Finding 573739 (2023-002)

U.S. Department of Housing and Urban Development - CFDA #14.850 Public and Indian Housing Applicable Federal Award Number and Year – Public and Indian Housing - 2023 Eligibility Significant Deficiency in Internal Control over Compliance Criteria – The Program requires the Authority to determine eligibility of participants of the program through annual and interim review of participant information. Condition – During our testing, we identified 5 participant files in which the recertification /move-in checklists were not signed by Authority staff. Questioned Costs – None Reported. Context/Sampling – A non-statistical sample of 60 participants were selected for testing. Five out of the 60 participant files had recertification / move-in checklists that were not signed by Authority staff. Effect – Failure to implement and maintain a proper control process could result in incorrect eligibility determinations for individuals that are being re-examined and no longer eligible. Cause – Due to staff turnover in the compliance department. Repeat Finding from Prior Year – No. Recommendation – The Authority should implement internal controls to ensure that all recertification / move-in checklists are signed by Authority staff. Views of Responsible Officials – Management agrees with the finding.