Finding 610535 (2022-006)

-
Requirement
P
Questioned Costs
$1
Year
2022
Accepted
2022-11-30

AI Summary

  • Core Issue: Errors in calculating social security benefits led to incorrect annual family income assessments.
  • Impacted Requirements: Compliance with the Housing Choice Voucher Guidebook on fixed income calculations was not met.
  • Recommended Follow-Up: Strengthen procedures for tenant rent calculations to prevent future errors.

Finding Text

2022-006: Statement of Condition ? For the Housing Choice Voucher Program, we reviewed 40 files (recertification files and new files) for fiscal year ended March 31, 2022. We reviewed 5 files for tenants who moved out during the fiscal year ended March 31, 2022. We noted 3 instances in which social security benefits were improperly calculated in determining annual family income. Criteria ? Per the Housing Choice Voucher Guidebook (Reexaminations - Section 2.1), ?Fixed income ? mean(s) periodic payments at reasonably predictable levels from one or more of the following sources (including) Social Security, Supplemental Security Income, Supplemental Disability Insurance.? Effect ? For the files referenced above, the following total family income calculation errors were noted: 1) periodic social security benefits were not included, 2) annualized benefits were entered incorrectly in the calculation, and 3) one-time death benefit payment was annualized and included in income. The net effect of these errors was to understate family rent payment by $134 per month. Cause ? Incorrect procedures were followed in regards to calculating social security benefits for inclusion in total family payments. Recommendation ? Procedures surrounding tenant rent calculation processes should be strengthened.

Categories

Questioned Costs HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.872 Public Housing Capital Fund $3.11M
14.871 Section 8 Housing Choice Vouchers $2.38M
14.269 Hurricane Sandy Community Development Block Grant Disaster Recovery Grants (cdbg-Dr) $871,603
14.850 Public and Indian Housing $361,713
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $127,929
14.870 Resident Opportunity and Supportive Services - Service Coordinators $46,477