HUD OIG is reviewing a housing authority in New Jersey.  The authority owns and manages public housing units to serve low-income families and was designated as high risk by HUD in 2017.  The review objective is to determine whether the Authority administered its Public Housing program in accordance with applicable requirements.  

HUD OIG is reviewing HUD's Veterans Affairs Supportive Housing (VASH) program.  Congress appropriated $40 million in both 2017 and 2018 to serve approximately 10,000 total families and an additional $40 million in 2019.  The review objective is to evaluate the challenges that participating Public Housing Authorities face in meeting the goals and objectives of the VASH program.

HUD OIG is auditing HUD's Office of Single-Family Housing - Federal Housing Administration (FHA) program partly in response to media reports which have highlighted instances when lenders did not properly administer the COVID-19 forbearance options.  The audit objective is to determine whether FHA insured borrowers properly received the CARES Act forbearance options.

HUD OIG is conducting a limited review of HUD's administration of supplemental operating funds under the CARES Act.  The CARES Act authorized an additional $685 million in public housing operating funds to prevent, prepare for, and respond to COVID-19.  The review objective is to assess Public Housing Agencies' (PHA) experiences and challenges and HUD's efforts in providing guidance related to the administration of supplemental operating funds under the CARES Act.

HUD OIG is reviewing HUD's real estate owned (REO) program for Section 184 Tribal Trust land properties.  Through this program, HUD can sell foreclosed properties previously endorsed under section 184 of the Housing and Community Development Act of 1992.  The objective of the review is to determine whether HUD is appropriately tracking, marketing, and selling REO Section 184 Tribal Trust Land properties.

HUD OIG is auditing HUD’s oversight of Federal Housing Administration (FHA) refunds.  FHA insures mortgages to increase homeownership opportunities.  An upfront insurance premium, paid at the time of closing, is refundable if the loan ends early, whether through sale, foreclosure, or refinancing.  We received a hotline complaint describing roadblocks to obtaining refunds.

HUD-OIG is auditing COVID-19 single family forbearance reporting. The audit will help HUD to determine how accurately the servicers are reporting the forbearance assistance offered to their customers. The audit will further enable HUD to adequately forecast the performance of its FHA loan portfolio in order to maintain an adequate capital ratio. The audit objective is to determine whether data available in HUD’s single family default monitoring system (SFDMS) is consistent with information maintained by loan servicers.

HUD OIG is researching Public and Indian Housing and Multifamily use of vacant units during previously Presidentially Declared Disasters and the COVID-19 declared Disaster, as well as PIH and Multifamily’s ability to place a waitlist preference for the homeless and how many homeless individuals had a 50058 or 50059 new move-in during the COVID pandemic.  Since the introduction of the CARES act, there has been an emphasis to review how HUD has reacted to the COVID-19 disaster.  HUD allocated $1 billion to keep America's homeless population safe.

HUD OIG is  researching prior audits of HUD’s partial claims loss mitigation option.  On July 8, 2020, FHA issued Mortgagee Letter 2020-22 informing mortgagees the full suite of loss mitigations available to single family borrowers affected by the COVID-19 pandemic.  The purpose of this research is to provide HUD information regarding lessons learned and risks identified in these prior audits that HUD should act on now to ensure program integrity and mitigate the risk of financial loss for COVID-19 related partial claims.  

HUD OIG is researching prior audits of HUD’s Single Family Default Monitoring System to provide HUD information regarding lessons learned and risks identified in these prior audits.  The forbearances will result in increased claims filed against the insurance fund.  The lessons learned from prior audits identify what actions HUD should take now to ensure program integrity and mitigate the risk of financial loss for COVID-19 related forbearance assistance and foreclosure moratorium related to single family loans.