Correct the waiting list errors identified by the audit.

Review the citizenship documentation for all adult household members residing in assisted housing and verify correct entry to applicable HUD systems.

Develop and implement controls to ensure that assistance is properly prorated for eligible family members of noncitizen students.

Develop and implement controls to ensure that it follows policies and procedures found in its administrative plan for verification of citizenship or eligible noncitizen status.

Correct the errors in the files of the noncitizen families identified by the audit.

Repay its program $19,520 from non-Federal funds for the ineligible housing assistance payments made.

Develop and implement controls to ensure that criminal records checks are conducted, according to policy, at application and when family composition changes.

Conduct criminal record background checks in accordance with its policies and procedures to ensure that adult members of households for whom the Authority made housing assistance payments totaling $4,920,685 were eligible to participate in the program or repay its program from non-Federal funds for any amount that it cannot support. If the participants are deemed ineligible, the Authority should follow applicable regulations to terminate or modify assistance.

We recommend that the Director of HUD’s Newark Office of Public Housing require the Authority to reimburse its Operating Fund from non-Federal funds for the $75,722 settlement payment made to the State of New Jersey.

We recommend that the Director of HUD’s Newark Office of Public Housing require the Authority to improve its policies and procedures to ensure that capital funds are obligated in a timely manner and adequately supported.