Implementation of Programs Under Titles III and IV of the Stewart B. McKinney Homeless Assistance Act

GAO discussed the Federal Emergency Management Agency's (FEMA) and the Department of Housing and Urban Development's (HUD) purchase of goods and services prior to the implementation of the Homeless Assistance Act and determined that: (1) the largest portion of the funding, nearly 46 percent, was used for food, and 39 percent was for mortgage, rental, and utility assistance; (2) 36 cities submitted proposals under the HUD Emergency Shelter Grants Program for renovation of shelter space and for operation and maintenance expenses; and (3) transitional housing demonstration funds were used for the acquisition and renovation of housing facilities. GAO also noted that: (1) although funding was available prior to the act for the Supplemental Assistance for Facilities to Assist the Homeless Program, HUD made no disbursements because it was preparing agreements with program recipients; and (2) Congress had not appropriated funds for the Single Room Occupancy Dwellings Program. GAO also noted that: (1) HUD restricted the use of funds for improvements at facilities owned by religious organizations; and (2) HUD and FEMA used different methods to allocate funds to the states.