Finding Text
2024-004 FEDERAL COMPLIANCE – UTILITY ALLOWANCES
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: Special Tests and Provisions
Criteria: According to 24 CFR 982.517, the PHA must maintain an up-to-date utility schedule by annually reviewing utility rate data and adjusting its utility allowance schedule if there has been a rate change of 10 percent or more.
Condition: We noted that the utility rate data was analyzed and there was a more than 10 precent change for several categories. However, the utility allowance schedule was not updated during the year.
Effect and Questioned Costs: Noncompliance with 24 CFR 982.517
Repeat Finding: No
Recommendation: We recommend that the PHA implement procedures to ensure that the utility allowance schedule is reviewed and updated annually as necessary with the change being approved by the Board of Commissioners.
Management’s Response: Based on the review of utility rate data during FY24, the utility allowance schedule was updated and approved by the Board of Commissioners in February 2024.