Finding 8754 (2019-005)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2019
Accepted
2024-01-17
Audit: 11974
Organization: Town of Guilderland (NY)

AI Summary

  • Core Issue: Missing signatures on certification forms for HUD program compliance.
  • Impacted Requirements: Compliance with 24 CFR § 5.659, which mandates that all information provided must be true and complete.
  • Recommended Follow-Up: Ensure all required signatures are present on documentation and enhance training for new employees on the electronic signature system.

Finding Text

Significant Deficiency; 2019-005 Certification Signatures; Information on Federal Program: U.S Department of Housing and Urban Development Assistance Listing No. 14.871.; Criteria: According to 24 CFR § 5.659, any information supplied by the family must be true and complete. The Certification Form is the documentation utilized for the family and program manager to attest that all information that has been provided is true and complete.; Statement of Condition: Three certification forms examined were missing either the family signature or the program manager.; Statement of Cause: Due to the automated signature system not being set up for a particular employee, there were forms that were missing the program manager signature. Signatures of the family missing were an oversight.; Statement of Effect: The HUD program was not in compliance with federal guidelines.; Questioned Cost: None.; Repeat Finding: No.; Perspective Information: As part of testing the compliance requirements of the program, a sample of certification forms is examined to ensure proper signatures are present.; Recommendation: The program administrator should ensure that all signatures are present on all required documentation.; Views of responsible officials and Planned Corrective Actions: The Town contracts with a third-party administrator for our Section 8 housing program. Their document creation system incorporates an automated signature feature that facilitates the placement of scanned signatures on forms during the review and printing process by case-workers. Unfortunately, during the training of a new employee on their system, an oversight occurred in setting up their electronic signature, resulting in missing signatures on a small number of certification forms. To address this issue, they have enhanced their "New User Checklist" to include a specific step for configuring electronic signatures for new employees. Additionally, the employees responsible for these oversights have been replaced, and the incident prompted a thorough review of their procedures. The current department managers have implemented training protocols to ensure that staff verify all signatures on documents. Additionally, third-party audits for various municipalities as well as their SOC audit have been conducted subsequently and did not reveal any additional instances of certification forms missing signatures.

Corrective Action Plan

Finding Reference: 2019-005 Certification Signatures; Description: Three certification forms examined were missing either the family signature or the program manager.; Recommendation: The program administrator should ensure that all signatures are present on all required documentation.; Corrective Action: The Town contracts with a third-party administrator for our Section 8 housing program. Their document creation system incorporates an automated signature feature that facilitates the placement of scanned signatures on forms during the review and printing process by case-workers. Unfortunately, during the training of a new employee on their system, an oversight occurred in setting up their electronic signature, resulting in missing signatures on a small number of certification forms. To address this issue, they have enhanced their "New User Checklist" to include a specific step for configuring electronic signatures for new employees. Additionally, the employees responsible for these oversights have been replaced, and the incident prompted a thorough review of their procedures. The current department managers have implemented training protocols to ensure that staff verify all signatures on documents. Additionally, third-party audits for various municipalities as well as their SOC audit have been conducted subsequently and did not reveal any additional instances of certification forms missing signatures.; Person(s) Responsible for Corrective Action: Joseph E Mastrianni, Inc.- administrator for the Section 8 Housing Program; Anticipated Completion Date for Corrective Action: The Corrective Actions noted above were implemented in early 2020.

Categories

HUD Housing Programs Significant Deficiency

Other Findings in this Audit

  • 8752 2019-003
    Material Weakness Repeat
  • 8753 2019-004
    Material Weakness
  • 585194 2019-003
    Material Weakness Repeat
  • 585195 2019-004
    Material Weakness
  • 585196 2019-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $686,322
14.896 Family Self-Sufficiency Program $65,919
20.600 State and Community Highway Safety $24,485
16.607 Bulletproof Vest Partnership Program $412