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The Chicago Housing Authority, Chicago, IL, Did Not Always Ensure It Complied With HUD's Requirements For Exception Payment Standards

We audited the Chicago Housing Authority’s Moving to Work Housing Choice Voucher program as part of the activities in our fiscal year 2014 annual audit plan.  We selected the Authority based on a request from Congressman Aaron Schock and recent media attention regarding the Authority’s exception payment standards.  Our objective was to determine whether the Authority complied with its Moving to Work agreement, the U.S.

Intergovernmental Personnel Act Appointment Created an Inherent Conflict of Interest in the Office of Public and Indian Housing

Based on a hotline complaint and additional work by our Financial Audit Division and Office of Legal Counsel, we reviewed whether a conflict of interest existed within the U.S. Department of Housing and Urban Development (HUD) Office of Public and Indian Housing (PIH). Specifically, former PIH Assistant Secretary Sandra B. Henriquez appointed Debra Gross, a former lobbyist and the deputy director of the Council of Large Public Housing Authorities (CLPHA), a housing industry group, to be responsible for PIH’s Office of Policy, Program and Legislative Initiatives (OPPLI).

The Office of Public and Indian Housing has Reduced Subsidized Public Housing Vacancies

Preliminary Research Closeout Memorandum In 2011, HUD established a high priority goal to reduce vacancies through improved management of the public housing inventory. Since then, HUD has substantially reduced vacancies, saving taxpayer dollars and enhancing the availability of habitable rental units. Subsidized vacancies, measured in unit months, have decreased from approximately 550,000 in 2011 to approximately 379,000 currently. The improvement has resulted in a reduction in public housing vacancies from 4.2% to 2.9% during the three-year period.

The Rotan Housing Authority, Rotan, TX, Did Not Administer Its Public Housing and Recovery Act Programs in Accordance With Regulations and Other Requirements

In accordance with our regional plan to review public housing programs and because of a complaint filed with the Office of the Inspector General (OIG) and issues identified by new management, we performed a review of the Rotan Housing Authority (Authority).  The complainant and Authority management alleged that the Authority maintained its records in a disorderly fashion, lacked supporting documentation for rental income, had large rental shortages, made questionable large unit turnaround payments to tenants, and made questionable payments for asbestos removal.  Our o

The Management of the Housing Authority of the City of Taylor, Taylor, TX, Did Not Exercise Adequate Oversight of Its Programs

In accordance with our annual audit plan to review public housing programs and because of an anonymous complaint and issues identified by the San Antonio Office of Public Housing, we reviewed the Housing Authority of the City of Taylor, Taylor, TX.  Our objectives were to determine whether the Authority operated its public housing and related grant programs in accordance with the U.S.

The Housing Authority of the City of Spartanburg, SC, Used HUD Program Funds for Ineligible Expenses

We audited the public housing program of the Housing Authority of the City of Spartanburg, SC, because of a citizen’s complaint.  Our objective was to determine whether the Authority’s performance in the areas of financial operations, procurement, and inventory practices met HUD requirements. The Authority used HUD program funds for ineligible or unsupported expenses, and failed to maintain an accurate accounting and financial control system.  This condition occurred because the Authority’s management and board disregarded HUD’s requirements for the proper use of prog