We audited the Area Housing Authority of the County of Ventura based on concerns over the Authority's compliance with its annual contributions contract. Our audit objective was to determine whether the Authority fulfilled its Payment-in-Lieu-of-Taxes obligations for its Low Rent Public Housing program and if not, whether applicable funds were used in accordance with HUD requirements. We found that the Authority disregarded its Low Rent...

We audited the single-family partial claims collection process and its effectiveness in protecting the Federal Housing Administration?s (FHA) insurance fund. Our overall objective was to determine whether the single-family partial claims program operated effectively and efficiently to minimize costs to the insurance fund and collect amounts due in a timely manner. The National Service Center (NSC) and its contractors did not properly implement a...

We audited the Housing Authority of the City of Los Angeles' (Authority) Section 8 housing quality standards inspections for its Section 8 Housing Choice Voucher program. The objective of the audit was to determine whether the Authority adequately enforced HUD's housing quality standards. Using a statistical sample of 68 units, we determined 19 units (28 percent) were in material noncompliance with HUD's housing quality standards...

In this report, we provide additional details to supplement our Report on the U.S. Department of Housing and Urban Development's (HUD) Fiscal Years 2008 and 2007 Financial Statements, which is included in HUD's Fiscal Year 2008 Performance and Accountability Report. In OIG's opinion, based on our audit and the reports of other auditors, the financial statements were presented fairly, in all material respects, in conformity with...

This report presents the results of Carmichael, Brasher, Tuvell and Company's (CBTC) audit of the Government National Mortgage Association's (Ginnie Mae) financial statements for the fiscal years ended September 30, 2008 and 2007. In CBTC's opinion, the financial statements present fairly, in all material respects, Ginnie Mae’s financial position as of September 30, 2008 and September 30, 2007 and the results of its operations and...

This report presents the results of Urbach, Kahn, and Werlin LLP's (UKW) audit of the Federal Housing Administration's (FHA) financial statements for the fiscal years ended September 30, 2008 and 2007. In UKW's opinion, the financial statements present fairly, in all material respects, FHA's financial position as of September 30, 2008 and 2007, and its net costs, changes in net position, and combined budgetary resources for...

We audited the Housing Authority of the County of Marin's (Authority) Section 8 funds transfer and public housing program (program) tenant rent calculations. Our objectives were to determine (1) whether the transfer of Section 8 operating reserve funds to the public housing program in fiscal year 2006 was made in compliance with HUD regulations and (2) whether the Authority calculated public housing tenant rents in accordance with HUD...

We completed an audit of the U.S. Department of Housing and Urban Development's (HUD) monitoring of its annual contributions contract with its performance-based contract administrator, the New York State Housing Trust Fund Corporation (contractor). The audit was initiated in accordance with the Office of Inspector General's (OIG) audit plan that includes performing internal audits to evaluate HUD's execution of its fiscal...

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General reviewed HUD's management of human resources. We initiated the review based on our annual audit plan and our strategic plan to help HUD resolve its major management challenges. The review also addressed a complaint to our Hotline regarding the adequacy of HUD's Total Estimation and Allocation Mechanism (TEAM) system. Our objectives were to...

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited HUD's oversight of the Federal Housing Administration (FHA)-insured home equity conversion mortgages (HECM) program. We initiated the audit as part of the activities in our 2008 annual audit plan. Our audit objective was to assess elements of HUD's oversight of the HECM program. This is the first of two audit reports regarding the HECM...

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited HUD's oversight of the underwriting of Federal Housing Administration (FHA)-insured loans for new construction properties located in the Federal Emergency Management Agency's (FEMA) designated special flood hazard areas. We initiated the audit as part of the activities in our 2007 annual audit plan. Our objective was to determine...

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited HUD's use of residual receipts in lieu of reserve for replacement funds. The objective of the audit was to determine whether HUD appropriately authorized residual receipt withdrawals in lieu of reserve for replacement funds for new regulation multifamily projects. HUD inappropriately authorized the use of more than $3.2 million in residual...

We audited the City of Los Angeles Housing Department (Department) as a result of an earlier audit of its HOME Investment Partnerships Program (HOME) rehabilitation program, which detected problems with the Department's monitoring of HOME-assisted rental units. Our audit objective was to determine whether the Department complied with HOME affordability monitoring and inspection requirements regarding HOME-assisted rental units. We found the...

The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General, audited HUD's Office of Single Family Housing (Single Family) due to concerns over the expected increase in Federal Housing Administration (FHA)-insured loans generated by newly implemented and proposed FHA programs. The objective of our audit was to determine whether Single Family had implemented an internal control structure in accordance with...

We audited HUD’s appraiser review process as part of our annual plan. The audit was proposed in response to a single-family loan origination audit that raised concerns regarding HUD’s oversight of FHA appraisers. This is the second of two audits covering HUD’s controls over the appraiser review process. The first audit report, 2008-LA-0002, focused on HUD’s oversight of the FHA appraiser roster; whereas this audit report focuses on the...

We completed an evaluation of public housing reconstruction with HUD funds on the Mississippi Gulf Coast. Our objective was to determine the status of the recovery efforts and determine how the risks of building on sites located in designated flood plains are being addressed. Hurricane Katrina damaged 29 project sites. After Hurricane Katrina, FEMA revised floodplain guidance in the affected areas, and HUD made $100 million in grant funds...

We completed an evaluation of HUD's Office of Fair Housing and Equal Opportunity (FHEO) and its nonprofit affiliated Fair Housing Assistance Program (FHAP) and their processing of housing discrimination complaints. The objective of our evaluation was to determine whether FHEO and FHAP intake and investigation processes are timely completed, consistently thorough, and accurately reported in the Title VIII Automated Paperless Tracking Office...

We completed an inspection of Section 8 housing assistance payments (HAP) to owners of multifamily properties in Louisiana that were severely damaged or destroyed by Hurricane Katrina in August 2005. The tenants vacated these properties shortly after Katrina struck. In the storm's aftermath, HUD and the Louisiana Housing Finance Agency (LHFA) continued to subsidize property owners, although many properties under HAP contract were vacant and not...

We performed a limited scope audit of the Office of Fair Housing and Equal Opportunity to determine whether the Office complied with the requirements of 42 U.S.C. (United States Code) Chapter 45, Subpart I, Section, 3616a(d), entitled Fair Housing Intiatives Program, Education and Outreach, when it published the 2007 Fair Housing Initiatives Program notice of funding availability. The audit disclosed that the Office generally complied with the...

We audited the Housing Authority of the City of Los Angeles' (Authority) Section 8 Housing Choice Voucher program's financial transactions. Our audit objective was to determine whether the Authority properly used Section 8 Housing Choice Voucher program funds in accordance with HUD rules and regulations for the benefit of its program participants. During the audit, we expanded our scope to include a review of its other HUD programs to...