Finding Text
FINDING NUMBER 2022-009
FEDERAL PROGRAM HOUSING VOUCHER CLUSTER:
SECTION 8 HOUSING CHOICE VOUCHERS/ EMERGENCY HOUSING
VOUCHERS
(ASSISTANCE LISTING NUMBERS 14.871/ 14.EHV)
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
TYPE OF FINDING COMPLIANCE AND INTERNAL CONTROL
COMPLIANCE
REQUIIREMENT SPECIAL TEST- ROLLING FORWARD EQUITY BALANCES
CONDITION During the examination of the program accounting records, I noted that the equity
balances reported in the Voucher Management System (VMS) for the month of June
30, 2022, have differences with the amounts reported in the audited financial
information for the fiscal year ended June 30, 2022, submitted through the FASS_x0002_PH system, as follows: CRITERIA Code of Federal Regulations, 24 CFR, Section 982.158 (a) (b) states that the PHA
must maintain complete and accurate accounts and other records for the program in
accordance with HUD requirements, in a manner that permits a speedy and effective
audit. The records must be in the form required by HUD, including requirements
governing computerized or electronic forms of record-keeping. Also, the PHA must
furnish HUD accounts and other records, reports, documents, and information, as
required by HUD.
CAUSE The Program’s internal controls and procedures over the accounting records failed
to assure that the equity balances were properly calculated and reported in the VMS.
EFFECT The Program is not reporting the correct balances of restricted net position and
unrestricted net position to HUD.RECOMMENDATION I recommended management to prepare an analysis of the equity balances and adjust or correct any errors reported in the VMS.
QUESTIONED COSTS None
PRIOR YEAR FINDING Not applicable.
VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED
CORRECTIVE ACTION Instructions were given to the Program staff to strengthen existing internal controls
and procedures to ensure the equity balances were properly calculated and reported
in the VMS. Also, the Program staff was instructed to analyze previous equity
balances reported in the VMS, an realize any necessary corrections.