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GAO-23-106349 1 (2023-05-09)

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                      U.S. GOVERNMENT ACCOUNTABILITY OFFICE
441 G St. N.W.                                                          Comptroller General
Washington, DC  20548                                                   of the United States



May  9, 2023


The Honorable  Marcia L. Fudge
Secretary
U.S. Department  of Housing and Urban Development
451 7th Street, SW
Washington,  DC 20410

Priority Open Recommendations: Department of Housing and Urban Development

Dear Madam   Secretary:

The purpose  of this letter is to provide an update on the overall status of the Department of
Housing  and Urban Development's  (HUD) implementation of GAO's  recommendations  and to
call your continued personal attention to areas where open recommendations should be given
high priority.1 In November 2022, we reported that, on a government-wide basis, 77 percent of
our recommendations  made  4 years ago were implemented.2  HUD's recommendation
implementation rate was 78 percent. As of May 2023, HUD had 96 open  recommendations.
Fully implementing these open recommendations  could significantly improve agency operations.

Since our June 2022 letter, HUD has implemented five of our 11 priority recommendations.

      In July 2022, HUD designed and implemented  a policy to analyze the effects of Moving
       to Work program flexibilities on tenants in the Public Housing and Housing Choice
       Voucher  programs, in response to our January 2018 recommendation.3

      As of March 2023, Ginnie Mae  (HUD) had implemented  an alternative compensation
       structure known as Critical Position Pay to help manage its growing operations and
       identified mission-critical occupations to hire in fiscal year 2023. Ginnie Mae also
       completed an analysis of the optimal mix of contractors and in-house staff and
       determined it will shift some staff from contractor to in-house status for its operations
       starting in fiscal year 2023. Ginnie Mae completed its review of the benefits and costs of
       its contract administration options, assessed the value of alternative arrangements, and
       made  determinations on hiring positions to oversee ongoing contracting needs. These



1Priority recommendations are those that we believe warrant priority attention from heads of key departments or
agencies. They are highlighted because, upon implementation, they may significantly improve government
operations, for example, by realizing large dollar savings; eliminating mismanagement, fraud, and abuse; or making
progress toward addressing a high-risk or duplication issue.
2GAO, Performance and Accountability Report: Fiscal Year 2022, GAO-23-900398 (Washington, D.C.: Nov. 15,
2022).
3GAO, Rental Housing: Improvements Needed to Better Monitor Moving to Work Demonstration, Including Effects on
Tenants, GAO-18-150 (Washington, D.C.: Jan. 25, 2018).


GAO-23-106349  HUD  Priority Recommendations


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