FAC Explorer

Finding 571524 (2024-005)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-07-17
Audit: 362477
Organization: Housing & Redevelopment Authority of Douglas County (MN)
Auditor: Brady Martz & Associates PC

AI Summary

  • Core Issue: The PHA failed to perform the required number of quality control re-inspections for Housing Quality Standards.
  • Impacted Requirements: Only 3 out of the minimum 9 required re-inspections were completed, violating federal guidelines.
  • Recommended Follow-Up: The Authority should review and understand the inspection requirements to ensure compliance moving forward.

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 The PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. Condition The minimum required number of quality control re-inspections were not performed. Questioned Costs None Context During our testing of HQS quality control re-inspections, it was determined based on 24 CFR 985.2 that the Authority did not perform the minimum required amount of 9 quality control re-inspections during the year as they only completed 3 re-inspections. Effect Inspections may have been performed incorrectly that re-inspections would have caught. Cause The Authority did not have a proper understanding of the quality control re-inspection procedure requirements. Repeat Finding Not a repeat finding. Recommendation We recommend the Authority reviews the program requirements to ensure the appropriate number of HQS quality control re-inspections is performed each year. Views of Responsible Officials Management recognizes the deficiency and plans to implement the auditor’s recommendation.

Corrective Action Plan

Contact Person Emajean Hanson-Ford, Executive Director Corrective Action Plan The Authority has reviewed and implemented quality control re-inspection requirements to ensure compliance moving forward. Planned Completion Date for CAP December 31, 2025

Categories

HUD Housing Programs Significant Deficiency

Other Findings in this Audit

  • 571515 2024-002
    Significant Deficiency
  • 571516 2024-002
    Significant Deficiency
  • 571517 2024-002
    Significant Deficiency
  • 571518 2024-003
    Significant Deficiency
  • 571519 2024-003
    Significant Deficiency
  • 571520 2024-003
    Significant Deficiency
  • 571521 2024-004
    Significant Deficiency
  • 571522 2024-004
    Significant Deficiency
  • 571523 2024-004
    Significant Deficiency
  • 571525 2024-005
    Significant Deficiency
  • 571526 2024-005
    Significant Deficiency
  • 571527 2024-006
    Significant Deficiency
  • 571528 2024-006
    Significant Deficiency
  • 571529 2024-006
    Significant Deficiency
  • 1147957 2024-002
    Significant Deficiency
  • 1147958 2024-002
    Significant Deficiency
  • 1147959 2024-002
    Significant Deficiency
  • 1147960 2024-003
    Significant Deficiency
  • 1147961 2024-003
    Significant Deficiency
  • 1147962 2024-003
    Significant Deficiency
  • 1147963 2024-004
    Significant Deficiency
  • 1147964 2024-004
    Significant Deficiency
  • 1147965 2024-004
    Significant Deficiency
  • 1147966 2024-005
    Significant Deficiency
  • 1147967 2024-005
    Significant Deficiency
  • 1147968 2024-005
    Significant Deficiency
  • 1147969 2024-006
    Significant Deficiency
  • 1147970 2024-006
    Significant Deficiency
  • 1147971 2024-006
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.415 Rural Rental Housing Loans $212,326
10.433 Rural Housing Preservation Grants $200,103
14.879 Mainstream Vouchers $99,120
14.871 Section 8 Housing Choice Vouchers $72,434
14.872 Public Housing Capital Fund $42,144
14.850 Public Housing Operating Fund $35,731
10.427 Rural Rental Assistance Payments $652