HUD OIG is reviewing HUD’s Office of Community Planning and Development’s (CPD) HUD’s Coronavirus Aid, Relief, and Economic Security (CARES) Act, Community Development Block Grants (CDBG-CV) program. The CARES Act provided $4.9 billion in CCDBG-CV funds to be used to prevent, prepare for, and respond to coronavirus. Our objective is to determine what challenges grantees faced in obligating and spending their allocated CDBG-CV funds for activities that prepare for, prevent, or respond to COVID-19 and its impact.
HUD’s Office of Community Planning and Development’s (CPD) Coronavirus Aid, Relief, and Economic Security Act, Emergency Solutions Grants (ESG-CV) program
HUD OIG is reviewing HUD’s Office of Community Planning and Development’s (CPD) Coronavirus Aid, Relief, and Economic Security Act, Emergency Solutions Grants (ESG-CV) program. The CARES Act provided $4 billion in ESG-CV funds to be used to prevent, prepare for, and respond to coronavirus, among individuals and families who are homeless or receiving homeless assistance. Our objective is to determine what challenges grantees of ESG-CV funds have faced in implementing the program and utilizing grant funds.
HUD OIG is auditing HUD’s administration of its temporary endorsement policy related to COVID-19 forbearance activity. The temporary policy allowed mortgagees to endorse mortgages that were placed into forbearance prior to endorsement as long as they met certain requirements and executed a 2-year partial indemnification agreement. Our objectives are to determine whether the policy was properly followed by mortgagees, review HUD’s plan to monitor and enforce the indemnification agreements, and review HUD’s decision to end the policy.
HUD OIG is auditing HUD’s proactive communication to homeowners with FHA-insured single family mortgages. The CARES Act and various HUD guidance contain key information that is relevant for homeowners such as details about mortgage loan forbearance protections. Our objective is to assess HUD’s communication to homeowners through its website, joint website, and other proactive methods about protections, repayment options, loss mitigation options, and responsibilities related to COVID-19.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act designated $10 billion to the Federal Aviation Administration (FAA) to support continuing operations at U.S. airports following the sharp decline in passenger traffic and other airport business due to the COVID-19 public health emergency. By the end of fiscal year 2020, FAA had obligated approximately $9.4 billion in formula grants to airports for such purposes as capital expenditures, operating expenses (including payroll and utilities), and debt payments. We are initiating this audit because the act also provided $5 million to OIG for conducting oversight of DOT projects and activities supported by CARES Act funds. Our objective is to assess whether FAA’s policies and procedures for awarding and overseeing CARES Act grants are sufficient to protect taxpayer interests.
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 conducting a limited review of the emergency Indian Housing Block Grant (IHBG) and Indian Community Development Block Grant (ICDBG) funds authorized under the CARES Act. HUD awarded $200 million in IHBG CARES Act funding and $100 million in ICDBG CARES Act funding. The audit objective is to determine the status of emergency IHBG and ICDBG CARES Act funds and any areas of potential concern.
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 performing research to help HUD's Community Development Block Grant Coronavirus pandemic (CDBG-CV) grantees be aware of known risks and lessons learned from audits and evaluations of the Community Development Block Grant Disaster Recovery Program grants (CDBG-DR). The purpose of our research is to issue a report that is intended to assist HUD’s Office of Community Planning and Development (CPD) by developing lessons learned from past reviews and common risk areas to help its CDBG-CV grantees prevent, prepare for, and respond to the coronavirus pandemic.