Finding 393375 (2023-001)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-04-16

AI Summary

  • Core Issue: Three out of 25 annual inspections were missed, and one failed inspection was not rechecked on time, posing a life-threatening risk.
  • Impacted Requirements: The Commission is not following federal regulations for housing quality inspections, specifically 24 CFR Section 982.158(d).
  • Recommended Follow-Up: Implement effective policies and procedures to ensure compliance with inspection and re-inspection timelines.

Finding Text

Finding 2023-001 Statement of Condition: During the review of tenant files, it was noted 3 out of 25 annual inspections were not completed in the fiscal year under audit and 1 out of 25 annual inspections that had failed and was not reinspected within the appropriate timeframe was deemed life threatening. Criteria: N. SPECIAL TESTS AND PROVISIONS ITEM 4. HOUSING QUALITY INSPECTIONS AND ITEM 5. HQS ENFORCEMENT: 24 CFR Section 982.158(d) requires a PHA to perform a quality inspection yearly and reinspect any failed inspections with 24 hours for life threatening items or 30 days for non-life threatening items. Perspective Information: The Commission did not have effective internal controls over HQS inspections. Questioned Costs: Unknown. Effect: The Commission is not in compliance with the requirements as outlined in the special tests and provisions, housing quality inspections and HQS enforcement sections above. Cause: Lack of controls over grant requirements. Recommendation: The Commission should implement policies and procedures to ensure all federal compliances are followed pertaining to housing quality inspections and HQS enforcement. Management’s Response: Management is still in the process of implementing policies and procedures to ensure all inspections are performed in a timely manner and all re-inspections are performed within the required timeframe.

Corrective Action Plan

Action Taken: Management is still in the process of implementing policies and procedures to ensure all inspections are performed in a timely manner and all re-inspections are performed within the required timeframe. Anticipated Completion Date of Action: Ongoing

Categories

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

Other Findings in this Audit

  • 393376 2023-002
    Material Weakness
  • 969817 2023-001
    Material Weakness
  • 969818 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $989,660
14.850 Public and Indian Housing $492,300
14.872 Public Housing Capital Fund $178,236