Report 2007-037 Recommendation 2 Responses

Report 2007-037: Department of Housing and Community Development: Awards of Housing Bond Funds Have Been Timely and Complied With the Law, but Monitoring of the Use of Funds Has Been Inconsistent (Release Date: September 2007)

Recommendation #2 To: Housing and Community Development, Department of

The department should continue its efforts to consistently monitor sponsors? use of housing bond funds by considering eliminating its process of overriding restrictions on advances for the CalHome Program.

1-Year Agency Response

The department reported that it established clear procedures to guide staff in evaluating circumstances in which an advance above the 25 percent limitation may be appropriate and in documenting justifications received from awardees. In cases where advances are provided, the department stated that staff will evaluate actual performance, as measured by receipt of borrower summaries, at 60-day intervals following the advance. (See 2009-406 p. 240)

California State Auditor's Assessment of 1-Year Status: Fully Implemented

All Recommendations in 2007-037

Agency responses received after June 2013 are posted verbatim.