AUDIT: Part of $11 million grant for Detroit job seekers only aided 2 people

[Buy American]

Certainly a lack of controls which needs to be addressed including firing those responsible. That said, the article is lacking in detail. It appears [[from what I infer) that the $11 million was for multiple functions[[ Choice Pantry, the boutique in question and a call center operation that had capacity to help 60,000 families in need).


I'd like the news to show how much moey was lost on this bs operation and how much of the 11MM was spent on functions that did provide service.

We need to root out corruption and fire/charge all those responsible but it appears the news isn't being honest in the implication that $11MM was earmarked for clothing 400 job seekers [[since that would be an allocation of $27,500 per person.

Seems to me the news is going for sensationalism to make this waste of money seem even worse. The city can't manage their money and the news can't manage their facts.

$11 million in this article, $20 million in another article....this certainly isn't chump change. The news media isn't to blame for this and even if a few facts are incorrect, the ultimate blame for this lack of control over their house is the City of Detroit and specifically Mayor Dave Bing.

[jt1]

$11 million in this article, $20 million in another article....this certainly isn't chump change. The news media isn't to blame for this and even if a few facts are incorrect, the ultimate blame for this lack of control over their house is the City of Detroit and specifically Mayor Dave Bing.

I agree 100% with this statement: "the ultimate blame for this lack of control over their house is the City of Detroit and specifically Mayor Dave Bing"

I do however disagree that the news isn't being completely honest or thorough in their reporting. Nothing states how much of the $11 MM was wasted. If it is $1 or $11MM I will be angry at the officials that allowed it but they are using the $11MM to add to the anger when the amount wasted on the clothing program is likely a small fraction of that.

Is there significant waste in the gov't? yes. Should the officials in charge be fired and charged with crimes? Absolutely. Is the News media expected to report full facts with integrity? Yes. Are they operating with integrity when they cite an $11MM grant that was used for multiple functions and implying that it is all spent to clothe 2 people? No. Does this add to the hate, anger, resentment and mistrust towards the city? Yes.

Let's report the facts in the proper manner. There is more than enough waste to be reported on and more than enough facts to cause the anger, disgust, etc at city officials. It doesn't need to be sensationalized by half ass reporting that implies $11 MM was wasted to clothe two people when the grant money appeared to apply to other functions [[which may or may not be operating properly).

I expect city officials and News media to operate with integrity. Neither are doing so and when the news media distorts or half reports facts it takes away from a very important role they play in this whole thing.

Let's report the facts - there are more than enough to show waste, corruption and criminal activity in the city.

[brizee]

I agree 100% with this statement: "the ultimate blame for this lack of control over their house is the City of Detroit and specifically Mayor Dave Bing"

I do however disagree that the news isn't being completely honest or thorough in their reporting. Nothing states how much of the $11 MM was wasted. If it is $1 or $11MM I will be angry at the officials that allowed it but they are using the $11MM to add to the anger when the amount wasted on the clothing program is likely a small fraction of that.

Is there significant waste in the gov't? yes. Should the officials in charge be fired and charged with crimes? Absolutely. Is the News media expected to report full facts with integrity? Yes. Are they operating with integrity when they cite an $11MM grant that was used for multiple functions and implying that it is all spent to clothe 2 people? No. Does this add to the hate, anger, resentment and mistrust towards the city? Yes.

Let's report the facts in the proper manner. There is more than enough waste to be reported on and more than enough facts to cause the anger, disgust, etc at city officials. It doesn't need to be sensationalized by half ass reporting that implies $11 MM was wasted to clothe two people when the grant money appeared to apply to other functions [[which may or may not be operating properly).

I expect city officials and News media to operate with integrity. Neither are doing so and when the news media distorts or half reports facts it takes away from a very important role they play in this whole thing.

Let's report the facts - there are more than enough to show waste, corruption and criminal activity in the city.

And it's SO OBVIOUS that this story is trying to paint a narrative it's infurating.

It's obvious some people need to lose both their jobs and a few years of freedom because of this.

But to arrange the story like this with the most sensationalistic title possible...it's just irresponsible.

Why is it so hard to just tell the truth and do the right thing?

[Lowell]

I do however disagree that the news isn't being completely honest or thorough in their reporting. Nothing states how much of the $11 MM was wasted. If it is $1 or $11MM I will be angry at the officials that allowed it but they are using the $11MM to add to the anger when the amount wasted on the clothing program is likely a small fraction of that.

Is there significant waste in the gov't? yes. Should the officials in charge be fired and charged with crimes? Absolutely. Is the News media expected to report full facts with integrity? Yes. Are they operating with integrity when they cite an $11MM grant that was used for multiple functions and implying that it is all spent to clothe 2 people? No. Does this add to the hate, anger, resentment and mistrust towards the city? Yes.

Let's report the facts in the proper manner.

Very good assessment. I think there are very few who will glance at the headline and not assume the $11 million disappeared. It is needlessly inflammatory and highly deceptive, no matter what qualifications buried in the article may state.

[ejames01]

Very good assessment. I think there are very few who will glance at the headline and not assume the $11 million disappeared. It is needlessly inflammatory and highly deceptive, no matter what qualifications buried in the article may state.

99% of the commenters on the Detroitnews believed that 11 million were spent on clothes.

[Det_ard]

$11 million in this article, $20 million in another article....this certainly isn't chump change. The news media isn't to blame for this and even if a few facts are incorrect, the ultimate blame for this lack of control over their house is the City of Detroit and specifically Mayor Dave Bing.

Yes, but it's not just there. It's somewhat inherent in these programs that government employees will take less care with taxpayer funds than if it were their own money.

Case in point, Pontiac recently had to hurry up and spend some federal funds, or the money would go back. One decision they made was to use $3.8 million of that to build some new houses and rehab others in the area SE of the Loop. If you know Pontiac you know that's not a very desirable area. Original homes there are selling for $5K - $15K depending on condition. There have been other new construction homes built in the last decade in that area [[more government-funded programs) that sell for $25K - $35K. You can pick up 3 bd / 1 bath homes in Pontiac's premier Indian Village or Seminole Hills neighborhood and be all-in, including rehab, for $30K - $45K.

So what does our state government do with that $3.8 million? [[Pontiac turned over the program to the state since they knew they didn't have the capacity to do it themselves given their budget problems and cutbacks) They could buy homes, rehab them and be all in for maximum $50K each. That would allow the $3.8 million to buy and fix 76 houses. They could probably actually do 100 homes at $38K each.

Instead they've found a way to spend $3.8 million on 19 new homes and 11 rehabs, in the ghetto-est part of Pontiac. That works out to something like $150K per new home and $85K per rehab. To make homes that'll be worth maybe $30K on the open market. And that's a high estimate, none have sold for that much recently, and most existing homes in that area sell for less than $10K.

So I'm not surprised when government does dumb things with our money. Detroit may be the poster child for ineptness, but the problem in inherent in the system.

[Wesley Mouch]

Yes, but it's not just there. It's somewhat inherent in these programs that government employees will take less care with taxpayer funds than if it were their own money.
<snip>
So I'm not surprised when government does dumb things with our money. Detroit may be the poster child for ineptness, but the problem in inherent in the system.

The problem is that people, including most posters here, believe that its the role of government to 'create jobs' or 'fairness' or 'you-name-it'.

A much better use of the money would be to not spend it at all -- and make Detroit & Michigan a lower-tax place to do business.

The number of government programs that work is much outweighed by the number of programs that just suck money that ends up in the pockets of the government-industrial complex.

Let Detroit grow. Free from all this wasteful spending.

As my friend John once said - 'Get the hell out of my way'.