We recommend that the Director of the Fort Worth Office of Community Planning and Development require the City to strengthen and comply with its underwriting and project evaluation policies and procedures, including ensuring that when it signs and commits funds, project construction can begin within 12 months.
2019-FW-1004 | June 17, 2019
The City of Dallas, Dallas, TX, Did Not Follow Environmental Requirements or Effectively Manage Its Community Housing Development Organizations
Community Planning and Development
- Status2019-FW-1004-002-EOpenClosed
- Status2019-FW-1004-002-FOpenClosed
We recommend that the Director of the Fort Worth Office of Community Planning and Development require the City to develop and implement policies and procedures on documentation required to support draws.
- Status2019-FW-1004-002-GOpenClosed
We recommend that the Director of the Fort Worth Office of Community Planning and Development require the City to comply with requirements to obtain the required income documentation, including ensuring that employees know and apply the requirements.
- Status2019-FW-1004-002-HOpenClosed
We recommend that the Director of the Fort Worth Office of Community Planning and Development require the City to develop and implement policies and procedures to review source income documentation as required by the HOME regulations.
- Status2019-FW-1004-002-IOpenClosed
We recommend that the Director of the Fort Worth Office of Community Planning and Development require the City to develop and implement policies and procedures for documenting the results of its recertification procedures, including documenting the results of unpaid taxes, the resolution of CHDO audit findings, and the resolution of ineligible CHDO board members or employees because of a SAM search.
2019-AT-1004 | June 14, 2019
The North Carolina Department of Commerce Did Not Administer Its Neighborhood Stabilization Program Grants as Required by HUD
Community Planning and Development
- Status2019-AT-1004-001-AOpenClosed$417,113Funds 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.
Put $417,113 in unspent NSP1 funds associated with three activities to better use by reprogramming the funds to other subrecipients using an appropriate method or return the funds to HUD.
- Status2019-AT-1004-001-BOpenClosed$1,300,000Questioned 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.
Support or reimburse its NSP1 grant $1,300,000 from non-Federal funds for the unsupported reallocation of grant funds.
- Status2019-AT-1004-001-COpenClosed
Establish and implement a written policy and procedures to recapture and reallocate unused NSP funds in a timely manner.
- Status2019-AT-1004-001-DOpenClosed$1,186,105Questioned 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.
Support or reimburse the appropriate NSP grant $1,186,105 from non-Federal funds for the unsupported subrecipient and administrative expenditures.
- Status2019-AT-1004-001-EOpenClosed
Update its records retention policy to meet HUD’s records retention requirements for supporting documentation for Federal program expenses, including salaries.
- Status2019-AT-1004-001-FOpenClosed
Update the NSP program income information in HUD’s grant tracking system and quarterly performance reports and reconcile with the Department’s records.
- Status2019-AT-1004-001-GOpenClosed
Establish and implement written procedures and provide adequate training to staff associated with administering the NSP grant to help ensure accurate reporting of program income.
- Status2019-AT-1004-001-HOpenClosed$11,916,072Questioned 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.
Develop and implement a remediation plan for the six NSP activities to show that the national objectives have been met as required to support $11,916,072 in program funds drawn or reimburse its program from non-Federal funds.
- Status2019-AT-1004-001-IOpenClosed
Work with the Department so that it plans properly to ensure that the six activities identified in this report meet a national objective thereby avoiding extended project delays.
- Status2019-AT-1004-001-JOpenClosed
Review the Department’s remaining NSP grant expenditures before its drawdowns to ensure that the expenditures are eligible and adequately supported.
2019-FW-1003 | June 10, 2019
Northline Point Apartments, Houston, TX, Multifamily Section 8 Program, Subsidized Unsupported Tenants and Uninspected Units
Housing
- Status2019-FW-1003-001-AOpenClosed$1,054,150Questioned 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 Southwest Region Director of Multifamily Housing require the Northline Point Apartments’ owner to support that the subsidies for 51 units without annual physical inspections, without required EIV reports, or missing files were eligible and accurate or repay HUD $1,054,150 for those subsidies. Repayment must be from nonproject funds.
- Status2019-FW-1003-001-BOpenClosed
We recommend that the Southwest Region Director of Multifamily Housing require the Northline Point Apartments’ owner to use correct dates for tenants who move in or out of subsidized units or transfer to other units. The move-ins, move-outs, and transfers must be adequately documented and supported.
- Status2019-FW-1003-001-COpenClosed
We recommend that the Southwest Region Director of Multifamily Housing require the Northline Point Apartments’ owner to ensure that form HUD-50059 transactions are properly coded and adequately document and support the transactions.
- Status2019-FW-1003-001-DOpenClosed
We recommend that the Southwest Region Director of Multifamily Housing require the Northline Point Apartments’ owner to ensure that tenant income is properly verified and maintain EIV reports as required.
- Status2019-FW-1003-001-EOpenClosed
We recommend that the Southwest Region Director of Multifamily Housing require the Northline Point Apartments’ owner to perform and document annual inspections as required.