FAC Explorer

Finding 565953 (2023-005)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2025-06-24
Audit: 359596
Organization: Housing Authority of Cass County (ND)
Auditor: Brady Martz & Associates PC

AI Summary

  • Core Issue: One out of 40 tenant files lacked a required biennial inspection for Housing Quality Standards.
  • Impacted Requirements: The PHA must conduct inspections at least every two years as per HUD regulations.
  • Recommended Follow-Up: The Authority should enhance oversight and control procedures to ensure timely inspections are completed.

Finding Text

Federal Program U.S. Department of Housing and Urban Development AL #14.871 – Significant Deficiency. Criteria The PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) (24 CFR section 982.405(b)). Condition We tested compliance with the Authority’s HQS in 40 tenant files and found one instance in which a biennial inspection had not been performed. Questioned Costs None. Context We reviewed a sample of 40 of the Authority’s 491 tenant files for HQS Inspection requirements. Effect HAP payments may be made to a tenant living in a unit that does not meet Housing Quality Standards. Cause Lack of oversight and control procedures. Repeat Finding Not a repeat finding. Recommendation We recommend the Authority reviews their control procedures over HQS Inspections to ensure that inspections are being performed as required. Views of Responsible Officials Management recognizes the deficiency and plans to implement the auditor’s recommendation.

Corrective Action Plan

Contact Person Derek Johnson, Executive Director Corrective Action Plan The Authority will review its policies and procedures over program compliance requirements and continue to provide occupancy training to staff to prevent future exceptions. Planned Completion Date for CAP December 31, 2024.

Categories

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 565951 2023-003
    Significant Deficiency Repeat
  • 565952 2023-004
    Significant Deficiency Repeat
  • 565954 2023-006
    Significant Deficiency
  • 1142393 2023-003
    Significant Deficiency Repeat
  • 1142394 2023-004
    Significant Deficiency Repeat
  • 1142395 2023-005
    Significant Deficiency
  • 1142396 2023-006
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $3.12M
14.872 Public Housing Capital Fund $500,196
14.850 Public Housing Operating Fund $396,952
14.879 Mainstream Vouchers $279,119