Finding Text
2020-004– REPORTING
MATERIAL WEAKNESS/NONCOMPLIANCE
U.S. Department of Housing and Urban Development
CFDA #:14.871 / 14.879 – Housing Voucher Cluster
CRITERIA
Financial Reports (0MB No. 2535-0107) - Financial Assessment Sub- system, FASS-PH. The Uniform Financial Reporting Standards (24 CFR section 5.801) require PHAs to submit timely GAAP-based unaudited and audited financial information electronically to HUD. The FASSPH system is one of HUD's main monitoring and oversight systems for the HCVP.
CONDITION
The audited FDS was required to be submitted to HUD by September 30, 2021.
CAUSE
The Authority’s internal control processes were not sufficient to ensure the timely filing of the unaudited FDS.
EFFECT
As a result of not submitting the FDS timely, HUD was limited in its ability to conduct monitoring and oversight of federal programs.
QUESTIONED COSTS
None identified.
CONTEXT
The Authority submits the unaudited FDS annually. Our testing of the reporting requirement was limited to the single occurrence of the annual filing.
REPEAT FINDING
Not a repeat finding.
RECOMMENDATION
We recommend that the Authority ensure its year-end closing process is sufficient to allow for the timely filing of the unaudited FDS.
AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION
See Corrective Action Plan.