HUD OIG is conducting a Corrective Action Verification on two prior HUD OIG audits of HUD's Purchase Card and Travel Card programs.  The review will verify if the corrective actions taken by the Department on the recommendations issued under reports, 2020-KC-0001 Purchase Card Audit and 2020-KC-0002 Travel Card Audit, addressed the underlying issues and risks.

HUD OIG is auditing the risk to the FHA fund from uninsured flood damage. The objective of this audit is to determine whether borrowers of FHA-insured loans maintained proper flood insurance coverage. This audit will cover FHA-insured forward and reverse mortgages active throughout calendar year 2020.

In June 2020, we received letters from members of Congress, including the chairpersons of the House Committee on Financial Services and Oversight and Investigation Subcommittee, expressing concern that the U.S.

We prepared this memorandum to provide the Office of Housing at the U.S. Department of Housing and Urban Development (HUD) with key considerations from prior audits of the HUD Single Family Default Monitoring System (SFDMS) and the partial claim loss mitigation option.  These audits identified HUD’s lack of effective controls to ensure that lenders reported default information accurately and in a timely manner, lenders promptly filed and reported partial claims, and partial claims fully reinstated delinquent loans.

HUD OIG is auditing HUD’s compliance with the Digital Accountability and Transparency Act of 2014 (DATA Act) as it relates to HUD’s program funds and Coronavirus Aid, Relief, and Economic Security (CARES) Act funding.  OMB requires Federal agencies to report all financial and award data in accordance with DATA Act reporting standards which is displayed on USASpending.gov, a publicly available website.  This audit is statutorily mandated by the DATA Act and is the last of three required audit reports due by November 8, 2021.

In response to a request from the The U.S. House of Representative’s Committee on Appropriations, HUD OIG is evaluating  HUD's use, accounting, and reporting of Coronavirus Aid, Relief, and Economic Security Act (CARES Act) funding.  Our objectives are to, 1. To assess1 the U.S. Department of Housing and Urban Development’s (HUD): a. Use2 of Coronavirus Aid, Relief, and Economic Security Act (CARES Act) funding. b. Accounting3 of CARES Act funding. c. Reporting of CARES Act funding. 2.

HUD OIG is auditing the Federal Housing Administration’s (FHA) Home Equity Reverse Mortgage Information Technology (HERMIT) system as part of the internal control assessments required for the fiscal year 2019 financial statement audit under the Chief Financial Officer’s Act of 1990.  HERMIT provides an end-to-end solution (loan origination to disposition) on the Home Equity Conversion Mortgage (HECM) case-processing activities and assists FHA in efficiently managing the HECM portfolio.

HUD OIG has contracted with CliftonLarsonAllen LLP (CLA) to conduct the FHA financial statement audit for the fiscal year(s) ended September 30, 2020, to express an opinion on the financial statements, as well as to report any significant deficiencies and material weaknesses in internal control over financial reporting, and report on the results of their tests of compliance with laws, regulations, contracts, grant agreements, and other matters, if applicable.

HUD OIG has contracted with CliftonLarsonAllen LLP (CLA) to conduct the Ginnie Mae financial statement audit for the fiscal year(s) ended September 30, 2020, to express an opinion on the financial statements, as well as to report any significant deficiencies and material weaknesses in internal control over financial reporting, and report on the results of their tests of compliance with laws, regulations, contracts, grant agreements, and other matters, if applicable.

HUD OIG has contracted with CliftonLarsonAllen LLP (CLA) to conduct the HUD consolidated financial statement audit for the fiscal year(s) ended September 30, 2020, to express an opinion on the consolidated financial statements, as well as to report any significant deficiencies and material weaknesses in internal control over financial reporting, and report on the results of their tests of compliance with laws, regulations, contracts, grant agreements, and other matters, if applicable.