Finding Text
Condition: Out of a population of approximately 11,100 tenants for the Housing Voucher
Cluster, 40 tenant files were tested and 2 files had incorrect income calculations.
Context: The auditor haphazardly selected 40 tenant files out of the population, which we
consider to be a statistically valid sample size. The auditor reviewed the tenant files and
supporting documentation to ensure proper procedures are being followed and that the
Authority is in compliance with HUD requirements regarding timely, complete, and accurate
tenant files.
Criteria: The Authority’s Administrative Plan and 24 CFR 982.516 requires internal controls
to be in place to ensure proper procedures are being followed in compliance with HUD
requirements regarding timely, complete, and accurate tenant files.
Cause: The Authority experienced staffing and operational challenges during the year and
did not have the available staff to follow the established internal controls to ensure proper
compliance with regards to timely recertifications and collection of required HUD
documentation to verify eligibility and calculate accurate housing assistance payments.
Effect: The Authority is not in full compliance with HUD requirements regarding eligibility
which could result in the incorrect amount of rental assistance provided.
Questioned Costs: Unknown.
Auditor’s Recommendations: The Authority should reevaluate their established procedures
and controls in place to ensure full compliance in regards to recertifications. The Authority
needs to correct the deficiencies noted in the tested files and consider the impact to the rest
of the population of tenant files that were not selected as part of the auditor’s sample.
View of Responsible Officials: See Corrective Action Plan.