Finding Text
2023-003 – REPORTING – FINANCIAL REPORTS
Significant Deficiency / Other Matter
U.S. Department of Housing and Urban Development
CFDA #: 14.871 / 14.879 – Housing Voucher Cluster
CRITERIA
Electronic submission of form HUD-52681-B data is a monthly requirement. The PHA submits this form monthly to HUD electronically via the VMS. Congress has instructed HUD to use VMS data to determine renewal funding levels. HUD also uses VMS data for other funding, monitoring, and SEMAP-related decisions. HUD relies on the audit of the key line
items below to determine the reasonableness of the data submitted for the purposes of calculating funding under the program.
CONDITION
During the first half of fiscal year 2023, the Authority’s internal controls over the submission of VMS to HUD did not include a review or reconciliation of the information submitted to supporting documentation. In June 2023, the Authority implemented a review procedure in which at the end of each quarter a review of the preceding quarter is conducted.
CAUSE
The Authority had not established sufficient internal controls related to this submission requirement.
EFFECT
HUD uses the information submitted to determine renewal funding levels, and for other funding and monitoring decisions. Inaccurate information submitted could affect decisions made by HUD.
QUESTIONED COSTS
None Identified.
CONTEXT
Electronic submission of form HUD-52681-B data is a monthly requirement.
REPEAT FINDING
This is repeated from finding 2022-003.
RECOMMENDATION
The Authority should continue with their corrective action plan which began in April 2023.
AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION
See Corrective Action Plan.