ASBURY PARK – The citys housing authority need to pay the federal government more than $200,000 after an audit revealed the authority withheld almost $350,000 in reserve cash money in 2011.
The United States Department of Housing and Urban Development is now requiring that the authority pay HUD the $203,419 it requested that year.HUDs on-site audit conducted this year reveals the authority had$ 350,472 in its housing selection coupon (HCV)reserve fund in December 2011 but incorrectly reported a$ 0 cash money balance. HUD had asked for$ 203,419 from the Asbury Park Housing Authority after Congress mandated it in 2012 to regain $650 million from public housing agencies to offset surplus funds.The HCV program, also known as Area 8, is a federal program that assists low-income families and elderly and handicapped people with housing. HUD offers federal funds for public housing companies to offer coupons that subsidize housing.Housing authority authorities state they had no idea where the$350,472 was spent, or that they owed money.We knew nothing of this up until all these(guides)came out, Asbury Park Housing Authority chairwoman Angela Brown said.Will Asbury Park approve affordable housing for west side?Cutting residences for families The asked for payment will certainly put a dent in the authoritys$2.75 million Section 8 program spending plan, potentially compeling it to decrease the variety of households it serves next year,
said Tyrone Garrett, executive director of the Long Branch Housing Authority which supervises the Asbury Park Housing Authority.The Long Branch Housing Authority took operational control of the Asbury Park Housing Authority in 2012 after HUD identified it needed support to correct deficiencies from previous executive director Mark W. Holmes tenure. Holmes was apprehended in 2013 on charges he took more than$75,000 from the company. He got in a not-guilty plea.Garrett said the finding in HUDs audit took place before his administration took over.We do not know what happened to that cash and how it was actually used, Garrett said. I just believe that there wasnt any individual from the finance office focusing and there wasnt actually a checks and balances from the board of commissioners.Garrett said the housing option coupon reserve fund is a surplus typically limited for emergencies such as a budget plan deficiency in the program. But some housing authorities utilize the fund to fill budget gaps in other locations, which is not the suitable use, he said.The Asbury Park Housing Authority serves 310 families in its Area 8 housing program with a typical rent subsidy of$800 a month, authorities state. There are another 455 families residing in the authoritys six public housing complexes.The authoritys total running spending plan in 2013 was $7.8 million.Is Asbury Park offeringdistributing the store?Another audit The Long Branch Housing Authority will certainly perform its own audit to see whether authorities can decrease the$ 203,419 payment, Garrett said.We don’t want the impact to be substantial, Garrett said.Housing officials likewise stated they may check out minimizing the type of housing for some HCV citizens. As an example, a household might get a one-bedroom system instead of
2 bedrooms.Asbury Park Housing Authority commissioner Frank Syphax stated he was shocked
to find out of the audits findings on Tuesday.You can just get away with specific things for so long and after that it returns to bite you, Syphax stated of the previous administration.Nicquel Terry; firstname.lastname@example.org; 732-643-4023