The City of Fresno, CA, Did Not Administer Its Community Development Block Grant in Accordance With HUD Requirements
We audited the City of Fresno’s Community Development Block Grant (CDBG) program. We selected the City based on prior findings identified by the U.S. Department of Housing and Urban Development (HUD) and continuing issues with the program. The objective of the audit was to determine whether the City administered its CDBG funds in accordance with HUD requirements, focusing on code enforcement, antigraffiti, and after school program...
Agosto 09, 2017
Report
#2017-LA-1006
The City of Huntington Park, CA, Did Not Administer Its Community Development Block Grant Program in Accordance With Requirements
We audited the City of Huntington Park’s Community Development Block Grant (CDBG) program. We selected the City based on the high risk assessment score and prior findings identified by the U.S. Department of Housing and Urban Development (HUD). The objective of the audit was to determine whether the City administered its CDBG funds in accordance with HUD requirements, focusing on grant expenditures and procurement.
The City...
Junio 16, 2017
Report
#2017-LA-1005
Cypress Meadows Assisted Living, Antioch, CA, Was Not Administered in Accordance With Its Regulatory Agreement and HUD Requirements
We audited Cypress Meadows Assisted Living based on a U.S. Department of Housing and Urban Development (HUD), Departmental Enforcement Center, referral. The referral asserted that the owner took distributions from Cypress Meadows for expenses other than the operation and maintenance of the project. Our objective was to determine whether Cypress Meadows was managed in accordance with its regulatory and operating agreements and HUD...
Junio 13, 2017
Report
#2017-LA-1004
The Lower Manhattan Development Corporation, New York, NY, Generally Disbursed CDBG Disaster Recovery Funds in Accordance With HUD Regulations
We performed the 21st review of the Lower Manhattan Development Corporation’s (LMDC) administration of the $2.783 billion in Community Development Block Grant (CDBG) Disaster Recovery funds awarded to the State of New York in the aftermath of the September 11, 2001, terrorist attacks on the World Trade Center in New York City. The objective of the audit was to determine whether LMDC disbursed CDBG Disaster Recovery funds in accordance...
Junio 13, 2017
Report
#2017-NY-1009
Mental Health Systems Inc., San Diego, CA, Did Not Allocate Payroll Costs in Accordance With Requirements
We audited Mental Health Systems, Inc.’s (MHS) Supportive Housing Program and Continuum of Care direct grants from the U.S. Department of Housing and Urban Development (HUD). We audited MHS as the result of requests from HUD, prompted by a media report and the County of San Diego’s review of MHS in response to whistleblower accusations of improprieties. The accusations centered on MHS drawing government funds in advance and...
Junio 02, 2017
Report
#2017-LA-1003
The Inglewood Housing Authority, Inglewood, CA, Generally Ensured the Eligibility of Its Housing Choice Voucher Program Participants
We audited the Inglewood Housing Authority (Authority) based upon issues with participant eligibility identified during our previous review of the financial operations of the Authority’s Housing Choice Voucher program, audit report 2016-LA-1013. Our audit objective was to determine whether the Authority ensured that participants were eligible to receive housing assistance in accordance with U.S. Department of Housing and Urban Development...
Mayo 11, 2017
Report
#2017-LA-1002
Seneca Mortgage Servicing LLC, Elma, NY, Generally Complied With HUD’s Loss Mitigation Program Requirements for Servicing Its Portfolio of FHA-Insured Mortgages
We reviewed Seneca Mortgage’s servicing of Federal Housing Administration (FHA)-insured mortgages and its implementation of the U.S. Department of Housing and Urban Development’s (HUD) Loss Mitigation program. We selected Seneca Mortgage based on the results of our single-family risk assessment. The objective of the audit was to determine whether Seneca Mortgage complied with HUD’s Loss Mitigation program requirements and...
Febrero 16, 2017
Report
#2017-NY-1007
The New Rochelle Municipal Housing Authority, New Rochelle, NY, Did Not Always Administer Its Public Housing Program in Accordance With HUD’s Rules and Regulations
We completed a review of the New Rochelle Municipal Housing Authority’s administration of its public housing program. We selected the Authority based on a management request from the U.S. Department of Housing and Urban Development’s (HUD) New York Office of Public Housing. The Authority was designated as a troubled housing authority and had indicators of noncompliance with program requirements, such as using program funds to pay...
Enero 30, 2017
Report
#2017-NY-1006
The City of New York, NY, Lacked Adequate Controls To Ensure That the Use of Community Development Block Grant Disaster Recovery Funds Was Always Consistent With the Action Plan and Applicable Federal and State Regulations
We completed a review of the City of New York, Office of Management and Budget’s administration of the Interim Assistance Rapid Repairs Program, funded with Community Development Block Grant Disaster Recovery (CDBG-DR) funds provided by the U.S. Department of Housing and Urban Development (HUD) to assist in the disaster recovery and rebuilding efforts resulting from Hurricane Sandy. The objective of the audit was to determine whether City...
Diciembre 20, 2016
Report
#2017-NY-1004
The Town of Amherst, NY, Did Not Ensure That Its Housing Choice Voucher Program Units Met Housing Quality Standards (REISSUED February 17, 2017)
(REISSUED February 17, 2017)
We audited the Town of Amherst’s Housing Choice Voucher program administered through a contractor, Belmont Housing Resources for Western New York, to address our audit plan priority to ensure that the U.S. Department of Housing and Urban Development’s (HUD) public and Indian housing programs are sufficiently administered by public housing agencies (PHA). We selected this auditee based on a risk analysis of...
Diciembre 13, 2016
Report
#2017-NY-1003
The Tarrytown Municipal Housing Authority, Did Not Always Comply With HUD’s Procurement, Administrative, and Program Requirements
We audited the Tarrytown Municipal Housing Authority’s administration of its public housing program based on an Office of Inspector General risk assessment. The objectives of the audit were to evaluate the Authority’s financial controls to determine whether (1) U.S. Department of Housing and Urban Development (HUD) funds were used for eligible, reasonable, and supported expenses and (2) adequate financial controls were maintained to...
Noviembre 21, 2016
Report
#2017-NY-1002
The City of New York, NY, Implemented Policies That Did Not Always Ensure That Community Development Block Grant Disaster Recovery Funds Were Disbursed in Accordance With Its Action Plan and Federal Regulations
We completed a review of the City of New York, Mayor’s Office of Housing Recovery Operations’ administration of the Build it Back Single Family Program, funded with Community Development Block Grant Disaster Recovery (CDBG-DR) funds provided by the U.S. Department of Housing and Urban Development (HUD) to assist in the disaster recovery and rebuilding efforts resulting from Hurricane Sandy. The objective of the audit was to determine...
Noviembre 02, 2016
Report
#2017-NY-1001
Inglewood Housing Authority, Inglewood, CA, Did Not Effectively Manage the Financial Operations of Its Housing Choice Voucher Program
We audited the Inglewood Housing Authority’s financial management of its Housing Choice Voucher program due to a hotline complaint allegation and the U.S. Department of Housing and Urban Development (HUD), Los Angeles Office of Public Housing’s concerns about the Authority’s financial management of its program. Our audit objective was to determine whether the Authority managed the financial operations of its program in compliance with HUD...
Septiembre 30, 2016
Report
#2016-LA-1013
Final Civil Action – Real Estate Agent and Two Borrowers Settled Allegation of Making a False Certification to HUD Regarding a Home Purchase Under the Federal Housing Administration Program
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), conducted a civil fraud review of an alleged loan origination fraud scheme involving borrowers purchasing a home in which the loan was insured under HUD’s Federal Housing Administration (FHA) program. The alleged scheme involved the submission of a false loan application to obtain an FHA-insured loan on a home in San Diego, CA. FHA...
Septiembre 29, 2016
Memorandum
#2016-CF-1812
Folts, Inc., Herkimer, NY Did Not Administer the Folts Adult Home and Folts Home Projects in Accordance With Their Regulatory Agreements
We audited Folts, Inc.’s management of the Folts Adult Home and Folts Home projects to address our concern with U.S. Department of Housing and Urban Development (HUD)-assisted health care facilities. We selected this auditee as the result of a risk assessment of nursing homes located in New York State, which considered HUD’s risk indicators and factors such as loan default; internal control issues; and financial statements not being filed...
Septiembre 29, 2016
Report
#2016-NY-1010
The City of Huntington Beach, CA, Administered Its Community Development Block Program in Accordance With HUD Rules and Requirements
We audited the City of Huntington Beach’s Community Development Block Grant program due to issues identified by the U.S. Department of Housing and Urban Development’s (HUD) Los Angeles Office of Community Planning and Development. In addition, Office of Inspector General (OIG) data analytics identified timeliness issues with the use of program funding. We also selected the City because it had not been audited by OIG. Our...
Septiembre 28, 2016
Report
#2016-LA-1012
Final Civil Action: Shea Mortgage, Inc., Settled Allegations of Making False Certifications Regarding Federal Housing Administration Loans
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), OIG referred alleged violations to HUD’s Office of Program Enforcement for action under the Program Fraud Civil Remedies Act based on an audit of Shea Mortgage that found it did not follow HUD requirements when it underwrote loans that had executed and recorded agreements containing prohibited restrictive covenants. HUD’s Office of Program...
Septiembre 28, 2016
Memorandum
#2016-LA-1801
Land Home Financial Services, Inc. Settled Alleged Violations of Failing To Comply With Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), assisted the Office of Program Enforcement in the investigation of Land Home Financial Services, Inc. to determine whether it violated HUD requirements when underwriting loans insured by the Federal Housing Administration (FHA). Land Home is an FHA mortgage lender, located in Concord, CA. Based in part on OIG’s review, HUD...
Septiembre 19, 2016
Memorandum
#2016-CF-1805
M&T Bank Settled Allegations of Failing To Comply With HUD’s Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), assisted the U.S. Department of Justice, Washington, DC, and the U.S. Attorney’s Office, Western District of New York, in the civil investigation of Manufacturers and Traders Trust Company, also known as M&T Bank. M&T Bank has its principal place of business in Buffalo, NY. On March 19, 2013, a former employee of M&T Bank...
Septiembre 19, 2016
Memorandum
#2016-CF-1804
The State of New York Had Weaknesses in Its Administration of the Tourism and Marketing Program
We audited the New York State Community Development Block Grant Disaster Recovery (CDBG-DR) assistance-funded New York State Tourism and Marketing program based on the amount of funds drawn down to date and weaknesses identified in prior Office of Inspector General audits. State officials allocated $30 million in CDBG-DR funds to the Tourism and Marketing program, of which $22.4 million had been obligated and disbursed as of September 30...
Septiembre 16, 2016
Report
#2016-NY-1009