FOR IMMEDIATE RELEASE

Release Date: March 26, 2002

Contact:

Steve Rector
Public Affairs Director
208-331-4725
Reed Hollinshead
Media & Public Relations Officer
208-331-4858

IHFA Responds to Idaho AIDS Foundation Allegations

BOISE - The Idaho Housing and Finance Association has a 30-year history of providing housing opportunities throughout the state, and is committed to providing housing opportunities for all citizens in Idaho without regard to race, color, religion, sex, age, national origin, familial status or handicap. IHFA today refuted allegations that they violated confidentiality of public health records in the administration of a federal grant for the Idaho AIDS Foundation. IHFA officials state that the Association has and will continue to act at the direction of HUD, the federal agency that oversees the grant.

A letter received yesterday (March 25) from HUD reaffirms the practices necessary for administration of the grant and continues HUD’s directive to IHFA to withhold funds until audit procedures are in compliance at Idaho AIDS Foundation. An unfortunate result of Idaho AIDS Foundation’s refusal to comply with the audit requirements of the grant may be an inability for their clients to gain access to needed services.

The allegations stem from IHFA’s administration of a HOPWA (Housing Opportunities for Persons With AIDS) grant on behalf of the Idaho AIDS Foundation. The HOPWA program, authorized by the AIDS Opportunity Act (42 U.S.C. 12902), is designed to provide resources and incentives to create strategies for meeting the housing needs of low-income persons with HIV/AIDS. The Idaho AIDS Foundation is one of a number of service providers eligible to provide non-housing-related services under the HOPWA grant program. IHFA applied for and received a three-year, $1.2 million HOPWA grant from HUD in June 2000. The guidelines for the grant call for appropriate verification of eligibility on the part of those receiving grant monies. The federal regulations governing the grant specifically stipulate that such disclosure is necessary to utilize the funds. HUD requires IHFA as the grant administrator to undertake periodic confidential audits of recipient files. The Association added that any information IHFA obtains on HIV/AIDS status is ONLY for the administration of this grant program, not for any other purpose.

The Idaho AIDS Foundation has refused IHFA access to the necessary audit information. Therefore (as of Oct. 5, 2001) HUD has instructed IHFA not to release any additional funds to Idaho AIDS Foundation as part of this program. In an attempt to overcome these privacy concerns, the Idaho AIDS Foundation has been given the opportunity by HUD to provide their own consent forms on behalf of their clients. So far, they have not done so.

IHFA acts as HUD’s agent in its custodial responsibility of taxpayer money. "HUD requires grantee accountability for use of taxpayer dollars," explained IHFA President and Executive Director Gerald Hunter, "ensuring that only eligible activities and eligible recipients receive funds and that there is no misuse of those funds."

Less than two months ago, the Idaho AIDS Foundation and their attorney, Mr. David Leroy, sent a letter to HUD outlining their concerns with the procedures required for eligibility in this grant program. When IHFA receives HUD’s official response to Mr. Leroy’s report, the Association will adjust to any change called for by HUD.

"This is a federal grant, and regulatory interpretation is provided by HUD and given to IHFA as a directive for action," Hunter added. "IHFA has not created arbitrary regulations. These are mandated by HUD."

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The Idaho Housing and Finance Association, a financial services and housing organization, provides funding for affordable housing in Idaho communities where they are most needed and when it is economically feasible. IHFA uses no state funds or state employees to support its operations. For more information, visit our Web site at www.ihfa.org.