Finding 398751 (2023-001)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-05-29

AI Summary

  • Core Issue: Ten tenant files were not uploaded to the PIC system on time, violating the 60-day requirement for HUD-50058 reports.
  • Impacted Requirements: Compliance with BRHP's Administrative Plan and timely reporting to HUD for funding accuracy.
  • Recommended Follow-Up: BRHP should adhere to its weekly reporting policy and monitor the approval process for timely submissions.

Finding Text

Finding No. 2023 - 001: Federal Agency: Department of Housing and Urban Development ("HUD") Federal Program Title: Moving to Work Demonstration Program (HCVP Only) Federal Assistance Listing Number: 14.881 Award Period: January 1, 2023 through December 31, 2023 Compliance Requirement: Reporting Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Condition/Context A sample of 60 tenant files tested found that 10 files did not have HUD-50058 data uploaded to the PIH Information Center ("PIC") in a timely manner. Our sample was a statistically valid sample. Questioned Costs N/A Criteria Per the agreement between BRHP and the Housing Authority of Baltimore City, BRHP shall create an Administrative Plan for the program. Per BRHP's Program Administrative Plan, tenant information must be uploaded to the PIC system for each HUD-50058 report completed no later than 60 calendar days from the effective date of any action recorded on the form HUD-50058. Cause Of the 10 files selected, 8 were families submitted to PIC in 2022 prior to a revision in BRHP's process to submit weekly. Two of the families were submitted in 2023 with action 7's for an interim move, a 50058 action. One of these two had an action 7 effective on April 21, 2023, that was approved on June 23, 2023, and submitted to PIC on June 27, 2023. The other had an action 7 effective May 1, 2023, that was approved on August 15, 2023, and submitted to PIC on August 18, 2023. Both files were submitted within the week of the files being approved during BRHP's weekly PIC submission but were late due to the late 50058 approval. Effect The delay in uploading information to the PIC system may result in inaccurate reporting to HUD which is used for funding purposes. Identification of a Repeat Finding This is a repeat finding from the immediate previous audit, Finding No. 2022-002. Recommendations We recommend that BRHP follow its internal policy of reporting to HUD on a weekly basis. Views of the Responsible Officials At this time, all files selected for the audit have corresponding records successfully submitted to HUD through the PIC submission portal. BRHP will continue weekly PIC submissions and clearing of fatal errors. The late PIC submissions identified were a result of late 50058 approvals which resulted in late PIC submission. The 50058's were uploaded to PIC within 5 days of the approval. BRHP monitors 50058's related to moves in a weekly leasing report. In addition, BRHP meets biweekly to discuss the report. BRHP will monitor the weekly leasing report to review the lease effective dates to HAP executed dates to ensure the actions are approved timely.

Corrective Action Plan

Audit Finding Reference: 2023 - 001 Planned Corrective Action: At this time, all files selected for the audit have corresponding records successfully submitted to the Department of Housing and Urban Development through the PIH Information Center ("PIC") submission portal. BRHP will continue weekly PIC submissions and clearing of fatal errors. The late PIC submissions identified were a result of late 50058 approvals which resulted in late PIC submission. The 50058's were uploaded to PIC within 5 days of the approval. BRHP monitors 50058's related to moves in a weekly leasing report. In addition, BRHP meets biweekly to discuss the report. BRHP will monitor the weekly leasing report to review the lease effective dates to HAP executed dates to ensure the actions are approved timely. Name of Contact Person: FaShaunDa Walton, Housing Mobility Director Anticipated completion date: June 30, 2024

Categories

Reporting HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 398752 2023-002
    Significant Deficiency Repeat
  • 975193 2023-001
    Significant Deficiency Repeat
  • 975194 2023-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.023 Emergency Rental Assistance Program $726,490
14.881 Moving to Work Demonstration Program $122,510