Finding 485027 (2019-003)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2019
Accepted
2024-08-23

AI Summary

  • Core Issue: The Housing Authority failed to conduct required annual inspections and follow-ups for Section 8 housing, leading to non-compliance with federal standards.
  • Impacted Requirements: Violations of 24 CFR Sections 982.158(d) and 982.405(b) regarding inspection documentation and timely follow-ups for deficiencies.
  • Recommended Follow-Up: Develop and implement procedures for maintaining inspection documentation and collaborate with HACCC to address compliance issues.

Finding Text

Finding SA2019-003: Annual Housing Quality Standards Inspections AL number: 14.871 AL Title: Housing Voucher Cluster - Section 8 Housing Choice Vouchers Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification number and year: CA010 (2019) Criteria: 24 CFR Sections 982.158(d) and 982.405(b) requires Public Housing Authorities (PHA) must inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report. For inspections that fail the standards, the PHA is required to complete a follow up inspection with the tenants within 24 hours for life-threatening deficiencies and within 30 days for non- life-threatening deficiencies. Condition: We reviewed sixty Section 8 tenant files for new and existing tenants and noted the following: • Five instances in which an HQS Inspection checklist was not included in the tenants’ files. • One instance in which an HQS inspection checklist was in process, however, there was no inspection date or sign off indicating whether inspection was completed. • One instance in which there was a failed inspection for the tenant, however, there was no documentation of a reinspection. • Three instances in which the tenant had a failed inspection and a reinspection with an additional fail, and there was no documentation indicating follow up by the Housing Authority. We also reviewed forty HQS inspections that had failed inspections during fiscal year 2019 and noted the following: • Eight instances in which the tenant failed the inspection and did not receive a grade of pass until well over the 30 day required timeframe. • Three instances in which the failed inspection was due to a life threatening deficiency which must be corrected within 24 hours. However, the tenants were not reinspected from 30 days to more than 30 days until after the deficiencies were noted. • Eight instances in which there was a failed inspection for the unit, however, the Housing Authority did not follow up to re-inspect the unit. • One instance in which the tenant failed the original inspection and re-inspection. However, the Housing Authority did not follow up with the tenant until a year after. • One instance in which the tenant failed the original inspection and re-inspection, however, the Housing Authority never followed up with the tenant. Effect: The Housing Authority is not in compliance with the requirements as stated in 24 CFR Section 982.517(d) and 982.405(b). Cause: It was noted the missing checklists were due to staff oversight. Identification as a repeat finding: Yes. Since fiscal 2017 and in 2018. Recommendation: The Housing Authority must develop procedures to ensure required documentation is properly maintained for all tenant files. Since the Housing Authority transferred the Housing Choice Vouchers (HCV Section 8) program to the Housing Authority of the County of Contra Costa (HACCC) on July 1, 2019, the Housing Authority should work with the HACCC to determine how to address the recommendation. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the Housing Authority.

Corrective Action Plan

Finding Reference Number: SA2019-003 Annual Housing Quality Standards Inspections • Fiscal Year of Initial Finding: 2017 and 2018 • Name(s) of the contact person: Nannette Beacham, RHA Executive Director • Corrective Action Plan: Transfer the Housing Choice Voucher (Section 8) program to a well-managed housing authority. • Anticipated Completion Date: Completed. The Housing Choice Voucher (Section 8) program was transferred to the Housing Authority of Contra Costa County (HACCC) on July 1, 2019.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 485025 2019-001
    Material Weakness Repeat
  • 485026 2019-002
    Material Weakness Repeat
  • 485028 2019-004
    Material Weakness Repeat
  • 485029 2019-005
    Material Weakness Repeat
  • 485030 2019-006
    Material Weakness Repeat
  • 485031 2019-007
    Material Weakness
  • 485032 2019-008
    Material Weakness
  • 485033 2019-008
    Material Weakness
  • 485034 2019-009
    Material Weakness
  • 485035 2019-010
    Material Weakness
  • 485036 2019-011
    Material Weakness
  • 1061467 2019-001
    Material Weakness Repeat
  • 1061468 2019-002
    Material Weakness Repeat
  • 1061469 2019-003
    Material Weakness Repeat
  • 1061470 2019-004
    Material Weakness Repeat
  • 1061471 2019-005
    Material Weakness Repeat
  • 1061472 2019-006
    Material Weakness Repeat
  • 1061473 2019-007
    Material Weakness
  • 1061474 2019-008
    Material Weakness
  • 1061475 2019-008
    Material Weakness
  • 1061476 2019-009
    Material Weakness
  • 1061477 2019-010
    Material Weakness
  • 1061478 2019-011
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $26.98M
14.850 Public and Indian Housing $1.69M
14.872 Public Housing Capital Fund $539,103