U.S. Department of Housing and Urban Development
Wanamaker Building, Suite 1005
100 Penn Square East
Philadelphia, PA 19107-3380
District Inspector General for Audit
December 27, 1996
Audit Related Memorandum
No. 97-PH-203-1801
MEMORANDUM FOR: Paul W. LaMarca, Director, Public Housing
Division, Pittsburgh Area Office, 3EPH
FROM: Edward F. Momorella, District Inspector General
for Audit, Mid-Atlantic, 3AGA
SUBJECT: Citizen Complaint
Pittsburgh Housing Authority
Section 8 Program
Pittsburgh, Pennsylvania
Based on an anonymous citizen complaint we performed a limite d
review of the Pittsburgh Housing Authority's Section 8 Program.
We interviewed Authority staff, performed Housing Quality St andards
(HQS) inspections, reviewed tenant and owner files, and reviewe d
exception rent processing.
RESULTS OF REVIEW
1. HQS Inspections
Nine of fourteen properties inspected failed HQS. Three property
failures could be attributed t o inspector oversight. The property
addres ses and deficiencies were provided to your staff. Th e
Authority took immediate action to affect repairs.
2. Exception Rents
We were unable to confirm comp arability data used to qualify units
for exception rent. For the five units sampled the Authorit y
prepared a comparability analysis worksheet for all units re ceiving
except ion rent. However, the Authority was unable to locat e
suppo rting documentation for comparable units listed on th e
analysis worksheets for four units. Supporting documentation for
two units was inconsistent with the data recorded on the analysis
worksheet. Independent confirmations with rental agents and owners
of comparable units was incons istent with Authority recorded data.
Visit the Office of Inspector General's World Wide Web site at http://www.hud.gov/oig/oigindex.html
2
The Authority maintained data sheets on comparable units for each
geogra phic area. However these data sheets were used fo r
processing both exception rents and annual adjustment factor rent
increases. The Authority indicated that when comparability data is
used for annual adjustment rent increases the original data sheet
is transferred to unit folders and therefore would be difficult to
loc ate. Source documentation for the comparability analysi s
worksheets is not retained in the exception rent unit folders. As
a result the Authority would be unable to locate exception ren t
comparability data without 100% unit folder review.
The Section 8 coordinator was not aware that original compar ability
data was not being retained in a control file. Changes are planned
to make the process more efficient.
3. Total Tenant Payment Calculations
The Authority did not properly calculate Total Tenant Paymen t (TTP)
for tw o of 14 tenant files reviewed. As a result, the Authorit y
owes two tenants a total of $392.
For one tenant, the Authority did not properly verify income fo r
the recertifications effective February 1, 1994 and 1995. Th e
Authority used income verifications from prior years. Th e
Authority also included an income source twice when calculat ing the
TTP for the recertification pe riod effective February 1, 1994. As
a result, the tenant is owed $72.
For an other tenant the Authority did not consider an elderl y
allowance in the recertifications computation effective April 1 ,
1994 through November 13, 1996. As a result, the tenant is owe d
$320 for the period April 1, 1994 through November 13, 1996.
The Authority agreed with the discrepancies and is in the process
of processing recertifications and refunds.
No other deficiencies were noted.
RECOMMENDATIONS
We recommend you confirm the:
1A Timely repair of the Section 8 units cited for HQS violation s.
1B Revision of the Authority's system for processing exceptio n
rents.
1C Rectification of tenants overpayments.
****
Based on the results of our review no further audit work is planned
at this time.
Should you have any questions please contact Irving I. Guss ,
Assistant District Inspector G eneral for Audit, at (215) 656-3401.
Attachment - Distribution
CC: OSWALD
CIANCI
3AGA:GUSS:AMP:12/24/96
Correspondence
Code 3AGA
Concurrence GUSS
Date
Attachment
DISTRIBUTION
Secretary's Representative, Mid-Atlantic, 3AS
Internal Control & Audit Resolution Staff, 3AFI
Director, Public Housing Division, Pittsburgh Area Office, 3EPH
Pittsburgh Area Coordinator, 3ES
Associate General Council Office of Asst Housing and CD, CD (Room
8162)
Assistant to the Deputy Secretary for Field Management, SDF (Room
7106)
Public and Indian Housing, Comptroller, PF (Room 5156)
Chief, Financial Officer, F (Room 10164)
Deputy Chief Financial Officer for Finance, FF (Room 10164)
Director, Housing and Community Development Issue Area, U.S. GAO,
441 G Street, NW, Room 2474, Washington, DC 20548
REPORT NAME: Citizen Complaint
Section 8 Program
Pittsburgh, Pennsylvania
REPORT NO: 97-PH-203-1801
ISSUE DATE: December 30, 1996
REGIONAL OFFICE (NON-OIG)
Secretary's Representative, Mid-Atlantic, 3AS 1
Internal Control & Audit Resolution Staff, 3AFI 1
Director, Public Housing Division, Pittsburgh Area Office,3EPH 1
Pittsburgh Area Coordinator, 3ES 1
HEADQUARTERS (NON-OIG)
Associate General Council Office of Asst Housing and CD, CD (Room 8162) 1
Assistant to the Deputy Secretary for Field Management, 1
SDF (Room 7106)
Public and Indian Housing, Comptroller, PF (Room 5156), Barbara Burkhalter 3
Chief Financial Officer, F (Room 10164) 2
Deputy Chief Financial Officer for Finance, 2
FF (Room 10164)
HEADQUARTERS (OIG)
Assistant Inspector General, Office of Audit, GA (Room 8286) 1
Michael R. Phelps, Deputy Assistant Inspector General for 1
Audit, GA (Room 8286)
James M. Martin, Director, Research & Planning 1
Division, GAP (Room 8180)
Director, Financial Audits Division, GAF (Room 8286) 1
Central Files, (Room 8266) 4
Semi-Annual Report Coordinator, (Room 8254) 1
DISTRIBUTION OUTSIDE HUD
Director, Housing and Community Development Issue Area, 1
US GAO, 441 G Street, NW, Room 2474, 23
Washington, DC 20548 Attn: Judy England-Joseph
From:
Edward F. Momorella, DIGA, Mid-Atlantic
Wanamaker Building, Suite 1005
100 Penn Square East
Philadelphia, PA 19107-3380
Pittsburgh HA, Pittsburgh, PA
Published by the Department of Housing and Urban Development, Office of Inspector General on 1996-12-27.
Below is a raw (and likely hideous) rendition of the original report. (PDF)