We audited the U.S. Department of Housing and Urban Development’s (HUD) Office of Lead Hazard Control and Healthy Homes’ (OLHCHH) oversight of Lead-Based Paint Hazard Control (LBPHC) and Lead Hazard Reduction Demonstration (LHRD) grant programs.  These programs help reduce lead hazards in low-income households, particularly with young children.  Between fiscal years 2020 and 2022, OLHCHH awarded more than $353 million in…

We contracted with the independent public accounting firm of Sikich CPA LLC to audit the financial statements of FHA as of and for the fiscal year ending September 30, 2025, and to provide reports on FHA’s (1) internal control over financial reporting and (2) compliance with laws, regulations, contracts, and grant agreements and other matters.  Our contract with Sikich required that the audit be performed in accordance with U.S.…

Beginning in 2021, the U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG) conducted several audits to assess HUD’s anti-fraud efforts and to develop inventories of fraud risks for several of its programs.  Our previous work found that HUD’s fraud risk management program was in its early stages of development and we recommended that HUD perform program-specific fraud risk assessments and…

We audited the Puerto Rico Public Housing Administration’s management of lead‐based paint in its public housing program based on our assessment of the risks of lead‐based paint in public housing.  The risk factors assessed included the age of buildings, the number of units, and reported cases of childhood lead poisoning.  The Puerto Rico Public Housing Administration (Authority) is the second largest public housing agency (…

We audited New York City (NYC) Department of Social Services (DSS) with the objective of evaluating DSS’ fraud risk management practices for its Emergency Solutions Grants Coronavirus Aid, Relief, and Economic Security Act (ESG CARES Act) funded activities and assessed the maturity of its efforts to prevent, detect, and respond to fraud.  Fraud within activities funded by the ESG CARES Act can lead to significant financial losses…

This disaster recovery biannual report and subsequent annual reports will provide curated information regarding the U.S. Department of Housing and Urban Development (HUD) and its grantees’ use of the more than $109 billion in disaster recovery funds approved by Congress since the 2001 World Trade Center attack, as well as information on new or completed HUD OIG oversight work related to HUD’s disaster recovery program.  HUD’s…

Beginning in 2021, the U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), conducted several audits to assess HUD’s anti-fraud efforts and to develop inventories of fraud risks in HUD programs. Our previous work found that HUD’s fraud risk management program was in its early stages of development, and we recommended that HUD perform program-specific fraud risk assessments and incorporate these…

The Federal Information Security Modernization Act of 2014 (FISMA) directs Inspectors General to conduct an annual evaluation of the agency information security program. FISMA, Department of Homeland Security (DHS), Office of Management and Budget (OMB) and National Institute of Standards and Technology (NIST) establish information technology (IT) security guidance and standards for Federal agencies. We conducted this evaluation to…

We contracted with the independent public accounting firm of Sikich CPA LLC to audit the financial statements of HUD as of and for the fiscal year ending September 30, 2025, and to provide reports on HUD’s (1) internal control over financial reporting and (2) compliance with laws, regulations, contracts, and grant agreements and other matters, including whether financial management systems complied substantially with the requirements…

We contracted with the independent public accounting firm Sikich CPA LLC to audit the financial statements of Ginnie Mae as of and for the years ending September 30, 2025 and 2024, and to provide reports on Ginnie Mae’s (1) internal control over financial reporting and (2) compliance with laws, regulations, contracts, and grant agreements and other matters. Our contract with Sikich required that the audit be performed in accordance…

We audited New York State’s Hurricane Sandy disaster procurement processes.  Our audit objective was to determine whether the State conducted its Hurricane Sandy-funded disaster recovery procurements using full, fair, and open competition methods.  By continuing to use a November 2012 Governor-issued temporary waiver, the State did not foster open competition and ensure that it obtained the best services at the best prices.…

We audited the U.S. Department of Housing and Urban Development (HUD), Office of Public and Indian Housing’s (PIH) Housing Choice Voucher Program to assess public housing agencies’ (PHA) controls to prevent and combat source of income discrimination.  In limited circumstances, Federal law and regulations prohibit source of income discrimination in certain HUD-assisted housing.  As of January 2025, 23 states and the District…

We audited Neighborhood Loans, Inc., to evaluate its quality control (QC) program for originating and underwriting Single Family FHA-insured loans. Our audit covered the period October 2020 through September 2022.  We selected Neighborhood Loans for review based on its increasing loan volume and delinquency rate and because its rate of self-reporting loans to HUD when it identified fraud, material misrepresentations, and other…

We audited the U.S. Department of Housing and Urban Development (HUD) to determine whether HUD had adequate oversight of the physical condition of the public housing units that converted to non-Federal Housing Administration (FHA)-insured project-based vouchers (PBV) under RAD.We found HUD needs to improve its oversight of the physical condition of converted projects.  Before the implementation of its PBV monitoring pilot program…

We audited Flat Branch Mortgage, Inc., to evaluate its quality control (QC) program for originating and underwriting Single Family FHA-insured loans.  Our audit covered the period October 2020 through September 2022.  We selected Flat Branch for review based on its loan volume and delinquency rate and because its rate of self-reporting loans to HUD when it identified fraud, material misrepresentations, and other material…

This report was issued from a series of six reports taking an in-depth look at how six communities used the pandemic funding they received to address a wide range of needs. This report focused on Jicarilla Apache Nation Reservation in New Mexico with a detailed look at six of the 42 pandemic programs that provided funding to the community. This report was led by the Pandemic Relief Accountability Committee (PRAC) in coordination with…

Under the Lead Safe Housing Rule (LSHR), owners of multifamily properties receiving assistance from the U.S. Department of Housing and Urban Development (HUD) must comply with specific requirements following reports that a child under the age of 6 residing in an assisted unit has a confirmed elevated blood lead level (EBLL).  Some of these requirements are (1) ensuring that an environmental investigation is conducted to determine…

HUD’s Office of Single Family Housing did not consistently monitor its Field Service Management (FSM) contractors’ property preservation and protection services.  Specifically, HUD provided inconsistent monitoring for 34 of the 79 statistically sampled records we reviewed, and these involved discrepancies between HUD’s assessment, the support, and the performance work statement.  HUD did not develop and apply a clear and…

HUD did not comply with PIIA because it did not report compliant improper and unknown payment estimates for the Office of Public and Indian Housing’s Tenant-Based Rental Assistance (PIH-TBRA) program and the Office of Multifamily Housing Programs’ Project-Based Rental Assistance (MF-PBRA) program.   These were HUD’s two largest program expenditures, totaling more than $50 billion in fiscal year 2024.  This noncompliance…

This inaugural disaster recovery biannual report and subsequent reports will provide curated information regarding the U.S. Department of Housing and Urban Development (HUD) and its grantees’ use of the more than $109 billion in disaster recovery funds approved by Congress since the 2001 World Trade Center attack, as well as information on new or completed HUD OIG oversight work related to HUD’s disaster recovery program.HUD’s…