Rental Housing:

Our Casas Resident Council's Use of Technical Assistance Grant Funds

RCED-92-132FS: Published: Mar 2, 1992. Publicly Released: Jul 2, 1992.

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Pursuant to a congressional request, GAO reviewed the use of the Department of Housing and Urban Development's (HUD) Technical Assistance Grant (TAG) funds by a nonprofit resident management council located in San Antonio, Texas, focusing on: (1) how Our Casas spent TAG funds and whether the expenditures were in keeping with the grant's purposes; and (2) whether the council received other federal funding.

GAO found that: (1) on July 18, 1989, the council applied to HUD for a $100,000 grant and on May 17, 1990, it received a grant for $88,000; (2) the council did not receive the $100,000 grant maximum due to funding limitations; (3) as of September 30, 1991, the council had spent $60,695 of its $88,000 grant award, in accordance with the grant's purposes, to support its development of public housing management capabilities; (4) the council has spent almost 14 percent of its grant funds to rent privately owned office space, since it has not been successful in acquiring office space in public housing developments, as encouraged by the HUD policies governing resident management; and (5) as of September 1991, the council had not received any federal funding in addition to the TAG grant, but it had received nonmonetary assistance from ACTION, a federally funded agency that administers and coordinates domestic volunteer programs sponsored by the federal government, and $5,000 from a private nonprofit organization that helps community groups deal with various local neighborhood issues.

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