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Report Fraud, Waste and Abuse

Family Living Adult Care Center FHA Project Number 024-22019 Biddeford and Saco, Maine

Our review disclosed that the Family Living project has suffered serious financial problems, including a default on the HUD-insured mortgage, and had ceased being a profitable entity. These problems were caused by questionable cash distributions (withdrawals) from the project bank accounts by the Owner. We consider these distributions, totaling $455,439, to be "equity skimming" and to be in violation of applicable Federal statutes and HUD regulations.

Improvements are Needed to the U.S. Department of Housing and Urban Development's Processes for Monitoring Elevated Blood Lead Levels and Lead-Based Paint Hazards in Public Housing

According to the Centers for Disease Control and Prevention (CDC), lead-based paint and lead-contaminated dust are some of the most widespread and hazardous sources of lead exposure for young children in the United States.  There is no safe blood lead level in children, and there is no cure for lead poisoning.  Therefore, it is important to prevent exposure to lead, especially among children.

Petersburg, VA Redevelopment and Housing Authority Did not Follow Federal Procurement Regulations or Properly Manage HUD Funds

What We Audited and Why

We completed an audit of the operations of the Petersburg Redevelopment and Housing Authority (Authority) in response to a citizen's complaint. The complainant alleged procurement irregularities, accounting problems, and overall mismanagement at the Authority.

The Commonwealth of Virginia, Richmond, Virginia, Did not Ensure HOME Funds Were Disbursed and Used in Accordance with Federal Regulations

What We Audited and Why

We audited the Commonwealth of Virginia's (Commonwealth) HOME Investment Partnerships program (HOME as part of our fiscal year 2006 annual audit plan. Our audit objective was to determine whether the Commonwealth's Department of Housing and Community Development was properly administering its HOME program.

What We Found

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