Finding 608475 (2022-003)

Material Weakness
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-05-29
Audit: 37231
Organization: City of Ashland (KY)

AI Summary

  • Core Issue: The PHA failed to maintain required tenant documentation, including family applications and income verification.
  • Impacted Requirements: Compliance with HUD regulations (24 CFR § 982.158) regarding documentation retention for the Housing Choice Voucher Program.
  • Recommended Follow-Up: Implement procedures to ensure all necessary documents are properly scanned and stored in tenant files to prevent future noncompliance.

Finding Text

2022-003 FEDERAL COMPLIANCE ? TENANT DOCUMENTATION Federal Program Name: Housing Choice Voucher Program Catalog of Federal Domestic Assistance Number: 14.871 Federal Agency: U.S. Department of Housing and Urban Development Compliance Requirement: Eligibility Criteria: 24 CFR ? 982.158 states "during the term of each assisted lease, and for at least three years thereafter, the PHA must keep (1) a copy of the executed lease; (2) the HAP contract; and (3) the application from the family. Condition: During our testing of tenant files, we noted two instances in which the PHA was not able to provide the family application, income verification documentation, and executed lease and HAP contract. Additionally, we noted two instances in which the documentation for interim recertifications due to a loss of income was not included in the tenant files. Effect and Questioned Costs: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend that procedures be implemented to ensure that documentation is maintained in accordance with HUD requirements. Management?s Response: Our agency has implemented a scanning system which prints bar codes on each document that automatically goes to the correct tenant file. After documents have been signed they are scanned in. This will help alleviate misplaced documents/files. Staff has also been instructed to always put any type of correspondence with tenants in the electronic tenant file.

Categories

HUD Housing Programs Eligibility

Other Findings in this Audit

  • 32031 2022-001
    Material Weakness
  • 32032 2022-002
    Material Weakness
  • 32033 2022-003
    Material Weakness
  • 32034 2022-004
    Material Weakness
  • 32035 2022-005
    Material Weakness
  • 32036 2022-006
    Material Weakness
  • 32037 2022-007
    Material Weakness
  • 32038 2022-008
    Material Weakness
  • 608473 2022-001
    Material Weakness
  • 608474 2022-002
    Material Weakness
  • 608476 2022-004
    Material Weakness
  • 608477 2022-005
    Material Weakness
  • 608478 2022-006
    Material Weakness
  • 608479 2022-007
    Material Weakness
  • 608480 2022-008
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $3.54M
20.507 Federal Transit_formula Grants $974,424
14.218 Community Development Block Grants/entitlement Grants $315,263
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $59,522
95.001 High Intensity Drug Trafficking Areas Program $48,379
20.616 National Priority Safety Programs $520