Finding 584047 (2022-004)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2024-01-05
Audit: 9942
Organization: Jefferson Parish (LA)

AI Summary

  • Core Issue: Jefferson Parish failed to provide eligibility records for 20 tenants and documentation for reasonable rent for 5 tenants in the Housing Choice Voucher programs.
  • Impacted Requirements: Compliance with HUD regulations on participant eligibility determinations and supporting documentation is essential to avoid sanctions.
  • Recommended Follow-Up: Jefferson Parish should implement a formal control system to ensure proper maintenance of eligibility records and documentation moving forward.

Finding Text

2022-004) Eligibility Department of Housing and Urban Development (HUD) – 14.871 Housing Choice Vouchers and 14.879 Mainstream Voucher Program Grant No(s): HUD FY2022 Annual Contributions Contract (ACC) Criteria: HUD regulations and grant awards set the criteria for program participant eligibility determinations. Participant eligibility determinations should be supported by applicable records and supporting documentation. Universe/Population: The universe/population for Eligibility is 47,147 Housing Assistance Payments (HAPs) made to landlords on behalf of program participants during the year ending December 31, 2022. The sample included 60 HAPs for testing of eligibility compliance requirements applicable to the program. Condition: Of the 60 HAPs selected for testing, Jefferson Parish could not provide eligibility determination records or supporting documentation for 20 tenants. In addition, Jefferson Parish could not provide records or supporting documentation to determine that the rent to owner was reasonable at the time of initial leasing for 5 tenants. Cause: Jefferson Parish outsourced management functions of the Housing Choice Vouchers and Mainstream Voucher Programs during part of the year ending December 31, 2022. The outsourced management company maintained the records and supporting documentation. Jefferson Parish was not able to retrieve these documents and provide them to the auditors. Effect: Failure to comply with the reporting requirements may result in sanctions, including: temporary withholding of cash payments, whole or partial suspension of the Federal award, suspension, debarment or limited denial of participation in Department of Housing and Urban Development programs. Questioned Costs: None determined. Identification of a repeat finding: This is not a repeat finding. Recommendation: Jefferson Parish should establish a formalized control to monitor maintenance of participant eligibility determination records and supporting documentation. Management Response: The Housing Services Development District (HSDD) had previously been attempting to reconstruct, where feasible, the client files received from the previous management contractor. We have continued on this effort in an attempt to eliminate the audit finding moving forward. It should be noted, that files effected under the HSDD Management did not contain this deficiency. As such, audit files selected for the 2023 audit year will contain all relevant monitoring documentation.

Categories

HUD Housing Programs Procurement, Suspension & Debarment Subrecipient Monitoring Eligibility Reporting

Other Findings in this Audit

  • 7602 2022-003
    Significant Deficiency Repeat
  • 7603 2022-003
    Significant Deficiency Repeat
  • 7604 2022-004
    Significant Deficiency
  • 7605 2022-004
    Significant Deficiency
  • 584044 2022-003
    Significant Deficiency Repeat
  • 584045 2022-003
    Significant Deficiency Repeat
  • 584046 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $38.88M
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $9.57M
21.023 Emergency Rental Assistance Program $7.91M
14.218 Community Development Block Grants/entitlement Grants $1.57M
14.239 Home Investment Partnerships Program $1.55M
14.231 Emergency Solutions Grant Program $781,935
14.879 Mainstream Vouchers $680,877
66.458 Capitalization Grants for Clean Water State Revolving Funds $655,478
93.658 Foster Care_title IV-E $611,133
10.558 Child and Adult Care Food Program $557,904
17.278 Wia Dislocated Worker Formula Grants $415,779
93.569 Community Services Block Grant $414,933
93.568 Low-Income Home Energy Assistance $348,407
17.259 Wia Youth Activities $284,148
97.039 Hazard Mitigation Grant $283,608
81.041 State Energy Program $251,438
17.258 Wia Adult Program $242,165
20.526 Buses and Bus Facilities Formula, Competitive, and Low Or No Emissions Programs $234,298
14.267 Continuum of Care Program $228,807
14.900 Lead-Based Paint Hazard Control in Privately-Owned Housing $189,409
97.067 Homeland Security Grant Program $174,929
97.029 Flood Mitigation Assistance $134,169
20.507 Federal Transit_formula Grants $113,602
20.525 State of Good Repair Grants Program $49,996
15.916 Outdoor Recreation_acquisition, Development and Planning $44,217
94.002 Retired and Senior Volunteer Program $41,189
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $39,768
10.555 National School Lunch Program $39,388
97.024 Emergency Food and Shelter National Board Program $33,121
20.205 Highway Planning and Construction $30,535
10.553 School Breakfast Program $23,518
11.473 Office for Coastal Management $20,277
97.047 Pre-Disaster Mitigation $14,183
97.042 Emergency Management Performance Grants $9,790
93.074 Hospital Preparedness Program (hpp) and Public Health Emergency Preparedness (phep) Aligned Cooperative Agreements $8,103
93.600 Head Start $3,416
66.125 Lake Pontchartrain Basin Restoration Program (prp) $3,000
16.575 Crime Victim Assistance $1,706
81.042 Weatherization Assistance for Low-Income Persons $135