We audited Park View Care Center’s owner based on a referral from the U.S. Department of Housing and Urban Development’s (HUD) Departmental Enforcement Center. Our objective was to determine whether the property owner complied with the owner’s regulatory agreement and HUD requirements for the Section 232 program. Park View’s owner did not comply with all the terms of its regulatory agreement and HUD requirements. Specifically, the owner withdrew ineligible distributions and charged the property for fees without a written contract or HUD approval of the fees. This condition occurred because the owner disregarded or misunderstood its regulatory agreement and HUD requirements. As a result, Park View’s owner received $220,282 in an ineligible distribution and fee reimbursements. We recommended that the Director, Office of Residential Care Facilities, require that Park View’s owner repay $220,282 for ineligible distributions and fees.
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