Buffalo still squandering anti-poverty funds

I'm getting tired of writing this story.

Once again, the federal government has come down hard on City Hall for mismanaging the $20 million-plus it gets annually to fight poverty and blight through the Community Development Block Grant program. 

HUD's been squawking, and the city squandering, since Jimmy Griffin was running the show.

As I reported in Saturday's News:

Among the problems: too much spending on bureaucrats, questionable financing for upscale
housing developments and sloppy fiscal management.

Or, as I reported back in 2003:

City Hall frittered away much of the money through parochial politics and bureaucratic ineptitude, The News found.

More than half went to "soft costs" that include covering bad loans, paying City Hall salaries and subsidizing an overblown network of neighborhood agencies, The News found.

Relatively little has gone to brick-and-mortar projects. What has been spent to revitalize downtown and neighborhoods, The News found, has been haphazard, with money sometimes going to risky and futile projects.

 

To give credit where credit is due, Geoff Kelly at Artvoice broke the latest story. Artvoice has also posted a copy of the HUD report.

Local HUD chief Steve Banko is pretty outspoken in the story:

“Normally you go into a city and there’s a clear line of communication and responsibility. I defy anyone to understand what happens in Buffalo’s City Hall."

 

You'd think that because Buffalo ranks as the nation's third-poorest city, Mayor Byron Brown would be hellbent on making sure sure he's making the most of his anti-poverty tools.

But, in addition to what the feds portray as his mismanagement of the block grant program, Brown has been an outspoken critic of a proposal by Gov. David Paterson to revamp the Empire Zone program. The zones were intended to promote investment and employment in distressed neighborhoods, but the program has been hijacked by downtown business interests.

To be fair, Brown inherited the problems of both the block grant and Empire Zone programs from Tony Masiello. But, three years into his term, Brown has not reformed them, despite the documented need.

In addition, the mayor has not yet delivered on his promised anti-poverty plan, which was supposed to be Job 1 of Deputy Mayor Donna Brown. She's held the job for a year, and all we've gotten so far is talk of a plan.

 

Comments

[Tony]

Well Steve Banko can complain but where was he when Masiello was mayor? why..his assistant of course. The new waterfront condos 350,000 and up are in an empire zone. Anything wrong with this picture? The beneficiaries of taxpayer dollars are the political class, and those that support it.

[Mark]

I get tired of reading everyday how funds are mismanaged or bonuses are dealt out. Where I work, that would be grounds for immediate termination. That is what I don't understand.

[Kevin]

Surprised?

Of course not. This City can not do anything correctly or smoothly. Too many people on the take. I hope they lose the money. They are treating it like an ATM for their other needs.

[Rob]

Buffalo has 25,000 vacant housing units. You can get an apartment for $300 a month or less if you tried. You can get a mortgage for the same amount if you look in the right places.

Why do we have these "anti-poverty" programs? It has been proven time and time again that they only lead to waste and corruption. With some of the lowest housing costs the nation there should be no need for these types of programs.

The time has come for them to be discontinued. Instead the money should be spent on reducing taxes and growing the area.

[Jenn]

This is deja vu. The city of Buffalo has been "blasted" before for not spending money as well as spending money incorectly. Nothing happened then and nothing will happen now. I remember vividly when Masiello used HUD money to hire politial appointments instead of it's original intent which was to use the money for various community projects. Again, nothing happened then, so nothing will happen now. Until HUD stops sending money period (which they won't do) this madnesss will continue.

[Outraged&Insightful]

Apparently, Urkel's idea of an "anti-poverty" program is one which keeps his incompetetent Grassroots homies out of poverty themselves.

I can understand their indignation, refusing to let HUD look at their books- I mean, it took almost 200 years to finally get their guy in City Hall to distribute the spoils, and there's The Man coming in from Washington trying to put him down.

[enoughalready]

Shame on the inept Brown administration, and Masiello's, and Griffin's...anyone see a pattern? These funds are used for patronage jobs and keeping noisy 'activists' quiet and voting for the incumbent by throwing money at them. This money has been squandered- take a drive through the neighborhoods it is supposed to be helping. HUD- DO YOUR JOB and take this money back!

[mick]

The good and friendly people of Buffalo and Erie County deserve far better than the string of inept,corrupt politicians that have occupied city hall for decades.

This kind of stuff has been going on forever in Buffalo, and the people of Buffalo should be outraged and should demand accountability from those elected to serve. Until they do, nothing will change.

[Lydia Bezou-Hojnacki]

It always starts at the top, and the money never seems to trickle down to do what it's supposed to do. How they get away with it is a mystery shrouded in "cooked books." All grants have administrative limitations....I think it's time to haul in the bigtime administrators for fraud. And the builders of luxury units, as well.

Empire Zone: City of Buffalo, east of Main, north of Seneca, south of Winspear.

Give away houses to those who will live in them, and use the HUD funds to buy them new electrical, plumbing, and heating systems, as well as insulation, new roofing, and paint. $30,000 per dwelling should go a long way toward affordable housing for everyone!

[A Rodman]

Buffalo can boast about four beautiful seasons, great ethnic food, some great architecture, great prople, and the most stupid voters on the planet. Did anyone expect this empty suit and his two sidekicks to make any real change ? HUD should either pull the plug on the whole plan or stop wasting time and money on audits. They should realize this is BUFFALO, nothing ever changes - HUD money will be wasted as long as they keep sending it to Buffalo.

[Alessandro]

Just another example why the entire state is always broke. Your democrat dominated mentality fosters the belief that your tax money belongs to the bureaucracy and the bureacrats, to waste at will. When will you people revolt and do away with the entire government. From the state down to the local level and restart from scratch with something efficiant. Until you do that, you have no hope. Get ready for the breathing tax. 1/2 cent for each inhale and 1/2 cent for each exhale. That should pump up the revenue.

[Alessandro]

Debating the little details of a system doomed to failure is pointless.

[WNYmind]

THE BUFFALO NEWS NEEDS TO BE MORE BALANCED IN THIS STORY. YES, THE CITY OF BUFFALO IS MISMANAGING THE CDBG FUNDS AND NEEDS TO TARGET THE POOR. BUT, WHAT ABOUT THE MONEY THAT AMHERST, TONOWANDA, AND OTHER SUBURBS GET FROM THE CDBG? LOOK AT THEIR USE OF THE FUNDS TOO. HOW ARE THE POOR BENEFITING FROM THAT SPENDING? LET'S SEE SOME REPORTING ON A REGIONAL LEVEL!!!!!! A HARD LOOK AT THE SUBURBS WILL SHOW THE SAME KIND OF MISMANAGEMENT OF CDBG AND MORE ROBBING FROM THE POOR TO GIVE TO THE RICH!!!!

[mr.juctice]

FBI, US. Attorney hello hello, Fraud, and Public Corruption

[mr.juctice]

Will Media Look Into Brown Admin. Handling Of Block Grant $$?
Written by Glenn Gramigna, Editor

http://newwnypolitics.net/index.php?option=com_content&view=article&id=241:will-media-look-into-brown-admin-handling-of-block-grant-&catid=1
QUESTIONS REMAIN AS CITY HALL RELEASES SUBPOENED BLOCK GRANT DATA...BUT IS MAINSTREAM MEDIA WATHCING?

What's buried in the voluminous stack of block grant data which the Brown Administration released on Thursday after the Common Council, frustrated by what they believed was foot dragging, voted 8-1 to subpoena it?

So far we don't know. What we do know, however, is that the recent ArtVoice story on the subject should be enough to move WNY's media mainstreamers to give it more than a casual look.

Clearly, comments in that AV piece by HUD top sider Steve Banko should have gotten someone's attention, such as his comment that he defies "anyone to understand what happens in Buffalo" with regard to block grants,for example, or his accusation that most HUD Community Development Block
grant money in the Queen City goes for the salaries of appointees, not toward helping the low to moderate income folks it is supposed to help. According to the story, 20% is the norm for most cities.

Did a Broadway-Fillmore NHS official really tell a HUD monitor: "Get the hell out of here!. We're not telling you how much money we have!"...We hope not. But, whether he or she did or didn't it seems clear that an investigation is warranted.

[taxpayer66]

Can anyboday say "City Manager"

[Wade Starbuck]

It would be simply taken care of by SHUTTING OFF THE FUNDS PERIOD! Throw Steve Banko out as well,....... he sat by and watched do nothing Massilo screw up every thing he touched!

[mr.juctice]

Not just fire, but investigate, and prosecute the corruption. Enough is Enough!!!!!

We need to eliminate public corruption. No more hiding it underneath the table, or being passive.

If not Buffalo, should cease to exist.

[Tim]

There is a tremendous lack of funds for youth programs serving low-income city children. The county has cut funding for youth services, and the city puts very little through the block grant process towards it. The city needs to make a serious financial committment to support the youth agencies. The funds are there -- they are just being wasted year in and year out.

[Danno]

Steve Banko investigating the City on behalf of HUD? The irony! At least he knows where the bodies are buried. It does raise the conflict-of-interest question, though, doesn't it?

That said, has any anti-poverty program ever worked?

Forty five years and over a trillion dollars after Lyndon Johnson's announcement of the "War on Poverty" what progress have we made? Our "poor" are now living in better housing, drinking more alchohol, smoking more cigarettes, becoming more obese and having more illegitimate children than ever. Is this a good thing? Has being able to afford designer clothes and jewelry made them smarter? Has living in more expensive houses made them less violent?

By having programs like this (even if they were run as intended), don't we only encourage a lifestyle of dependency?

[RKT]

No wonder Buffalo ranks as the 3rd poorest urban area in terms of poverty and the fifth highest in vacant houses. The monies never get spent on the problems. They're used as piggy banks by corrupt politicos. Don't be fooled, companies looking to relocate or setup business see this type of thing going on. That's probably why Buffalo never really gained anything from NAFTA when its 90 miles from Canada's largest city and right next door to Canada's manufacturing base in Ontario. Who in their right mind would want to move a business here with the obvious corruption and incompetence being demonstrated by its leaders. In addition, any smart business knows it had to take morons to put them in office and keep them there so long. Who want people like that working for them??? You reap what you sow.

[mr.justice]

Real companies get run out of town,and disgraced, and corrupt politicians give away funds to John Rigas, and Bashar Issa.

That is the truth, that is why 3000 people left Buffalo over the summer!!!!

We should be a large international center, but nothing more than a corruption center of America

[Don H]

This is an old story repeated around the country all too often. It's what happens when an inefficient federal government gives money to inefficient state and local governments.

[Mike]

Since when has a politician in Buffalo ever done the right thing? Unless you consider the right thing lining his or her pockets at the taxpayers expense. Why do you think so many are moving out of state.

[Jay]

Is anyone responsible for incisive questions who is sitting in the questionaire chairs at Citistat? Are they aware of these HUD charges? Isn't this the kind of data that Citistat should be tracking?
Sorry I did not realize that was the Mayor and his poltical appointments in those chairs.