The Housing Authority of the City of Los Angeles, Los Angeles, CA, Did Not Always Manage Its Legal Services in Compliance With HUD Requirements
We audited the Housing Authority of City of Los Angeles’ legal services due to a hotline complaint alleging that the Authority did not properly procure its legal services and alleging questionable legal expenses that violated U.S. Department of Housing and Urban Development (HUD) requirements. Our audit objective was to determine whether the Authority procured, contracted, and managed its legal services in compliance with HUD requirements...
Septiembre 27, 2018
Report
#2018-LA-1008
Improvements are Needed for HUD’s Code Enforcement Program
We audited the U.S. Department of Housing and Urban Development’s (HUD) Community Development Block Grant code enforcement program due to results from our external audits, which showed that grantees did not adequately understand and failed to ensure compliance with program requirements. Our audit objective was to determine (1) whether HUD’s code enforcement guidance under its Office of Community Planning and Development (CPD) Notice CPD-...
Septiembre 25, 2018
Report
#2018-LA-0006
The Owner of Luther Towers II, Wilmington, DE, Did Not Manage Its HUD-Insured Project in Accordance With Its Regulatory Agreement and HUD Requirements
We audited Luther Towers II because it was a high-risk multifamily project that received low inspection and financial assessment scores on our multifamily risk assessment for projects within our region and we had never audited it. Our audit objective was to determine whether the owner managed the project in accordance with its regulatory agreement and U.S. Department of Housing and Urban Development (HUD) requirements.
The owner of Luther...
Septiembre 21, 2018
Report
#2018-PH-1006
The Housing Authority of the City of Los Angeles, CA, Generally Administered Its Rental Assistance Demonstration in Accordance With HUD Requirements
We audited the Housing Authority of the City of Los Angeles’ Rental Assistance Demonstration (RAD) conversion to the Section 8 Project-Based Voucher Program. We selected the Authority because review of RAD conversions was aligned with the goals of our annual audit plan and the Authority’s conversion included previously environmentally toxic land that was recently remediated. The objective of our review was to determine whether the...
Agosto 24, 2018
Report
#2018-LA-1007
The Sacramento Housing and Redevelopment Agency, Sacramento, CA, Did Not Always Use Community Development Block Grant Funds in Accordance with HUD Requirements or Its Own Policies
We audited the Sacramento Housing and Redevelopment Agency’s Community Development Block Grant (CDBG) program, based on an Office of Inspector General risk assessment and U.S. Department of Housing and Urban Development (HUD) concerns. The objective of our audit was to determine whether the Agency used the City of Sacramento’s CDBG funds in accordance with HUD requirements and adequately monitored its subrecipients.
The Agency...
Julio 25, 2018
Report
#2018-LA-1006
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance with HUD Requirements
We audited the City of Modesto’s Community Development Block Grant (CDBG) program. We selected the City based on a hotline complaint (HC-2017-2082) regarding the City’s rehabilitation program and the U.S. Department of Housing Development’s (HUD) and the HUD Office of Inspector General’s risk assessments. The objective of the audit was to determine whether the City used CDBG funds in accordance with HUD requirements, focusing on its...
Julio 03, 2018
Report
#2018-LA-1005
The City of Moreno Valley, CA, Did Not Administer Its Code Enforcement Program in Accordance with HUD Requirements
We audited the City of Moreno Valley’s Community Development Block Grant (CDBG) program, based on a referral from the Office of the Inspector General’s Los Angeles Office of Investigation, identifying the concerns of the Los Angeles Office of Community Planning and Development that the City did not properly charge salaries to the CDBG code enforcement program. The objective of our audit was to determine whether the City correctly...
Abril 27, 2018
Report
#2018-LA-1004
The City of South Gate, CA, Did Not Administer Its Community Development Block Grant Program in Accordance With HUD Requirements
We audited the City of South Gate’s Community Development Block Grant (CDBG) program. We selected the City based on our risk analysis of Los Angeles area grantees and prior monitoring concerns identified by the U.S. Department of Housing and Urban Development (HUD) with the City’s code enforcement activities. The objective of the audit was to determine whether the City administered its CDBG funds in accordance with HUD requirements...
Marzo 29, 2018
Report
#2018-LA-1003
The County of San Diego, San Diego, CA, Did Not Support Continuum of Care Match and Payroll Costs in Accordance With Requirements
We audited the County of San Diego’s Continuum of Care program funds received from the U.S. Department of Housing and Urban Development (HUD). We audited the County because HUD had not reviewed its Continuum of Care grant program in more than 10 years and as a spinoff of an audit of a County subgrantee, Mental Health Systems, Inc. (2017-LA-1003, issued June 2, 2017). Our audit objective was to determine whether the County...
Febrero 22, 2018
Report
#2018-LA-1002
The Town of Apple Valley, CA, Administered Its Community Development Block Grant Program in Accordance With HUD Requirements
We audited the Town of Apple Valley’s Community Development Block Grant program due to a hotline complaint (HC-2016-2372) alleging that the Town did not use its program funds in accordance with U.S. Department of Housing and Urban Development (HUD) program regulations and requirements. Specifically, the complainant wrote a letter to the previous HUD Secretary alleging that the Town misused program funds. Our audit objective was to...
Enero 04, 2018
Report
#2018-LA-1001
The Chukchansi Indian Housing Authority, Oakhurst, CA, Did Not Always Follow HUD’s Requirements for Its Indian Housing Block Grant Program
We audited the Chukchansi Indian Housing Authority (Authority) Indian Housing Block Grant program due to a hotline complaint. The complaint alleged that the Picayune Rancheria of Chukchansi Indians (tribe) had overstated tribal enrollment numbers to the U.S. Department of Housing and Urban Development (HUD), resulting in its tribally designated housing entity, the Chukchansi Indian Housing Authority, receiving more funding than it should...
Agosto 24, 2017
Report
#2017-LA-1007
Final Civil Action: Prospect Mortgage, LLC, Settled Alleged Violations of Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General, assisted the U.S. Department of Justice Washington D.C., and the U.S. Attorney’s Offices of the Northern District of Georgia and Northern District of California, in the civil investigation of Prospect Mortgage, LLC.
Based in part on our review, the Federal Government alleged that Prospect violated the False Claims Act when it originated and underwrote...
Agosto 21, 2017
Memorandum
#2017-AT-1801
The City of Fresno, CA, Did Not Administer Its Community Development Block Grant in Accordance With HUD Requirements
We audited the City of Fresno’s Community Development Block Grant (CDBG) program. We selected the City based on prior findings identified by the U.S. Department of Housing and Urban Development (HUD) and continuing issues with the program. The objective of the audit was to determine whether the City administered its CDBG funds in accordance with HUD requirements, focusing on code enforcement, antigraffiti, and after school program...
Agosto 09, 2017
Report
#2017-LA-1006
The City of Huntington Park, CA, Did Not Administer Its Community Development Block Grant Program in Accordance With Requirements
We audited the City of Huntington Park’s Community Development Block Grant (CDBG) program. We selected the City based on the high risk assessment score and prior findings identified by the U.S. Department of Housing and Urban Development (HUD). The objective of the audit was to determine whether the City administered its CDBG funds in accordance with HUD requirements, focusing on grant expenditures and procurement.
The City...
Junio 16, 2017
Report
#2017-LA-1005
Cypress Meadows Assisted Living, Antioch, CA, Was Not Administered in Accordance With Its Regulatory Agreement and HUD Requirements
We audited Cypress Meadows Assisted Living based on a U.S. Department of Housing and Urban Development (HUD), Departmental Enforcement Center, referral. The referral asserted that the owner took distributions from Cypress Meadows for expenses other than the operation and maintenance of the project. Our objective was to determine whether Cypress Meadows was managed in accordance with its regulatory and operating agreements and HUD...
Junio 13, 2017
Report
#2017-LA-1004
Mental Health Systems Inc., San Diego, CA, Did Not Allocate Payroll Costs in Accordance With Requirements
We audited Mental Health Systems, Inc.’s (MHS) Supportive Housing Program and Continuum of Care direct grants from the U.S. Department of Housing and Urban Development (HUD). We audited MHS as the result of requests from HUD, prompted by a media report and the County of San Diego’s review of MHS in response to whistleblower accusations of improprieties. The accusations centered on MHS drawing government funds in advance and...
Junio 02, 2017
Report
#2017-LA-1003
The Inglewood Housing Authority, Inglewood, CA, Generally Ensured the Eligibility of Its Housing Choice Voucher Program Participants
We audited the Inglewood Housing Authority (Authority) based upon issues with participant eligibility identified during our previous review of the financial operations of the Authority’s Housing Choice Voucher program, audit report 2016-LA-1013. Our audit objective was to determine whether the Authority ensured that participants were eligible to receive housing assistance in accordance with U.S. Department of Housing and Urban Development...
Mayo 11, 2017
Report
#2017-LA-1002
Inglewood Housing Authority, Inglewood, CA, Did Not Effectively Manage the Financial Operations of Its Housing Choice Voucher Program
We audited the Inglewood Housing Authority’s financial management of its Housing Choice Voucher program due to a hotline complaint allegation and the U.S. Department of Housing and Urban Development (HUD), Los Angeles Office of Public Housing’s concerns about the Authority’s financial management of its program. Our audit objective was to determine whether the Authority managed the financial operations of its program in compliance with HUD...
Septiembre 30, 2016
Report
#2016-LA-1013
Final Civil Action – Real Estate Agent and Two Borrowers Settled Allegation of Making a False Certification to HUD Regarding a Home Purchase Under the Federal Housing Administration Program
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), conducted a civil fraud review of an alleged loan origination fraud scheme involving borrowers purchasing a home in which the loan was insured under HUD’s Federal Housing Administration (FHA) program. The alleged scheme involved the submission of a false loan application to obtain an FHA-insured loan on a home in San Diego, CA. FHA...
Septiembre 29, 2016
Memorandum
#2016-CF-1812
The City of Huntington Beach, CA, Administered Its Community Development Block Program in Accordance With HUD Rules and Requirements
We audited the City of Huntington Beach’s Community Development Block Grant program due to issues identified by the U.S. Department of Housing and Urban Development’s (HUD) Los Angeles Office of Community Planning and Development. In addition, Office of Inspector General (OIG) data analytics identified timeliness issues with the use of program funding. We also selected the City because it had not been audited by OIG. Our...
Septiembre 28, 2016
Report
#2016-LA-1012