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Grassley, Bond express concern about stimulus spending on public housing

By Vicki Needham - 06/21/10 06:22 PM ET

Sens. Chuck Grassley (R-Iowa) and Kit Bond (R-Mo.) reiterated their concerns that there may be millions in "waste, fruad and abuse" in spending economic stimulus money on public housing. 

In a recent letter, Grassley and Bond asked Housing and Urban Development Department Secretary Shaun Donovan about the distribution of funds to public housing authorities. 

"Taxpayers deserve an answer to why the federal agency gave tens of millions in stimulus dollars to housing authorities it found to be ‘high risk,'" Grassley said in a release. "Is there so much pressure to shovel stimulus dollars out the door that responsible stewardship has been abandoned?"

In his first letter to HUD on March 15, Grassley questioned problems with a number of housing authorities that had been raised by the HUD Office of Inspector General and not adequately addressed in a HUD response, he said. 

Bond said he is concerned that resources aren't being put to the best use, such as investing in projects that will address the huge backlog of public housing capital needs.

HUD has agreed to post Public Housing Assessment System scores on its website, Grassley said.  

Grassley and Bond have also requested that HUD post the following information on its website: Location of the housing authority; fiscal year that the housing authority was designated as troubled; categorization of the housing authority's problems (troubled, substandard financial, substandard physical, and substandard management); the applicable narrative and corrective plan; total number of units involved; level of concern (high, medium, low); stimulus funding risk level; and amount of stimulus funding awarded to housing authority.

“When families across the nation are still struggling to pay bills and put food on the table, the Administration owes Americans answers on why they chose to gamble with taxpayer dollars on risky organizations,” Bond said.

Source:
http://thehill.com/blogs/on-the-money/appropriations/104587-grassley-bond-express-concern-about-stimulus-spending-on-public-housing

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