We recommend that the Director of HUD’s New York Office of Public and Indian Housing require the Authority to strengthen its controls to ensure that $1,074,979 in remaining property disposition proceeds and any outstanding loans and other funds to be repaid will be put to better use as intended to benefit the Authority’s residents. These controls include controls to ensure that proceeds are used in accordance with the HUD-approved disposition application, adequate supporting documentation is maintained, and the source and use of funds is properly recorded in the Authority’s books and records and reported to HUD.

We recommend that the Director of HUD’s Newark, NJ, Office of Community Planning and Development require the County to strengthen its policies and procedures to ensure that environmental reviews and environmental review exemptions are completed and documented before HOME funds are committed.

We recommend that the Director of HUD’s Newark, NJ, Office of Community Planning and Development require the County to strengthen its policies and procedures to ensure that activity address information in IDIS is current as required.

Develop and implement an inspection process for the Section 232 program that better reflects those properties’ physical conditions and how those properties differ from other properties REAC inspects (for example, multifamily properties).

Ensure that all areas of the properties are inspected, including the roofs and all buildings located on the property that is insured by HUD.

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.

Adequately support or reimburse its NSP3 grant subrecipient $53,760 from non-Federal funds for the disbursements not adequately supported.

Update its records retention policy to meet HUD’s records retention requirements and notify its NSP subrecipients of the documentation retention requirements for the NSP grants.

Develop a retention strategy for its subrecipients to ensure that documentation is readily available for review.

Repay the Housing Choice Voucher program from non-Federal funds the $281,929 in ineligible retroactive housing assistance payments.

Develop and implement internal control procedures to ensure that housing assistance funds appropriated for 1 calendar year are not used to make retroactive housing assistance payments for prior years.

Repay the Housing Choice Voucher program from non-Federal funds the $32,682 in ineligible housing assistance overpayments made due to program errors.

Develop and implement internal control procedures to ensure that housing assistance payments resulting from errors of Authority officials are covered by the Authority’s administrative fees.

Develop and implement internal control procedures to ensure that housing assistance payments are not made to owners without a properly executed lease and housing assistance payments contract.

Develop and implement internal controls to ensure that housing assistance payments discontinue once a program participant is absorbed into another public housing agency’s program or leaves the program.

Provide support showing that the repayment of housing assistance overpayments found by the Authority were received.

Deobligate all obligations marked for deobligation during the departmentwide OOR, including as much as $11,463,971 in 189 program obligations and $13,640 in 10 administrative obligations marked for deobligation as of September 30, 2017.