Finding 577112 (2022-006)

- Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-10-25
Audit: 1234
Organization: Indianapolis Housing Agency (IN)
Auditor: Somerset CPAS

AI Summary

  • Core Issue: 11 properties with multiple failed inspections were not moved to abatement as required by 24 CFR 982.404.
  • Impacted Requirements: Deficiencies must be corrected within 24 hours for life-threatening issues and 30 days for others, or HAPs must be abated.
  • Recommended Follow-Up: Review and improve current housing quality inspection procedures to ensure compliance and strengthen internal controls.

Finding Text

Criteria: 24 CFR 982.404 requires public housing authorities to require an owner to correct any life-threatening deficiencies identified during housing quality standards (HQS) inspections within 24 hours of the inspection and all other HQS deficiencies within 30 days of the inspection or within a specifically approved extension. If deficiencies are not corrected in the required timeframe the public housing authority must abate HAPs beginning no later than the first of the month following the specified correction period or the HAP contract is to be terminated. Condition and Context: We reviewed the 2022 failed inspection listing provided by management and selected a sample of 60 failed inspections for testing. Our sample was not statistically valid. We noted 11 properties that had multiple failed inspections which were not moved to abatement. Recommendation: See finding 2022-001. Additionally, the auditor recommends the Agency review current procedures surrounding housing quality inspection standards to ensure accuracy of the procedures in place and identify areas of improvement to establish and maintain adequate internal control. This is a repeat finding of 2021-007 and 2020-007. Views of Responsible Officials and Planned Corrective Actions: The Agency agrees with the recommendation. See the Corrective Action Plan for the Agency’s response and planned completion date.

Categories

HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 659 2022-003
    Material Weakness Repeat
  • 660 2022-004
    -
  • 661 2022-005
    Material Weakness Repeat
  • 662 2022-006
    - Repeat
  • 663 2022-007
    -
  • 664 2022-008
    - Repeat
  • 665 2022-009
    -
  • 666 2022-010
    -
  • 667 2022-003
    Material Weakness Repeat
  • 668 2022-004
    -
  • 669 2022-005
    Material Weakness Repeat
  • 670 2022-006
    - Repeat
  • 671 2022-007
    -
  • 672 2022-008
    - Repeat
  • 577101 2022-003
    Material Weakness Repeat
  • 577102 2022-004
    -
  • 577103 2022-005
    Material Weakness Repeat
  • 577104 2022-006
    - Repeat
  • 577105 2022-007
    -
  • 577106 2022-008
    - Repeat
  • 577107 2022-009
    -
  • 577108 2022-010
    -
  • 577109 2022-003
    Material Weakness Repeat
  • 577110 2022-004
    -
  • 577111 2022-005
    Material Weakness Repeat
  • 577113 2022-007
    -
  • 577114 2022-008
    - Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $60.27M
14.872 Public Housing Capital Fund $2.27M
14.850 Public and Indian Housing $1.73M
14.879 Mainstream Vouchers $529,342
14.231 Emergency Solutions Grant Program $196,547
14.896 Family Self-Sufficiency Program $133,418