Finding Text
FAL number and name: 14.871 Section 8 Housing Assistance Payments and 14.EHV Emergency Housing Vouchers
Award numbers and years: N/A and 2023
Federal agency: U.S. Department of Housing and Urban Development
Compliance requirements: Eligibility
Questioned Costs: N/A
Criteria:
In accordance with 24 CFR 5.601, Public Housing Agencies (PHAs) should maintain effective internal control policies and procedures to determine income eligibility requirements and calculate tenants' rent payments.
Condition:
The Authority did not have someone other than the preparer review and approve the eligibility determinations.
Cause:
The Authority lacked proper internal control over the tenants' eligibility determination process.
Effect:
There is an increased risk that eligibility determinations could contain errors that the Authority may not detect or correct in a timely manner.
Recommendation:
The Authority should establish policies and procedures to ensure that tenants' eligibility determinations will be reviewed and approved by an employee that is independent of the initial eligibility determination.