Finding 607611 (2022-001)

Significant Deficiency Repeat Finding
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-09-27

AI Summary

  • Core Issue: The Authority lacks adequate internal controls to ensure compliance with HCVP eligibility requirements.
  • Impacted Requirements: Inaccurate reporting on the HUD-50058 affects housing assistance payments due to missing or incorrect income and deduction verifications.
  • Recommended Follow-Up: Implement processes to ensure all necessary documentation is collected and accurately reported to meet HUD requirements.

Finding Text

2022-001 HCVP Eligibility (Continued) Condition: During our testing, we noted the Authority did not have adequate internal controls designed to ensure that eligibility requirements were being met. Questioned Costs: Unknown Context: Out of 60 tenants tested, we noted 10 instances where there was a difference between the third-party verification and what was reported on the HUD-50058, all of which could have a potential impact on the housing assistance payments (HAP) calculation. Our sample was a statistically valid sample. ? 7 instances of missing third-party verification information of income. ? 4 instances of missing or incorrect verification of deductions/exclusions Cause: The Authority does not have controls in place to ensure it is meeting all eligibility requirements set by HUD. Effect: The Authority is not in compliance with program requirements over eligibility. The instances above could impact the HAP calculation. Effect: This finding is a repeat finding in the immediate prior year. Prior year finding number was 2021-003. Recommendation: The Authority should implement processes to ensure that all documentation is received and that the correct inputs are being accurately reported on the HUD-50058. View of Responsible Officials: Management agrees with the finding.

Categories

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

Other Findings in this Audit

  • 31163 2022-001
    Significant Deficiency Repeat
  • 31164 2022-002
    Significant Deficiency Repeat
  • 31165 2022-003
    Material Weakness Repeat
  • 31166 2022-001
    Significant Deficiency Repeat
  • 31167 2022-002
    Significant Deficiency Repeat
  • 31168 2022-003
    Material Weakness Repeat
  • 31169 2022-001
    Significant Deficiency Repeat
  • 31170 2022-002
    Significant Deficiency Repeat
  • 31171 2022-003
    Material Weakness Repeat
  • 31172 2022-004
    Significant Deficiency Repeat
  • 607605 2022-001
    Significant Deficiency Repeat
  • 607606 2022-002
    Significant Deficiency Repeat
  • 607607 2022-003
    Material Weakness Repeat
  • 607608 2022-001
    Significant Deficiency Repeat
  • 607609 2022-002
    Significant Deficiency Repeat
  • 607610 2022-003
    Material Weakness Repeat
  • 607612 2022-002
    Significant Deficiency Repeat
  • 607613 2022-003
    Material Weakness Repeat
  • 607614 2022-004
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $56.59M
14.879 Mainstream Vouchers $2.37M
14.850 Public and Indian Housing $1.59M
14.872 Public Housing Capital Fund $1.52M
14.896 Family Self-Sufficiency Program $180,000
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $153,595
14.871 Emergency Housing Vouchers $63,235