The State of New York Did Not Show That Disaster Recovery Funds under Its Non-Federal Share Match Program Were Used for Eligible and Supported Costs
We audited the State of New York’s Community Development Block Grant Disaster Recovery-funded Non-Federal Share Match Program. We conducted this audit because the State had used approximately $223 million for the program as of December 2016 and a U.S. Department of Housing and Urban Development (HUD) review of the program had identified weaknesses related to compliance monitoring and recordkeeping. Our objective was to determine…
September 14, 2017
Report
#2017-NY-1010
HUD Web Application Security Evaluation Report
Enforce the requirement for all HUD web applications and services to be approved and authorized by OCIO. 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.
Corrective Action Taken
In January 2023, HUD's Office of the Chief Information Officer developed and released a Web Applications Directive to all HUD program…
July 05, 2017
Report
#2016-OE-0002
Final Civil Action Borrower Settled Allegations of Making False Statements to HUD for a Home Purchase Under the Federal Housing Administration Mortgage Insurance Program
We received a referral from the Quality Assurance Division of the U.S. Department of Housing and Urban Development’s (HUD) Philadelphia Homeownership Center concerning a borrower who allegedly made false statements to obtain Federal Housing Administration (FHA) mortgage insurance. The borrower provided false and conflicting employment and income information, which was used in originating and obtaining an FHA loan. Further, the…
June 27, 2017
Memorandum
#2017-PH-1802
Independent Attestation Review: U.S. Department of Housing and Urban Development, Office of Special Needs Assistance Continuum of Care, Regarding Drug Control Accounting for Fiscal Year 2016
We conducted an attestation review of the U.S. Department of Housing and Urban Development (HUD), Office of Special Needs Assistance Continuum of Care Program, regarding drug control accounting and associated management assertions for fiscal year 2016. The objective of our attestation review was to evaluate HUD’s financial reporting and assertions for drug control funds to determine if its reporting was in compliance with regulations and…
June 18, 2017
Memorandum
#2017-FO-0802
CPD Did Not Follow the Departmental Clearance Process When It Issued the July 25, 2013, Guidance for Duplication of Benefits Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited HUD’s Office of Community Planning and Development’s (CPD) process for making changes to its programs, policies, and operations. We initiated the audit because of concerns we had with HUD’s disaster recovery delivery sequence and duplication of benefits policies during a previous external audit (Audit Report 2016-DE-1003). Our objective was to…
June 01, 2017
Report
#2017-KC-0004
HUD’s Internal Audit Requirement for Disaster Relief Appropriations Act of 2013 Grantees
The Office of Community Planning and Development (CPD) manages more than $14 billion in disaster recovery funding that Congress appropriated through the Disaster Relief Appropriations Act of 2013 (Public Law (PL) 113-2). CPD distributed the funds to 34 grantees as Community Development Block Grant Disaster Recovery grants.
PL 113-2 requires grantees to establish adequate procedures to detect fraud, waste, and abuse of disaster recovery…
May 02, 2017
Report
#2016-OE-0011S
Navigating the Disaster Assistance Process
This report is for informational purposes only and does not represent an OIG perspective or position. The Robert T. Stafford Disaster Relief and Emergency Assistance Act was designed to bring an orderly and systematic means of Federal disaster assistance for State and local governments to carry out their responsibilities to aid citizens. Although, State and local governments may carry out their responsibilities in an orderly and…
April 09, 2017
Report
#2017-OE-0002S
St. Tammany Parish, Mandeville LA, Did Not Always Administer Its CDBG Disaster Recovery Grant in Accordance With HUD Requirements or as Certified
We audited the St. Tammany Parish grants department’s administration of its Community Development Block Grant (CDBG) disaster recovery program, as part of our annual audit plan to review the Disaster Relief Appropriations Act, 2013 funds. Our objective was to determine whether the Parish administered its disaster recovery program in accordance with U.S. Department of Housing and Development (HUD) requirements and in line with its…
April 05, 2017
Report
#2017-FW-1004
Opportunities for Improvement within CPD's Risk Management Process for Hurricane Sandy Grants
The Office of Community Planning and Development (CPD) manages $15.2 billion in disaster recovery funding appropriated by Congress in the Disaster Relief Appropriations Act of 2013 (Sandy Supplemental). CPD distributed the funds to 34 grantees as Community Development Block Grants-Disaster Recovery (CDBG-DR).
CPD uses a risk analysis process to rank grantees that pose the greatest risk to the integrity of its programs. According to CPD, the…
March 28, 2017
Report
#2016-OE-0004S
HUD’s OCPO Did Not Always Comply With Acquisition Requirements When Planning and Monitoring Service Contracts
We audited the U.S. Department of Housing and Urban Development’s (HUD) procurement of major service contracts by the Office of the Chief Procurement Officer (OCPO) as part of our fiscal year 2016 audit plan and due to a hotline complaint regarding a contract for scanning services. Our audit objective was to determine whether HUD had adequate procedures in place to plan and monitor major service contracts to prevent waste and abuse.
HUD’s…
March 21, 2017
Report
#2017-BO-0001
Independent Attestation Review: U.S. Department of Housing and Urban Development, DATA Act Implementation Efforts
The Digital Accountability and Transparency Act of 2014 (DATA Act) and implementation guidance provided in the Office of Management and Budget Memorandum M-15-12 mandates that Federal agencies must report their financial, budgetary and programmatic information to the USASpending.gov web site by the statutory May 2017 deadline.
In our second of two Data Act Readiness Reviews, OIG reviewed the U.S. Department of Housing and Urban Development’s (…
February 28, 2017
Memorandum
#2017-FO-0801
HUD’s Transition to a Federal Shared Service Provider Failed to Meet Expectations
We audited the U.S. Department of Housing and Urban Development’s (HUD) computing environment as part of the internal control assessments required for the fiscal year 2016 financial statement audit under the Chief Financial Officer’s Act of 1990. Our objective was to assess the effectiveness of the controls over the New Core Interface Solution (NCIS) and PRISM™ and the impact of the implementation of release 3 of phase 1 of the New Core…
January 30, 2017
Report
#2017-DP-0001
Final Civil Action Borrower Settled Alleged Violations of Home Equity Conversion Mortgage Program
We audited the U.S. Department of Housing and Urban Development’s (HUD) oversight of its Home Equity Conversion Mortgage (HECM) program and found that 33 borrowers had more than 1 loan under the program. Having multiple loans violated program requirements because HUD requires borrowers to reside in the mortgaged residence as their principal residence and borrowers may not have more than one principal residence at a time. We referred…
January 04, 2017
Memorandum
#2017-PH-1801
Additional Details To Supplement Our Fiscal Years 2016 and 2015 (Restated) U.S. Department of Housing and Urban Development Financial Statement Audit (Reissued 2/24/17)
This report was reissued on February 24, 2017, to correct Appendix A. This reissued report now correctly shows the monetary benefit associated with each recommendation.
This report supplements our independent auditor’s report on the results of our audit of HUD’s principal financial statements for the fiscal years ending September 30, 2016 and 2015 (Restated) related to HUD’s internal controls and compliance with applicable laws, regulations,…
November 13, 2016
Report
#2017-FO-0003
Federal Information Security Modernization Act (FISMA) Fiscal Year 2016 Evaluation Report
The Federal Information Security Modernization Act of 2014 (FISMA) directs Inspectors General to conduct an annual evaluation of the agency information security program. FISMA, Department of Homeland Security (DHS), Office of Management and Budget (OMB) and National Institute of Standards and Technology (NIST) establish information technology (IT) security guidance and standards for Federal agencies. We conducted this evaluation to assess…
November 09, 2016
Report
#2016-OE-0006
The State of Oklahoma Did Not Obligate and Spend Its Community Development Block Grant Disaster Recovery Funds in Accordance With Requirements
We audited the State of Oklahoma because it received $93.7 million in Community Development Block Grant Disaster Recovery (CDBG-DR) allocations for presidentially declared disasters that occurred in 2011, 2012, and 2013. The substantial amount of CDBG-DR funding required a review of the State’s program. Our objective was to determine whether the State obligated and spent its grant in accordance with requirements.
The State…
September 29, 2016
Report
#2016-FW-1010
The State of New Jersey Did Not Disburse Disaster Funds to Its Contractor in Accordance With HUD, Federal, and Other Applicable Requirements
We audited the State of New Jersey’s Community Development Block Grant Disaster Recovery-funded Superstorm Sandy Housing Incentive Program contract. We conducted the audit because the contract involved a significant amount of funds ($67.7 million), was critical to the implementation of three of the State’s disaster programs, and was terminated less than 1 year into the 3-year contract term. Our objective was to determine whether the…
September 29, 2016
Report
#2016-PH-1009
HUD Needs To Improve Its Monitoring of the Travel and Purchase Card Programs
We audited HUD’s compliance with the fiscal year 2015 travel and purchase card programs based on our required fiscal year 2014 risk assessment, which determined the U.S. Department of Housing and Urban Development’s (HUD) agencywide charge card program to be at medium risk for fraud. Offices of inspector general are required to (1) conduct periodic assessments of the agency charge card programs, (2) perform analyses or audits as necessary, and…
September 28, 2016
Report
#2016-FO-0006
HUD Did Not Always Provide Accurate and Supported Certifications of State Disaster Grantee Procurement Processes
We audited the U.S. Department of Housing and Urban Development’s (HUD) controls over its certifications of State disaster recovery grantee procurement processes. We initiated the audit after prior audits identified issues with the procurement certification completed for the State of New Jersey. Our objective was to determine whether HUD certifications of State disaster grantee procurement processes were accurate and supported.
HUD…
September 28, 2016
Report
#2016-PH-0005
Records Management in the Office of Hospital Facilities Needs Improvement
The Office of Hospital Facilities (OHF) provides mortgage insurance for acute care hospitals. The insurance it provides reduces risk to lenders and lowers borrowing costs for hospitals. As of May 2016, the unpaid principal balance for its 105 insured mortgages was approximately $7 billion.
OHF collects and generates many records to support its mission. These records include application materials, internal reports, and…
September 28, 2016
Report
#2016-OE-0001