Finding 561571 (2024-001)

-
Requirement
P
Questioned Costs
$1
Year
2024
Accepted
2025-05-27

AI Summary

  • Core Issue: Miscalculation of total tenant payment due to excluded eligible medical expenses.
  • Impacted Requirements: HUD criteria for tenant eligibility and payment calculations were not fully met.
  • Recommended Follow-Up: Ensure property management includes all income sources and allowed deductions in future calculations.

Finding Text

Statement of Condition: We reviewed 5 files (recertification, initial certification, and move-out files) for the fiscal year ended December 31, 2024. The selected files represent a sample of all files in the program. Criteria: HUD requires that certain criteria be met when determining tenant eligibility, selecting applicants from the waiting list, and calculating total tenant payments. Effect: We noticed one instance in which total tenant payment was miscalculated – all eligible medical expenses were not included in the calculation. Tenant income was overstated, resulting in an overpayment of tenant rent by $3 per month. Cause: Property management did not properly include all eligible medical expenses in calculating total tenant payments. Recommendation: Property management should address all sources of income/allowed deductions when calculating total tenant payment.

Corrective Action Plan

Management agrees with the finding. Corrections have been made to the tenant file and a refund was processed for the tenant.

Categories

Questioned Costs Eligibility HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $3.48M
14.195 Project-Based Rental Assistance (pbra) $73,289