Require the owners of Bishop Wicke Health and Rehabilitation Center, Plaza Village Senior Living, Golden Hill Health Care Center, Immanuel Campus of Care, and their related companies to reimburse the nursing homes for the ineligible expenses of $7,027,289.
2018-BO-0001 | September 17, 2018
HUD’s Office of Residential Care Facilities Did Not Always Have and Use Financial Information to Adequately Assess and Monitor Nursing Homes
Housing
- Status2018-BO-0001-001-HOpenClosed$7,027,289Questioned 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.
- Status2018-BO-0001-001-IOpenClosed$815,973Questioned 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.
Require Shawnee Christian Nursing Center to return 27 beds to operation or pay down the mortgage by $815,973
- Status2018-BO-0001-001-JOpenClosed
Define the troubled and potentially troubled classifications for nursing homes and develop specific measures to identify when and how nursing homes are classified.
- Status2018-BO-0001-001-KOpenClosed
Develop and implement policies and procedures to revisit the classifications at least annually.
- Status2018-BO-0001-002-AOpenClosed
Develop and implement computerized controls to flag blank data fields and illogical financial data.
- Status2018-BO-0001-002-BOpenClosed
Develop and implement procedures to require owners, operators, and lenders to submit accurate and complete financial data.
- Status2018-BO-0001-002-COpenClosed
Develop and implement internal controls to routinely compare financial data on mortgage payments to Multifamily Delinquency and Default Reporting System data on mortgage payments and follow up on any conflicting data.
- Status2018-BO-0001-002-DOpenClosed
Develop and implement procedures for referring operators who fail to provide required financial statements to the Departmental Enforcement Center.
- Status2018-BO-0001-002-EOpenClosed
Develop and implement metrics to evaluate each nursing home’s financial data for changes in utilization, payments, profitability, and solvency (debt service credit ratios).
2018-PH-0002 | September 10, 2018
HUD Did Not Provide Adequate Oversight of Its Family Self-Sufficiency Program
Public and Indian Housing
- Status2018-PH-0002-001-AOpenClosed$7,779,450Questioned 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.
Require the 12 grantees to correct their action plans to ensure that they comply with program requirements and submit the corrected plans to HUD for review or require the grantees to repay HUD from non-Federal funds for any amount of the $7,779,450 they received that they cannot support.
- Status2018-PH-0002-001-BOpenClosed$1,520Questioned 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.
Require the Housing Authority of Brevard County to repay $1,520 in ineligible escrow funds to HUD from non-Federal funds for the program participant that exceeded allowable contract terms of the FSS program.
- Status2018-PH-0002-001-COpenClosed
Monitor the grantees’ efforts to improve the accuracy and completeness of the PIC program data to ensure that program outcomes reported to Congress are accurately supported.
- Status2018-PH-0002-001-DOpenClosed
Develop and implement a plan to monitor grantee FSS programs, including to ensure that escrow accounts are calculated correctly.
- Status2018-PH-0002-001-EOpenClosed
Develop and implement policies and procedures to ensure that documentation is maintained by grantees to support program participants’ contractual agreements.
2018-DE-1001 | September 06, 2018
Meeker Housing Authority, Meeker, CO, Improperly Used Project Operating Funds for Its 221(d)(3) Multifamily Housing Insurance Program
Housing
- Status2018-DE-1001-001-AOpenClosed
Put all project bank accounts in the name of the project.
- Status2018-DE-1001-001-BOpenClosed
Separate all owner bank accounts from the project’s bank accounts.
- Status2018-DE-1001-001-COpenClosed
Develop and implement controls over the distinction between project funds and owner funds. These controls should include policies related to when the owner is allowed to take project funds owed to the owner.
- Status2018-DE-1001-001-DOpenClosed
Take HUD-approved training related to operating and maintaining a multifamily project.
- Status2018-DE-1001-002-AOpenClosed$142,805Questioned 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.
Repay the project’s operating account from nonproject funds for the $142,805 spent on ineligible expenses.
- Status2018-DE-1001-002-BOpenClosed$12,355Questioned 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.
Provide support for the $12,355 in project funds spent to pay individuals who were not on the payroll and for services provided for project operations. For any portion of this amount that is not supported, the owner should repay the project operating account using nonproject funds.