We audited the City and County of Honolulu’s Department of Budget and Fiscal Services’ and Department of Community Services’ (City) fraud risk management practices for its Emergency Solutions Grants Coronavirus Aid, Relief, and Economic Security Act (ESG CARES Act) program with the objective of assessing the maturity of the City’s fraud risk management framework that encompasses control activities to prevent, detect, and respond to fraud. …

The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General audited the Benkelman Housing Authority based on a request from the U.S. Department of Housing and Urban Development, Office of Inspector General (HUD OIG), Office of Investigation.  Additionally, HUD conducted an onsite assessment in May 2016 and identified concerns, including procurement, income verification, travel policy, and significant control…

We audited the City and County of Honolulu’s (City) Community Development Block Grant (CDBG) program.  We conducted the audit because the City was the largest Pacific island recipient of CDBG funds, the U.S. Department of Housing and Urban Development (HUD) had identified problems with the City’s CDBG program, and the Office of Inspector General had never audited the City.  Our objective was to determine whether the City administered…

The U.S. Department of Housing and Urban Development (HUD) – Office of Inspector General audited the Fairmont Housing Authority in Fairmont, NE, regarding its procurement and expenditures for its HUD, Office of Public and Indian Housing programs.  Our audit objective was to determine whether the Authority followed HUD rules and regulations and its own policies and procedures for procurement and expenditures. The Authority did not properly…

The U.S. Department of Housing and Urban Development (HUD) – Office of Inspector General audited the York Housing Authority in York, NE, regarding its procurement and expenditures for its HUD, Office of Public and Indian Housing programs.  Our audit objective was to determine whether the Authority followed HUD rules and regulations and its own policies and procedures for procurement and expenditures. The Authority did not properly procure…

The U.S. Department of Housing and Urban Development (HUD) – Office of Inspector General audited the Stromsburg Housing Authority in Stromsburg, NE, regarding its procurement and expenditures for its HUD, Office of Public and Indian Housing programs.  Our audit objective was to determine whether the Authority followed HUD rules and regulations and its own policies and procedures for procurement and expenditures. The Authority did not…

We audited the Maine State Housing Authority’s Housing Choice Voucher program pertaining to its housing quality standard inspections, and other expenditures and procurements using U.S. Department of Housing and Urban Development (HUD) funds.  Our review was initiated based on a congressional request from Senator Susan Collins.  The objectives of the audit were to determine whether (1) the Authority’s Housing Choice Voucher program…

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General audited the Omaha Nebraska Housing Authority (Authority) to determine whether the Authority (1) obligated Recovery Act grant funds in accordance with Recovery Act requirements and applicable U.S. Department of Housing and Urban Development (HUD) rules, (2) expended Recovery Act grant funds in accordance with Recovery Act requirements and applicable HUD rules…

We audited the Avesta Housing Management Corporation (Avesta), located in Portland, ME, in response to a request from the U.S. Department of Housing and Urban Development’s (HUD) Manchester, NH, Office of Housing field office. The request came after the completion of an Office of Inspector General (OIG) audit of the Orchard Court project. Avesta was the previous manager of Orchard Court and is the current manager of 30 other HUD projects.…

As part of the Office of Inspector General’s annual audit plan, we completed a capacity review of the Department of Hawaiian Home Lands’ (Department) American Recovery and Reinvestment Act of 2009 (Recovery Act) funding. Our objective was to determine whether the Department had sufficient capacity to manage and administer its Recovery Act funding. Specifically, we reviewed and assessed the Department’s capacity in the following areas:…

In accordance with our goal to review and ensure the proper administration of Neighborhood Stabilization Program (NSP) funds provided under the Housing and Economic Recovery Act of 2008 (HERA) and/or the American Recovery and Reinvestment Act of 2009 (ARRA), we conducted a capacity review of the operations of the State of Maine’s (State) Department of Economic and Community Development, Office of Community Development (Department). The…

We performed an audit of the Orchard Court project, a Section 236 multifamily property, located in Bath, Maine. As part of our audit, we reviewed subsidy payments made to Orchard Court from Bath and Brunswick, Maine, Housing Authorities (Authorities). Our objective was to determine whether Section 8 voucher program subsidies paid to Orchard Court from the Authorities were for basic rent, rather than market rent. Basic rent is the minimum rent a…

We audited the Orchard Court project, located in Bath, Maine, in response to a referral received by the Office of Inspector General's (OIG) Office of Investigation (Region 1). The referral indicated a potential inappropriate use of project funds by the Orchard Court Housing Corporation (project owner) and/or the management agent. Our overall objective was to determine whether the project owner and/or management agents operated the project…

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited the Schuyler Housing Authority (Authority) to determine whether the Authority improperly spent public housing assets when developing and operating an assisted living program. We found that the Authority inappropriately used more than $78,000 in public housing funds to pay expenses of a non-HUD assisted living program. In addition, the Authority…

HUD OIG reviewed the development activities of the Douglas County Housing Authority (Authority), Omaha, Nebraska, to determine whether the Authority encumbered or spent U.S. Department of Housing and Urban Development (HUD) assets for nonfederal development activities without HUD approval. The Authority inappropriately encumbered nearly $1.67 million in federal assets when it entered into loan documents containing setoff provisions against the…

We audited the HOME Investment Partnerships program (HOME) administered by the Maine State Housing Authority, Augusta, Maine (Authority), as part of our annual audit plan. The Authority received more than $21 million in U.S. Department of Housing and Urban Development (HUD) funding for its federal HOME program from 2005 to 2007. Our audit objective was to determine whether the Authority administered its HOME program in compliance with HUD…

Kelly Ballinger wrote her name on rent payments, altered renters’ incomes to steal fundsPORTLAND, Maine: A Glenburn woman pleaded guilty in U.S. District Court in Portland to embezzling from an organization receiving federal funds and conspiring to alter money orders.According to court records, Kelly Ballinger, 57, was a former property manager for a Portland apartment complex with residences funded by the Department of Housing and Urban…

BOSTON – A Maine woman pleaded guilty yesterday to stealing federal housing benefits from at least December 2004 through February 2020.  Rebecca Amelia Cranford, 63, pleaded guilty to one count of theft of government funds. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencing for Aug. 17, 2023. Cranford was arrested and charged in September 2021.   In the early 2000s, Cranford was engaged by the owners of a…

PORTLAND, Maine: A Berwick woman was sentenced today in U.S. District Court in Portland for Social Security fraud and theft of public money. Chief U.S. District Judge Jon D. Levy sentenced Andreanna Politano, 60, to three years of probation. She was also ordered to pay $49,976.38 in restitution to the Social Security Administration (SSA) and $9,164.00 in restitution to the U.S. Department of Housing and Urban Development (HUD).…