Finding Text
Finding 2024 – 007 – Eligibility
Federal Agency: U.S. Department of Housing and Urban Development
Federal Program Title: Housing Opportunities for Persons with Aids Assistance
Listing Numbers: 14.241
Federal Award Identification Number and Year: FL080; 2024
Award Period: October 1, 2023 to September 30, 2024
Type of Finding: Significant Deficiency in Internal Control Over Compliance,
Noncompliance (Other Matters)
Criteria or Specific Requirement: A person eligible for assistance under this program means a person with HIV or AIDS who is a low-income individual and the person’s family, including persons important to their care or well-being, as defined in 24 CFR section 574.3. The eligibility of those tenants who were admitted to the program should be determined by (1) obtaining applications that contain all the information needed to determine eligibility, including diagnosis, documentation of housing need, income, rent and order of selection; and (2) obtaining third-party verifications or documentation of expected income, assets, unusual medical expenses, and any other pertinent information.
Condition: During the testing of the HOPWA files, certain eligibility deficiencies were noted as
summarized below:
Number of Instances Finding
1 There was no support for excluding the income of a full-time college student for the recertification date tested
1 The annual inspection was not performed within a year.
Questioned Costs: Undeterminable
Context: Out of 29 HOPWA tenant files tested, 2 tenant files contained errors as noted above.
Cause: The Authority failed to provide adequate monitoring and oversight of their tenant files to
ensure compliance with HUD rules and regulations as well as their administrative policy.
Effect: The Authority is not in compliance with federal regulations regarding the verification of
the tenants income and maintaining adequate documents per the compliance requirements.
Repeat Finding: No.
Recommendation: We recommend management should designate one person to review a sample of the files
that have been recertified each month and to determine if the tenant files were prepared in
accordance with internal policies and until the compliance deficiencies have been corrected. We
recommend the Authority to hire outside consultants to assist with eligibility requirements or
increase staffing in this area.
Views of Responsible Officials: There is no disagreement with the audit finding.