We audited the Housing Authority of the City of Camden NJ's administration of its housing quality standards inspection program for its Section 8 Housing Choice Voucher program as part of our fiscal year 2010 audit plan. The audit objective addressed in this report was to determine whether the Authority ensured that its program units met the U.S. Department of Housing and Urban Development's (HUD) housing quality standards. The...

We audited the City of Reading, PA’s Neighborhood Stabilization Program 2 as part of our annual audit plan to review activities funded by the American Recovery and Reinvestment Act of 2009 (Recovery Act) because the City received $5 million in Program funds under the Recovery Act. Our audit objective was to determine whether the City (1) met Program expenditure deadlines, (2) made Program expenditures that were eligible and adequately supported...

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...

We audited the East Orange Revitalization and Development Corporation (Corporation). We selected the Corporation based on a request for an audit from the Newark U.S. Department of Housing and Urban Development (HUD) Office of Community Planning and Development. The objective of the review was to determine whether the Corporation complied with HOME Investment Partnerships Program (HOME) requirements and Federal regulations. Corporation...

As part of our audit of the East Orange Revitalization and Development Corporation (Corporation), we reviewed the City of East Orange’s (City) compliance with the HOME Investment Partnerships Program (HOME) in regard to the eligibility of an awarded capacity building grant and developer fees awarded to the Corporation. This review raised issues in regard to the City’s compliance with HOME program requirements, Federal regulations, and HOME...

We audited the Jersey City Housing Authority’s (Authority) administration of its Replacement Housing Factor (RHF) grants received under the capital fund program. This is the third audit report regarding the Authority’s capital fund programs. We selected the Authority because of the size of its capital fund programs and because of its U.S. Department of Housing and Urban Development (HUD) risk rating. Our audit objective was to determine...

We audited the Jersey City Housing Authority’s (Authority) administration of its public housing capital fund program funded under the American Recovery and Reinvestment Act of 2009 (Recovery Act). This is the second audit report regarding the Authority’s capital fund programs. We selected the Authority because of the size of its capital fund programs and because of its U.S. Department of Housing and Urban Development (HUD) risk rating. Our...

We audited the Philadelphia Housing Authority’s (Authority) payments for outside legal services based on a citizen’s complaint alleging misuse of these funds, our observations and concerns regarding the Authority’s use of outside attorneys on prior audits, and concerns over the large sums the Authority paid for outside legal services reported in the media. The Authority paid $30.5 million for outside legal services provided by 15 law firms...

We audited the City of Pittsburgh’s (City) administration of its Community Development Block Grant (CDBG) funds that it received under the American Recovery and Reinvestment Act of 2009 (Recovery Act). We selected the City for audit because it received a $4.5 million grant, which was the third largest CDBG Recovery Act grant awarded in the State of Pennsylvania and it had disbursed more than half of the grant funds as of July 12, 2010. Our...

We conducted an audit of the Irvington Housing Authority’s (Authority) Capital Fund programs. The audit objectives were to determine whether Authority officials (1) obligated and expended its Capital Funds in accordance with U.S. Department of Housing and Urban Development (HUD) regulations, (2) had a financial management system in place that complied with program requirements and (3) whether the allegations in an anonymous complaint could be...

We audited the City of Bayonne, NJ's (City) Community Development Block Grant (CDBG) economic development activities in response to a complaint (HL- 09-1015) that contained four allegations. Our audit objectives were to determine whether the City (1) disbursed CDBG economic development funds efficiently and effectively in accordance with its submission to HUD and with the applicable rules and regulations, (2) used CDBG economic development...

We audited the City of Scranton, PA’s (City) Community Development Block Grant (CDBG) program. We selected the City for audit because of the size of its program, its high U.S. Department of Housing and Urban Development (HUD) risk analysis score, and a citizen’s complaint alleging misuse of HUD funds. The objectives of the audit were to determine whether the City (1) maintained records and documentation to identify the source and application...

We audited the Pennsylvania Housing Finance Agency (Agency) because it received $95.1 million in Tax Credit Assistance Program (Program) funds under the American Recovery and Reinvestment Act of 2009 (Recovery Act). The Agency received the largest amount of Program funds awarded in Region III. Our objective was to determine whether the Agency administered its Program in accordance with Recovery Act and applicable U.S. Department of Housing and...

We audited the Jersey City Housing Authority's (Authority) administration of its capital fund programs. We selected the Authority because of the size of its capital fund programs and because of its US, Department of Housing and Urban Development (HUD) risk rating. Our audit objectives were to determine whether the Authority (I) obligated and expended funds under the Public Housing Capital Fund program (CFP) and Capital Fund Financing...

We conducted a review of Federal Housing Administration (FHA) loans underwritten by Security Atlantic Mortgage Company, Inc. (Security Atlantic), an FHA direct endorsement lender. This review was conducted as part of the Office of Inspector General’s (OIG) Operation Watchdog initiative to review the underwriting of 15 direct endorsement lenders at the suggestion of the FHA Commissioner. The Commissioner expressed concern regarding the...

We audited the Harrisburg Housing Authority’s (Authority) procurement function. We audited the Authority because a previous audit conducted in 2007 indicated that there was weakness in its purchasing process. Our objective was to determine whether the Authority procured goods and services in accordance with U.S. Department of Housing and Urban Development (HUD) regulations and other applicable requirements. We found that the Authority did not...

We audited the Philadelphia Housing Authority’s (Authority) administration of its housing quality standards inspection program for its Section 8 Housing Choice Voucher program as part of our fiscal year 2010 audit plan. The audit objective addressed in this report was to determine whether the Authority ensured that its program units met the U.S. Department of Housing and Urban Development’s (HUD) housing quality standards. The Authority did...

We completed an audit of the City of Jersey City’s (City) Community Development Block Grant (CDBG) float loan activity. Our audit objective was to determine whether the City ensured that CDBG funds used for the float loan complied with applicable rules and regulations. The City did not comply with applicable regulations and failed to take timely action when the float loan defaulted. Specifically, it did not (1) make a good faith effort to...

We audited the Harrisburg Housing Authority’s (Authority) administration of its Public Housing Capital Fund grant that it received under the American Recovery and Reinvestment Act of 2009 (Recovery Act). We selected the Authority for audit because the U.S. Department of Housing and Urban Development (HUD) awarded the Authority a $4.4 million formula grant. Our audit objective was to determine whether the Authority administered the grant funds...