FAC Explorer

Finding 43753 (2022-002)

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Requirement
EN
Questioned Costs
-
Year
2022
Accepted
2023-09-21
Audit: 43790
Organization: C.o.a. Senior Housing, Inc. (NC)
Auditor: O Douglas Covington CPA PA

AI Summary

  • Core Issue: The management agent failed to keep essential EIV reports for 6 out of 12 months, leading to noncompliance with HUD regulations.
  • Impacted Requirements: Monthly reviews of New Hires, Multiple Subsidy, Identity Verification, and Deceased Tenant reports are mandatory under HUD rules.
  • Recommended Follow-Up: Implement procedures to ensure all required reports are maintained and discrepancies are addressed and documented promptly.

Finding Text

Finding 2022-002 Finding Resolution Status: Resolved Population Size: 12 Sample Size: 12 Noncompliance Information: I tested 12 months of monthly EIV?s and found non- compliance in 6 months. Condition: Management agent did not maintain the New Hires report, Multiple Subsidy report, Identity Verification report and Deceased Tenant report for March, April, June, July, October and November. Criteria: HUD rules and regulations require that the management agent download and review for discrepancies the New Hires, Multiple Subsidy, Deceased Tenant and Identity Verification reports on a monthly basis. Effect: The Project was not in compliance with HUD rules and regulations. Cause: Management agent oversight. Recommendation: The management agent should establish procedures to make sure all required monthly EIV reports are maintained and any discrepancies reflected on the EIV report be resolved and documented. Questioned Costs: -0-

Corrective Action Plan

COA Senior Housing, Inc. 1363 W. Market Street Smithfield, NC 27577 Office: (919) 934-6066 Corrective Action Plan Name of auditee: COA Senior Housing, Inc. HUD auditee identification number: FHA/Contract #053-EE029 Name of audit firm: O. Douglas Covington, C.P.A., P.A. Period covered by the audit: January 1, 2022 thru December 31, 2022 CAP prepared by: Name: Renee Davis Position: Housing Manager Telephone: (919) 934-6066 2. Finding 2022-002 a. Comments on the Finding and Each Recommendation We are in agreement with the finding. b. Action(s) Taken or Planned on the finding The New Hires, Multiple Subsidy, Deceased Tenant & Identity Verification reports are current from May 2023 and will be reviewed and properly documented monthly.

Categories

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

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $101,868