Finding Text
Finding No. 2023 - 002:
Federal Agency: Department of Housing and Urban Development
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: Special Tests and Provisions
Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters
Condition/Context
A sample of 60 tenant files tested for special tests found the following exceptions:
Three (3) of 60 files tested did not have a housing quality standards inspection performed
within 25 months of the previous inspection. Our sample was a statistically valid sample.
Questioned Costs
N/A
Criteria
The Program Administrative Plan states that BRHP will attempt to inspect all units under contract in
accordance with its Housing Quality Standards ("HQS") and the units must pass inspection at least
once every 25 months.
Cause
Two of the three BRHP families had inspections completed within the required timeframe of 25
months by BRHP's third-party contractor, however, both failed HQS. The reinspections of both units
were not scheduled in a timely manner by the contractor.
Effect
BRHP is not in compliance with its administrative plan and the Uniform Guidance compliance
requirements.
Identification of a Repeat Finding
This is a repeat finding from the immediate previous audit, Finding No. 2022-003.
Recommendations
We recommend that BRHP review their process for tracking and scheduling inspections to ensure
compliance.
Views of the Responsible Officials
The two files noted for missed inspections have since been scheduled for reinspection, and one
passed HQS inspection on March 14, 2024. The other was scheduled for inspection on March 12,
2024, and resulted in a Broken Scheduled Appointment ("BSA"). A second inspection was
scheduled for March 28, 2024. BRHP has added two elements to the reporting process for
inspections. The weekly leasing report now identifies failed inspections within the period. The
second element is the Inspection Audit report. BRHP has increased the reporting metric from
monthly to bi-weekly and included a pivot table to ensure the report is user friendly to staff that are
responsible for reviewing. Both changes allow for greater visibility and frequency to ensure missed
inspections are identified.