Finding 555940 (2024-001)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-04-25

AI Summary

  • Core Issue: An error in income documentation was found for 1 out of 3 residents, indicating a gap in the review process.
  • Impacted Requirements: Compliance with eligibility criteria requires accurate income information on Form HUD-50059 during move-in and recertification.
  • Recommended Follow-Up: Management should establish a structured review process to ensure resident files are complete and errors are identified promptly.

Finding Text

Federal Program: Supportive Housing for Persons With Disabilities: Section 811 Capital Advance Project Rental Assistance Contract Assistance Listing Number: 14.181 Federal Agency: U.S. Department of Housing and Urban Development Pass-Through Agency: N/A Award Number: 033-HH015 Award Year: 2024 Compliance Requirement: Eligibility Questioned Costs: Not Determinable Criteria: The Corporation is required to obtain, confirm, and document income information for each resident in Form HUD-50059 upon move-in and recertification. Condition and Context: The Corporation was found to have an error in the documented income information for one out of three residents selected for testwork. Cause: The Corporation lacks an adequate review process for the resident files to ensure all required information is correct in the resident file. While the majority of required information was present and correct, the error in income amount was not detected in a timely manner. Effect or Potential Effect: As a result of the review process, noncompliance due to error or fraud could occur without being detected and corrected, timely. Recommendation: Management should implement a structured review process for the resident files to ensure they are complete and erroneous information is detected timely. Management's Response: The Corporation will implement a standard review process over the resident files to prevent and detect errors on a timely basis.

Corrective Action Plan

The following represents the Corrective Action Plan related to the audit finding listed in the Schedule of Findings and Questioned Costs included in the December 31, 2024 audited financial statements of Manchester Supportive Housing, Inc. d/b/a Page Place (the “Corporation”). Finding 2024-001: Incomplete Documentation of New Residents Condition and Criteria: The Corporation is required to obtain, confirm, and document income information for each resident in Form HUD-50059 upon move-in and recertification. The Corporation was found to have an error in the documented income information for one out of the three residents selected for testwork. Management Response and Corrective Action Plan: Management agrees with the finding. The Corporation is implementing an updated standard review process over the resident files to prevent and detect errors on a timely basis.

Categories

HUD Housing Programs Eligibility

Other Findings in this Audit

  • 1132382 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $208,116