The U.S Inspector General is recommending that the Rock Island Housing Authority pays over $600,000 to the Department of Housing and Urban Development after the completion of a routine audit.    “There are no monies missing, and there was no misappropriation of funds,” said Rock Island Housing Authority Spokesperson Gail Riggins. “This was a routine audit done by the Office of the Inspector General, OIG. When they do a routine audit, there are always findings and there are always penalties associated with those findings.”   The majority of the money the OIG is recommending the RIHA pay is due to a conflict of interest. The conflict of interest lies in the agencies who inspected the brand new properties in Rock Island, Lynden Lane.    “As part of the construction we had four inspections done,” said Riggins. “One was by the city, one was actually by HUD, one was by our investors and then one was by our own certified inspectors. The OIG determined that we should have had a fifth, third party inspection.”   The audit examined 2014-2015, which was when the construction for the 55 town homes took place.    The second finding had to do with documentation for the RIHA Family Self-Sufficiency Program. It said there were inconsistencies in the paperwork and the tracking of the families who participated. Riggins said that this is not a testament to the success of the program. She said there were 102 families who lived in subsidized housing on the property where Lynden Lane now sits. Of those, 23 bought there own homes, and 27 were able to get off subsidies entirely.      The total amount that was recommended by the OIG audit was over $600,000. Riggins says that this will happen over decades, and will come out of only non-federal funds.     “If we did have to pay it it is a payment program over an extended period of time and it will in no way impact the services we provide our residents,” said Riggins.    However, the Rock Island Housing Authority is contesting the payments. Part of the process is reviewing the recommendations and determining the validity of the findings. She says this takes place by having conversations with HUD.    There is no time table for the appeal, but RIHA is confident in the services they provide.    “We’re very, very proud of the accomplishments of the organization,” said Riggins. “We’re very proud of this property and we look forward to having a much larger impact on the city moving forward.”   Full audit: