The City of Buffalo took some heat in an unfavorable Housing and Urban Development (HUD) report filed last March. Geoff Kelly of ArtVoice spoke to HUD Regional Director Stephen Banko, who had some unfavorable things to say about the city's management of the Community Development Block Grant Program (CDBG). The HUD report cited 19 counts of fault, an unprecedented number in New York State in a CDBG program.
In a subsequent story in The Buffalo News, Banko only commented in order to counter a comment by Peter Cutler, spokesman for Mayor Brown, who said that the HUD report was "only a draft". Banko denies this, but is making no further comment at this time. By way of background, Banko was mayoral spokesman in the early years of the Masiello administration.
The HUD audit took place over 4 months, ending in October of 2008. The mayor's public statement in answer to the report is as follows:
I am deeply concerned with the HUD Monitoring Report for Buffalo's Community Development Block Grant Program (CDBG), which was received by my office on March 13, 2009.
Over the past 30 years, lack of uniform reporting and confusion over eligible usages have been cited repeatedly in Buffalo's administering of the Community Development Block Grant Program.
These historical issues aside, the city's Office of Strategic Planning is in the process of preparing its response to the findings cited in the Monitoring Report, which are due back to HUD 45 days from the receipt of the report. As always, the city, or any other municipality, is accorded the opportunity to disagree with and respond to the findings of such a report.
Two weeks ago, I met in Washington, D.C. with Nelson R. Bregon, HUD General Deputy Assistant Secretary and Stanley Gimont, Acting Director, Office of Block Grant Assistance to discuss the CDBG program in Buffalo and other related issues. And this past Friday, I corresponded directly with HUD Secretary Shaun Donovan, with whom I will have further discussions.
These are issues I take very seriously and in addition to the city's Office of Strategic Planning's formal response to HUD, I am demanding a full and immediate accounting for the city personnel responsible for the oversight of this federally funded program. If it is confirmed that any of these findings in the HUD report are the direct result of staff mismanagement, I will take appropriate disciplinary action, including the possibility of termination of employment.
With poverty-related challenges still faced by the City of Buffalo, despite continuing progress in stabilizing the city's finances and the high level of investment and development, critically important programs like the CDBG must be managed with the highest level of accountability, professionalism, efficiency and effectiveness. Anything less is intolerable.
The HUD audit is a valuable tool in judging
where we are and what still needs to be done. I welcome it and I am committed to working with HUD and
other entities on reversing poverty in Buffalo. My administration is serious
about making government more transparent and accountable; we will take all of
the necessary corrective action on this important issue.




Cue to Nate and Chris to remind us how great a mayor we have...