Finding 481256 (2023-008)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-08-16

AI Summary

  • Core Issue: The Authority has a material weakness in internal controls and is not complying with Housing Assistance Payment (HAP) requirements.
  • Impacted Requirements: HAP amounts must match between the HUD-50058 and the HAP register, as per federal regulations.
  • Recommended Follow-Up: Implement stronger monitoring controls to ensure compliance and proper documentation of HAP files.

Finding Text

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 - 2023 Award Period: October 1, 2022 – September 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance • Material Noncompliance (Modified Opinion) Criteria or Specific Requirement: The PHA must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. This HAP amount must be reflected on the HAP contract and HAP register (24 CFR section 982.158 and 24 CFR Part 982, Subpart K). Condition/Context: Exceptions noted in 13 of the 40 files tested: • For 1 of the 40 files tested, we were not provided with any of the documentation requested. • For 5 of the 40 files tested, the HAP amount on the HUD-50058 did not equal the amount included in the HAP register. • For 10 of the 40 files tested, we were not provided with the signed checklist. Questioned Costs: Unable to determine. Cause: The Authority did not sufficiently monitor controls to ensure compliance with HAP contract and register requirements. Effect: The Authority is not in compliance with HAP requirements. Repeat Finding: The finding is a repeat of finding 2022-008 in the prior audit period. Recommendation: We recommend the Authority implements controls to ensure that files are maintained. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Housing Voucher Cluster – Assistance Listing Nos. 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that files are 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 is implementing a monthly quality control protocol to review new applicant files for completeness. A new Program Director was assigned to oversee this quality control process. The Program Director will also monitor the new tenant checklist which will be created to ensure that all new tenant documentation is accurately maintained. The OAC shall monitor and collaborate with the HCVP to ensure that the checklist is accurate and available for auditing. Name of the contact person responsible for corrective action: Starr Lane 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

  • 481239 2023-002
    Material Weakness Repeat
  • 481240 2023-009
    Material Weakness Repeat
  • 481241 2023-010
    Significant Deficiency
  • 481242 2023-012
    Material Weakness Repeat
  • 481243 2023-002
    Material Weakness Repeat
  • 481244 2023-009
    Material Weakness Repeat
  • 481245 2023-010
    Significant Deficiency
  • 481246 2023-012
    Material Weakness Repeat
  • 481247 2023-002
    Material Weakness Repeat
  • 481248 2023-009
    Material Weakness Repeat
  • 481249 2023-010
    Significant Deficiency
  • 481250 2023-012
    Material Weakness Repeat
  • 481251 2023-003
    Material Weakness Repeat
  • 481252 2023-004
    Material Weakness Repeat
  • 481253 2023-005
    Material Weakness Repeat
  • 481254 2023-006
    Material Weakness Repeat
  • 481255 2023-007
    Material Weakness Repeat
  • 481257 2023-011
    Significant Deficiency
  • 481258 2023-013
    Material Weakness Repeat
  • 481259 2023-003
    Material Weakness Repeat
  • 481260 2023-004
    Material Weakness Repeat
  • 481261 2023-005
    Material Weakness Repeat
  • 481262 2023-006
    Material Weakness Repeat
  • 481263 2023-007
    Material Weakness Repeat
  • 481264 2023-008
    Material Weakness Repeat
  • 481265 2023-011
    Significant Deficiency
  • 481266 2023-013
    Material Weakness Repeat
  • 481267 2023-003
    Material Weakness Repeat
  • 481268 2023-004
    Material Weakness Repeat
  • 481269 2023-005
    Material Weakness Repeat
  • 481270 2023-006
    Material Weakness Repeat
  • 481271 2023-007
    Material Weakness Repeat
  • 481272 2023-008
    Significant Deficiency Repeat
  • 481273 2023-011
    Significant Deficiency
  • 481274 2023-013
    Material Weakness Repeat
  • 1057681 2023-002
    Material Weakness Repeat
  • 1057682 2023-009
    Material Weakness Repeat
  • 1057683 2023-010
    Significant Deficiency
  • 1057684 2023-012
    Material Weakness Repeat
  • 1057685 2023-002
    Material Weakness Repeat
  • 1057686 2023-009
    Material Weakness Repeat
  • 1057687 2023-010
    Significant Deficiency
  • 1057688 2023-012
    Material Weakness Repeat
  • 1057689 2023-002
    Material Weakness Repeat
  • 1057690 2023-009
    Material Weakness Repeat
  • 1057691 2023-010
    Significant Deficiency
  • 1057692 2023-012
    Material Weakness Repeat
  • 1057693 2023-003
    Material Weakness Repeat
  • 1057694 2023-004
    Material Weakness Repeat
  • 1057695 2023-005
    Material Weakness Repeat
  • 1057696 2023-006
    Material Weakness Repeat
  • 1057697 2023-007
    Material Weakness Repeat
  • 1057698 2023-008
    Material Weakness Repeat
  • 1057699 2023-011
    Significant Deficiency
  • 1057700 2023-013
    Material Weakness Repeat
  • 1057701 2023-003
    Material Weakness Repeat
  • 1057702 2023-004
    Material Weakness Repeat
  • 1057703 2023-005
    Material Weakness Repeat
  • 1057704 2023-006
    Material Weakness Repeat
  • 1057705 2023-007
    Material Weakness Repeat
  • 1057706 2023-008
    Material Weakness Repeat
  • 1057707 2023-011
    Significant Deficiency
  • 1057708 2023-013
    Material Weakness Repeat
  • 1057709 2023-003
    Material Weakness Repeat
  • 1057710 2023-004
    Material Weakness Repeat
  • 1057711 2023-005
    Material Weakness Repeat
  • 1057712 2023-006
    Material Weakness Repeat
  • 1057713 2023-007
    Material Weakness Repeat
  • 1057714 2023-008
    Significant Deficiency Repeat
  • 1057715 2023-011
    Significant Deficiency
  • 1057716 2023-013
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.881 Moving to Work Demonstration Program $239.98M
14.871 Section 8 Housing Choice Vouchers $15.83M
14.879 Mainstream Vouchers $2.07M
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $1.80M
14.249 Section 8 Moderate Rehabilitation Single Room Occupancy $1.32M
14.870 Resident Opportunity and Supportive Services - Service Coordinators $387,431