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 its fee accounting services, adopt a procurement policy for its Housing Choice Voucher program, or require contractors to comply with contract provisions. Additionally, the Authority spent $21,047 of its operating funds for ineligible and unsupported costs.
We recommend that HUD require the Authority to (1) reprocure its fee accounting services using the appropriate policies and procedures to justify the amount spent on these services during our audit period, (2) repay from non-Federal funds or provide adequate support for the $21,047 spent for ineligible and unsupported items, and (3) develop and implement policies and procedures to address the deficiencies noted.