Finding 522706 (2024-001)

FINDING No. 2024-001: Section 8 Project Based Rental Assistance ALN 14.195 Finding Resolution Status: Unresolved. Information on Universe Population Size: Two hundred fifty-seven tenants. Sample Size Information: Twenty-five tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: HUD regulations require all initial and ongoing tenant eligibility documentation to be obtained timely and maintained during tenancy. Statement of Condition: Missing documentation in tenant files: Six tenants were missing required signed lease addendums. One tenant was missing a signed and dated apartment application. One tenant did not include the VAWA lease addendum. One tenant was missing the criminal background check. Cause: The Project did not maintain appropriate tenant eligibility documentation as required by HUD. Effect or Potential Effect: Unable to verify tenant eligibility and cost of assistance may be disallowed. Auditor Non-Compliance Code: R – Section 8 Program Administration Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendations will be adopted. Recommendation: The Project should implement procedures to ensure that proper initial eligibility procedures are conducted for potential tenants and that tenant files are accurately maintained. Response Indicator: Agree. Completion Date: 06/30/2025 Response: Monthly reminders are being sent to all managers to run their EIV reports for the month. In addition, random files are being reviewed by compliance to ensure EIV reports are pulled, unit inspections performed, and required documentation is complete and accurate.