Finding 478417 (2023-101)

Funding agency: U.S. Department of Housing and Urban Development Title: Supportive Housing for people with disabilities Assistance Listing Number: 14.181 Award year: 2023 Award numbers: Project 123-HD042; AZ20Q081002 Pass-Through grantors: N/A Compliance Requirement: Special Tests and Provisions Questioned Costs: N/A Criteria: 24 CFR part 5, subpart G requires recipients of Supportive Housing for People with Disabilities funding to perform annual HQS inspections and to maintain documentation of these inspections. Condition: management could not provide supporting documentation for the performance of the annual HQS inspections during fiscal year ending September 30, 2023. Cause and Effect: Due to employee turnover, training and the maintaining of the supporting documentation over the HQS inspection processes were lagging. Proof of the performance of the HQS inspection could not be found in for fiscal year ending September 30, 2023. Auditors’ Recommendations: Policies and procedures should be strengthened concerning record retention of the HQS inspections to ensure they are properly maintained. Management should also provide housing staff with adequate training for the documentation of the HQS inspection process.