In accordance with our regional plan to review public housing programs and because of weaknesses identified by the U.S. Department of Housing and Urban Development (HUD), we reviewed the public housing programs of the South Landry Housing Authority, Grand Coteau, LA. Our objective was to determine whether the Authority administered its HUD public housing programs in accordance with regulations and guidance.
The Authority did not comply with HUD regulations when administering its procurement and financial operations. Specifically, it
• Violated HUD’s and its own procurement requirements,
• Improperly used its credits cards,
• Did not properly account for and track its inventory,
• Did not maintain proper time and leave records for employees, and
• Failed to maintain official board records or give public notice of board meetings.
These conditions occurred because the Authority did not have (1) adequate oversight by the board and its former executive director or (2) finalized and approved written policies and procedures to govern its procurement activities, credit card use, inventory, time and attendance tracking, and board proceedings. As a result, it incurred questioned costs totaling more than $1 million, and could not provide assurance that it was operated effectively, spent HUD funds in accordance with requirements, and protected those funds from waste and abuse.
Our recommendations include; repaying $3,840 to HUD, providing support for or repaying $1,030,900 to its public housing programs or HUD, including $134,726 in American Recovery and Reinvestment Act funds, performing a physical inventory of appliances, and implementing board approved policies and procedures over its financial operations.