Finding Text
Criteria: The Agency is required to inspect units to determine if the unit meets Housing Quality Standards. A unit inspection report must be completed and filed. Questioned Costs: $333,467 in prior disallowed, questioned, or overpaid costs. Effect: The Agency was not in compliance with the Uniform Guidance due to not filing the required reports or tracking the inspections appropriately. Cause: The Agency had numerous HUD program directors, and the director at the time did not ensure the proper software was installed to track inspections and file the reports. Recommendation: Management should purchase the software product to track and file HQS inspections. Views of Responsible Officials and Planned Corrective Actions: The Agency agrees with the finding and has purchased a software package to track and file inspections. The staff has been trained on the software, and it has been implemented in fiscal year 2025. The Agency also performed inspections on all units in fiscal year 2025. After inspections are complete, Agency will be in compliance with HUD and should not have to pay back the questioned costs.