Housing and Community Development Should Improve Its Fraud Risk Management Practices for Its ESG CARES Act Program
Audit · Department of Housing and Urban Development OIG · 2024-08-02 · about Department of Housing and Urban Development
Report
Title
Housing and Community Development Should Improve Its Fraud Risk Management Practices for Its ESG CARES Act Program
Submitting OIG
Department of Housing and Urban Development OIG
Component agency
Department of Housing and Urban Development
Type
Audit
Publication date
2024-08-02
Summary
We audited the California Department of Housing and Community Development (HCD) with the objective of evaluating HCD’s fraud risk management practices for its Emergency Solutions Grants Coronavirus Aid, Relief, and Economic Security Act (ESG CARES Act) program and assessing the maturity of its efforts to prevent, detect, and respond to fraud. Fraudulent activity in the ESG CARES Act program can lead to significant financial losses, reputational damage to the grantee and the U.S.