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This report was revised on March 30, 2017 to change the cost type for recommendation 1A on pages 8 and 13 from unreasonable or unnecessary to funds to be put to better use. This change is needed to align the report language with the terminology used by HUD’s audit tracking system. |
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General, audited HUD’s Office of Public and Indian Housing based on a data match between the Public and Indian Housing Information Center and Multifamily Tenant Rental Assistance Certification System, which identified program participants who had potentially received multiple subsidies. Our objective was to determine whether HUD prevented program participants from concurrently receiving subsidies from both public housing and multifamily subsidy programs.
We found that HUD did not prevent program participants from receiving multiple subsidies in 38 of the 80 files reviewed. As a result, HUD did not have $2.24 million available to assist other eligible participants.
We recommend that the Deputy Assistant Secretary for Public Housing and Voucher Programs (1) require public housing agencies to run the Enterprise Income Verification existing tenant search during the admission process and retain the results in the tenant file, which will correct deficiencies that allowed $935,283 in unreasonable and unnecessary costs to HUD’s subsidy programs; (2) require public housing agencies to report the program admission date to any multifamily property listed on the Enterprise Income Verification existing tenant search during the admission process; (3) require public housing agencies to maintain support for any communication with a multifamily property listed on the Enterprise Income Verification existing tenant search; (4) require HUD staff to review Enterprise Income Verification reports from the last 12-month period during onsite housing agency reviews to ensure that any multiple subsidies have been resolved; and (5) implement recommendations 1 through 4 to ensure that $2.24 million in housing assistance funds will be put to better use.
Recommendations
Public and Indian Housing
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Status2017-KC-0002-001-AOpenClosed$935,283.00Funds 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.
Closed on March 14, 2019Require public housing agencies to run the Enterprise Income Verification existing tenant search during the admission process and retain the results in the tenant file, which would avoid unnecessary costs to HUD’s subsidy programs, allowing an estimated $935,283 to be put to better use.
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Status2017-KC-0002-001-BOpenClosedClosed on February 06, 2018
Require public housing agencies to report the program admission date to any multifamily property listed on the Enterprise Income Verification existing tenant search during the admission process.
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Status2017-KC-0002-001-COpenClosedClosed on February 06, 2018
Require public housing agencies to maintain support for any communication with a multifamily property listed on the Enterprise Income Verification existing tenant search.
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Status2017-KC-0002-001-DOpenClosedClosed on February 26, 2019
Require HUD staff to review Enterprise Income Verification reports from the last 12-month period during onsite housing agency reviews to ensure that any multiple subsidies have been resolved.
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Status2017-KC-0002-001-EOpenClosed$2,244,680.00Funds 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.
Closed on March 14, 2019Implement recommendations 1A through 1D to ensure that $2.24 million in housing assistance funds will be put to better use.