We audited the U.S. Department of Housing and Urban Development’s (HUD) oversight of its Family Self-Sufficiency (FSS) program.  We conducted the audit as part of our annual audit plan.  Our objective was to determine whether HUD provided adequate oversight of its program. HUD did not provide adequate oversight of its FSS program.  Specifically, HUD did not ensure that grantees (1) always had action plans that complied...

The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General audited the Meeker Family and Elderly Housing project based on a referral from HUD’s Office of Multifamily Housing Programs in Denver, CO.  The project is owned and managed by the Meeker Housing Authority.  HUD alleged that the owner had failed to file audited financial statements or make mortgage payments to HUD for the past 10 years....

The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General audited HUD’s single-family note sales program.  This is the third in a series of audits on the note sales program.  The first audit, 2017-KC-0006, reported that HUD did not conduct rulemaking or develop formal procedures for its single-family note sales program.  The second audit, 2017-KC-0010, reported that HUD generally ensured...

We audited the U.S. Department of Housing and Urban Development’s (HUD) Real Estate Assessment Center’s (REAC) inspections process.  We initiated this audit in accordance with our annual audit plan.  Our objective was to determine whether REAC had adequate processes for and controls over the certification and monitoring of contracted inspectors and its public housing units’ physical inspections processes. We found that REAC...

We audited the multifamily Section 8 Project-Based Rental Assistance (PBRA) program at the Louis Manor Apartments.  We selected Louis Manor in accordance with our goal to review the U.S. Department of Housing and Urban Development’s (HUD) multifamily housing programs and because our analysis of Tenant Rental Assistance Certification System data showed red flag indicators at Louis Manor that appeared to be similar to the...

We audited the Cuyahoga Metropolitan Housing Authority’s public housing program based on an anonymous complaint to our hotline.  Our objective was specific to the allegations in the complaint and was to determine whether the Authority (1) engaged in nepotism when hiring staff, (2) used program funds for inappropriate or unreasonable travel expenses, (3) failed to comply with the U.S. Department of Housing and Urban Development’s...

We audited the U.S. Department of Housing and Urban Development (HUD), Section 184 Indian Home Loan Guarantee program based on a Senate Appropriations Committee request to review the management and oversight of the program.  OIG had previously audited the Section 184 program in 2015 (audit report 2015-LA-0002) and determined that the Office of Loan Guarantee (OLG) did not provide adequate oversight of the program.  The...

On February 28, 2018, Deloitte entered into a settlement agreement with the Federal Government, agreeing to pay $149.5 million, of which $115 million was restitution.  Deloitte settled allegations for alleged conduct in connection with its role as the independent outside auditor of TBW for TBW’s fiscal years that ended April 30, 2002, through April 30, 2008.  The settlement agreement was neither an admission of liability by...

We audited the Housing Authority of the City of Los Angeles’ Rental Assistance Demonstration (RAD) conversion to the Section 8 Project-Based Voucher Program.  We selected the Authority because review of RAD conversions was aligned with the goals of our annual audit plan and the Authority’s conversion included previously environmentally toxic land that was recently remediated.  The objective of our review was to determine...

In violation of the housing assistance payment contract’s conflict-of-interest requirements, the former executive director of the Housing Authority of the City of Beeville, TX, executed housing assistance payment contracts on behalf of the Authority with her brother and sister.  The former executive director did not fully disclose the conflicts-of-interest and had not sought a waiver from HUD’s Office of Public and Indian Housing...

We audited the U.S. Department of Housing and Urban Development’s (HUD) Office of Native American Programs’ Indian Housing Block Grant program.  We selected the program based on concerns as to whether grantees invested, obligated, and spent program funds within the required period.  Our audit objective was to determine whether HUD’s Office of Native American Programs ensured that grantees invested, obligated, and spent...

This report reviewed the Office of Native American Programs – Office of Loan Guarantee’s (OLG) Section 184 program to determine whether its IT systems enabled effective management and oversight of the program. We found HUD had not successfully deployed an information technology (IT) system that enabled effective management and appropriate oversight of all Indian Home Loan Guarantee Program (Section 184 program) processes. ...

We audited the U.S. Department of Housing and Urban Development’s (HUD) approval of Section 232 Federal Housing Administration (FHA)-insured loans based on our initiative to focus HUD management’s attention on problems areas with the Section 232 program.  Our audit objective was to determine whether HUD approved Section 232 FHA-insured loans for projects that qualified for mortgage insurance in accordance with HUD requirements....

We audited the U.S. Department of Housing and Urban Development’s (HUD) Community Compass and Technical Assistance and Capacity Building program due to a complaint specific to the Continuum of Care (CoC) and homeless portion of the program.  The complaint alleged that the Office of Special Needs Assistance Programs had been steering technical assistance notice of funding availability applicants toward coordinating or...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited HUD because we learned while doing unrelated audit work that funds HUD was entitled to would be turned over to a State as unclaimed property if they were not claimed.  This information led us to conduct searches on several States’ unclaimed property websites and find thousands of unclaimed funds listed in HUD’s name or other similar...

We audited the Housing Authority of the City of Evansville’s Rental Assistance Demonstration Program (RAD) conversion based on the activities included in our 2018 annual audit plan and our analysis of the housing agencies participating in RAD in Region 5’s jurisdiction (States of Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin).  Our audit objective was to determine whether the Authority complied with the U.S....

We audited the Eastwood Terrace Apartments multifamily Section 8 Project-Based Rental Assistance (PBRA) program.  We selected Eastwood Terrace in accordance with the Office of Inspector General’s (OIG) goal to review HUD’s multifamily housing programs and because the OIG Office of Investigation conducted an investigation and suggested that the complex might not have had appropriate controls to ensure tenant eligibility.  Our...

HUD OIG is auditing HUD’s disaster preparedness from 2005 to 2018.  We performed this audit due to an agreement with six other Inspectors General as part of a Disaster Assistance Working Group-Cross Cutting Functional Effort by the Council of the Inspectors General on Integrity and Efficiency to determine to what extent the Federal departments were prepared for upcoming natural disasters.  Our specific audit objective was to...

We audited the Indianapolis Housing Agency’s Housing Choice Voucher program based on an anonymous complaint.  The audit was part of the activities in our fiscal year 2018 audit plan.  Our objective was specific to the allegations in the complaint and was to determine whether the Agency wrote off accounts receivable, deleted adjustments to accounts payable and receivable, and made adjustments to accounts payable and...

We audited the Sacramento Housing and Redevelopment Agency’s Community Development Block Grant (CDBG) program, based on an Office of Inspector General risk assessment and U.S. Department of Housing and Urban Development (HUD) concerns.  The objective of our audit was to determine whether the Agency used the City of Sacramento’s CDBG funds in accordance with HUD requirements and adequately monitored its subrecipients.  The...