Repay the project the $1,168,000 in ineligible distributions made to affiliated healthcare facilities during fiscal years 2015 and 2016.

Implement controls to ensure that project distributions are made from surplus cash and comply with the regulatory agreement and HUD requirements.

Require the Municipality to reimburse from non-federal funds $552,658 in unallowable and unallocated costs associated with the disbursement of salaries and fringe benefits of employees who did not perform duties directly related to carrying out activities charged with the program delivery costs.

Require the Municipality to provide support showing the allocability and eligibility of $1,077,577 spent on salaries and fringe benefits for employees who performed local government duties and multiple federally funded activities without properly allocating the costs directly related to carrying Read More

Require the Municipality to develop and implement a financial management system in accordance with HUD requirements and ensure that $3,213,572 in HOME funds drawn from HUD between July 1, 2009, and December 31, 2011, can be traced to a level which ensures that such funds have not been used in Read More

Require the Municipality to submit supporting documentation showing the allocability and eligibility of $114,139 charged to the HOME program for project delivery costs or reimburse the program from non-Federal funds.

Determine the eligibility of the $537,773 disbursed for the Ciudad de Ensueño project and reevaluate the feasibility of the activity. (Footnote 9) Total disbursements of $538,973 were adjusted to consider $1,200 questioned in recommendation 1F. The Municipality must reimburse its HOME program Read More

Complete the implementation of the new accounting system and ensure it tracks program funds to a level that supports compliance with HUD requirements.

Provide support that $944,687 (Footnote 2: Emergency funds of more than $1.1 million drawn between July 1, 2011, and December 31, 2015, were adjusted to consider $158,800 questioned in recommendation 1C and $38,164 questioned in recommendation 1D.) in Emergency funds drawn from HUD is reconciled Read More

Reimburse $189,227 to the Emergency programs from non-Federal funds for ineligible charges made to the programs.

Submit supporting documentation showing the eligibility, reasonableness, and allocability of $38,164 charged to the Emergency programs for unsupported drawdowns and equipment cost allocations or reimburse the programs from non-Federal funds.

Develop and implement a financial management system in accordance with HUD requirements.

Submit all supporting documentation showing the eligibility and propriety of the $47,720 in unsupported matching contributions towards the ESG program or reimburse the ESG program from non-Federal funds.

Reconcile the data included in its CAPER with the data in its financial management system and correct any inaccurate information reported to HUD.

Develop and implement policies and procedures to ensure that its required matching contributions are properly supported.

Develop and implement policies and procedures to ensure that it reports data through its CAPERs using data from its own financial management system instead of data from HUD’s information system.

Determine the eligibility of the $2,399,428 disbursed for four projects with signs of slow progress and reevaluate the feasibility of the activities. Total disbursements of $3,483,086 were adjusted to consider $713,008 questioned in recommendation 2C and $370,650 in recommendation 2A. The Read More

Require the Municipality to reimburse its HOME program from non-Federal funds $766,480 for disbursements associated with terminated activities that did not meet HOME objectives.

Require the Municipality to submit supporting documentation showing the allocability of $39,338 and any additional payroll costs charged to the HOME program between July 1, 2009, and June 30, 2011, associated with the three employees performing other functions not related to the program, or Read More

Require the Municipality to reimburse the HOME program from non-Federal funds $2,263,799 paid for ineligible costs.