Finding 525805 (2024-007)

Material Weakness
Requirement
A
Questioned Costs
-
Year
2024
Accepted
2025-03-06
Audit: 344975

AI Summary

  • Core Issue: One recipient received an incorrect housing assistance payment due to missing documentation.
  • Impacted Requirements: Compliance with 24 CFR Part 5 Subpart F for income eligibility and rental payment calculations was not met.
  • Recommended Follow-Up: Ensure all recipient files are complete with necessary documentation to prevent future payment errors.

Finding Text

2024-007: Section 8 Housing Choice Vouchers (Assistance Listing Number 14.871) Housing Assistance Payment Criteria or specific requirement (including statutory, regulatory, or other citation): The Village is required to determine income eligibility and calculate the tenant’s rental payment using the documents as obtained from the recipient in accordance with 24 CFR Part 5 Subpart F (24 CFR Section 5.601 et seq.). Condition and Context: During audit testing of 40 recipients out of a population size of 80 recipients, the housing assistance payment for one recipient was incorrect. The sample was not a statistically valid sample. Cause: Proper documentation was not obtained and maintained within the recipient file. Effect or Potential Effect: The Village provided assistance to a recipient at an incorrect rate. Questioned Costs: The total overpayment for the period of June 1, 2023 to May 31, 2024 totaled $408. Identification as a Repeat Finding, If Applicable: Not applicable. Recommendation: Recipient files should contain all required documentation to reduce the risk of incorrect payments being administered. Views of Responsible Officials: As detailed within the Corrective Action Plan, management has agreed to the findings and recommendations above.

Corrective Action Plan

The Village will work with our Administrators of the Village's Section8 proram and ensure accuracy and payment calculations are properly addressed and files contain all proper documentation.

Categories

HUD Housing Programs Eligibility

Other Findings in this Audit

  • 525806 2024-006
    Material Weakness
  • 1102247 2024-007
    Material Weakness
  • 1102248 2024-006
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
20.205 Highway Planning and Construction $798,272
14.871 Section 8 Housing Choice Vouchers $636,141
21.027 Coronavirus State and Local Fiscal Recovery Funds $197,202