Finding Text
Federal agency: U.S. Department of Housing and Urban Development
Federal program title: Public and Indian Housing
Assistance Listing Number: 14.850
Federal Award Identification Number and Year: CA005/CA007 2022
Award Period: January 1, 2022 – December 31, 2022
Type of Finding:
• Material Weakness in Internal Control over Compliance, Material Noncompliance
Criteria or specific requirement: Special Tests and Provisions-Waiting List New Tenants (City)
The PHA must establish and adopt written policies for admission of tenants. The PHA tenant selection policies must include requirements for applications and waiting lists, description of the policies for selection of applicants from the waiting lists, and policies for verification and documentation of information relevant to acceptance or rejections of an applicant (24 CFR sections 960.202 through 960.206).
Condition: During the testing of the LIPH for the City and County files certain special provision compliance deficiencies were noted.
City
-1 instances where the initial signed application was missing.
-2 instances where the tenant file was missing a copy of the selection letter.
-1 instance where the tenant was not selected in accordance with the PHA’s selection policies.
County
-3 instances where the tenant file was missing a copy of the selection letter.
Questioned costs: None
Context: Out of the 13 total files tested, 6 contains errors as noted above.
Cause: The Authority failed to provide required documentation to be in compliance with program requirements.
Effect: The Authority is not in compliance with federal regulations regarding the maintenance of the LIPH waiting lists.
Repeat Finding: This is a Repeat finding. (2021-005)
Recommendation: WE recommends management to assign a person that verifies all the documents are in place before processing new move ins.
Views of responsible officials: There is no disagreement with the audit finding.