CLARKSVILLE, TN (CLARKSVILLE NOW) – City officials are working to correct issues with the Clarksville Housing Rehabilitation Program after an internal audit revealed problems with policies and procedures.

CNCS Homeowner Rehabilitation Loan Servicing and Collections received multiple comments in the audit, which seemed to indicate the issues resulted from outdated policies and software.

The audit

The audit reviewed the loan servicing and collection processes for CNCS Homeowner Rehabilitation Loans from Oct. 1, 2020, to Sept. 30, 2021.

The audit report revealed the following:

  • Cash handling processes within the department were not consistent with City-wide practices and did not adequately ensure cash was properly safeguarded.
  • Procedures for recording payments were not well established or documented leading to payments not always being recorded accurately, timely, or consistently in both loan management and accounting software.
  • Processes to communicate ongoing loan information (including delinquencies) with borrowers were either not established or not effectively implemented.
  • Procedures for loan forbearances or other modifications of loan terms were not sufficient to ensure that modifications were properly used and consistently documented.

CNCS response 

According to city officials, many of the issues surrounding the errors seem to be rooted in an outdated computer system.

“We found that the software used by previous administrations is just no longer capable of meeting the growing needs of Clarksville. As our population continues to grow, so does the city’s needs, and some of that software is perhaps ready for an update. The audit in that way confirms what we already suspected, which is that it’s time to update those tools,” said Casey Williams, city spokesman.

Officials with the program said that to their knowledge nobody has been overbilled.

“This is not an uncommon issue, but it does need to be addressed, and we are currently looking at new software options that will allow us to better serve Clarksville’s residents,” he said.

Willimas told Clarksville Now the issues have led the department to fall behind in some cases and this is a delicate problem that affects people directly.

“We just want to make sure we get it right and move slowly so we do get it right. To that end, we’re planning to bring on a consultant to evaluate each case before we move forward. Once that outside consultant has evaluated those cases, then the best way to move forward can be identified.”

As they work to improve the Homeowner Rehabilitation Program, other programs are also in the works to help residents in financial distress.

“We have some new programs coming out to help with loan assistance in Clarksville and hopefully help some residents who are low income and either experiencing or under threat of experiencing homelessness. It’s going to be a really great program,” Willilams said, noting that details are expected to be announced soon.