Finding 479081 (2022-013)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2024-07-22

AI Summary

  • Core Issue: The PHA failed to review utility rate data, leading to a material weakness in internal controls and noncompliance with federal regulations.
  • Impacted Requirements: The PHA must maintain an updated utility allowance schedule and review utility rates annually, especially for changes over 10%.
  • Recommended Follow-Up: Implement controls to ensure annual reviews of utility rate data to keep the utility allowance schedule current.

Finding Text

2022 – 013 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: DC001VO - 2022 Award Period: October 1, 2021 – September 30, 2022 Type of Finding: • Material Weakness in Internal Control over Compliance • Material Noncompliance (Modified Opinion) Criteria or specific requirement: The PHA must maintain an up-to-date utility allowance schedule. The PHA must review utility rate data for each utility category each year and must adjust its utility allowance schedule if there has been a rate change of 10 percent or more for a utility category or fuel type since the last time the utility allowance schedule was revised (24 CFR section 982.517). Condition/Context: DCHA did not review utility rate data for each utility category during the fiscal year. Questioned Costs: Unable to determine. Cause: The Authority did not maintain an update utility allowance schedule. Effect: The Authority is not in compliance with federal regulations regarding the requirement of maintaining an updated utility allowance schedule. Repeat Finding: No Recommendation: We recommend the Authority implements controls to ensure that the utility rate data for each utility category is reviewed each year to ensure that an up-to-date utility allowance schedule is maintained. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

2022-013 Housing Voucher Cluster – Assistance Listing Nos. 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that the utility rate data for each utility category is reviewed each year to ensure that an up-to-date utility allowance schedule is maintained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken or planned in response to finding: The HCVP shall hire a third-party vendor to conduct the utility allowance schedule. Allen Fox Consulting will be hired to begin the utility allowance projections in July 2024. The OAC will monitor the process to ensure that the contractor is hired by the specified date and that they start maintaining an up-to-date utility allowance schedule. Name of the contact person responsible for corrective action: Anissa Jones. Planned completion date for corrective action plan: 7/31/24.

Categories

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 479070 2022-002
    Material Weakness Repeat
  • 479071 2022-009
    Material Weakness
  • 479072 2022-010
    Significant Deficiency
  • 479073 2022-011
    Material Weakness
  • 479074 2022-003
    Material Weakness Repeat
  • 479075 2022-004
    Material Weakness Repeat
  • 479076 2022-005
    Material Weakness
  • 479077 2022-006
    Material Weakness
  • 479078 2022-007
    Material Weakness
  • 479079 2022-008
    Material Weakness
  • 479080 2022-012
    Material Weakness Repeat
  • 479082 2022-003
    Material Weakness Repeat
  • 479083 2022-004
    Material Weakness Repeat
  • 479084 2022-005
    Material Weakness
  • 479085 2022-006
    Material Weakness
  • 479086 2022-007
    Material Weakness
  • 479087 2022-008
    Material Weakness
  • 479088 2022-012
    Material Weakness Repeat
  • 479089 2022-013
    Material Weakness
  • 479090 2022-002
    Material Weakness Repeat
  • 479091 2022-009
    Material Weakness
  • 479092 2022-010
    Significant Deficiency
  • 479093 2022-011
    Material Weakness
  • 479094 2022-002
    Material Weakness Repeat
  • 479095 2022-009
    Material Weakness
  • 479096 2022-010
    Significant Deficiency
  • 479097 2022-011
    Material Weakness
  • 479098 2022-003
    Material Weakness Repeat
  • 479099 2022-004
    Material Weakness Repeat
  • 479100 2022-005
    Material Weakness
  • 479101 2022-006
    Material Weakness
  • 479102 2022-007
    Material Weakness
  • 479103 2022-008
    Material Weakness
  • 479104 2022-012
    Material Weakness Repeat
  • 479105 2022-013
    Material Weakness
  • 479106 2022-003
    Material Weakness Repeat
  • 479107 2022-004
    Material Weakness Repeat
  • 479108 2022-005
    Material Weakness
  • 479109 2022-006
    Material Weakness
  • 479110 2022-007
    Material Weakness
  • 479111 2022-008
    Material Weakness
  • 479112 2022-012
    Material Weakness Repeat
  • 479113 2022-013
    Material Weakness
  • 1055512 2022-002
    Material Weakness Repeat
  • 1055513 2022-009
    Material Weakness
  • 1055514 2022-010
    Significant Deficiency
  • 1055515 2022-011
    Material Weakness
  • 1055516 2022-003
    Material Weakness Repeat
  • 1055517 2022-004
    Material Weakness Repeat
  • 1055518 2022-005
    Material Weakness
  • 1055519 2022-006
    Material Weakness
  • 1055520 2022-007
    Material Weakness
  • 1055521 2022-008
    Material Weakness
  • 1055522 2022-012
    Material Weakness Repeat
  • 1055523 2022-013
    Material Weakness
  • 1055524 2022-003
    Material Weakness Repeat
  • 1055525 2022-004
    Material Weakness Repeat
  • 1055526 2022-005
    Material Weakness
  • 1055527 2022-006
    Material Weakness
  • 1055528 2022-007
    Material Weakness
  • 1055529 2022-008
    Material Weakness
  • 1055530 2022-012
    Material Weakness Repeat
  • 1055531 2022-013
    Material Weakness
  • 1055532 2022-002
    Material Weakness Repeat
  • 1055533 2022-009
    Material Weakness
  • 1055534 2022-010
    Significant Deficiency
  • 1055535 2022-011
    Material Weakness
  • 1055536 2022-002
    Material Weakness Repeat
  • 1055537 2022-009
    Material Weakness
  • 1055538 2022-010
    Significant Deficiency
  • 1055539 2022-011
    Material Weakness
  • 1055540 2022-003
    Material Weakness Repeat
  • 1055541 2022-004
    Material Weakness Repeat
  • 1055542 2022-005
    Material Weakness
  • 1055543 2022-006
    Material Weakness
  • 1055544 2022-007
    Material Weakness
  • 1055545 2022-008
    Material Weakness
  • 1055546 2022-012
    Material Weakness Repeat
  • 1055547 2022-013
    Material Weakness
  • 1055548 2022-003
    Material Weakness Repeat
  • 1055549 2022-004
    Material Weakness Repeat
  • 1055550 2022-005
    Material Weakness
  • 1055551 2022-006
    Material Weakness
  • 1055552 2022-007
    Material Weakness
  • 1055553 2022-008
    Material Weakness
  • 1055554 2022-012
    Material Weakness Repeat
  • 1055555 2022-013
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.881 Moving to Work Demonstration Program $230.11M
14.871 Section 8 Housing Choice Vouchers $7.50M
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $1.73M
14.249 Section 8 Moderate Rehabilitation Single Room Occupancy $1.56M
14.879 Mainstream Vouchers $1.42M
14.870 Resident Opportunity and Supportive Services - Service Coordinators $584,707