Finding 520378 (2024-001)

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Requirement
I
Questioned Costs
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Year
2024
Accepted
2025-01-28
Audit: 340101
Organization: Ville Platte Housing Authority (LA)

AI Summary

  • Issue: The Housing Authority hired the nephew of a former board member, violating the procurement policy.
  • Requirements Impacted: The policy prohibits any involvement in contracts where relatives have a financial interest.
  • Follow-Up: Ensure the board adheres to the procurement policy moving forward.

Finding Text

2024-1 Procurement Policy Condition: The Housing Authority contracted the nephew of a former board member to perform maintenance work. Criteria: The Housing Authority’s procurement policy states, in part, “No employee, officer or agent of the Housing Authority shall participate directly or indirectly in the selection or in the award or the administration of any contract and that “such conflict of interest would arise when a financial or other interest in a firm selected for award is held by his/her relative (including father, mother, son, daughter, brother, sister, uncle, aunt, first cousin, nephew, niece, husband, wife, father-in-law, mother-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in law, stepfather, stepmother, stepson, stepdaughter, stepbrother, stepsister, half-brother, or half-sister). Cause of Condition: Not following the Housing Authority’s procurement policy. Potential Effect of Condition: Violation of the Housing Authority's procurement policy. Recommendation: The board should follow its procurement policy. Client Response: The board will follow its procurement policy.

Corrective Action Plan

Recommendation: The board should follow its procurement policy. Client Response: The board will follow its procurement policy.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.850 Public Housing Operating Fund $955,064
14.872 Public Housing Capital Fund $326,830