Finding 394670 (2021-010)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2021
Accepted
2024-04-25

AI Summary

  • Core Issue: Tenant files are missing required income verification from the EIV system, leading to potential inaccuracies in rent and subsidy calculations.
  • Impacted Requirements: Compliance with the Public Housing Occupancy Guide and HUD regulations regarding tenant income verification.
  • Recommended Follow-Up: The Fayetteville Housing Authority should review all tenant files to confirm EIV income verification is complete and properly documented.

Finding Text

Federal Awards: 14-850 Public and Indian Housing Low Rent Program Criteria: Under the terms of the Public Housing Occupancy Guide - The EIV System is a web-based application, which provides PHAs with employment, wage, unemployment compensation and social security benefit information for tenants who participate in the Public Housing and various Section 8 programs. PHAs must use the EIV system in its entirety to verify tenant employment and income information during interim and mandatory reexaminations of family composition and income in accordance with 24 CFR § 5.233, 5.236, and other HUD administrative guidance. Condition: We noted that tenant files were missing the EIV system income verification for the tenant's income. Questioned Costs: Cannot be determined, due to incomplete information. Effect: Tenant rent and subsidy calculations could be incorrect due to possible incorrect income being reported by the tenant. Cause: Lack of oversight by prior Fayetteville Housing Authority Management. Recommendation: The Fayetteville Housing Authority needs to review all tenant files to ensure that tenant income has been verified in the EIV system and verification is documented.

Corrective Action Plan

Views of Responsible Officials and Planned Corrective Actions: Fayetteville Housing Authority is committed to conducting a comprehensive review of all tenant files to confirm that tenant income has been properly verified within the EIV system and that this verification is duly documented. A recently implemented filing system, complemented by an associated checklist, has been put in place to guarantee full compliance. The checklist includes provisions for EIV documentation. Furthermore, internal quality control audits will be regularly carried out to uphold and verify compliance.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 394668 2021-008
    Material Weakness Repeat
  • 394669 2021-009
    Material Weakness Repeat
  • 394671 2021-011
    Material Weakness Repeat
  • 394672 2021-012
    Material Weakness Repeat
  • 394673 2021-013
    Significant Deficiency Repeat
  • 394674 2021-014
    Significant Deficiency Repeat
  • 394675 2021-015
    Material Weakness Repeat
  • 394676 2021-016
    Material Weakness Repeat
  • 394677 2021-017
    Significant Deficiency Repeat
  • 394678 2021-018
    Material Weakness Repeat
  • 394679 2021-019
    Material Weakness Repeat
  • 394680 2021-020
    Significant Deficiency
  • 394681 2021-021
    Significant Deficiency Repeat
  • 971110 2021-008
    Material Weakness Repeat
  • 971111 2021-009
    Material Weakness Repeat
  • 971112 2021-010
    Material Weakness Repeat
  • 971113 2021-011
    Material Weakness Repeat
  • 971114 2021-012
    Material Weakness Repeat
  • 971115 2021-013
    Significant Deficiency Repeat
  • 971116 2021-014
    Significant Deficiency Repeat
  • 971117 2021-015
    Material Weakness Repeat
  • 971118 2021-016
    Material Weakness Repeat
  • 971119 2021-017
    Significant Deficiency Repeat
  • 971120 2021-018
    Material Weakness Repeat
  • 971121 2021-019
    Material Weakness Repeat
  • 971122 2021-020
    Significant Deficiency
  • 971123 2021-021
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.023 Emergency Rental Assistance Program $1.30M
14.850 Public and Indian Housing $649,822
14.U03 Component Unit- Blended $307,554
14.872 Public Housing Capital Fund $255,092
14.871 Section 8 Housing Choice Vouchers $201,613
14.879 Mainstream Vouchers $53,615
14.U02 Tenant Based Rental Assistance $45,549
14.U01 Esg- Covid $19,804
14.U04 Business Activities $15,136
14.850 Public Housing Cares Act Fund $6,722
14.896 Family Self-Sufficiency Program $0