On April 17, 2018, the Office of Program Enforcement issued a letter stating that it had reached a resolution under a Program Fraud Civil Remedies Act of 1986[1] case regarding Summit Bradford Apartments located in Tulsa, OK, following its review.  The Government alleged that the owner submitted 40 false claims under the Act.  The Office of Program Enforcement included with its letter the March 28, 2018, settlement agreement with BSR...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited the Spokane Housing Authority due to the Authority’s participation in the Rental Assistance Demonstration Program (RAD), which was a priority for the Office of Audit.  Our objective was to determine whether the Authority followed relocation requirements during its RAD conversion of the Parsons Apartments. We found that The Authority did not...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General selected the Housing Authority of Snohomish County for audit based on a referral from the U.S. Department of Housing and Urban Development’s (HUD) Office of Labor Standards Enforcement in Seattle, WA.   Our objective was to determine whether the Authority executed Agreements To Enter Into Housing Assistance Payments Contract (forms HUD-52531-A and...

We audited the City of Atlanta, GA, and its subrecipient, the Fulton County-City of Atlanta Land Bank Authority.  We began our review of the City’s administration of its Neighborhood Stabilization Programs 1 (NSP1) and 3 (NSP3) grants because it aligns with our goal in the U.S. Department of Housing and Urban Development (HUD), Office of Inspector General’s annual audit plan to improve HUD’s execution of and accountability for grant funds...

We audited the Housing Authority of DeKalb County’s Rental Assistance Demonstration (RAD) conversion and Public Housing Capital Fund program.  We selected the Authority for review in accordance with our annual audit plan.  Our audit objective was to determine whether the Authority properly administered its RAD conversion and obligated and authorized capital funds in accordance with the U.S. Department of Housing and Urban Development’...

We audited the Housing Authority of the City of Tulsa’s administration of its Section 8 program.  We selected the Authority based on reports generated by the U.S. Department of Housing and Urban Development’s (HUD) Enterprise Income Verification system (EIV).  The Authority had indicators of noncompliance with program requirements.  Specifically, EIV reported an annualized income discrepancy of more than $1.6 million for 328...

We audited the State of Oklahoma because it received $93.7 million in Community Development Block Grant Disaster Recovery (CDBG-DR) allocations for presidentially declared disasters that occurred in 2011, 2012, and 2013.  The substantial amount of CDBG-DR funding required a review of the State’s program.  Our objective was to determine whether the State obligated and spent its grant in accordance with requirements.  The State...

The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General (OIG) assisted the U.S. Attorney’s Office of the Northern District of Alabama in the civil investigation of Guardian Pest Services, Inc., doing business as Knox Pest Control and J.J.S.K. Solutions, Inc.  Knox Pest Control has its principal place of business in Columbus, GA.  A HUD home is a one-to-four unit residential property acquired by HUD as...

We audited the Georgia Housing and Finance Authority’s implementation of the Federal Housing Administration’s Home Affordable Modification Program (FHA-HAMP).  We selected the Authority because (1) our data analysis showed that the Authority had the highest ratio of FHA-HAMP actions to delinquent loans within the jurisdiction of our regional office, (2) the U.S. Department of Housing and Urban Development (HUD) office located in Atlanta,...

We audited the Muscogee (Creek) Nation’s use of U.S. Department of Housing and Urban Development (HUD) funds in accordance with the Office of Inspector General’s goal to ensure the integrity and soundness of HUD’s Public and Indian Housing programs and to follow up on weaknesses identified in other reviews.  The audit objective was to determine whether the Nation complied with HUD requirements when it housed families and procured contracts...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited Homewood Terrace Mutual Homes’ Section 8 housing assistance payments program due to concerns over poor financial reporting and potentially inappropriate involvement by one of its board members.  Our objective was to determine whether Homewood Terrace conducted timely reexaminations, correctly calculated and requested assistance payments, and...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited Snohomish County’s Community Development Block Grant (CDBG) entitlement program because the U.S. Department of Housing and Urban Development (HUD), as part of its 2014 monitoring report, noted findings and concerns related to the County’s use of program income.  In addition, the County’s 2013 risk assessment concluded that procurement was an...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG) assisted in an investigation into alleged violations of Federal Housing Administration (FHA) regulations by Taylor, Bean & Whitaker Mortgage Corporation and Home America Mortgage, Inc.  The investigation included a qui tam action filed under the False Claims Act in the U.S. District Court for the Northern District of Georgia.  The False...

We audited St. Francis Hospital, Inc. because the U.S. Department of Housing and Urban Development (HUD), Office of Hospital Facilities, requested immediate assistance from HUD’s Office of Inspector General (OIG) to review suspected violations of the hospital’s regulatory agreement and rider (including covenants).  Our objective was to determine whether the hospital complied with the executed regulatory agreement and HUD requirements for...

We reviewed the City of Moore, OK, because it received $52.2 million in Community Development Block Grant Disaster Recovery (CDBG-DR) funding in response to the tornado that struck Moore on May 20, 2013.  Further, the City only recently became a CDBG entitlement grantee, and there was a substantial increase between its regular CDBG funding and its CDBG-DR funding.  Also, our annual audit plan placed a priority on reviewing entities...

We audited the Housing Authority of the City of Comer’s financial and procurement operations.  We selected the Authority based on concerns from the U.S. Department of Housing and Urban Development’s (HUD) Georgia State Office of Public Housing regarding significant deficiencies identified during its August 2013 management review.  HUD’s Office of Public Housing identified findings regarding the misuse of funds, a lack of governance...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited the Redwood Juniper Tacoma Apartments to determine whether Redwood Juniper’s owner took an unauthorized distribution in excess of surplus cash, procured services in accordance with HUD rules and regulations, and maintained an auditable waiting list. We selected the multifamily housing project for audit because it appeared that the project owner took...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited King County, WA’s Shelter Plus Care program to determine whether King County met the matching requirements for its Shelter Plus Care grants.  We selected King County because it received the most Shelter Plus Care funding in HUD’s Region 10 (Alaska, Idaho, Oregon, and Washington). While it was able to provide the necessary service match support...

The U.S. Department of Housing and Urban Development – Office of Inspector General audited Pierce County because it received almost $9 million in total funding in Washington State for its community planning and development grants under the 2011 and 2012 notices of funding availability. The County claimed nearly $242,000 in ineligible matching funds for three HOME projects.  Since these three projects had already received HOME funding and...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited how the Yakama Nation Housing Authority used its nearly $4.9 million Native American Housing Block Grant provided under the American Recovery and Reinvestment Act of 2009.  Our objectives were to determine whether the Authority properly spent its Recovery Act funds, correctly obtained small purchases, and properly reported Recovery Act...