Finding 966747 (2023-002)

2023-002 Special Tests and Provisions - Waiting List Public and Indian Housing Program - AL No. 14.850 Significant deficiency in internal control Other matter required to be reported in accordance with Uniform Guidance Condition: Out of 40 applicants that were selected from the waiting list for testing, 14 lacked documentation to show their current status and whether they were given the opportunity to be housed. In addition, there were difficulties obtaining any historical waiting lists for the Public Housing properties. Context: The auditor haphazardly selected 20 tenants each from two of the Authority’s larger Public Housing properties. The auditor reviewed the applicant file and support to ensure that proper procedures are being followed and that the Authority is in compliance with HUD requirements regarding waiting list maintenance and new admissions. Criteria: The Authority is required to maintain a waiting list and admit tenants based on the waiting list in accordance with HUD requirements in 24 CFR 960 (Subpart B) and the Authority’s policies as stated in the ACOP. Cause: The Authority did not have adequate internal controls in place over waiting lists and new admissions at each of its Public Housing properties to ensure applicants were properly given the opportunity to be housed. Effect: The Authority is not in compliance with waiting list maintenance and new admission policies. Questioned Costs: None. Auditor’s Recommendations: The Authority should implement archiving procedures for its historical waiting lists on a routine basis. In addition, the Authority should document for proper auditing purposes, those given the opportunity to be housed from the waiting list and their current status. The Authority should provide proper training for all staff at the properties to ensure procedures and policies are being followed consistently across all of the Authority’s Public Housing properties. View of Responsible Officials: See Corrective Action Plan.