U.S. flag

An official website of the United States government Here’s how you know

The .gov means it’s official.

Federal government websites often end in .gov or .mil. Before sharing sensitive information, make sure you're on a federal government site.

The site is secure.

The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Hotline

Crime, Fraud, Waste, and Abuse
  • Recommendation Number: 2026-LA-0002-002-B
  • Status: Open
  • Date Issued: January 27, 2026

Notify grantees of HUD’s updated ‘High Risk’ designation criteria and HUD’s expectations when designated as ‘High Risk.’

Publication Report

2026-LA-0002 | January 27, 2026

HUD Needs to Improve Its Award and Oversight of Lead-Based Paint Hazard Control and Lead Hazard Reduction Demonstration Grants

We audited the U.S. Department of Housing and Urban Development’s (HUD) Office of Lead Hazard Control and Healthy Homes’ (OLHCHH) oversight of Lead-Based Paint Hazard Control (LBPHC) and Lead Hazard Reduction Demonstration (LHRD) grant programs. … more

Related Recommendations

Lead Hazard Control

  •  
    Status
      Open
      Closed
    2026-LA-0002-001-A

    Provide support to show that the performance history element was factored as part of the grantees’ capacity to manage the grants awarded through the 2025 NOFO.

  •  
    Status
      Open
      Closed
    2026-LA-0002-002-A

    Reevaluate ‘High Risk’ designation criteria as part of the SOP update and reimplement its updated ‘High Risk’ criteria to reflect how grantees will be designated as ‘High Risk’ within the program. In addition, train OLHCHH staff on the new ‘High Risk’ designation criteria stated in the SOP.

  •  
    Status
      Open
      Closed
    2026-LA-0002-002-C

    Provide assistance to the nine identified ‘High Risk’ grantees that will help meet established performance benchmarks to be completed by the end of the respective grants in 2026.

  •  
    Status
      Open
      Closed
    2026-LA-0002-002-D
    $3,775,916.00
    Funds Put to Better Use

    Recommendations that funds be put to better use estimate funds that could be used more efficiently. For example, recommendations that funds be put to better use could result in reductions in spending, deobligation of funds, or avoidance of unnecessary spending.

    Recapture $3,775,916 in undisbursed grant funds not used to meet agreed-upon performance benchmarks for the two identified ‘High Risk’ grantees whose period of performance ended in June and July 2025, respectively. In addition, identify those grantees that received 2020 through 2022 LBPHC and LHRD grants with a period of performance that ended on or before December 31, 2025, to determine whether agreed-upon performance benchmarks were met by that date, and take appropriate actions that include recapturing undisbursed grant funds.

  •  
    Status
      Open
      Closed
    2026-LA-0002-002-E

    Consider grantees’ suggestions to improve training sessions, technical assistance, and communication of information that grantees can use to help meet agreed-upon performance benchmarks. In addition, provide documentation to support the guidance OLHCHH plans to share with grantees to ensure agreed-upon performance benchmarks are met.

  •  
    Status
      Open
      Closed
    2026-LA-0002-002-F

    Reassess, establish, and incorporate a maximum review period of grantee-submitted QPRs into an SOP. Inform staff of the review period to ensure consistency and understanding of HUD’s expectations of the time to review grantee-submitted QPRs. In addition, establish formal guidance and implement internal controls to monitor and track the timely review of QPRs.