Finding Text
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879
Federal Award Identification Number and Year Not applicable
Pass through Entity Not applicable
Finding Type Material weakness and material noncompliance with laws and regulations
Repeat Finding Yes 2022 001
Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must:
a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility.
b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income, (2) the value of assets, (3) expenses related to deductions from annual income, and (4) other factors that affect the determination of adjusted income or income based rent.
c. Determine income eligibility and calculate the tenant’s rent payment using the documentation from third party verification.
d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list).
e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification.
Condition The Commission did not complete fiscal year 2023 recertifications.
Questioned Costs Unknown
Identification of How Questioned Costs Were Computed Not applicable
Context 60 tenant files were tested, and the results are as follows:
A total of 5 participant files did not include fiscal year 2023 recertifications.
Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect.
Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually.
Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned.
On a weekly basis, the department manager will review the certification pipeline to ensure compliance and follow up with the housing specialist to ensure compliance and that set weekly and monthly goals and metrics are met.