Finding Text
2023-002 – ELIGIBILITY
Material Weakness/Noncompliance
U.S. Department of Housing and Urban Development
CFDA #: 14.871/14.879 – Housing Voucher Cluster
CRITERIA
PHA responsibility for reexamination and verification. (1) The PHA must conduct a reexamination of family income and composition at least annually. (2) The PHA must obtain and document in the tenant file third-party verification of the following factors, or must document in the tenant file why third-party verification was not available: (i) Reported family annual income; (ii) The value of assets; (iii) Expenses related to deductions from annual income; and (iv) Other factors that affect the determination of adjusted income. (24 CFR 982.516).
CONDITION
As a result of our audit, we identified the following exceptions in our testing:
> Three (3) instances of untimely recertifications
CAUSE
The Authority did not properly oversee the administration of the Housing Choice Voucher and Mainstream Voucher programs.
EFFECT
The Authority is potentially incorrectly calculating and adjusting tenant rent and housing assistance payments.
QUESTIONED COSTS
None identified.
CONTEXT
We selected a sample of 22 from a population of 200. This was not a statistically valid sample.
REPEAT FINDING
Repeat of finding 2022-003
RECOMMENDATION
We recommend the Authority’s management take an active role in reviewing their policies and monitoring the Authority’s compliance with those policies. We recommend the Authority provide training for the performance of reexamination procedures.
AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION
See Corrective Action Plan.