Hull Housing Authority

This is a Massachusetts State Auditor review of the Hull Housing Authority covering January 1, 2008 through September 30, 2010.

“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 Hull Housing Authority for the period January 1, 2008 to September 30, 2010.”

Auditors checked whether the housing authority followed rules and whether its internal management practices were adequate.

“The objectives of our audit were to determine the Authority’s compliance with applicable laws, rules, and regulations and to review and analyze its management controls and practices over the following areas and functions for the purpose of determining their adequacy: (1) tenant selection; (2) preparation and reoccupation of vacant units; (3) rent determinations; (4) collectability of accounts receivables; (5) site inspections; (6) payroll, travel, and fringe benefits; (7) disbursements; (8) inventory controls over property and equipment; (9) contract procurement; (10) cash management and investment practices; (11) DHCD-approved budgets versus actual expenditures; (12) level of need for operating subsidies and operating reserves and (13) modernization awards.”

Public housing authorities handle housing, rent, public funds, maintenance, contracts, and tenant records, so weak controls could affect residents and taxpayers.

“Our tests in the above-mentioned areas disclosed no material weaknesses.”

For residents and applicants, the report says the authority now keeps its waiting list updated and is housing applicants according to state rules.

“The Authority is now housing applicants properly in accordance with DHCD regulations.”

The auditor’s bottom line was that the Hull Housing Authority passed the tested areas for this audit period.

“Based on our review, we have concluded that, during the 33-month period ended September 30, 2010, the Authority maintained adequate management controls and complied with applicable laws, rules, and regulations for the areas tested.”

The report says the authority is continuing current tax-related payments and has collection procedures for unpaid rent.

“The Authority is now making PILOT payments on a current basis.”

Compared with the prior audit, the authority fixed most earlier problems, including records, tax-payment handling, vacancies, and unpaid tenant balances.

“Our follow-up review revealed that the Authority has addressed a majority of these issues.”

PILOT means payments a housing authority may make to a town instead of regular taxes.

“Our prior audit report disclosed that the Authority failed to make PILOT payments of $10,080, due over a 10-year period, to the Town of Hull.”