Finding Text
Criteria
Management is responsible for using the EIV system in accordance with the requirements of HUD handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs.
Statement of Condition
During the procedures applied to a statistically valid sample of 33 tenant lease files, we noted the following instances of noncompliance with HUD regulations regarding the use of the Enterprise Income Verification ("EIV") system. See details below:
1. Three instances where the Project did not obtain the required forms for new tenants from the EIV system within 90 days of the tenant being entered into the Tenant Rental Assistance Certification System.
2. Four instances where the Project did not obtain the required forms from the EIV system before the required recertification date for existing tenants.
Cause
The project failed to follow the policies and procedures which have been established for proper use of the EIV system in accordance with HUD guidelines.
Effect or Potential Effect
Noncompliance with HUD Guidelines could result in errors in the rent subsidies paid by HUD.
Questions Costs
$0
Recommendation
Management should establish procedures and monitor compliance with those procedures to ensure that the use of the EIV system is in accordance with guidelines specified by HUD.
Finding Resolution Status:
Completed
Reporting Views of Responsible Officials
The AUthority agrees with the finding. The Authority has previously established procedures that will be reinforced with our management and compliance personnel to ensure proper use of the EIV system.