Finding 599219 (2022-005)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-06-29

AI Summary

  • Core Issue: The Authority lacks adequate internal controls for submitting HUD-50058 forms, resulting in non-compliance with federal reporting requirements.
  • Impacted Requirements: Submission of HUD-50058 forms is mandatory for various family changes, and failure to comply can affect Housing Assistance Payment (HAP) funding.
  • Recommended Follow-Up: The Authority should review and enhance their procedures to ensure all required forms are submitted accurately to the PIC system.

Finding Text

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: LA003, 2022 Award Period: 10/1/21-9/30/22 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or Specific Requirement: HUD-50058, Family Report (OMB No. 2577-0083) ? The PHA is required to submit this form electronically to HUD each time the PHA completes an admission, annual reexamination, interim reexamination, portability move-in, or other change of unit for a family. The PHA must also submit the Family Report when a family ends participation in the program or moves out of the PHA?s jurisdiction under portability (24 CFR Part 908 and 24 CFR section 982.158). Condition: During testing, it was noted that the Authority did not have adequate internal controls designed to ensure compliance with reporting requirements regarding submissions of HUD-50058?s into the PIC system for 5 out of 40 files tested. Questioned Costs: Unable to determine. Context: During testing of a sample of 40 HUD 50058 forms, it was noted that 5 files did not comply with compliance requirements. The sample was a statistically valid sample. ? 5 HUD-50058 forms were not submitted into the PIC system Cause: The Authority did not have internal controls to ensure compliance with the reporting requirements over submitting the required forms into the PIC system. Effect: The Authority is not in compliance with federal regulations regarding the submission of the HUD-50058 to PIC. The inaccurate data could potentially effect determination of HAP funding. Recommendation: We recommend that the Authority reviews their standard procedures to ensure the proper forms are submitted to the PIC system. Views of Responsible Officials: There is no disagreement with the audit finding.

Categories

HUD Housing Programs Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 22667 2022-008
    Material Weakness
  • 22668 2022-009
    Significant Deficiency
  • 22669 2022-010
    Material Weakness
  • 22774 2022-002
    Significant Deficiency Repeat
  • 22775 2022-003
    Significant Deficiency
  • 22776 2022-004
    Material Weakness
  • 22777 2022-005
    Significant Deficiency
  • 22778 2022-006
    Material Weakness
  • 22779 2022-007
    Material Weakness
  • 599109 2022-008
    Material Weakness
  • 599110 2022-009
    Significant Deficiency
  • 599111 2022-010
    Material Weakness
  • 599216 2022-002
    Significant Deficiency Repeat
  • 599217 2022-003
    Significant Deficiency
  • 599218 2022-004
    Material Weakness
  • 599220 2022-006
    Material Weakness
  • 599221 2022-007
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $34.48M
14.850 Public and Indian Housing $3.44M
14.872 Public Housing Capital Fund $1.23M
14.892 Choice Neighborhoods Planning Grants $1.08M
14.871 Covid-19 Housing Choice Voucher Program Cares Act Funding $183,232
14.871 Covid 19 Emergency Housing Vouchers $145,321
14.249 Section 8 Moderate Rehabilitation Single Room Occupancy $107,929
14.870 Resident Opportunity and Supportive Services $61,945