Finding Text
Material Weakness in Internal Control over Compliance and Material Noncompliance
2023-004 HOME Investment Partnership Program, ALN. 14.239
Award Period: July 1, 2022 – June 30, 2023
Compliance Requirement: Special Tests and Provisions
Criteria or Specific Requirement: The Code of Federal Regulations (CFR) Title 24 Part 92.504(d) states that during the
period of affordability, the participating jurisdiction must perform on-site inspections of HOME-assisted rental
housing to determine compliance with the property standards of § 92.251 and to verify the information submitted by
the owners in accordance with the requirements of § 92.252. The inspections must be in accordance with the
inspection procedures that the participating jurisdiction establishes to meet the inspection requirements of § 92.251.
Condition and Context: For one (1) out of nine (9) inspections selected for testing in our audit sample, the inspection
was not conducted within the required timeframe in accordance with federal requirements.
Questioned Costs: None
Cause: Procedures were not in place to perform inspections timely for all inspections.
Effect: Noncompliance with the federal grant program occurred.
Repeat Finding: No.
Recommendation: We recommend procedures be strengthened to perform inspections timely for all inspections.
Views of Responsible Officials: Management agrees with the finding.