Purpose of Audit

The purpose of our audit was to review the Authority’s internal controls over tenant rents for the period July 1, 2014 through July 31, 2015.

Background

The Plattsburgh Housing Authority is located in the City of Plattsburgh in Clinton County. The Authority, which provides low-income housing for qualified individuals, is governed by an appointed seven-member Board of Commissioners. Budgeted appropriations for the 2015-16 fiscal year total approximately $3.8 million.

Key Findings

• The Authority had no comprehensive written policies and procedures over the billing and collection of tenant rents.
• Billing and collection duties were not properly segregated.
• No one internally reviewed the rent and additional charges posted to tenants’ accounts by the housing assistant supervisor and the account clerk.

Key Recommendations

• Establish written policies and procedures to provide adequate guidance and internal controls over the billing and collection of tenant rents.
• Segregate duties over the billing and collection of tenant rents or establish appropriate compensating controls, such as increased management review procedures.
• Ensure that an individual who is independent of the billing process reviews the rent and additional charges that are posted to tenants’ accounts.