Finding 571715 (2024-003)

Federal Program U.S. Department of Housing and Urban Development AL #14.871 – Significant Deficiency Grant Award No. MN177-Housing Choice Voucher Federal Award Year 2024 Criteria For units under HAP contract that fail to meet HQS, the PHA must require the owner to correct any life-threatening HQS deficiencies within 24 hours after the inspection and all other HQS deficiencies within 30 calendar days or within a specified PHA-approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP contract. Condition During our testing of failed inspections, we noted one instance in which a life threatening deficiency was not corrected within 24 hours and HAP was not abated. Questioned Costs None. Context We reviewed a sample of 3 of the Authority’s 30 failed inspections for HQS Enforcement requirements. Effect Tenant may be living in units that do not meet HQS. Cause Lack of controls and oversight during the year. Repeat Finding Not a repeat finding. Recommendation We recommend the Authority review their procedures in following up on life threatening deficiencies to ensure they are corrected in the appropriate time frame. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.