Finding 977283 (2023-002)

Finding: 2023-002 Lack of Proper Review – Allowable Activities/Costs, Eligibility, Reporting, and Special Provisions Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program Assistance Listing Number: 14.871 and 14.879 Federal Award Identification Number and Year: N/A Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: December 31, 2023 Type of Finding: Material Weakness in Internal Control Over Compliance Condition: There is minimal oversight of the housing manager duties which include determining eligibility, reporting requirements, selection from the waiting list, reasonable rent calculations, inspections, and housing authority payment. Criteria or Specific Requirement: The HRA is required to have controls in place to ensure eligible persons are receiving benefits and that the program is meeting all of the federal requirements. Context: During testing, it was noted that there is minimal oversight of the housing manager duties which include determining eligibility, reporting requirements, selection from the waiting list, reasonable rent calculations, inspections, and housing authority payment. Effect: There is potential for error in reports, selections or ineligible individuals receiving benefits. Cause: Lack of personnel. Repeat Finding: No. Recommendation: We recommend the HRA implement controls over all areas of the federal program so that segregation of duties are in place and working. Views of Responsible Officials: There is no disagreement with the audit finding.