Update policies and procedures to include methods that will be used when applications exceed underwriter capacity, align intake and screening processes, and explain when timeframes will be enforced, including in PLUS.
2024-NY-0002 | August 09, 2024
HUD Addressed Multifamily Mortgage Application Processing Delays, but Additional Action Is Needed To Manage Future Backlogs
Housing
- Status2024-NY-0002-001-BOpenClosed
- Status2024-NY-0002-001-COpenClosed
Issue an industry wide letter to reinforce how intake, screening, and enforcement of timeframes will be handled.
2024-NY-0001 | July 30, 2024
HUD’s FHA Appraiser Roster is Generally Reliable but Opportunities to Improve Data Management Exist
Housing
- Status2024-NY-0001-001-AOpenClosed
Update relevant policies and procedures for appraiser roster management so that they align with each other and with regulations and reflect HUD practice. At a minimum, the policies and procedures should clearly cover appraiser roster status, license expiration, disciplinary actions, removals, data accuracy, and documentation.
- Status2024-NY-0001-001-BOpenClosed
Maintain historical data for each appraiser record, including history on expiration dates, when appraisers are moved on or off the appraiser roster and when they are and are not allowed to be assigned to conduct appraisals.
- Status2024-NY-0001-001-COpenClosed
Improve quality assurance processes by adding steps to verify that the appraiser roster is accurate and reliable over time through testing of its logic-based system controls and data fields.
2024-KC-0002 | May 24, 2024
Servicers Followed the COVID-19 Foreclosure Moratorium Requirements but Could Have Better Communicated the Requirements to Borrowers
Housing
- Status2024-KC-0002-001-AOpenClosed
Update Handbook 4000.1 to require servicers to share information regarding foreclosure moratoriums with borrowers.
- Status2024-KC-0002-001-BOpenClosed
Simplify the process for accessing its FAQs on Single Family’s website, including adding a clickable link on its website home page that will take borrowers directly to the FAQs.
- Status2024-KC-0002-001-COpenClosed
Review the two loans in our sample that did not receive appropriate servicing and take administrative actions if appropriate.
2024-KC-0001 | April 18, 2024
HUD Can Improve Its Loan Purchaser Qualification Vetting To Better Achieve Its Mission Objectives
Housing
- Status2024-KC-0001-001-AOpenClosed
Require the transaction specialist contractor to change its application review process to prevent incomplete applications from being considered during vacant loan sales and that recommendations to approve applications are supported by written analysis.
- Status2024-KC-0001-001-BOpenClosed
Implement improved verification checks to prevent participation of restricted entities.
- Status2024-KC-0001-001-COpenClosed
Implement an improved process to review and update program controls before each sale to achieve its mission objectives.
2024-CH-0001 | February 13, 2024
HUD Lacked Adequate Oversight of Multifamily Housing Properties With Failing REAC Scores or Life-Threatening Deficiencies
Housing
- Status2024-CH-0001-001-AOpenClosedPriorityPriority
We believe these open recommendations, if implemented, will have the greatest impact on helping HUD achieve its mission to create strong, sustainable, inclusive communities and quality affordable homes for all.
Develop and implement adequate procedures and controls to ensure that (1) staff issues notices of violation and default within 15 calendar days of the inspection report release date and (2) the Office of Multifamily Asset Management and Portfolio Oversight is made aware when notices are not issued within 15 calendar days after the inspection report release date and takes action as appropriate to ensure that future notices are issued in a timely manner.
Status
HUD has implemented a process of sending notifications to the field offices' centralized inboxes when a failed inspection has been released with instructions to issue a Notice of Default or Notice of Violation within 15 days. The field office logs this task into the Asset Management Processing System (AMPS) and assigns it to an Account Executive. Field office management tracks the progress of the task in AMPS. HUD is building a reporting tool to see if the task has been properly entered into iREMS and addresses the field office instances where it has not. The construction of this tool has been delayed due to limited staff resources. As of January 2025, the reporting tool was undergoing review and testing prior to implementation. The final action target date was November 29, 2024.
Analysis
Implementing procedures and controls for the timely issuing of notices would ensure that property owners are held accountable for correcting life-threatening deficiencies in a timely manner thus reducing the risk of families living in units that are unsafe for longer periods.
The implementation of this recommendation has the potential to directly impact the health and safety of families.
- Status2024-CH-0001-002-AOpenClosedPriorityPriority
We believe these open recommendations, if implemented, will have the greatest impact on helping HUD achieve its mission to create strong, sustainable, inclusive communities and quality affordable homes for all.
Include language in future notices of violation and default clearly stating that owners are required to inspect all units (including vacant units), common areas, grounds, building systems, and sites as part of the owner survey and require owners to include sufficient detail in the surveys to show (1) when the survey was conducted and (2) that the survey was a complete survey of the project.
Status
HUD will update the Notice of Default and Notice of Violation in conjunction with updates related to NSPIRE. These updates have been delayed by limited staff resources and pending policy clarifications and system changes for NSPIRE.
The final action target was November 29, 2024.
Analysis
The inclusion of language in the notices would ensure that property owners are aware of their responsibilities to inspect all units, common areas, grounds, building systems, and sites and perform repairs of identified deficiencies to protect families from living in units that are not decent, safe, and sanitary.
The implementation of this recommendation has the potential to directly impact the health and safety of families.
- Status2024-CH-0001-002-BOpenClosed
Develop and implement adequate policies, procedures, and controls to ensure that owner certifications and surveys and other relevant documents related to properties that fail inspections or are noted as having EHS deficiencies are maintained and retrievable from an easily accessible location.
- Status2024-CH-0001-002-COpenClosed
Develop and implement adequate controls to ensure that HUD staff with the appropriate level of authority approves extensions to the notices of violation and default cure periods in writing and that documentation is maintained to support such approvals.
- Status2024-CH-0001-003-AOpenClosed
Modify the queries used to generate the schedules of properties that accompany the reports to Congress to consider a larger range of dates to ensure that properties that failed consecutive inspections are appropriately identified on all applicable schedules.
- Status2024-CH-0001-003-BOpenClosed
Assess and streamline the processes for preparing, reviewing, and approving the reports as appropriate to ensure that the reports are submitted to Congress on or before the required due date.
- Status2024-CH-0001-003-COpenClosed
Implement adequate procedures and controls to ensure that documentation is maintained to support that the reports were submitted to Congress.
2023-OE-0001a | December 20, 2023
Fiscal Year 2023 Federal Information Security Modernization Act of 2014 Penetration Test Evaluation Report
Policy Development & Research
- Status2023-OE-0001a-04OpenClosedSensitiveSensitive
Sensitive information refers to information that could have a damaging import if released to the public and, therefore, must be restricted from public disclosure.
The OIG has determined that the contents of this recommendation would not be appropriate for public disclosure and has therefore limited its distribution to selected officials.
2024-BO-0001 | December 18, 2023
Opportunities Exist To Improve HUD’s FHA Resource Center’s Routing of Housing Discrimination Inquiries
Housing
- Status2024-BO-0001-001-AOpenClosed
We recommend that HUD’s Deputy Assistant Secretary for Single Family Housing update policies and procedures regarding discrimination complaints to ensure consistency among customer service representatives in rerouting these complaints to FHEO.