Mattapoisett Housing Authority
June 19, 2013 · Read the full official report (PDF) ↗
Published June 19, 2013 Audit covers April 1, 2009 – February 29, 2012 Under Suzanne M. Bump · 2011–2023
source
“Based on our audit, we have concluded that, although the Authority has taken corrective action on several issues identified in our prior audit report, other issues relating to employee timesheets; salary payments, overtime payments, and retirement deductions; vacant-unit turnaround time; the Authority’s Management Plan; and internal controls remained partially resolved or unresolved.”
Read the plain-English breakdown
This is a Massachusetts State Auditor follow-up audit of the Mattapoisett Housing Authority covering April 1, 2009 through February 29, 2012.
“In accordance with Chapter 11, Section 12, of the Massachusetts General Laws, the Office of the State Auditor has conducted an audit of the Mattapoisett Housing Authority for the period April 1, 2009 through February 29, 2012.”
Auditors checked whether the housing authority had fixed problems found in a previous audit, and they also looked into tenant complaints about mold at the senior housing complex.
“The objectives of our audit were to follow up on the issues identified during our prior audit of the Authority (No. 2009-0709-3A).”
The report matters because weak controls can lead to improper payments, lost rent, poor recordkeeping, and less reliable oversight of public housing operations.
“As a result, the Authority’s fiscal affairs and operations and its compliance with applicable laws, rules, and regulations are at risk.”
If you live in or rely on public housing, this audit is about whether the authority is using public resources properly, filling apartments quickly, and responding to tenant health concerns such as mold.
“During our audit, we followed up on complaints received from tenants and tenant advocates regarding a mold issue at the Authority’s senior complex.”
The report recommends that the authority tighten payroll controls, fill vacant units faster, file complete vacancy reports on time, update its management plan, and improve internal controls and contract approval practices.
“The Authority should develop and implement appropriate internal controls over all of its activities and ensure that a copy of the Executive Director’s contract is submitted to DHCD in accordance with 760 CMR 4.05(1)(d).”
The problems had real costs: the authority missed an estimated $12,915 in rental income during the audit period because vacant units were not filled within the recommended timeframe.
“As a result, the Authority lost the opportunity to earn an estimated $12,915 in potential rental income during the audit period.”
“Vacancy turnaround time” means how long it takes the authority to get an empty apartment ready and occupied again; in this audit, that process was far slower than the state guideline.
“Specifically, we determined that during our audit period, it took the Authority an average of 133 days to prepare and occupy vacant units.”
7 figure(s) pending source verification - not shown
What the Auditor checked
- Partially Follow up on issues raised during the prior audit to determine the status of corrective action taken, and review complaints regarding a mold issue at the senior complex.
What the Auditor found
Why it matters: Without standardized, permanent time records, the Authority cannot ensure an accurate accounting of payroll.
Standard: DHCD requires formal, standardized time and attendance records for each employee. ( DHCD requirements for formal, standardized time and attendance records )
1 recommendation
- Require the Executive Director to record hours and benefit time on a standardized timesheet.agency: already implemented
Agency response & Auditor reply
Agency: "In response to this issue, Mattapoisett officials stated that, after the end of our audit field work, the Executive Director began using a weekly signed timesheet to document her hours worked and benefit time taken."
Why it matters: The Authority risks making excessive and unallowable payments.
Standard: DHCD policies and procedures, Chapter 2 of DHCD’s Modernization Manual, and the Authority’s board policy requiring advance approval of overtime. ( Chapter 2 of DHCD’s Modernization Manual )
2 recommendations
- Ensure all overtime pay is properly authorized, calculated, documented, and preapproved.
- Address the use of the unauthorized payment to the Executive Director in calculating pension benefits.
Agency response & Auditor reply
Agency: "With respect to unauthorized overtime payments made to the maintenance employee that were not preapproved, the Authority stated that the maintenance employee is allowed overtime for snow removal and emergency plumbing and electrical issues."
Auditor: "Further, although the OSA does not dispute that the maintenance employee is allowed to receive overtime pay, all overtime hours should be properly authorized in accordance with the Authority’s approved policies, which require employees to obtain preapproval."
Why it matters: Eligible applicants may not receive housing promptly, and the Authority lost potential rental income.
Standard: DHCD’s recommended 21-working-day vacancy turnaround timeframe and DHCD Public Housing Notice 2002-09. ( DHCD Public Housing Notice 2002-09 )
2 recommendations
- Implement procedures to ensure all vacant units are occupied within DHCD’s recommended 21-working-day timeframe.
- File timely, complete, and accurate quarterly vacancy reports.
Agency response & Auditor reply
Agency: "[The] Director did not have time to also review and post all incoming applications and the books remained not current which in turn made it impossible to process the vacancy report."
Auditor: "Finally, DHCD requires that vacancy reports be filed accurately and on time, and the Authority must adhere to this regulation."
Why it matters: The Authority risks disruption of procedures during personnel turnover and noncompliance with internal control requirements.
Standard: National Association of Housing and Redevelopment Officials Board Members Handbook guidance and DHCD internal control requirements. ( National Association of Housing and Redevelopment Officials Board Members Handbook )
1 recommendation
- Update the Management Plan and ensure all updates are initialed and dated.agency: agreed
Agency response & Auditor reply
Agency: "Board members [have] offered to work on updating the Management Plan."
Why it matters: The Authority’s fiscal affairs, operations, and compliance with applicable laws, rules, and regulations are at risk.
Standard: 760 Code of Massachusetts Regulations 4.05(1)(d) and DHCD policies and procedures. ( 760 CMR 4.05(1)(d); 760 CMR 4.05(1)(d) )
2 recommendations
- Develop and implement appropriate internal controls over all activities.agency: partially agreed
- Submit a copy of the Executive Director’s contract to DHCD.agency: partially agreed
Agency response & Auditor reply
Agency: "The Authority, during the Director’s 21 years of service, has never been required to submit policies, contracts, or any other internal revisions to DHCD for their approval."
Auditor: "Contrary to the Authority’s response, 760 CMR 4.05(1)(d) requires the Authority to submit the contract negotiated between the Authority and its Executive Director to DHCD for approval."
Prior findings revisited
"Our current audit revealed that the Authority resolved this issue and that its unrestricted net asset account is now above the minimum level required by DHCD."
"Our current audit found that the Authority did not address our prior audit finding regarding unauthorized salary and overtime payments to the Executive Director and maintenance employee."
"Our current audit found that this issue has been resolved and that the Executive Director’s hours, indicated on her attendance calendar, are consistent with board policy and with posted office hours."
"Our current review of vacancy turnaround time and vacancy reporting revealed that these prior issues had not been adequately resolved."
"During our current audit, we found that the Authority still has not properly updated its Management Plan."
More audits of this entity
Other Office of the State Auditor reports on Mattapoisett Housing Authority , including the prior audits referenced above.
- Mattapoisett Housing AuthorityHousing Authority · MARCH 31, 2009