Finding 37779 (2022-001)

- Repeat Finding
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-03-28

AI Summary

  • Core Issue: Tenant eligibility and rent calculations were incorrect, allowing potentially ineligible tenants to receive subsidies.
  • Impacted Requirements: HUD mandates accurate verification of income for eligibility and annual re-certification.
  • Recommended Follow-Up: Implement procedures to ensure accurate calculation of tenant income and expenses.

Finding Text

Information on Universe Population Size: Population size was 16 files. Sample Size Information: Five tenant files were tested. Identification of Repeat Finding: Repeat finding . See 2021-001 . Criteria: HUD requires verification of income for eligibility and annual re-certification and rent calculation. Condition: Tenant eligibility, rent and tenant assistance were not correct. Cause: Oversight by property manager. Effect: Tenants who are not eligible may be living at the property and receiving subsidy. Context: Auditor selected tenant files to test the tenant eligibility, income and allowable expenses and noted several files in which the income and/or expenses were not calculated correctly. Recommendation: A procedure be implemented to ensure that all tenant income and expenses are calculated correctly.

Categories

Eligibility HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $86,177