Finding 971480 (2024-002)

- Repeat Finding
Requirement
EN
Questioned Costs
-
Year
2023
Accepted
2024-04-29
Audit: 304973
Organization: City of Ashland (KY)

AI Summary

  • Core Issue: Tenant files had multiple documentation errors affecting eligibility and benefit calculations.
  • Impacted Requirements: Compliance with HUD's documentation standards for tenant eligibility and rent reasonableness.
  • Recommended Follow-Up: Implement procedures to ensure proper documentation is maintained and regularly reviewed.

Finding Text

2024-002 FEDERAL COMPLIANCE – TENANT DOCUMENTATION Federal Program Name: Housing Choice Voucher Program Catalog of Federal Domestic Assistance Number: 14.871 Federal Agency: U.S. Department of Housing and Urban Development Compliance Requirement: Eligibility and Special Provisions Criteria: HUD requires Public Housing Authorities (PHA) to properly document the eligibility of tenants, properly calculate benefits based on tenant income and determine rent is reasonable. Condition: During our testing of compliance with Section 8 requirements, we noted several errors while reviewing 40 tenant files. These include the following: • Three instances in which the income utilized to calculate benefits did not agree to documentation in the tenant file. • One instance in which a tenant was accepted due to homeless status, but documentation of homelessness was not included in the tenant file. • Rent Reasonableness Form with no conclusion as to whether rent was reasonable. Effect and Questioned Costs: Noncompliance with HUD requirements. Repeat Finding: Yes Recommendation: We recommend that procedures be implemented to ensure that documentation is maintained in accordance with HUD requirements. Management’s Response: Our agency has implemented a scanning system which prints bar codes on each document that automatically goes to the correct tenant file. After documents have been signed they are scanned in. This will help alleviate misplaced documents/files. Staff has also been instructed to always put any type of correspondence with tenants in the electronic tenant file.

Categories

HUD Housing Programs Eligibility Special Tests & Provisions

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $3.98M
14.218 Community Development Block Grants/entitlement Grants $512,360
20.507 Federal Transit_formula Grants $169,023
20.205 Highway Planning and Construction $164,439
95.001 High Intensity Drug Trafficking Areas Program $47,657
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $30,736
20.600 State and Community Highway Safety $595