Finding Text
2024-003 Internal Control Over Compliance, Material Noncompliance - Eligibility (Material Weakness)
Repeated and Modified (Prior Year Finding 2023-005)
Federal Program Information:
Funding Agency: Title: Federal Assistance
Listing Number:
Award Year and
Number:
Department of Housing
and Urban Development
Indian Housing Block Grant 14.867 2024; 55IH0402810
Criteria or specific requirement:
Per 25 USC 4133(d), each grant recipient shall develop written policies governing the eligibility,
admission, and occupancy of families for housing assisted with grant funds. The Authority has developed
such policies to include a verification of applicant income, as well as an annual redetermination of rent
based upon a recertification of income.
Condition:
For the IHBG program, seven out of forty-five participants tested did not follow the eligibility requirements
in accordance with the Authority's policies.
Cause:
The program did not perform the required eligibility determinations in accordance with its policies.
Effect:
The rental charges collected by the Authority or assistance provided by the Authority may not be
reflective of the program requirements.
Questioned Costs:
The extent of the questioned costs is unknown.
Auditor's Recommendation:
We recommend that the Authority adhere to existing policies and procedures requiring eligibility
certification or recertifications for all participants of the program.