SACRAMENTO, Calif. (AP) — An audit finds California has been slow to distribute rental assistance money for residents struggling during the coronavirus pandemic and the state risks forfeiting hundreds of millions of dollars in federal funds.

The state auditor's office says delays by the Department of Housing and Community Development in distributing the first $1.8 billion in federal money could mean California will miss out on the next round of funding meant to help renters avoid eviction.

The report says the department “must employ every effort possible to increase its amount of funds obligated before the federal deadline" at the end of the month.