Finding 582123 (2023-001)

Significant Deficiency
Requirement
EN
Questioned Costs
-
Year
2023
Accepted
2023-12-20
Audit: 7627
Auditor: Rbt CPAS

AI Summary

  • Core Issue: The Authority is not properly documenting controls for key areas like Eligibility and Rent, risking potential noncompliance.
  • Impacted Requirements: Compliance with federal laws and internal controls is necessary for receiving federal awards.
  • Recommended Follow-Up: Create a checklist for Tenant Housing Representatives to verify compliance during recertification, ensuring documentation is maintained in tenant files.

Finding Text

2023-001 – Documentation of Controls U.S. Department of Housing and Urban Development 14.871 – Section 8 Housing Choice Vouchers Condition: During review of the Housing Choice Voucher program, RBT noted that the Authority was not appropriately documenting the controls over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Criteria: As a condition of receiving federal awards, the PHA agrees to comply with laws, regulations, and the provisions of grant agreements and contracts, and to also maintain internal controls to provide reasonable assurance of compliance with these requirements. Cause: The Authority does not have a central, uniform location to document the controls in place over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Effect: Potential noncompliance if a control is missed. Questioned Costs: None identified. Perspective: This is a systemic issue. Repeat Finding: Not a repeat finding. Recommendation: We recommend that the Authority establish a checklist for the Tenant Housing Representatives to use during the recertification process to ensure all compliance requirements are met. The checklist should be signed or initialed by the representative and maintained in the tenant’s file. This checklist will serve as documentation that all compliance requirements were verified for the tenant. Auditee’s Response: See corrective action plan.

Categories

HUD Housing Programs Eligibility Internal Control / Segregation of Duties Special Tests & Provisions

Other Findings in this Audit

  • 5681 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.850 Public and Indian Housing $1.13M
14.872 Public Housing Capital Fund $395,067
14.871 Section 8 Housing Choice Vouchers $97,976