FAC Explorer

Finding 979297 (2023-001)

Significant Deficiency
Requirement
BL
Questioned Costs
$1
Year
2023
Accepted
2024-06-26
Audit: 310040
Organization: Scott County Redevelopment and Housing Authority (VA)
Auditor: Bostic Tucker and Company PC

AI Summary

  • Core Issue: HUD program funds are being improperly used to support another program, resulting in over $42,000 in inter-program transactions.
  • Impacted Requirements: There is a lack of internal controls to detect this non-compliance, which is critical for proper fund management.
  • Recommended Follow-Up: Establish robust internal controls to prevent future misuse of HUD funds and address the growing inter-program balances.

Finding Text

HUD program funds cannot be used to support or supplement another program. The Authority has inter-program payable and receivable in excess of $42,000 at year end between the two affected activities as shown of the attached FDS (Lines 144 and 347). Amounts in the subsequent year are nearly double those at year end. Internal control to detect the non-compliance issue has not been established.

Categories

Questioned Costs HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 402855 2023-001
    Significant Deficiency
  • 402856 2023-001
    Significant Deficiency
  • 979298 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $810,081
14.872 Public Housing Capital Fund $341,282
14.850 Public and Indian Housing $314,036