[{"_1":2,"_111":-5,"_112":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75,87,99],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",6659658,"mediaKeyId","2445680-f12ff0fb66d46d0af368fe1bebc67884","parentId",2445680,"title","External auditor reports progress but flags HUD inspection findings and questioned costs in 2023 audit","audioSeconds",952,"startMs",880000,"endMs",1832000,"viewUrl","/Search/View?dp=1&key=2445680-f12ff0fb66d46d0af368fe1bebc67884&start=880&end=1832","thumbnailUrl","https://assets.pipeline.soar.com/2445680-f12ff0fb66d46d0af368fe1bebc67884/thumbnail_880000.jpg","articleUrl","/articles/6659658/San-Francisco-City/San-Francisco-County/California/External-auditor-reports-progress-but-flags-HUD-inspection-findings-and-questioned-costs-in-2023-audit","mediaUrl","https://secure.pipeline.soar.com/6659658-c107acb85d23d8588c4f8ba852faf454/orig.mp4?Expires=1770440207&Signature=nMRMbJQxjEyXtUf2TPRHxqF5tHuBzlLoBvNvMi5sXm1QjN17s62kCvW~aQNNb1its6BZixyhJ0VT-mDZL6Ww7Qtj6AtiY88TwBML1sHELVdWvx3tLWojyysa72alYNkGVfFLzzs7BXuxlBNszj0ezOGopt2HJ7QtKxAD5sHPnzHvkGE~TTnDWcZQwI~r-pK9fXBNuir4Ewo1EGuDgD34ewBKqdmE3tNWXBYSce3YY6PGNWLyiZ7ONWmntbzZBNag8EdKPhxnLLXQa2QvAaf9v9lRR-3jIdpMqZiM~0H5r~Yw9bbQjSyxB-QVXrbu9gn5P2ydpPCfg8VAKIT7ISeIQw__&Key-Pair-Id=KUT5TJCACFTXG","author","City of San Francisco","date","2025-02-27T00:00:00Z","article","Benjamin Lau of Messiah, Genie & O'Connell (MGO), the Housing Authority's external auditor, presented the Authority's fiscal year 2023 audit results to the Commission on Feb. 27, saying auditors issued a modified opinion on the Authority's basic financial statements and identified two single-audit findings tied to housing quality standards (HQS) inspections.

Lau said the modified opinion on the financial statements amounted to a “clean report” but included two emphases of matter: a concentration of HUD (federal) revenue and a longstanding going-concern qualification related to the discretely presented component unit for Plaza East Associates. He also said auditors issued a qualified opinion on the Housing Choice Voucher program component of the single audit and described two findings on special tests and provisions concerning HQS inspection enforcement.

Why it matters: the single-audit findings relate to HUD-funded programs and can trigger discussions with HUD about questioned costs and corrective actions. Auditors described known questioned costs of about $10,000 for sampled items and a projected additional exposure (based on sampling) of roughly $479,000, both tied to inspection and enforcement timing and documentation.

“The question cost is a calculated number by the auditor…based on the nature of the finding,” Lau said, explaining that one known questioned cost came from sampled units where inspections or enforcement steps were not completed in the expected timeframe and that auditors project possible additional questioned costs to the larger population.

Housing Authority CEO Tanya Lehi told commissioners the Authority is working with HUD and contractors and that there is no indication of fraud. “All to say there is no fraud. That's number 1,” Lehi said, adding the questioned-cost numbers in the auditor’s report are projections based on sampling and that the Authority has been in ongoing discussions with its HUD field office.

Lehi described corrective actions already under way: the Authority has implemented a corrective action plan, is working with its inspection contractors (named in the meeting as PEM and CVR), and has added tracking and monitoring for inspections, abatements and reinspections. She said the findings are concentrated in the recent Sunnydale and Potrero transitions from public housing to project-based vouchers and that staff are coordinating closely with HUD and contractors to resolve outstanding items.

MGO also noted improvement over prior years in internal-control findings: where the Authority had a material weakness two audits ago, the 2023 report downgraded that to a significant deficiency, reflecting progress in policies and processes. Lau and Authority staff said they expect further improvement in the next audit cycle if current process changes and staffing additions continue.

Commissioners asked for clarification about the trends and the questioned-cost methodology. Lau pointed to a long-term decrease in the number of single-audit findings since 2016 and reiterated that auditors calculate question costs from known sampling results and may project to the full population. Lehi said the Authority has revamped financial policies, added staff, and implemented monthly and mid‑year close processes to address financial-reporting issues.

The presentation concluded with commissioners thanking staff and auditors for the work and noting continued monitoring. The auditors said they will provide additional details in the formal audit report and remain available for follow-up questions.

Ending: The commission did not take a formal vote tied to the audit presentation; commissioners asked staff to continue reporting progress and to return with follow-up in future meetings.","mediaType","Video","parentTitle","City of San Francisco - Video Open Video Only in Windows Media Player - Feb 27, 2025","oneSentenceSummary","Benjamin Lau of Messiah, Genie & O'Connell (MGO) presented the Housing Authority's FY2023 audit results, reporting a modified opinion on the financial statements but identifying two single-audit findings tied to housing quality standards inspections and questioned costs.","taxTitle","San Francisco City, San Francisco County, California","taxId",5751,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6659646,"Public commenters press Housing Authority for follow-up on individual case; resident-council advisors present advocacy proposal",372,148000,520000,"/Search/View?dp=1&key=2445680-f12ff0fb66d46d0af368fe1bebc67884&start=148&end=520","https://assets.pipeline.soar.com/2445680-f12ff0fb66d46d0af368fe1bebc67884/thumbnail_148000.jpg","/articles/6659646/San-Francisco-City/San-Francisco-County/California/Public-commenters-press-Housing-Authority-for-follow-up-on-individual-case-resident-council-advisors-present-advocacy-proposal","https://secure.pipeline.soar.com/6659646-98072f1f9ec00260c206bc6d880e03ce/orig.mp4?Expires=1770440207&Signature=VWFdKNlx6mPjqHKI69Y71LkcuL-t894TJAk3WKnkgiixUb5bEWXQsbwZ8zLQ8nadzBuR~kWjW6aSruh6YXViwoG637KM0IawCu-OIh2x2hEFPXllNM3I-~ynn7QYDrh6~1~Z8EAut14oyTO8K7MR9IK6nmCwPNV8YsrXA0q5ZTqnswaJHwvjaR1qDxSv65grDxC75oRi0fdZu2md~FTC03wntFC9Uh~6~SdtdDO~tKeAwHcH-QI6-4bpTb4JkVYBoYfVHcOmoYZo95QpPWfPqzw4bqo2JZT-iEgfSuMRC6OOXKvKJ9ewzzYEHYNEq1N29Vcb4ECJ9UHyyNO8OpDVKg__&Key-Pair-Id=KUT5TJCACFTXG","During general public comment on Feb. 27, several residents asked the commission for follow-up on an individual housing certificate and described gaps in staff follow-up, while another speaker described a resident-council advisors (RCA) effort to provide tenant advocacy and peer support.

Maxine Jones and Roderick Whitley told the commission that Whitley remains homeless and living in his car and had not received follow-up after being referred to staff. Jones said a staff member had told Whitley she would speak to the mayor’s office but that Whitley did not receive further contact. Jones asked the Authority to “give this man his certificate so he can move on with his family.” Whitley told the commission he had received no phone calls or contact from the staff person assigned to follow up.

Margaret McNulty then addressed the commission to report on the Resident Council Advisors (RCA). McNulty described RCA as a volunteer board that provides advocacy, training and peer counseling for residents, including elder and disabled tenants and non‑English speakers. She said RCA has trained tenants, performed advocacy by phone referral, and aimed to prevent lawsuits by mediating with management, resident services and stakeholders.

Why it matters: public comments raise individual service-delivery and case-follow-up questions for the Authority, and the RCA presentation seeks partnership for resident support and training.

Commissioners referred procedural questions and follow-up to staff. CEO Tanya Lehi and staff described their general follow-up process: depending on the issue, staff said they work with contractors (CVR, PEM), operations staff and general counsel, consider reasonable accommodations, examine wait‑list documentation (the Authority retains at least three years of documentation) and follow the administrative plan and statutory wait‑list rules when determining next steps.

Ending: Commissioners asked staff to continue following up on the individual case and noted that referrals to the Mayor’s Office of Housing and Community Development could be appropriate for service‑support partnerships; no formal action was taken during the meeting.","Public speakers raised an unresolved housing certificate and follow-up for a formerly homeless resident; a resident-council advisors group described peer counseling, training and advocacy work and asked the Authority to consider partnership and referral pathways.",{"_33":88,"_35":36,"_37":38,"_39":89,"_41":90,"_43":91,"_45":92,"_47":93,"_49":94,"_51":95,"_53":96,"_55":56,"_57":58,"_59":97,"_61":62,"_63":64,"_65":98,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6659650,"Commission approves consent agenda including construction, PBV and audit-contract items",248,4176000,4424000,"/Search/View?dp=1&key=2445680-f12ff0fb66d46d0af368fe1bebc67884&start=4176&end=4424","https://assets.pipeline.soar.com/2445680-f12ff0fb66d46d0af368fe1bebc67884/thumbnail_4176000.jpg","/articles/6659650/San-Francisco-City/San-Francisco-County/California/Commission-approves-consent-agenda-including-construction-PBV-and-audit-contract-items","https://secure.pipeline.soar.com/6659650-6b14c526ff6774dd44135cb332757c9c/orig.mp4?Expires=1770440207&Signature=UeFSOa3KqzTIAcdSQnd-hO5hu4ypaEEVxMJjJZ0FzKkM2mInpUbCh~VfRQeedWHecRDxyRmgnO3wW55O8pkGHrJoC8JUkCNNdIOEInMOyAaGy9srKRKBgHS7B10JbQAVa3NjcQa18--QAMSrOvKNl3Qgwpm6N0Gy4uGdoJYSL8P2tzUkgGcna7N9k9dBqJczByYGk8yKpubpYVkx4dglxSmmKqNjoIvN~pVclJKw4IHJogDg7FzDrQywVdbN0d4J0YCCTUoLuMnIaKALXYmmVmC-W26LoViq4~RUsUQmjj1Prk0aP~O3VZjiz7mkHLjxQ1t-dhIcBkHuQeJ3c5uFqA__&Key-Pair-Id=KUT5TJCACFTXG","The Housing Authority Commission on Feb. 27 unanimously approved the consent agenda (items 9a–9e), which included minutes and three transactional resolutions related to capital work, project-based vouchers and the external audit contract.

Votes at a glance:
- Item 9a: Regular commission meeting minutes (01/23/2025). Outcome: Approved.
- Item 9b: Special meeting minutes (01/31/2025). Outcome: Approved.
- Item 9c: Resolution authorizing the CEO to enter into an agreement with DC Construction for public-housing capital improvements at Plaza East, initial one-year term with an optional second year, not to exceed $2,000,000. Outcome: Approved.
- Item 9d: Resolution authorizing the CEO to enter into a housing assistance payment contract with Mercy Housing of California for 23 project-based vouchers for the project at 600 Seventh Street. Outcome: Approved.
- Item 9e: Resolution authorizing amendment No. 1 to the MGO audit services contract to ratify option years for 2023 and 2024 and to add $400,202 for earlier years, yielding a cumulative contract cap of $938,382. Outcome: Approved.

The chair called for a motion; the motion to approve the consent agenda passed on a roll-call vote. Commissioners Mary Anne Pikes, Luana Kim, Commissioner Linda Lindo and President Joaquin Torres voted aye. A motion and second were recorded on the public transcript but the meeting transcript did not record named movers; the vote tally listed on the record was four ayes and no recorded nays or abstentions.

Ending: With the consent agenda approved the Commission moved on to committee reports and other business.","The Housing Authority Commission approved five consent items on Feb. 27 covering meeting minutes, a Plaza East capital-construction contract, 23 project‑based vouchers at 600 Seventh Street with Mercy Housing, and an amendment to the Authority's audit contract with MGO.",{"_33":100,"_35":36,"_37":38,"_39":101,"_41":102,"_43":103,"_45":104,"_47":105,"_49":106,"_51":107,"_53":108,"_55":56,"_57":58,"_59":109,"_61":62,"_63":64,"_65":110,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6659654,"Housing Authority to shift management at Sunnydale and Potrero; reports high voucher utilization and inspection backlogs",977,2190000,3167000,"/Search/View?dp=1&key=2445680-f12ff0fb66d46d0af368fe1bebc67884&start=2190&end=3167","https://assets.pipeline.soar.com/2445680-f12ff0fb66d46d0af368fe1bebc67884/thumbnail_2190000.jpg","/articles/6659654/San-Francisco-City/San-Francisco-County/California/Housing-Authority-to-shift-management-at-Sunnydale-and-Potrero-reports-high-voucher-utilization-and-inspection-backlogs","https://secure.pipeline.soar.com/6659654-6a4371ec703abfaa38320e406698334f/orig.mp4?Expires=1770440207&Signature=mt6m12EEPgmJcpmOoA7oBECFrV~6eQV47aOL9uTvb6dGGVOKrbnXCKa1W2oPZWU7do6bo8wboOy3ICntHYRc-60fHSVZ1f3aWd4rS9hdlmszE1pXGTe91qahnFxLWtfXwzhXzuNASgXaDegvCwBJ3MycbS8FmHH1g75t8T3Ig4uX-OUZR4wQ-dDe5K18uoBUZPWa02Nb3vGoFhE-yyi1U5lJlAxofBzuVhf2ZPxj5H8kA4wPriAec4B6LYknl1JE2V7QaUW0Zr3LzGVZDAAlk~fz5hJS49Y8UGy0utV7FMTFBR~LBd48KkC88SMKdQV2WhXoS8-nvpAOs8Nhu8cvoA__&Key-Pair-Id=KUT5TJCACFTXG","Tanya Lehi, chief executive officer of the Housing Authority of the City and County of San Francisco, told the commission on Feb. 27 that Bell Properties will assume management of Sunnydale and Potrero beginning March 1 and that EBMC will remain through March to complete financial closeout tasks.

Lehi said the Authority sent introductory letters to residents, that Bell Properties has established office hours and rent information, and that the Authority and both contractors have been meeting daily during the transition. “EBMC will remain with us through the entire month of March so that we ensure that all financial business is closed out appropriately,” Lehi said.

Why it matters: Sunnydale and Potrero are large, active construction and relocation sites; management transitions affect resident services, inspections, and financial records that feed the Authority’s audits.

Lehi also presented quarterly operational metrics (Oct.–Dec. 2024). She reported utilization of the Housing Assistance Payment (HAP) budget at 96.62% and unit utilization at 96.03%. She said utilization has increased roughly 13% since 2022. The Authority reported recent strategic placement of project-based vouchers (PBVs), including 50 new PBVs at The Gardens and more than 200 PBVs placed in other affordable projects in coordination with the Mayor’s Office of Housing and Community Development.

On inspections and enforcement, Lehi reported the Authority completed about 2,600 inspections that passed and recorded 976 failures; holds and abatements remain significant. As of Dec. 31, 2024, the Authority reported 232 holds (about $357,000, averaging about 4.3 months) and 204 abatements (over $400,000, averaging about 9.4 months). Lehi said the Authority is tracking holds and abatements with weekly stakeholder calls and an abatement report distributed to developers and property managers.

Lehi described process improvements: a new landlord portal for owners to view inspection scheduling and case status, more robust notice and calling procedures to reduce no‑shows, and a system for prioritizing reinspections once owners report corrections. She said staff coordinate with the Mayor’s Office of Housing and Community Development and service providers to resolve resident documentation issues that can cause holds.

On federal funding, Lehi said the Authority is monitoring pending Congressional appropriations and that, while final federal appropriations remain uncertain, the Authority has continued to receive HUD subsidy commitments and is conducting predictive financial modeling. “We continue to receive our subsidy as been committed by HUD,” she said.

Ending: Commissioners requested quarterly deep dives on PIC and CMAP metrics, procurement summaries every six months, and continued reporting on Sunnydale and Potrero operations as the Bell Properties transition proceeds.","CEO Tanya Lehi told the commission Bell Properties will assume management of Sunnydale and Potrero on March 1; EBMC will remain through March to close out finances. The Authority reported near-96% utilization, recent increases in project-based vouchers, hundreds of holds/abatements and inspection fail rates requiring abatement and reinspections.","actionData","errors"]

Article not found

External auditor reports progress but flags HUD inspection findings and questioned costs in 2023 audit

Public commenters press Housing Authority for follow-up on individual case; resident-council advisors present advocacy proposal

Commission approves consent agenda including construction, PBV and audit-contract items

Housing Authority to shift management at Sunnydale and Potrero; reports high voucher utilization and inspection backlogs