Finding 979614 (2023-002)

Capital Fund Program Grants Draws Under Moving to Work (MTW) Budget Lines HUD Moving to Work (MTW) is a separate Assistance Listing Number (ALN). The Authority is transitioning to MTW from traditional Capital Fund Program. During they year the Authority drew capital funds from CFP year 2022 under MTW code 1492, however did not implement MTW during the year. The Authority drew $947,971 of capital funds under 1492 MTW budget line, however did not implement MTW during the fiscal year. The 2022 CFP grant of approximately $2.4 million is all budgeted 1492 MTW and the Authority has spent $0.9 million of the budget. Due to changes in staff, and other programs not ready to implement MTW the Authority did not meet the HUD compliance requirements. The Authority reported Capital Fund draws under 14.872 ALN instead of 14.881 ALN (MTW) in the Schedule of Federal Awards and Financial Datat Schedules (FDS). Furture draws should not be spent until MTW is implemented across the Authority total programs (Public Housing, Housing Choice Voucher and Capital Fund). Management agree with the findings see Corrective Action Plan (CAP)