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Report Fraud, Waste and Abuse
  • Recommendation Number: 2021-PH-0001-001-D
  • Status: Closed
  • Date Issued: October 06, 2020
Closed Date:
August 27, 2021

We recommend that the Director of HUD’s Office of Davis-Bacon and Labor Standards develop and implement controls to ensure that the appropriate Davis-Bacon wage rate determinations are implemented in the contracts of FHA-insured multifamily construction projects that require multiple wage determinations, including the requirement that contract specifications clearly identify the portions of the contract subject to each assigned wage determination, and that adequate documentation to support wage determinations is maintained.

Publication Report

2021-PH-0001 | October 06, 2020

Wage Determinations for FHA-Insured Multifamily Construction Projects

We audited the U.S. Department of Housing and Urban Development’s (HUD) implementation of the prevailing wage provisions of the Davis-Bacon Act for its Federal Housing Administration (FHA)-insured multifamily construction projects.  We conducted the… more

Related Recommendations

Field Policy and Management

  •  
    Status
      Open
      Closed
    2021-PH-0001-001-A
    Closed on August 27, 2021

    We recommend that the Director of HUD’s Office of Davis-Bacon and Labor Standards seek guidance from the Department of Labor to correct the wage determinations where applicable for the five projects addressed in this report.

  •  
    Status
      Open
      Closed
    2021-PH-0001-001-B
    Closed on August 27, 2021

    We recommend that the Director of HUD’s Office of Davis-Bacon and Labor Standards based on the outcome of recommendation 1A, determine the correct wages to be paid to workers and ensure that appropriate actions are taken to pay the workers.

  •  
    Status
      Open
      Closed
    2021-PH-0001-001-C
    Closed on August 27, 2021

    We recommend that the Director of HUD’s Office of Davis-Bacon and Labor Standards update HUD Handbook 1344.1, REV-2, CHG-2, and Labor Relations Letter No. LR-96-03 to comply with the Department of Labor’s policies and guidance on the application of wage determinations for construction projects.