Wellesley Housing Authority

This is a state performance audit of the Wellesley Housing Authority, covering its activities from January 1, 2012 through December 31, 2013.

“I am pleased to provide this performance audit of the Wellesley Housing Authority.”

Auditors checked whether the Authority followed relevant laws and rules and whether its management controls were working properly.

“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 to determine whether (1) the Authority’s expenditures were allowable, related to its operations, and compliant with the requirements of the Department of Housing and Community Development (DHCD); (2) the Authority had determined tenant eligibility, placement, and monthly rent in accordance with DHCD regulations; (3) the Authority had procured goods and services in accordance with Chapter 30B of the General Laws; (4) site inspections of the housing units were being performed each year; (5) annual inventories of property and equipment were scheduled and conducted; (6) DHCD’s financial reporting and data collection requirements were being complied with; (7) modernization money, if any was awarded, had been spent in accordance with DHCD regulations; (8) the Authority’s management contract with Needham Housing Authority was being adhered to; and (9) the Wellesley Housing Authority had received money under Chapter 44B of the General Laws (the Community Preservation Act) and, if so, it had spent the funds according to that law and DHCD guidelines.”

The Authority manages public housing for low-income families and elderly tenants, so its spending, tenant decisions, inspections, and reporting affect public resources and residents’ homes.

“The Authority currently manages and oversees 88 units of state housing for low-income families, 133 units of state housing for elderly tenants, 12 units of state scattered housing for low-income families, 1 unit under the Massachusetts Rental Voucher Program, and an additional 11 units of federal family housing, which are administered by the Dedham Housing Authority.”

If you live in Wellesley or care about local public housing, the audit says the Authority was following the rules in the areas auditors checked.

“Based on our audit, for the period January 1, 2012 through December 31, 2013, the Authority maintained adequate internal controls and management practices and complied with applicable laws, rules, regulations, and contractual terms for the areas tested.”

Auditors did not report findings requiring correction; they concluded the Authority had adequate controls and complied with requirements in the tested areas.

“Based on our audit, for the period January 1, 2012 through December 31, 2013, the Authority maintained adequate management controls and practices and complied with applicable laws, rules, and regulations for the areas tested.”

The report does not list recommendations or required follow-up actions; it says the audit results were discussed with Authority management.

“My audit staff discussed the contents of this report with management of the Authority.”

The significant takeaway is that, for the period reviewed, the State Auditor found the Authority’s systems and practices acceptable in the areas tested.

“Based on our audit, for the period January 1, 2012 through December 31, 2013, the Authority maintained adequate internal controls and management practices and complied with applicable laws, rules, regulations, and contractual terms for the areas tested.”

“Internal controls” means the Authority’s procedures for handling things like finances, tenant selection, rent decisions, inspections, maintenance, expenses, property, contracts, and modernization work.

“To achieve our audit objectives, we gained an understanding of, and tested, the relevant internal controls for financial operations, tenant selection and occupancy, vacancies, annual rent determinations, site inspections, property maintenance, administrative expenses, property and equipment, and contract procurement, as well as modernization.”