Finding 588686 (2022-002)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-09-28

AI Summary

  • Core Issue: Deficiencies were found in 11 New Construction Section 8 tenant files, including missing income verification and waiting list support.
  • Impacted Requirements: Compliance with 24 CFR requirements for public housing eligibility was not met due to untimely recertifications.
  • Recommended Follow-Up: The Authority should enhance internal control procedures to prevent future errors and has committed to reviewing these procedures in FY 2023.

Finding Text

2022-2 Condition: Deficiencies Noted in Examination of New Construction Section 8 Tenant Files Eleven (11) New Construction Section 8 files were selected for audit: 1 file lacked accurate 3rd party income verification which resulted in an unverified rent calculation. 1 file lacked waiting list support for New Admission to the program. Assistance Listing No.: 14.182 Questioned Costs: None Criteria: 24 CFR requirements for public housing eligibility Cause/Effect: The Authority failed to recertify participants in a timely manner. Recommendations: We recommend the Authority implement internal control procedures which will eliminate such errors. Reply: We will review the internal control procedures over tenant file re-certifications and documents. Management has implemented procedures in order to clear this finding in FY 2023.

Categories

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

Other Findings in this Audit

  • 12243 2022-001
    Significant Deficiency Repeat
  • 12244 2022-002
    Significant Deficiency
  • 588685 2022-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
14.182 Section 8 New Construction and Substantial Rehabilitation $650,633
14.850 Public and Indian Housing $440,661
10.427 Rural Rental Assistance Payments $102,786