Finding 480340 (2023-001)

-
Requirement
N
Questioned Costs
$1
Year
2023
Accepted
2024-08-04
Audit: 316560
Organization: Asi - Minot, Inc. (MN)

AI Summary

  • Issue: A tenant file had a mathematical error in calculating household income, affecting the tenant's share of rent.
  • Requirements Impacted: Household income must be computed accurately based on tenant-provided information.
  • Recommended Follow-Up: Recompute the HUD subsidy and tenant rent for the affected tenant; management will adjust future HUD billing accordingly.

Finding Text

Condition: One of the tenant files tested contained a mathematical error in computing household income in the process of computing the tenant share of monthly rent. Criteria: Household income should be computed accurately based on information provided by the tenant. Effect: There is no financial effect. Context: A sample of tenant files was selected for testing household income in the process of computing the tenant share of monthly rent. The test found a calculation that was not in compliance. The non-compliance did not have a financial effect. The details and results of the sample are as follows: Population - 22, Dollars - N/A; Sample - 3, Dollars - N/A; Not in Compliance -1, $372; Questioned Costs - $372. Cause: There was an error in interpreting some information provided by the tenant during the certification process. Recommendation: The Project should recompute the HUD subsidy and tenant rent for this tenant. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. Tenant rent will be recomputed and management will adjust a future monthly HUD billing. Total-Department of Housing and Urban Development - $372. Non-compliance code: R

Corrective Action Plan

Condition: One of the tenant files tested contained a mathematical error in computing household income in the process of computing the tenant share of monthly rent. Recommendation: The Project should recompute the HUD subsidy and tenant rent for this tenant and adjust a future monthly billing. Project managers should be aware of the importance of computing the tenant's household income correctly. Action taken: The Project agrees with the finding. Tenant rent was recomputed in January 2024. If the Department of Housing and Urban Development has questions regarding these plans, please call Chuck Reuter at 651-645-7271.

Categories

Questioned Costs HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $99,716