FAC Explorer

Finding 574624 (2024-002)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-08-25
Audit: 364890
Organization: Aurora Housing Authority (CO)
Auditor: Eide Bailly

AI Summary

  • Core Issue: The Authority failed to complete annual certifications for Housing Choice Vouchers on time, with some delayed by over a year.
  • Impacted Requirements: This affects compliance with eligibility requirements for the program, risking potential noncompliance.
  • Recommended Follow-Up: Establish stronger internal controls and staffing to ensure timely completion of all required certifications.

Finding Text

U.S Department of Housing and Urban Development – ALN #14.871/14.879 Housing Choice Vouchers Cluster Applicable Federal Award Number and Year – HCV2024 Eligibility Significant Deficiency in Internal Control over Compliance and Immaterial Instance of Noncompliance Criteria: The program requires the Authority to complete certifications annually for individuals enrolled in the program. Condition: During our testing, we noted several instances of certifications being completed over one year after the previous certification. Cause: The Authority’s internal controls related to maintaining proper files were not operating as designed and was due to lack of proper levels of staffing. Effect: Weaknesses in internal control over compliance could result in the Authority failing to comply with eligibility requirements. Questioned Costs: N/A Context/Sampling: We tested 40 files from the population of over 250. Repeat Finding from Prior Year: No. Recommendation: We recommend that the Authority establish controls to ensure that all certifications are completed timely. Views of Responsible Officials: Management agrees with the finding.

Corrective Action Plan

Federal Agency Name: U.S Department of Housing and Urban Development Program Name: Housing Choice Vouchers CFDA # 14.871 Finding Summary: Significant Deficiency in Internal Control over Compliance and Immaterial Instance of Noncompliance Responsible Individuals: Celia Rivas Director of Assisted Housing Corrective Action Plan: To strengthen our compliance oversight, we now have a total of two Compliance Managers on staff. We recently filled the previously vacant Compliance Manager position, which will enhance our capacity to monitor and ensure that annual recertifications are being processed every 12 months and support staff in adhering to HUD requirements and agency procedures. We have made progress in hiring and retaining staff, which is strengthening our operational capacity and will support the timely processing of annual recertifications in compliance with HUD requirements. Anticipated Completion Date: Ongoing

Categories

Eligibility HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 574625 2024-002
    Significant Deficiency
  • 574626 2024-002
    Significant Deficiency
  • 574627 2024-003
    Significant Deficiency
  • 574628 2024-003
    Significant Deficiency
  • 574629 2024-003
    Significant Deficiency
  • 1151066 2024-002
    Significant Deficiency
  • 1151067 2024-002
    Significant Deficiency
  • 1151068 2024-002
    Significant Deficiency
  • 1151069 2024-003
    Significant Deficiency
  • 1151070 2024-003
    Significant Deficiency
  • 1151071 2024-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.89M
14.871 Section 8 Housing Choice Vouchers $1.38M
14.879 Mainstream Vouchers $685,476
14.218 Community Development Block Grants/entitlement Grants $500,000
14.239 Home Investment Partnerships Program $335,430
14.850 Public Housing Operating Fund $24,017