Finding Text
Department of Housing and Urban Development Finding 2022-001 Section 202 Supportive Housing for the Elderly, Assistance Listing No. 14.157 Statement of Condition Management did not maintain a documented wait list for potential tenants. Criteria In accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, management is required to maintain a wait list in order to ensure that applicants are admitted in the proper order and to document proper admission and denial procedures. Cause No procedures were in place to create and maintain a wait list for applicants during the transition to new management and new ownership. Effect Tenants may not have been admitted in accordance with HUD guidelines. Recommendation Management should establish procedures to create and maintain a wait list for applicants in accordance with HUD guidelines to ensure that applicants are admitted in the proper order and that the process for applicants admitted and denied from the wait list is properly documented, even during transition of management and/or ownership. Auditor Noncompliance Code: R - Section 8 program administration; E - Eligibility (UG) Finding Resolution Status: Unresolved - As the property has been sold, management plans to contact HUD to determine the appropriate handling of this situation. Reporting Views of Responsible Officials Management agrees with the finding.