We recommend that Director of the Houston Office of Public Housing require the Authority to reimburse its low-rent operating fund $4,469 from its Housing Choice Voucher Program fund for the expenses that should have been paid from its Housing Choice Voucher Program fund.
Publication Report
2021-FW-1003 | September 29, 2021
The Bay City Housing Authority, Bay City, TX, Did Not Follow Requirements for Its Legal Services Contract, Administrative Costs, and Board Meetings
Based on a complaint and a request from the U.S. Department of Housing and Urban Development’s Office of Public and Indian Housing (HUD PIH), we audited the Bay City Housing Authority, Bay City, TX. The complainant’s allegations included improper… moreRelated Recommendations
Public and Indian Housing
- Status2021-FW-1003-001-AOpenClosedClosed on March 23, 2023$5,000.00Questioned Costs
Recommendations with questioned costs identify costs: (A] resulting from an alleged violation of a law, regulation, contract, grant, or other document or agreement governing the use of Federal funds; (B] that are not supported by adequate documentation (also known as an unsupported cost]; or (C] that appear unnecessary or unreasonable.
We recommend that the Director of HUD’s Houston Office of Public Housing require the Authority to reimburse its Public Housing Operating Fund $5,000 from non-Federal funds for the unrecovered remaining balance of the $20,000 that was paid to the attorney.
- Status2021-FW-1003-001-BOpenClosedClosed on January 26, 2022$24,250.00Funds Put to Better Use
Recommendations that funds be put to better use estimate funds that could be used more efficiently. For example, recommendations that funds be put to better use could result in reductions in spending, deobligation of funds, or avoidance of unnecessary spending.
We recommend that the Director of HUD’s Houston Office of Public Housing require the Authority to ensure that no Federal funds are used to pay the remaining legal services invoices totaling $24,250, which will result in these funds being put to better use.
We recommend that the Director of HUD’s Houston Office of Public Housing require the Authority to update its policies to ensure the future commissioners obtain training on Texas’ Open Meetings Act requirements and HUD’s training for commissioners within 90 days after appointment, which will ensure that future commissioners understand the requirements for board meetings and procurement actions.
We also recommend that the Director of HUD’s Houston Office of Public Housing evaluate the reported actions the three commissioners took when procuring the legal services contract and, if warranted, pursue administrative sanctions or other corrective actions.
- Status2021-FW-1003-002-AOpenClosedClosed on March 23, 2023$2,172.00Questioned Costs
Recommendations with questioned costs identify costs: (A] resulting from an alleged violation of a law, regulation, contract, grant, or other document or agreement governing the use of Federal funds; (B] that are not supported by adequate documentation (also known as an unsupported cost]; or (C] that appear unnecessary or unreasonable.
We recommend that Director of the Houston Office of Public Housing require the Authority to Reimburse its low-rent operating fund $2,172 from non-Federal funds for the ineligible travel, training, and credit card expenditures.
- Status2021-FW-1003-002-COpenClosedClosed on March 23, 2023$704.00Questioned Costs
Recommendations with questioned costs identify costs: (A] resulting from an alleged violation of a law, regulation, contract, grant, or other document or agreement governing the use of Federal funds; (B] that are not supported by adequate documentation (also known as an unsupported cost]; or (C] that appear unnecessary or unreasonable.
We recommend that Director of the Houston Office of Public Housing require the Authority to reimburse its Housing Choice Voucher Program fund $704 from non-Federal funds for the ineligible travel and training expenditures.
- Status2021-FW-1003-002-DOpenClosedClosed on March 23, 2023$31,327.00Questioned Costs
Recommendations with questioned costs identify costs: (A] resulting from an alleged violation of a law, regulation, contract, grant, or other document or agreement governing the use of Federal funds; (B] that are not supported by adequate documentation (also known as an unsupported cost]; or (C] that appear unnecessary or unreasonable.
We recommend that Director of the Houston Office of Public Housing require the Authority to support or repay $31,327 to its low-rent operating fund from non-Federal funds for the various unsupported expenditures.
- Status2021-FW-1003-002-EOpenClosedClosed on March 23, 2023$584.00Questioned Costs
Recommendations with questioned costs identify costs: (A] resulting from an alleged violation of a law, regulation, contract, grant, or other document or agreement governing the use of Federal funds; (B] that are not supported by adequate documentation (also known as an unsupported cost]; or (C] that appear unnecessary or unreasonable.
We recommend that Director of the Houston Office of Public Housing require the Authority to support or repay $584 to its Housing Choice Voucher Program fund from non-Federal funds for the unsupported travel, training, and phone expenses paid with Housing Choice Voucher Program funds.
We recommend that Director of the Houston Office of Public Housing require the Authority to update and implement its policies and procedures, including creating a policy for recording expenses, a cost allocation plan, and a travel policy, to ensure that the Authority appropriately pays and accurately reports its costs.
We recommend that the Director of the Houston Office of Public Housing require the Authority’s new board to complete HUD’s “Lead the Way” online training and Texas’ Open Meetings Act training.
We recommend that the Director of the Houston Office of Public Housing require the Authority’s new board to review the board minutes during our audit period, determine which board decisions were invalid, and take action to address the invalid decisions.
We recommend that the Director of the Houston Office of Public Housing require the Authority’s new board to revise its bylaws to agree with the Texas Open Meetings Act.