We audited the City of Philadelphia, PA’s administration of its Neighborhood Stabilization Program 2 grant that it received under the American Recovery and Reinvestment Act of 2009 as part of our fiscal year 2012 audit plan. Our objective was to determine whether the grantee administered the grant in accordance with Recovery Act and U.S. Department of Housing and Urban Development (HUD) requirements. We found that the grantee generally…

HUD OIG audited Universal American Mortgage, Co. LLC, located in Miami, FL, in accordance with our annual audit plan. Universal was selected for review because its default rate of 3.8 percent was higher than the Miami area default rate of 1.9 percent. Our objectives were to determine whether the lender followed U.S. Department of Housing and Urban Development (HUD) requirements when originating and underwriting loans and implementing its…

HUD OIG audited Nationwide Mortgage & Associates, Inc., a Federal Housing Administration (FHA)-approved non-supervised direct endorsement lender located in Fort Lauderdale, FL. We selected this lender because its default rate of 4 percent was higher than the Miami U.S. Department of Housing and Urban Development (HUD) area average default rate of 2 percent. The audit objectives were to determine whether the lender followed HUD requirements…

We audited the City of Orlando’s HOME Investment Partnerships Program because it had more than $1 million that it needed to commit approximately 1 month before its deadline compliance date. Our objective was to determine whether the City accurately entered commitments and project completion data into the U.S. Department of Housing and Urban Development’s (HUD) Integrated Disbursement and Information System for HOME-funded activities. The City…

We audited Four Freedoms House of Philadelphia, Inc.’s management of its Section 202 housing project. We selected Four Freedoms for an audit because we received a complaint alleging that it mismanaged its Section 202 housing project. Our audit objective was to determine whether Four Freedoms managed its Section 202 housing project according to the requirements of its regulatory agreement and applicable HUD requirements. We focused the audit…

As part of the Office of Inspector General’s (OIG) nationwide effort to review the foreclosure practices of the five largest Federal Housing Administration (FHA) mortgage servicers (Bank of America, Wells Fargo Bank, CitiMortgage, JP Morgan Chase, and Ally Financial, Incorporated) we reviewed Ally Financial, Incorporated’s foreclosure and claims processes. In addition to this memorandum, OIG issued separate memorandums for each of the other…

We audited Luzerne County, PA's administration of its Community Development Block Grant funds that it received under the American Recovery and Reinvestment Act of 2009. We selected the County for an audit because we received a complaint alleging that the County may have misappropriated Block Grant funds and because of our mandate to audit Recovery Act activities. Our audit objective was to determine whether the County obligated, expended…

HUD OIG audited the Housing Authority of the City of Fort Lauderdale’s (Authority’s) administration of its Public Housing Capital Fund grants under the American Recovery and Reinvestment Act of 2009. This was an OIG-initiated audit in accordance with OIG’s 2010-2015 strategic plan to contribute to the effective use of Federal funds allocated by the Recovery Act. Our audit objective was to determine whether the Authority administered its…

We audited the Sanford Housing Authority (Authority) to assess certain issues raised in a congressional referral. The referral alleged improper use or mismanagement of the Authority’s public housing, American Recovery and Reinvestment Act, and Section 8 Housing Choice Voucher program funds. The audit objectives were to determine whether the Authority properly used and accounted for public housing, Recovery Act, and Section 8 funds. We…

We audited the Philadelphia Housing Authority’s compliance with the U.S. Department of Housing and Urban Development’s (HUD) conflict-of-interest and financial disclosure requirements as a result of the Authority’s initial failure to comply with an Office of Inspector General (OIG) subpoena during a previous American Recovery and Reinvestment Act of 2009 audit. (HUD OIG audit report number 2011-PH-1010, “The Philadelphia Housing Authority,…

We audited Broward County’s Community Development Block Grant Recovery program funded under the American Recovery and Reinvestment Act of 2009. The audit objective was to determine whether the County administered its program in accordance with applicable U.S. Department of Housing and Urban Development and Recovery Act requirements. Specifically, the objective was to determine whether the County’s program (1) met the national objective(s), (2…

We audited Broward County’s Community Development Block Grant Recovery program funded under the American Recovery and Reinvestment Act of 2009. The audit objective was to determine whether the County administered its program in accordance with applicable U.S. Department of Housing and Urban Development and Recovery Act requirements. Specifically, the objective was to determine whether the County’s program (1) met the national objective(s), (2…

HUD OIG audited the Homelessness Prevention and Rapid Re-Housing Program administered by the City of Hialeah, Florida (City). Our objective was to determine whether the City administered its Program in accordance with U.S. Department of Housing and Urban Development (HUD) and American Recovery and Reinvestment Act of 2009 requirements. Specifically, we wanted to determine whether (1) expenditures were allowable, (2) Program participants were…

We audited the Allegheny County Housing Authority’s administration of its Public Housing Capital Fund grants that it received under the American Recovery and Reinvestment Act of 2009. We selected the Authority for audit because it received a $7.7 million formula grant and three competitive grants totaling $5.8 million, which was the third largest formula grant and the second largest amount of capital fund competitive grants awarded in…

We audited the City of Reading, PA’s Neighborhood Stabilization Program 2 as part of our annual audit plan to review activities funded by the American Recovery and Reinvestment Act of 2009 (Recovery Act) because the City received $5 million in Program funds under the Recovery Act. Our audit objective was to determine whether the City (1) met Program expenditure deadlines, (2) made Program expenditures that were eligible and adequately supported…

HUD OIG performed an audit of Crossfire Financial Network, Inc., d/b/a CFN Mortgage Capital (Crossfire), a Federal Housing Administration (FHA) approved direct endorsement lender located in Miami, Florida. The review was performed based on the lender’s volume of loans underwritten and its default rate. The purpose of the audit was to determine whether the lender followed the U.S. Department of Housing and Urban Development’s (HUD) requirements…

HUD OIG performed an audit of Crossfire Financial Network, Inc., d/b/a CFN Mortgage Capital (Crossfire), a Federal Housing Administration (FHA) approved direct endorsement lender located in Miami, Florida. The review was performed based on the lender’s volume of loans underwritten and its default rate. The purpose of the audit was to determine whether the lender followed the U.S. Department of Housing and Urban Development’s (HUD) requirements…

We audited the Philadelphia Housing Authority’s (Authority) use of its Public Housing Capital Fund formula grant that it received under the American Recovery and Reinvestment Act of 2009 (Recovery Act). We selected the Authority for audit based on a citizen’s complaint alleging misuse of these funds and because it received $126.5 million in Recovery Act capital funds. We focused strictly on $31.5 million of the funds that the Authority…

The U.S. Department of Housing and Urban Development (HUD) OIG audited the Neighborhood Stabilization Programs (NSP) administered by Palm Beach County (County). Our objective was to determine whether the County administration of its NSPs complied with federal requirements. Specifically, we determined whether (1) NSP1 activities met or will meet the low- and moderate-income national objective, (2) program income was properly accounted for, and…

The U.S. Department of Housing and Urban Development (HUD) OIG audited the Neighborhood Stabilization Programs (NSP) administered by Palm Beach County (County). Our objective was to determine whether the County administration of its NSPs complied with federal requirements. Specifically, we determined whether (1) NSP1 activities met or will meet the low- and moderate-income national objective, (2) program income was properly accounted for, and…