenance. In addition, the Authority should implement a review procedure to make sure that all tenants are admitted in the proper order with proper supporting documentation. Views of Responsible Officials of the Auditee: The Authority agrees with the finding and has taken corrective action. See the ?Action Taken? on the Corrective Action Plan.

Categories

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties Special Tests & Provisions

Other Findings in this Audit

  • 37144 2022-001
    Material Weakness Repeat
  • 37145 2022-002
    Material Weakness
  • 37146 2022-003
    Material Weakness
  • 37147 2022-001
    Material Weakness Repeat
  • 37148 2022-002
    Material Weakness
  • 37149 2022-003
    Material Weakness
  • 37150 2022-001
    Material Weakness Repeat
  • 37151 2022-002
    Material Weakness
  • 37152 2022-003
    Material Weakness
  • 37153 2022-001
    Material Weakness Repeat
  • 37155 2022-003
    Material Weakness
  • 37156 2022-001
    Material Weakness Repeat
  • 37157 2022-002
    Material Weakness
  • 37158 2022-003
    Material Weakness
  • 37159 2022-004
    Material Weakness Repeat
  • 37160 2022-005
    Material Weakness Repeat
  • 37161 2022-004
    Material Weakness Repeat
  • 37162 2022-005
    Material Weakness Repeat
  • 613586 2022-001
    Material Weakness Repeat
  • 613587 2022-002
    Material Weakness
  • 613588 2022-003
    Material Weakness
  • 613589 2022-001
    Material Weakness Repeat
  • 613590 2022-002
    Material Weakness
  • 613591 2022-003
    Material Weakness
  • 613592 2022-001
    Material Weakness Repeat
  • 613593 2022-002
    Material Weakness
  • 613594 2022-003
    Material Weakness
  • 613595 2022-001
    Material Weakness Repeat
  • 613596 2022-002
    Material Weakness
  • 613597 2022-003
    Material Weakness
  • 613598 2022-001
    Material Weakness Repeat
  • 613599 2022-002
    Material Weakness
  • 613600 2022-003
    Material Weakness
  • 613601 2022-004
    Material Weakness Repeat
  • 613602 2022-005
    Material Weakness Repeat
  • 613603 2022-004
    Material Weakness Repeat
  • 613604 2022-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $11.44M
14.850 Public and Indian Housing $3.74M
14.872 Public Housing Capital Fund $1.52M
14.879 Mainstream Vouchers $888,003
14.871 Ehv Section 8 Housing Choice Vouchers $301,932
14.850 Covid-19 Public and Indian Housing $118,463
14.871 Covid-19 Section 8 Housing Choice Vouchers $92,481
14.896 Family Self-Sufficiency Program $70,638
14.870 Resident Opportunity and Supportive Services - Service Coordinators $53,848
14.879 Covid-19 Mainstream Vouchers $5,952