Finding Text
2022-002 Ineligible Expenditures Federal Program: Housing Choice Voucher Program, CFDA No. 14.871 Criteria: All payments must be eligible items under federal guidelines. Condition: During the fiscal year ending June 30, 2022 CARES Act funds were used to provide funds to the board members. Each board member was provided a check in the amount of $2,500. Two of the board members returned their check prior to cashing them once they found out it was not allowed. Questioned costs: $5,000. Effect: Payments were made that are not allowable under HUD of federal guidelines. Cause: PHA was not aware of the limitations in place for payments made to board members. Repeat Finding: This finding was reported in the prior audit as item 2021-002. Recommendation: Reimbursement for the payments should be made to the Housing Authority. Views of responsible officials and planned corrective actions: We have begun the process of reimbursing the amounts paid to the board members and will refrain from making these payments in the future.