Finding Text
S3800-010: Finding Reference Number
2023-001 (Significant Deficiency)
S3800-011: Program Information
Federal Program: Supportive Housing for Persons with Disabilities – Section 811
Federal Agency: Department of Housing and Urban Development
Assistance Listing #: 14.181
Pass-through Entity: None
Federal Award Identification Number and Year: N/A
Type of Compliance Finding: N – Special Tests and Provisions
S3800-015: Type of Finding
Federal Awards
S3800-016: Finding Resolution Status
Unresolved
S3800-017: Information on Universe Population Size
66
S3800-018: Sample Size Information
7
S3800-019: Identification of Repeat Finding and Finding Reference Number
2022-001
S3800-020: Criteria
Per HUD Handbook 4381.5, REV-2, CHG-2, requires owners of multifamily housing to follow specific guidelines and determine requirements are being met for residents requesting maintenance of property via a work order system in compliance with management’s procedures.
S3800-030: Statement of Condition
During our audit of the Organization’s fiscal year ended December 31, 2023 financial statements, we noted that HUD requirements related to housing quality standards were not properly followed. We tested a sample of seven work orders and noted that a proper and efficient work order system was not in place; as the Organization has tenants submit paper maintenance work order request forms, however the maintenance personnel does not on sign / initial each work order as completed, provide the date of their completion, and /or list the work performed to resolve the tenant request on the work order. Someone places a checkmark on the work order request form with no additional information.
S3800-032: Cause
The Organization did not follow HUD required procedures for housing quality standards.
S3800-033: Effect or Potential Effect
The Organization was not in compliance with the requirements of HUD related to ensuring a properly functioning work order system is in place.
S3800-035: Auditor Non-Compliance Code:
S – Internal control deficiencies
S3800-040: Questioned Costs
None
S3800-045: Reporting Views of Responsible Officials
The Organization will adopt a policy to ensure tenants requesting maintenance of property via work orders is being maintained properly and efficiently in the work order system and we will review the accuracy / completeness of the documentation being processed in the work order system on a quarterly basis.
S3800-050: Context
The Organization is required to maintain a properly functioning work order system that demonstrates resolution of tenants requesting maintenance.
S3800-080: Recommendation
The Organization should adopt a policy to ensure tenants requesting maintenance of property via work orders is being maintained properly and efficiently in the work order system and management is reviewing the accuracy / completeness of the documentation being processed in the work order system on a quarterly basis.
S3800-090: Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations
Auditee agreed with our recommendation.
S3800-130: Response Indicator
Agree
S3800-140: Completion Date or Proposed Completion Date
July 31, 2024
S3800-150: Response
See Corrective Action Plan