Finding Text
Section Eight Housing Choice Voucher Program-CDFA# 14.871, Low Rent Program-CDFA # 14.850,
Finding 2022-002-Lack of Adequate Quality Control Regarding Tenant Procedures-Eligibility
Criteria and Condition
The quality of supervision over tenant file functions, such as calculating tenant rent and Housing Assistance Payments should be timely and sufficient to find errors in calculations or mis-application or mis-understanding of procedures.
Context
For the Housing Choice Voucher Program, quality control should be timely performed and documented throughout the year. All of the SEMAP sample answers were Yes, that the error rate in the specified sample size was not exceeded. An outside consultant performed the sample. Since our copy of the SEMAP is not dated, we do not know if the sample was performed before or after the SEMAP submission. However, the consultant noted in her review that errors were noted in the samples for Indicators 1, 2, 3,5,6, 7, and 12.
We reviewed twenty-five HCV files. Three had an incorrect payment standard. In all three instances, as a result, the tenant rent and the HAP was incorrect. In another file, the re-examination was past due.
We reviewed twelve Low Rent files. Two were past-due for re-examination at audit year end. For four tenants, the rent per the most recent 55058 before September 30, 2022 was different than the rent charged per the rental register.
Effect
Errors were made in the amounts calculated and used for tenant rents and HAP payments.
Cause
Quality control checks are not as frequent or as thorough as they should be. This PHA is not large enough to have an Executive Director who just delegates and supervises. The E.D. for a PHA this size has to be at least capable of knowing the Low Rent and Housing Choice Voucher program well enough to check calculations in detail, if he or she is not the front line in doing these calculations. It appears that the last two permanent E.D.s were not capable of this.
Questioned Costs
None
Recommendation
We understand that the Authority is in the process of converting to Project Based Accounting. Calculations before or after the conversion need to be timely reviewed and documented.
View of Responsible Officials and Planned Corrective Action
With the assistance of our consultant, we are trying to correct the errors noted above.