Boston Housing Authority
JANUARY 31, 2011 · Read the full official report (PDF) ↗ · official site ↗
Published JANUARY 31, 2011 Audit covers April 1, 2008 – December 31, 2009 Under Suzanne M. Bump · 2011–2023
source
“Based on our review, we have concluded that, except for the issues addressed in the Audit Results section of this report, during the 21-month period ended December 31, 2009, the Authority maintained adequate management controls and complied with applicable laws, rules, and regulations for the areas tested.”
Read the plain-English breakdown
This is a Massachusetts State Auditor review of certain Boston Housing Authority activities from April 1, 2008 through December 31, 2009.
“In accordance with Chapter 11, Section 12, of the Massachusetts General Laws, the Office of the State Auditor has conducted an audit of certain activities of the Boston Housing Authority for the period April 1, 2008 to December 31, 2009.”
Auditors checked whether BHA had good controls, followed applicable rules, and fixed problems found in an earlier audit.
“The objectives of our audit were to assess the adequacy of the Authority’s management control system for measuring, reporting, and monitoring the effectiveness of its programs and to evaluate its compliance with laws, rules, and regulations applicable to each program.”
Public housing affects people waiting for homes and people already living in BHA units, so delays, repairs, and weak controls can have real consequences.
“Our follow-up review determined that the Authority has over 20,000 applicants on its waiting list and that its average unit turnaround time is 107 days.”
For an ordinary resident, the key issue is whether public housing units are safe, available quickly, and maintained with public money that is tracked properly.
“DHCD’s Property Maintenance Guide, Chapter 3(F), requires that inspections of dwelling units be conducted annually and upon each vacancy to ensure that every dwelling unit conforms to minimum standards for safe, decent, and sanitary housing as set forth in Chapter II of the State Sanitary Code.”
BHA fixed most of the earlier sanitary-code problems, but some major issues remained: empty units took too long to refill, some capital projects lacked funding, and inventory records were incomplete.
“Our follow-up review determined that the Authority had taken corrective action to address 254 out of 255 prior instances of noncompliance.”
The report says BHA should keep asking the state housing agency for modernization money and improve how fast it prepares vacant units for new tenants.
“The Authority should continue to appeal to DHCD to provide the necessary funds to complete its capitalization projects.”
The most significant public-facing problem is that more than 20,000 people were waiting for housing while vacant units took far longer than the guideline to be filled.
“Specifically, our prior audit found that the Authority’s average turnaround time for reoccupying vacant units was 124 days and that 13,000 applicants were awaiting housing on the Authority’s waiting list.”
DHCD means the state housing agency that sets rules for housing authorities; “inventory controls” means keeping reliable records of equipment and checking that the items actually exist.
“A physical inventory of all furniture and nonexpendable equipment inventory must be taken each year.”
1 figure(s) pending source verification - not shown
What the Auditor checked
- Partially Assess the adequacy of the Authority's management control system for measuring, reporting, and monitoring the effectiveness of its programs and evaluate its compliance with laws, rules, and regulations applicable to each program.
What the Auditor found
Why it matters: Unfunded capital needs could delay preservation and improvement of state-aided housing properties.
1 recommendation
- The Authority should continue to appeal to DHCD to provide the necessary funds to complete its capitalization projects.agency: agreed
Agency response & Auditor reply
Agency: "Nevertheless, the Authority agrees with the State Auditor that it should continue its appeals to DHCD to help preserve this crucial public resource."
Why it matters: Long turnaround times delayed housing availability while more than 20,000 applicants were on the waiting list.
Standard: DHCD guidelines state that housing authorities should reoccupy units within 21 working days of their being vacated by a tenant. ( DHCD guidelines )
1 recommendation
- The Authority should establish procedures to improve the average turnaround time for its vacant units in accordance with DHCD guidelines.
Agency response & Auditor reply
Agency: "The 21 day turnaround [time] remains an ambitious goal given the condition of many state units resulting from the long running capital and operating shortfalls that were highlighted in the Auditor’s previous audit."
Why it matters: There was inadequate assurance that assets were safeguarded against possible loss, theft, or misuse.
Standard: DHCD’s Accounting Manual for State-Aided Housing Programs, Section 15D. ( DHCD’s Accounting Manual for State-Aided Housing Programs, Section 15D )
3 recommendations
- Establishing a comprehensive inventory listing that includes the cost, purchase date, and description of the individual asset.agency: agreed
- Conducting an annual inventory to verify the existence and condition of its furniture and equipment.agency: agreed
- Reconciling the results of the annual inventory to its financial records.agency: agreed
Agency response & Auditor reply
Agency: "The Authority agrees with the Auditor that more frequent physical inventories would improve its control of furniture and equipment inventories."
Prior findings revisited
"Our follow-up review indicated that these issues had been substantially resolved, as discussed below:"
"Our follow-up review determined that the Authority has yet to receive all funding for its capital modernization projects."
"Our follow-up review disclosed that there are over 20,000 applicants on the Authority's waiting list, and the average unit turnaround time is 107 days."