Finding 608476 (2022-004)

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

AI Summary

  • Core Issue: The PHA failed to conduct the required number of quality control re-inspections, completing only 12 out of 13 needed.
  • Impacted Requirements: Compliance with 24 CFR § 982, which mandates a proper sample size and independent inspectors for quality control inspections.
  • Recommended Follow-Up: Ensure future re-inspections meet the required sample size and are conducted by different individuals than those who performed the original inspections.

Finding Text

2022-004 FEDERAL COMPLIANCE ? QUALITY CONTROL INSPECTIONS 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: Special Tests and Provisions Criteria: 24 CFR ? 982 includes requirements and guidelines for PHA?s to perform Housing Quality Standards (?HQS?) inspections for all housing units and quality control re-inspections for a sample of units every year. The sample size of units selected for quality control re-inspections are to be calculated in accordance 24 CFR ? 982.2(b). Condition: We noted that the PHA should have performed 13 quality control re-inspections, but only completed 12. However, 1 of those re-inspections was performed by the same individual performing the original inspection on the same day of the original inspection. Additionally, all of the re-inspections were completed for units at the Harbor Hill complex and, therefore, do not represent a cross section of neighborhoods. Effect and Questioned Costs: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend that the PHA comply with quality control re-inspection requirements by calculating the appropriate sample size with the sample representing a cross section of neighborhoods and that the re-inspections be performed by someone other than the individual or completed the original inspection. Management?s Response: Quality Control inspections are currently being scheduled as per 24 CFR 982.2(b). Inspections will be performed on both Section 8 properties and Project Based properties. All QC inspections will be completed by Property Maintenance Manager.

Categories

HUD Housing Programs Special Tests & Provisions

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
  • 608475 2022-003
    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