Finding Text
Federal Program ? U.S. Department of Housing and Urban Development AL #14.850 ? Significant Deficiency Criteria ? The Program requires the Agency to obtain and document in the family file third party verification of: (1) reported family annual income; (2) 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, for both family income examinations and reexaminations. Condition ? During our review of 15 files, we found one file without support for medical expense deductions. Cause ? In one instance, the Agency did not maintain supporting documentation for medical expense deductions. Context ? We reviewed a sample of 15 files of the Agency?s 144 outstanding tenant files for eligibility requirements. Effect ? Annual income amount for the family reported by the Agency was understated, resulting in a lower total tenant payment (TTP). Repeat Finding ? Not a repeat finding. Recommendation ? We recommend that tenant file review procedures be established and ensure all required documentation is available to support the tenant?s income and eligibility. Views of Responsible Officials and Planned Corrective Actions ? We are aware of the issue and have taken subsequent steps to ensure compliance with this requirement.