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We audited the Taylor Housing Commission’s Housing Choice Voucher Program based on our analysis of risk factors relating to public housing agencies in Region 5’s jurisdiction (States of Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin).  Our audit objective was to determine whether the Commission complied with the U.S. Department of Housing and Urban Development’s (HUD) and its own requirements regarding the administration of its program.  Specifically, we wanted to determine whether the Commission correctly calculated and paid housing assistance and utility allowances.

The Commission did not always comply with HUD’s and its own requirements for its program household files.  Specifically, it did not always correctly calculate or maintain documentation to support its calculations of housing assistance payments, and pay housing assistance and utility allowances for its program households.  As a result, it (1) overpaid more than $21,000, (2) underpaid nearly $2,000, and (3) was unable to support nearly $21,000 in housing assistance.

We recommend that the Director of HUD’s Detroit Office of Public Housing require the Commission to (1) reimburse its program, the households, or landlords from non-Federal funds for ineligible housing assistance payments and underpayment of housing assistance and utility allowances, as applicable, (2) support or reimburse its program or households for unsupported housing assistance payments, and (3) implement adequate procedures and controls to address the findings cited in this audit report.