House Appropriations Committee Holds Oversight Hearing with Inspectors General from HUD, DOT, and Amtrak

The U.S. House of Representatives’ Committee on Appropriations’ Subcommittee on Transportation, Housing and Urban Development, and Related Agencies held a hearing, “Oversight Hearing – Inspectors General HUD, DOT, and Amtrak,” on September 18. The hearing focused on findings issued by the Offices of Inspector General overseeing HUD, the U.S. Department of Transportation (DOT), and Amtrak. The witnesses included Rose Oliver Davis, inspector general of HUD; Eric Soskin, inspector general of DOT; and Kevin Winters, inspector general of Amtrak.

Chairman Steve Womack (R-AR) opened the hearing by stating his concerns about the management and effectiveness of HUD and DOT, especially as the agencies have been provided with greater resources. 

Inspector General Davis started her remarks by illustrating HUD’s breadth of work and the resources the agency is entrusted with, including more than $60 billion in grants for rental assistance, preventing homelessness, revitalizing communities, and promoting economic development, along with $94 billion for disaster recovery mitigation programs. She stated that there is not enough affordable housing to meet America’s growing needs, and that as this problem increases, so does the importance of HUD’s mission. 

Inspector General Davis stated that her office is focused on helping HUD maximize the outcomes that its programs and funding generate and strengthen their capabilities for preventing fraud, waste, and abuse. Her office has identified 30 open recommendations as priorities, with a focus on preventing fraud before it occurs, addressing the health hazards rampant throughout public housing, and combating sexual misconduct. 

Inspector General Davis also raised the issue of natural disasters, noting that they are likely to increase in frequency and severity. She urged the committee to work towards the permanent authorization of disaster recovery and mitigation programs in order to streamline the process and reduce the time it takes for HUD funds to reach local communities in need. On the logistical front, Representative Rutherford (R-FL) asked whether, once CDBG-DR grants are given to a state, the Office of Inspector General for HUD still retains investigatory responsibility. Davis responded in the affirmative, stating that her office has jurisdiction over where the money is distributed and that the office is focused on outcome-based work. 

The issue of resources was a main theme throughout the hearing. To this end, Representative Mike Quigley (D-IL) questioned the inspector general about HUD’s role in the long-term recovery of communities post-disaster and what resources the department needs. In response, Davis stated that as HUD receives increased funding, she hopes that her office also receives funding for increased oversight to ensure best practices. Inspector General Davis also expressed similar concerns about resources when discussing the challenges faced by her office with regards to fraud detection and prevention. 

Committee members and witnesses also discussed health hazards in public housing. Representative Torres (D-CA) expressed concern over the significant health and safety issues in public housing, recounting a 2004 report from the Los Angeles Times that described workers being forced to remove tiles containing asbestos without proper equipment. When asked about how her office ensures that federal funds are being used to address such negligence, Inspector General Davis stated that her office’s Environmental Justice Initiative was specifically designed to combat health problems. Furthermore, she stated that there is a robust audit team doing intentional work that includes going out into the communities with partners from the DOJ and U.S. attorneys offices. 

When asked about sexual misconduct in HUD programs and lessons learned, Inspector General Davis stated that the aforementioned work of going into communities is crucial in building trust and gathering information in order to raise awareness of and prosecute offenders. She referenced two cases in which HUD and DOJ worked to bring monetary compensation to victims, with one case in New Jersey resulting in an award to victims of $4.3 million and another in Ohio resulting in an award to victims of $175,000. She stated that this is an ongoing effort and that HUD agents are undertaking trauma-informed training to be better equipped for the work. 

Watch a recording of the hearing at: https://tinyurl.com/3t23rch8 

Read the witnesses’ testimonies at: https://tinyurl.com/dvj4bkrv