Major Management Challenges at the Department of Housing and Urban Development
The Department of Housing and Urban Development (HUD) has made some progress in improving its human capital management, programmatic and financial management information systems, and acquisitions management, which GAO identified as major management challenges in January 2003. Although GAO has not comprehensively assessed departmentwide progress in these areas, its reviews of specific HUD programs indicate that these challenges remain. The department has also made some progress in addressing identified weaknesses in its high-risk program areas.
HUD has increased its focus on human capital management through a variety of initiatives. For example, HUD issued a strategic human capital management plan in March 2003 and began full-scale implementation of the plan in February 2004. Under this plan, HUD has launched a number of training and development initiatives to support the department's succession planning efforts. The department has also made progress in developing a strategic workforce plan to address staffing and skill gaps in its major program areas. Since January 2003, GAO has found human capital issues, such as lack of needed training, when reviewing specific HUD programs, but has not comprehensively assessed department-wide progress in this area. GAO has made recommendations designed to address human capital challenges in staffing and skill levels and to clarify the role of field offices in program oversight.
HUD has also made progress in the area of programmatic and financial management information systems. For example, the department is improving its information technology capital planning process through the development of an enterprise architecture that will guide future systems development. HUD has also developed and begun implementing a comprehensive plan to improve its software acquisition management. Further, the department has continued to reduce the number of financial systems that do not comply with the Federal Managers' Financial Integrity Act and has an ongoing program to improve the quality of the data in its information systems. Since January 2003, GAO has found information systems issues that need to be addressed within specific HUD programs, but has not evaluated HUD's efforts departmentwide. GAO has made recommendations designed to improve data-gathering procedures as well as the accuracy and completeness of information in HUD's systems.
HUD has taken several steps to improve its acquisitions management . These include the establishment of the Acquisition Workforce Council—a body comprising senior officials in HUD's major program areas—to develop annual training plans for contract oversight staff and to ensure that the training meets federal requirements. HUD has also made enhancements to its contracting management information system—the HUD Procurement System—and has initiated training for HUD staff on how to use the system for contract management and oversight. In addition, HUD has placed emphasis on performance-based contracting to obtain services that are more timely and cost-effective. Since January 2003, GAO has found acquisitions management issues—particularly oversight of contractors—within specific programs, but has not assessed HUD's overall performance in this area. GAO has made recommendations designed to reduce questionable payments and improve HUD's oversight of contractors.
HUD has demonstrated commitment to and progress in addressing weaknesses identified in its single-family mortgage insurance and rental housing assistance program areas , but some of HUD's corrective actions are still in the early stages of implementation and additional steps are needed to resolve ongoing problems. As a result, these program areas remain high risk at this time. Additional information on HUD's single-family mortgage insurance and rental housing assistance program areas can be found in High-Risk Series: An Update (GAO-05-207).
Related GAO Products
Human Capital Management
Fair Housing: Opportunities to Improve HUD's Oversight and Management of the Enforcement Process . GAO-04-463 . Washington, D.C.: April 21, 2004.
Elderly Housing: Project Funding and Other Factors Delay Assistance to Needy Households . GAO-03-512 . Washington, D.C.: May 30, 2003.
Public Housing: HUD's Oversight of HOPE VI Sites Needs to Be More Consistent . GAO-03-555 . Washington, D.C.: May 30, 2003.
Programmatic and Financial Management Information Systems
Fair Housing: Opportunities to Improve HUD's Oversight and Management of the Enforcement Process . GAO-04-463 . Washington, D.C.: April 21, 2004.
Multifamily Housing: More Accessible HUD Data Could Help Efforts to Preserve Housing for Low-Income Tenants . GAO-04-20 . Washington, D.C.: January 23, 2004.
Information Technology Management: Governmentwide Strategic Planning, Performance Measurement, and Investment Management Can Be Further Improved. GAO-04-49 . Washington, D.C.: January 12, 2004.
Information Technology: Leadership Remains Key to Agencies Making Progress on Enterprise Architecture Efforts . GAO-04-40 . Washington, D.C.: November 17, 2003.
Elderly Housing: Project Funding and Other Factors Delay Assistance to Needy Households . GAO-03-512 . Washington, D.C.: May 30, 2003.
Public Housing: HUD's Oversight of HOPE VI Sites Needs to Be More Consistent . GAO-03-555 . Washington, D.C.: May 30, 2003.
Department of Housing and Urban Development: Status of Efforts to Implement an Integrated Financial Management System . GAO-03-447R . Washington, D.C.: April 9, 2003.
Acquisitions Management
Single-Family Housing: Progress Made but Opportunities Exist to Improve HUD's Oversight of FHA Lenders . GAO-05-13 . Washington, D.C.: November 12, 2004.
Single-Family Housing: HUD's Risk-Based Oversight of Appraisers Could Be Enhanced . GAO-05-14 . Washington, D.C.: November 5, 2004.
Home Inspections: Many Buyers Benefit from Inspections, but Mandating Their Use Is Questionable . GAO-04-462 . Washington, D.C.: April 30, 2004.
HUD Single-Family and Multifamily Property Programs: Inadequate Controls Resulted in Questionable Payments and Potential Fraud . GAO-04-390 . Washington, D.C.: March 3, 2004.
HUD Single-Family Mortgage Insurance and Rental Housing Assistance Programs (High Risk)
Single-Family Housing: Progress Made but Opportunities Exist to Improve HUD's Oversight of FHA Lenders . GAO-05-13 . Washington, D.C.: November 12, 2004.
Single-Family Housing: HUD's Risk-Based Oversight of Appraisers Could Be Enhanced . GAO-05-14 . Washington, D.C.: November 5, 2004.
Home Inspections: Many Buyers Benefit from Inspections, but Mandating Their Use Is Questionable . GAO-04-462 . Washington, D.C.: April 30, 2004.
HUD Single-Family and Multifamily Property Programs: Inadequate Controls Resulted in Questionable Payments and Potential Fraud . GAO-04-390 . Washington, D.C.: March 3, 2004.
Single-Family Housing: Cost, Benefit, and Compliance Issues Raise Questions about HUD's Discount Sales Program . GAO-04-208 . Washington, D.C.: January 30, 2004.
Multifamily Housing: More Accessible HUD Data Could Help Efforts to Preserve Housing for Low-Income Tenants . GAO-04-20 . Washington, D.C.: January 23, 2004.
Public Housing: HOPE VI Resident Issues and Changes in Neighborhoods Surrounding Grant Sites. GAO-04-109 . Washington, D.C.: November 21, 2003.
Elderly Housing: Project Funding and Other Factors Delay Assistance to Needy Households . GAO-03-512 . Washington, D.C.: May 30, 2003.
Public Housing: HUD's Oversight of HOPE VI Sites Needs to Be More Consistent . GAO-03-555 . Washington, D.C.: May 30, 2003.
Public Housing: Information on Receiverships at Public Housing Authorities . GAO-03-363 . Washington, D.C.: February 14, 2003.