HUD OIG Audit Finds 74 of 300 Tested PIH-TBRA Payments Were Improper

A HUD Office of Inspector General audit found that public housing authorities made significant improper payments in HUD's PIH-TBRA program. Of 300 payments statistically selected for testing, 74 were improper, including technically improper payments.

The report states that PHAs made errors or failed to follow program requirements, which resulted in the improper payments. From the sample, auditors projected an annual estimate of at least $1.430 billion of improper payments.

The audit says HUD relies heavily on PHAs to make sure housing assistance payments (HAP) are proper and does little monitoring. According to the report, this prevents HUD from identifying and correcting potentially systemic errors in HAP calculations and from reducing improper payments.

The report also found that HUD could do more to help PHAs handle complex program requirements and HAP calculation complexities. It says HUD's guidance and systems could be improved, which could reduce improper payments of taxpayer dollars and improve program integrity.

The audit is listed as agency wide and includes three recommendations. It reports questioned costs of $0 and funds for better use of $1,430,180,000. The document sets no deadlines or new requirements for PHAs.