In accordance with our goal to review funds provided under the American Recovery and Reinvestment Act of 2009 (Recovery Act), we audited the Housing Authority of the City of Wichita Falls’ Public Housing Capital Fund Stimulus (formula) Recovery Act-funded activities. Specifically, our objectives were to determine whether the Authority followed Recovery Act rules and regulations when obligating and expending its Recovery Act capital funds and...

We conducted an audit of the U.S. Department of Housing and Urban Development’s (HUD) controls over public housing authorities’ (PHA) reporting and accounting for pension and other postemployment benefit obligations. Our concern was whether HUD needed to take action to reduce benefits or provide additional funding to ensure the continued viability of PHAs. Our objectives were to determine whether HUD verified that PHAs (1) submitted...

We audited the Wilmington Housing Authority's administration of its Public Housing Capital Fund Recovery Act-Funded Formula and Competitive Grants that it received under the American Recovery and Reinvestment Act of 2009 (Recovery Act). We selected the Authority for audit because it received a $5.2 million Public Housing Capital Fund Formula (Recovery Act-Funded) grant and two Public Housing Capital Fund Competitive (Recovery Act-Funded)...

HUD OIG performed an audit of Crossfire Financial Network, Inc., d/b/a CFN Mortgage Capital (Crossfire), a Federal Housing Administration (FHA) approved direct endorsement lender located in Miami, Florida. The review was performed based on the lender’s volume of loans underwritten and its default rate. The purpose of the audit was to determine whether the lender followed the U.S. Department of Housing and Urban Development’s (HUD) requirements...

HUD OIG performed an audit of Crossfire Financial Network, Inc., d/b/a CFN Mortgage Capital (Crossfire), a Federal Housing Administration (FHA) approved direct endorsement lender located in Miami, Florida. The review was performed based on the lender’s volume of loans underwritten and its default rate. The purpose of the audit was to determine whether the lender followed the U.S. Department of Housing and Urban Development’s (HUD) requirements...

In response to a congressional and U.S. Department of Housing and Urban Development (HUD) request to review allegations of corruption and mismanagement, we audited the Lafayette Parish Housing Authority’s (Authority) operations of its (1) public housing program and (2) Disaster Housing Assistance Program (DHAP). Our objective was to determine whether the Authority operated in accordance with HUD’s and other requirements. Specifically, we...

We reviewed the books and records of Saint Timothy’s Tower (project), a 114-unit U.S. Department of Housing and Urban Development (HUD)-insured (Section 236) Section 8 multifamily project consisting of 1 high-rise elevator building located in Compton, CA. We initiated the review in response to a request from the Departmental Enforcement Center due to its concerns about the owner’s use of project funds. Our objective was to determine whether...

The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General audited the Housing Authority of the City of South Bend, IN’s (Authority) American Recovery and Reinvestment Act of 2009 (Recovery Act) Public Housing Capital Fund Stimulus Formula grant. Our objective was to determine whether the Authority obligated, disbursed, and expended funds in accordance with Recovery Act and U.S. Department of Housing and Urban...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General, reviewed the Housing Authority of the City and County of Denver, CO (Authority), because it had the largest number of low-rent and Section 8 units and received the largest amount of American Recovery and Reinvestment Act of 2009 (Recovery Act) capital funds of all of the housing authorities in HUD's Region VIII (Colorado, Utah, Wyoming, Montana, North...

We reviewed the U.S. Department of Housing and Development’s (HUD) process for ensuring that grantee public housing agencies (PHA) receiving American Recovery and Reinvestment Act of 2009 (Recovery Act) Capital Funds complied with Section 152 of the 2005 Energy Act. We reviewed this process because during a recent Recovery Act audit we identified some non-Energy Star compliance and premature replacement purchases and during 2008 grantees paid $...

We audited the Housing Authority of the City of New Haven’s (Authority) Public Housing Capital Fund (Capital Fund) and American Reinvestment and Recovery Act of 2009 Capital Fund (Recovery Act Capital Fund) projects for compliance with environmental and labor law requirements. We initiated this assignment because a previous Office of Inspector General (OIG) audit of the Authority’s Recovery Act Capital Fund activities identified a significant...

We performed a limited review of Wells Fargo Home Mortgage (Wells Fargo) as a result of our internal audit of the Federal Housing Administration’s (FHA) Home Affordable Modification Program (HAMP). During the audit, we visited Wells Fargo and reviewed a limited number of loans to determine whether the National Servicing Center implemented and operated FHA-HAMP in accordance with rules and regulations. Our objective for this limited review was...

In accordance with our goal to review funds provided under the American Recovery and Reinvestment Act of 2009 (Recovery Act), we audited the San Antonio Housing Authority’s (Authority) Public Housing Capital Fund Stimulus Recovery Act-funded activities. We wanted to determine whether (1) the Authority obligated, expended, and reported on its Recovery Act funds within regulatory requirements and (2) its procurements were made in accordance with...

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited HUD's multifamily housing subsidy payment review process based upon a HUD employee’s complaint. The complaint alleged that HUD lacked controls over its multifamily housing subsidy payment review process and voucher specialists were understaffed and underpaid. Our audit objective was to determine whether HUD had adequate controls over its...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General, reviewed Blue Mountain Hospital (Hospital) based on a request from the Office of Healthcare Programs. The objective of our review was to determine whether the Hospital had adequate written procedures for collecting, dispersing, and accounting for project funds. The Hospital did not have adequate written procedures for collecting, disbursing, and accounting...

We audited the Philadelphia Housing Authority’s (Authority) use of its Public Housing Capital Fund formula grant that it received under the American Recovery and Reinvestment Act of 2009 (Recovery Act). We selected the Authority for audit based on a citizen’s complaint alleging misuse of these funds and because it received $126.5 million in Recovery Act capital funds. We focused strictly on $31.5 million of the funds that the Authority...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited the Housing Authority of the City of Mountain Grove, MO (Authority), in response to a citizen’s complaint received by our office. The complaint made allegations related to asset misappropriations, a procurement violation, and conflicts of interest. Our objective was to determine whether the allegations were valid. The allegations related to asset...

We audited the monitoring conducted by the Office of Public Housing (PIH), in Region 1 of their Recovery Act Capital Fund Grantees, for compliance with the Recovery Act and applicable U.S. Department of Housing and Urban Development (HUD) regulations, policies and procedures. Our objective was to determine whether PIH in Region 1 (1) monitored Recovery Act grantees identified by the risk assessment process HUD established and implemented for...

We reviewed the hazard-damaged units that the Housing Authority of the City of Los Angeles (Authority) is rehabilitating using formula grant American Recovery and Reinvestment Act of 2009 (Recovery Act) Public Housing Capital Fund program (program) funds. We selected the Authority based upon the results of our capacity review of the Authority’s Recovery Act program (see Office of Inspector General (OIG) audit report #2011-LA-1002, issued...

We audited the U. S. Department of Housing and Urban Development’s (HUD) Section 232 program as part of the Office of Inspector General’s (OIG) goal of contributing to the improvement of HUD’s execution and accountability of fiscal responsibilities. Our objective was to determine whether HUD had implemented adequate controls to properly monitor Section 232-insured mortgages. We found that HUD’s Office of Healthcare Programs had taken steps to...