Finding Text
2023-002 Eligibility
Federal Program
U.S. Department of Housing and Urban Development AL #14.871 – Significant Deficiency
Grant Award No.
ND014-Housing Choice Voucher
Federal Award Year
2023
Criteria
The Authority must determine HAP assistance based on a calculation from the eligible tenant’s
annual income, deductions and third party verification in accordance with HUD Section 8 Housing
Voucher Program compliance requirements. 24 CFR Part 5 Subpart F (24 CFR section 5.601 et seq.)
(24 CFR sections 982.201, 982.515, and 982.516).
Condition
During our review of tenant files, one tenant did not have income verified with a third party during the
annual recertification as well as not having their family income and composition reexamined every 12
months. We also noted two instances where utility allowances were calculated incorrectly resulting in
incorrect HAP payments that were not caught.
Questioned Costs
None
Context
We reviewed a sample of 40 tenant files for eligibility requirements.
Effect
Tenants may not be provided the proper housing assistance in accordance with their income and
eligibility factors.
Cause
Lack of controls and oversight during the year.
Repeat Finding
Not a repeat finding.
Recommendation
We recommend there be a second party review of the file to ensure all necessary procedures have
been performed and appropriate documents are included. The review would also ensure that
procedures are being performed correctly and calculations are accurate.
Views of Responsible Officials
Management recognizes the deficiency and plans to implement the auditor’s recommendation.