Finding Text
Federal Program
U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency
Grant Award No.
MN192-Housing Choice Voucher & MN192-Mainstream Voucher
Federal Award Year
2024
Criteria
As a condition of admission or continued occupancy, the tenant and other family members must
provide necessary information, documentation, and releases for the PHA to verify income eligibility (24
CFR sections 5.230, 5.609, and 982.516). This includes documentation noting eligibility of EHV
program requirements.
Condition
During review of tenant files, we noted the Authority did not maintain proper documentation to support
tenant eligibility for EHV participation.
Questioned Costs
None
Context
We tested a sample of 22 (including one EHV participant) of the Authority’s 220 tenant files and found
that proper documentation was not maintained in one tenant file.
Effect
HAP payments may be paid to a tenant who is not eligible to receive HAP funds.
Cause
Lack of appropriate training for the individual responsible for verifying eligibility requirements.
Repeat Finding
Not a repeat finding.
Recommendation
We recommend the Authority provides appropriate training to staff over eligibility requirements and
reviews its internal control procedures to ensure a quality control review is performed to verify all
required documentation is maintained in the tenant files.
Views of Responsible Officials
Management recognizes the deficiency and plans to implement the auditor’s recommendation.