FHA Paid Claims for an Estimated 239,000 Properties That Servicers Did Not Foreclose Upon or Convey on Time
Issue a change to regulations at 24 CFR Part 203, which would avoid unnecessary costs to the FHA insurance fund, allowing an estimated $2.23 billion to be put to better use. These changes include (1) a maximum period for filing insurance claims and (2) disallowance of expenses incurred beyond established timeframes.
Status
The Federal Housing Administration (FHA) reported that the recommendation cannot be closed out without the…
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Provide support showing that $17,414 in management fees charged to the projects using a budgeted amount represented actual amounts or repay the difference to each affected project.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Provide documentation to support that it paid itself $447,345 for eligible purposes or reimburse the appropriate projects for the balance.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Verify all management fees charged to the projects from 2013 through 2015 were appropriate.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Require Majestic Management to reimburse the appropriate projects their portion of $231,091 for work not completed or overbilled.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Require Majestic Management to provide support that $462,281 paid for procurements was reasonable or reimburse the appropriate projects for the balance.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Reimburse the appropriate projects their portion of $11,184 that it charged for ineligible items.
Majestic Management, LLC, a Multifamily Housing Management Agent in St. Louis, MO, Did Not Always Comply With HUD's Requirements When Disbursing Project Funds
Provide documentation to support that $48,891 was spent for eligible purposes or reimburse the appropriate projects for the balance.
The City of New York, NY, Lacked Adequate Controls To Ensure That the Use of CDBG-DR Funds Was Always Consistent With the Action Plan and Applicable Federal and State Requirements
We recommend that HUD’s Acting Deputy Assistant Secretary for Grant Programs instruct City officials to reimburse the Program from non-Federal funds $18,274,054 in exempt State sales tax on repairs and maintenance services.
Final Civil Action
Borrower Settled Alleged Violations of Home Equity Conversion Mortgage Program
Acknowledge that the attached settlement agreement for $1,500 represents an amount due HUD.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Repay from non-Federal funds $257,737 from voucher 6035061 for the duplicate draw.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Support that $45,304 drawn in advance met eligibility and procurement requirements and costs were reasonable or repay the unsupported amount from non-Federal funds.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Update its policies and procedures to ensure that the City issues payments to vendors and obtains reimbursement from HUD only after the City’s Community and Economic Development Department has verified that work is complete.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Support that $323,563 spent on rehabilitation administration charged in program year 2015 costs was reasonable and benefited the City’s rehabilitation program or repay the program from non-Federal funds any amount determined to be unreasonable or ineligible.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Reclassify $69,794 in employee payroll and benefits for City employees that did not work on rehabilitation-related activities or repay the program from non-Federal funds.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Support that expenses were related to rehabilitation activities for $66,910 in payroll expenses charged to the rehabilitation delivery expenses activity for its former environmental review specialist or repay the program from non-Federal funds.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Support that expenses were related to rehabilitation activities for $13,263 in unsupported payroll or repay the program from non-Federal funds.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Reclassify $517 in miscellaneous expenses that was incorrectly prorated or repay the program from non-Federal funds.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Provide training for its staff to ensure sufficient knowledge of CDBG requirements regarding when to charge delivery costs, including when to charge payroll to rehabilitation administration, versus general administrative costs.
The City of Modesto, CA, Did Not Use Community Development Block Grant Funds in Accordance With HUD Requirements
Implement policies and procedures to ensure that the City includes all recipients of CDBG funds in its monitoring plan and that it selects objective sample items for monitoring.