Finding 52329 (2022-001)

Significant Deficiency
Requirement
BE
Questioned Costs
$1
Year
2022
Accepted
2023-07-12

AI Summary

  • Core Issue: Incorrect expense calculations for family income examinations affected two tenants, leading to improper Housing Assistance Payments (HAP).
  • Impacted Requirements: Compliance with 24 CFR Section 982.516 regarding allowable costs and eligibility was not met.
  • Recommended Follow-Up: Management should implement an internal monitoring system and consider additional training for housing specialists to prevent future errors.

Finding Text

2022-001 Calculating Expenses for Family Income Examinations 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: Brown County Housing Authority (BCHA) and Wisconsin Housing & Economic Development Authority (WHEDA) Pass-Through Number(s): BCHA ? WI 186; WHEDA ? WI 901 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Allowable Costs, Eligibility Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matter Criteria or Specific Requirement: The Organization incorrectly calculated expenses as part of family income examination or reexamination for two tenants based on the requirements of 24 CFR Section 982.516. Condition: During our testing, we noted two tenants where expenses were incorrectly calculated based on supporting documentation. Questioned Costs: $148 Context: From a sample of 40 program participant files selected for testing, 2 tenants had expenses incorrectly calculated. Cause: The Housing Specialist made an error in calculating the expenses for 2 tenants. Effect: Two program participants received an incorrect amount of HAP payments. Repeat Finding: No Recommendation: We recommend that Management review their current processes and create an internal monitoring system to ensure expenses are appropriately calculated in the future and/or consider additional training for housing specialist to ensure HAP is appropriately calculated. Views of Responsible Officials: There is no disagreement with the audit finding. Refer to the Organization?s Corrective Action Plan for more information.

Categories

Questioned Costs HUD Housing Programs Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 52314 2022-001
    Significant Deficiency
  • 52315 2022-002
    Significant Deficiency Repeat
  • 52316 2022-003
    Significant Deficiency
  • 52317 2022-004
    Significant Deficiency
  • 52318 2022-005
    Material Weakness Repeat
  • 52319 2022-001
    Significant Deficiency
  • 52320 2022-002
    Significant Deficiency Repeat
  • 52321 2022-003
    Significant Deficiency
  • 52322 2022-004
    Significant Deficiency
  • 52323 2022-005
    Material Weakness Repeat
  • 52324 2022-001
    Significant Deficiency
  • 52325 2022-002
    Significant Deficiency Repeat
  • 52326 2022-003
    Significant Deficiency
  • 52327 2022-004
    Significant Deficiency
  • 52328 2022-005
    Material Weakness Repeat
  • 52330 2022-002
    Significant Deficiency Repeat
  • 52331 2022-003
    Significant Deficiency
  • 52332 2022-004
    Significant Deficiency
  • 52333 2022-005
    Material Weakness Repeat
  • 52334 2022-001
    Significant Deficiency
  • 52335 2022-002
    Significant Deficiency Repeat
  • 52336 2022-003
    Significant Deficiency
  • 52337 2022-004
    Significant Deficiency
  • 52338 2022-005
    Material Weakness Repeat
  • 52339 2022-001
    Significant Deficiency
  • 52340 2022-002
    Significant Deficiency Repeat
  • 52341 2022-003
    Significant Deficiency
  • 52342 2022-004
    Significant Deficiency
  • 52343 2022-005
    Material Weakness Repeat
  • 52344 2022-001
    Significant Deficiency
  • 52345 2022-002
    Significant Deficiency Repeat
  • 52346 2022-003
    Significant Deficiency
  • 52347 2022-004
    Significant Deficiency
  • 52348 2022-005
    Material Weakness Repeat
  • 628756 2022-001
    Significant Deficiency
  • 628757 2022-002
    Significant Deficiency Repeat
  • 628758 2022-003
    Significant Deficiency
  • 628759 2022-004
    Significant Deficiency
  • 628760 2022-005
    Material Weakness Repeat
  • 628761 2022-001
    Significant Deficiency
  • 628762 2022-002
    Significant Deficiency Repeat
  • 628763 2022-003
    Significant Deficiency
  • 628764 2022-004
    Significant Deficiency
  • 628765 2022-005
    Material Weakness Repeat
  • 628766 2022-001
    Significant Deficiency
  • 628767 2022-002
    Significant Deficiency Repeat
  • 628768 2022-003
    Significant Deficiency
  • 628769 2022-004
    Significant Deficiency
  • 628770 2022-005
    Material Weakness Repeat
  • 628771 2022-001
    Significant Deficiency
  • 628772 2022-002
    Significant Deficiency Repeat
  • 628773 2022-003
    Significant Deficiency
  • 628774 2022-004
    Significant Deficiency
  • 628775 2022-005
    Material Weakness Repeat
  • 628776 2022-001
    Significant Deficiency
  • 628777 2022-002
    Significant Deficiency Repeat
  • 628778 2022-003
    Significant Deficiency
  • 628779 2022-004
    Significant Deficiency
  • 628780 2022-005
    Material Weakness Repeat
  • 628781 2022-001
    Significant Deficiency
  • 628782 2022-002
    Significant Deficiency Repeat
  • 628783 2022-003
    Significant Deficiency
  • 628784 2022-004
    Significant Deficiency
  • 628785 2022-005
    Material Weakness Repeat
  • 628786 2022-001
    Significant Deficiency
  • 628787 2022-002
    Significant Deficiency Repeat
  • 628788 2022-003
    Significant Deficiency
  • 628789 2022-004
    Significant Deficiency
  • 628790 2022-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $229,974
14.896 Family Self-Sufficiency Program $117,281