Finding Text
U.S. Department of Housing and Urban Development ‐ CFDA #14.872
Capital Fund Program
Applicable Federal Award Number and Year – Capital Fund Program ‐ 2022
Special Tests and Provisions – Environmental Reviews
Significant Deficiency in Internal Control over Compliance
Criteria – The Program requires an environmental review must be completed every 5 years for any project or activities before a PHA may acquire, rehabilitate, convert, lease, repair or construct property, or commit HUD or local funds at an assisted or to‐be‐assisted site.
Condition – The Authority has not had an environmental review completed for 3 of the 4 projects.
Questioned Costs – None Reported.
Context/Sampling – N/A
Effect – Failure to implement and maintain a proper control process resulted in environmental reviews not being completed on 3 of the 4 projects.
Cause – The Authority has experienced significant staff turnover and the Authority’s controls are currently not adequately designed and operating.
Repeat Finding from Prior Year – No.
Recommendation – The Authority should implement controls to ensure that an environmental review is completed for all projects at least every 5 years.
Views of Responsible Officials – Management agrees with the finding.