Finding Text
2022-002 Supporting Documentation in Tenant Files Repeat of Finding 2021-001 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Section 8 Housing Choice Vouchers Assistance Listing Number: 14.871 Federal Award Identification Number and Year: Passthrough Funds Pass-Through Agency: BCHA and WHEDA Pass-Through Number(s): BCHA ? WI 186; WHEDA ? WI 901 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Eligibility, Special Tests ? Housing Assistance Payment Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matter Criteria or Specific Requirement: The Organization was missing a HAP contract for the tenant's address/rent that was selected in eligibility testing. Per 24 CFR Section 982.158 and ICS's admin plan, a HAP contract is required. Condition: During our testing, we noted that one file did not have the HAP contract for the correct tenant address for one file. Questioned Costs: None Context: From a sample of 40 program participant files selected for testing, one tenant was missing the appropriate HAP contract. Cause: The Organization did not maintain supporting documentation in the file. The Organization moved to an electronic files system several years ago. Some of the information from the paper file was not scanned and/or verified to be contained in the electronic file. Effect: File did not contain required information per 24 CFR 982.158 and admin plan. A program participant could have been receiving an incorrect amount of HAP. Repeat Finding: Yes. Recommendation: We recommend that Management creates an internal monitoring system to ensure that tenant files are scanned/saved appropriately, and the documentation meets all program guidelines. Views of Responsible Officials: There is no disagreement with the audit finding. Refer to the Organization?s Corrective Action Plan for more information.