The Housing Authority of the City of Los Angeles Did Not Adequately Manage Lead-Based Paint in Its Public Housing Units
We audited the Housing Authority of the City of Los Angeles’ management of lead-based paint and lead-based paint hazards in its public housing units. We selected the Authority based on our assessment of the risks of lead‐based paint in public housing agencies’ (PHA) housing developments, including the age of buildings, the number of units, household demographics, and reported cases of childhood lead poisoning. The audit objectives…
August 20, 2024
Report
#2024-CH-1003
Housing and Community Development Should Improve Its Fraud Risk Management Practices for Its ESG CARES Act Program
We audited the California Department of Housing and Community Development (HCD) with the objective of evaluating HCD’s fraud risk management practices for its Emergency Solutions Grants Coronavirus Aid, Relief, and Economic Security Act (ESG CARES Act) program and assessing the maturity of its efforts to prevent, detect, and respond to fraud. Fraudulent activity in the ESG CARES Act program can lead to significant financial losses,…
August 02, 2024
Report
#2024-LA-1001
State of California, 2018 Disasters Owner-Occupied Rehabilitation and Reconstruction Program
We selected the State of California’s 2018 disaster owner-occupied rehabilitation and reconstruction program to audit after an internal risk assessment of disaster grantees showed the grant was newer and had not yet disbursed the majority of its funding. The State received more than $1 billion for the 2018 disasters. Our audit objective was to determine what the State is considering and to what extent resilience-based mitigation…
July 13, 2023
Report
#2023-FW-1004
The Los Angeles Homeless Services Authority, Los Angeles, CA, Did Not Always Administer Its Continuum of Care Program in Accordance With HUD Requirements
We audited the Los Angeles Homeless Services Authority’s Continuum of Care (CoC) program. The audit was initiated because of the homelessness crisis in the City of Los Angeles, which has the highest number of unsheltered people in the United States. In addition, the Los Angeles city controller issued a report in 2019, criticizing the Authority for falling short of City of Los Angeles homeless outreach goals. (See Background and…
January 20, 2022
Report
#2022-LA-1001
Neighborhood Housing Services of Los Angeles County, Los Angeles, CA, Did Not Always Follow Program Requirements in Administering Its NSP2
We audited Neighborhood Housing Services of Los Angeles County’s (NHSLA) Neighborhood Stabilization Program 2 (NSP2). The audit was based on a complaint alleging questionable NSP2 financial activity, double payments to contractors, and payments to contractors for incomplete work. Our Office of Audit received the referred complaint in late 2018. However, because the complaint included concerns regarding activities and auditee…
January 05, 2021
Report
#2021-LA-1002
The City of Compton, Compton, CA, Did Not Always Administer Neighborhood Stabilization Program Funds in Compliance With Procedures and Regulations
We audited the City of Compton’s Neighborhood Stabilization Programs (NSP) 1 and 3 due to a referral made by our Office of Investigation because of concerns related to ongoing issues at the City and complaints received about the City’s administration of U.S. Department of Housing and Urban Development (HUD) funds. In addition, HUD’s Office of Community Planning and Development rated the City as high risk for administering program funds in…
October 27, 2020
Report
#2021-LA-1001
The Los Angeles County Development Authority, Alhambra, CA, Generally Met HUD Goals and Requirements in Managing Its Family Self-Sufficiency Program
We audited the Los Angeles County Development Authority’s Family Self-Sufficiency Program due to a hotline complaint (HC-2019-4215) alleging that the Authority did not use its program funds in compliance with U.S. Department of Housing and Urban Development (HUD) requirements. Our audit objectives were to determine whether the Authority met its program goals and objectives to assist eligible families in becoming self-sufficient and…
June 18, 2020
Report
#2020-LA-1004
The Housing Authority of the City of Long Beach, CA, Did Not Administer Its Housing Choice Voucher Program in Accordance With HUD Requirements
We audited the Housing Authority of the City Long Beach’s Housing Choice Voucher Program based on a referral from the U.S. Department of Housing and Urban Development’s (HUD) Los Angeles Office of Public Housing due to concerns regarding its financial activity control weaknesses. The objective of the audit was to determine whether the Authority administered its Housing Choice Voucher Program in accordance with Program requirements, with an…
March 10, 2020
Report
#2020-LA-1002
Community Action North Bay, Fairfield, CA, Did Not Administer Its Continuum of Care Program in Accordance With HUD Requirements
We audited Community Action North Bay’s Continuum of Care Program based on hotline complaints (HC-2016-2275 and HT-2019-1142) and concerns expressed by the San Francisco Office of Community Planning and Development that included matching noncompliance issues. The complaints alleged improper accounting, timekeeping irregularities, unreported program income, and conflicts of interest. Our objective was to determine whether the…
January 31, 2020
Report
#2020-LA-1001
Del Norte Neighborhood Development Corporation
We audited Del Norte Neighborhood Development Corporation based on information we received indicating that Del Norte may have violated the U.S. Department of Housing and Urban Development’s (HUD) HOME Investment Partnerships program rules during the demolition of one of its low- to moderate-income rental developments. Our objective was to determine whether Del Norte properly transferred, stopped, modified, or extended the availability of…
November 26, 2019
Report
#2020-DE-1001
Final Civil Action: Pacific Horizon Bancorp, Inc., and Two Loan Officers Settled Allegations of Failing To Comply With HUD’s Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), assisted HUD’s Office of Program Enforcement in a civil investigation of Pacific Horizon Bancorp, Inc., and two former loan officers at Pacific Horizon. Pacific Horizon has its principal place of business in La Crescenta, CA.
Based on OIG’s civil investigation, on April 2, 2019, HUD notified Pacific Horizon and the two loan officers that it…
September 30, 2019
Memorandum
#2019-CF-1803
The Housing Authority of the County of San Diego, San Diego, CA, Executed and Administered Its Intergovernmental Agreement as Required
We audited the Housing Authority of the County of San Diego’s intergovernmental agreement due to the results of our completed internal auditability survey of public housing agencies with intergovernmental agreements. The auditability survey identified public housing authorities with intergovernmental agreements for potential external reviews due to a recent external audit the Housing Authority of the City of Los Angeles (audit report…
July 15, 2019
Report
#2019-LA-1009
The Compton Housing Authority, Compton, CA, Did Not Administer Its Housing Choice Voucher Program in Accordance With HUD Requirements
We audited the Compton Housing Authority’s Housing Choice Voucher Program, based on a referral from the U.S. Department of Housing and Urban Development’s (HUD) Los Angeles Office of Public Housing, due to concerns regarding its financial activity control weaknesses. The objective of the audit was to determine whether the Authority administered its Housing Choice Voucher Program in accordance with program requirements, with an emphasis on…
July 11, 2019
Report
#2019-LA-1008
The Housing Authority of the County of Los Angeles, Alhambra, CA, Did Not Ensure That Its Intergovernmental Agreements Included the Current HUD Requirements
We audited the Housing Authority of the County of Los Angeles’ intergovernmental agreements due to our Public and Indian Housing Intergovernmental Agreements Auditability Survey. The objective of that review was to identify public housing agencies with intergovernmental agreements for potential external reviews due to a previous audit (audit report 2018-LA-1008), which identified the Housing Authority of the City of Los Angeles as not…
July 03, 2019
Report
#2019-LA-1006
The Fort Collins Housing Authority, Fort Collins, CO, Administered Its RAD Project in Accordance With HUD Requirements for the Items Reviewed
The U.S. Department of Housing and Urban Development’s (HUD) Office of Inspector General audited the Fort Collins Housing Authority’s Village on Redwood Rental Assistance Demonstration Program (RAD) project. We selected the Authority because it had completed the entire RAD conversion process with new construction, and its Village on Redwood RAD project used the largest amount of Federal funds of the State of Colorado projects. Our…
April 18, 2019
Report
#2019-DE-1002
The Housing Authority of the County of San Bernardino, CA, Did Not Adequately Support Administrative Fees Charged to Its Continuum of Care Grants
We audited the Housing Authority of the County of San Bernardino’s Continuum of Care grant funds received from the U.S. Department of Housing and Urban Development (HUD). We audited the Authority because it is among the top 15 percent of competitive grantees in HUD’s Office of Community Planning and Development’s risk analysis. Our audit objective was to determine whether the Authority administered its Continuum of Care grants in…
April 17, 2019
Report
#2019-LA-1005
The Housing Authority of the County of Stanislaus, Modesto, CA, Did Not Always Adequately Document Homeless Eligibility in Accordance With Shelter Plus Care Program Requirements
We audited the Housing Authority of the County of Stanislaus’ Shelter Plus Care program based on a hotline complaint and concerns expressed by the San Francisco Office of Community Planning and Development regarding the Authority’s lack of documentation to support participant eligibility. Our objective was to determine whether the Authority documented participant eligibility related to homelessness and disability in accordance with Shelter…
April 17, 2019
Report
#2019-LA-1004
The City of San Bernardino, CA, Did Not Fully Administer Its HOME Investment Partnerships Program in Accordance With HUD Requirements
We audited the City of San Bernardino, CA’s HOME Investment Partnerships program. We audited the City based on the Region 9 Office of Inspector General’s 2016 risk analysis of Los Angeles area community planning and development grantees. In addition, although the County of San Bernardino had been administering the City’s recent HOME grants, the City still had several of its own HOME activities underway and others that had closed…
February 20, 2019
Report
#2019-LA-1003
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…
September 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-…
September 25, 2018
Report
#2018-LA-0006