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Topic: State gets F in ethics & integrity-county follows lead
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untanglingwebs
El Supremo

Topic: Is Land Bank merely a Democratic political tool?



untanglingwebs
F L I N T O I D


Genesee County Land Bank Executive Director Doug Weiland has been a political consultant since 1983 and judging from 2010 links apppears to still be involved. The Land bank has been covertly (and sometimes openly) involved in politics in the community outreach arena.

Weiland was furious when Waybright confronted him about Raynetta Speeds involvement in her race. He angrily said, in front of Raynetta, that he needed Raynetta and she had been a friend of his for over 20 years.

Allegedly Speed has united with Vera Rison (who worked for Walling campaign) and they are telling citizen groups they should not recall Walling and they should support Dale Kildee. Allegations surround the Land bank and Salem Housing for their combined political activities.


GENESEE
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Phone: 810-235-1490

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Contact: Linda Jean Hammon [email]
3240 Eastgate St
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Phone: 810-744-3245
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Contact: Doug Weiland [email]
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Grand Blanc MI, 48439-2454
Phone: 810-762-0112






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Post Fri Jul 09, 2010 8:24 am


untanglingwebs
F L I N T O I D


Land Bank founder Dan Kildee was also Democratic Party Chairman.

'Unbreaking Windows'
Feb 13, 2006 ... Mr. Kildee also is the chairman of the Democratic Party in Michigan's 5th .... Dan Kildee Genesee County Treasurer Phone:810-257-3059 ...
http://www.mlui.org/pageview.asp?fileid=17007 - 35k - Cached - Similar pages
Sponsored LinksDemocratic Party Website

Help Democrats. Get Involved on the Official Party Website!
www.Democrats.org
Kildee


Post Fri Jul 09, 2010 8:34 am

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Post Fri Jul 09, 2010 10:47 am
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untanglingwebs
F L I N T O I D



quote:
TheDonSupporter schreef:
The Land Bank has lost it's focus and goals. It is not a puppet group for Dan Kildee and others.


Wrong! Weiland and Speed have been seen at Democratic mini meetings in the north end and during working hours. Speed is instrumental in pushing Democrats and her candidates in the north end. They are pushing Deb Cherry for the Treasurer spot because she will maintain the current status.


Post Thu Jul 15, 2010 7:26 am
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untanglingwebs
El Supremo

Topic: May be a long wait for federal CDBG and HOME dollars


untanglingwebs
F L I N T O I D


The last time the Action Plan was late being sent to HUD was when council and Williamson were fighting over council trying to give our federal block grant dollars and HOME dollars to the county for administration.

The Action Plan was due on May 15, but Eason and company tried to pull a fast one and leave council out of the equation. They posted the administrations proposed plan in the paper without showing it to council. As a result the plan did not go to HUD for congressional review until last week.

When on time the plan must be approved or rejected within 45 days by HUD. Because the city is so late with the plan, there is really no time frame for the procedure. That means contracts to sub recipients, the non profits and others who use the money, do not have the money to proceed and are at the mercy og HUD and others. That is why employees are being laid off at FAEC. (Flint Area Enterprise Community).


Post Mon Jul 12, 2010 1:45 pm

Dave Starr
F L I N T O I D


In the Flint dictionary, "action plan" means give us the money now & we'll plan on taking action a few years down the road, while we hopefully wait for you to forget our promises.

.

Post Mon Jul 12, 2010 4:56 pm




00SL2
F L I N T O I D


Genesee County awarded $2.7M in federal housing grants
Published: Wednesday, July 14, 2010, 6:11 PM Updated: Wednesday, July 14, 2010, 6:14 PM
Kristin Longley | Flint Journal Kristin Longley | Flint Journal

GENESEE COUNTY, Michigan — Genesee County has been awarded more than $2.7 million in federal funding through the U.S. Department of Housing and Urban Development, according to U.S. Rep. Dale Kildee's office.

About $1.9 million is in Community Development Block Grant (CDBG) funds and $839,000 is in HOME grants.

The HOME program funds activities that build, buy, and/or rehabilitate affordable housing for rent or homeownership or provide direct rental assistance to low-income people, according to a news release from Kildee, D-Flint.

CDBG funds a wide range of programs, focusing primarily on the rehabilitation of affordable housing and the construction and improvement of public facilities. These projects also provide economic opportunities for local residents.
---
Source:
http://www.mlive.com/news/flint/index.ssf/2010/07/genesee_county_awarded_27m_in.html
Accessed: July 14, 2010


Post Wed Jul 14, 2010 5:34 pm

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untanglingwebs
El Supremo

Topic: Flint Journal story on business loans incoherent!
c


untanglingwebs
F L I N T O I D


People always say someone is" comparing apples to oranges" when noting that the comparison doesn't make sense. Well the Flint Journal tooka complex subject and made it totally incomprehensible when they compared three funding agencies whose financial resources came from totally different sources, operated under different rules and regulations, and had totally different boards of Directors. The result is a totally incoherent story of available resources.

The Flint Area Investment Fund (FAIF) was created when federal money was routed through the State of Michigan to the City of Flint for use in the Flint Enterprise Community only. It had a sunset date and had to adhere to federal regulations. Because no mechanism was in place at the time, the Community Capital Development Corporation (CCDC) was selected to maintain the fund and they received a management fee. As CCDC was on the brink of insolvency, this seemed like an acceptable solution at the time. The FAIF was to report to the Flint Area Enterprise Community (FAEC), a joint committee comprised of representatives from the area in Flint and Mount Morris Township that comprised the zone.

As time went on the FAIF refused to allow the FAEC officials to monitor their records, although 2 of the FAEC members sat on the board. Bank representatives and CCDC board members comprised the rest of the board. The audit fell 3 years behind and CCDC tried to increase the maintenance fees without approval of FAEC. The state and HUD had been remiss in their monitoring activities as well.

Under Williamson, the monitoring was ordered to take place. Records were incomplete and evidence of mismangement came to light. FAEC took back the funds and attorneys and forensic auditors came in. During meetings with the state, the state wanted the city to repay the mismanged funds. Now the ball is in HUDs hands. Police were unable to adequately prove who stole certain funds and the lengthy process never produced prosecutions, although in my opinion there was significant evidence of mismanagement.
________________________________________________________



Home > Flint News
Flint loan programs still taking chances on local businesses despite mixed success
Published: Sunday, June 13, 2010, 9:00 AM Updated: Monday, June 14, 2010, 7:06 AM
Kristin Longley | Flint Journal
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FLINT, Michigan — It’s arguably one of the poorest areas in the nation, but city loan programs are still taking big chances on small business owners — hoping to inject life into Flint’s nearly barren economy.

Millions in loans have been given out since 1998 — and more than $3 million of the federal and state taxpayer funds (including interest) still hang in the balance.


It’s a huge pot of money for investments that have had mixed success over the past 10 years, including one high-profile case of two businessmen convicted of pocketing $1.2 million of the loans.

Of the 31 businesses that have active loans, five are in bankruptcy or foreclosure, and 10 have had significant loan restructuring.



Jeffrey LaMonde | The Flint JournalFrann Parker, right, 56, wanders the selection at the newly opened Witherbee's Market & Deli with Jamie Stevens, 24, both of Flint. Witherbee's, 601 King Ave. in downtown Flint, was one of several small businesses that received a loan from the Flint Economic Development Corp.

It’s a risk city officials are willing to take, however, as the area struggles amid a nationwide recession. The public financing options can be a lifeline to the community’s small business owners who have trouble getting credit or low-interest financing from banks.

The federal and state funds are specifically geared toward the hard-hit area that includes Flint and parts of Mt. Morris and Genesee townships. Most of it went to small businesses, though some homeowners also received mortgages in the early years of the program.

“There are some positive things going on,” said City Councilman Bernard Lawler, who sits on one of the loan boards. Councilman Sheldon Neeley, another loan board member, said the investments are a great value for both the city and the business owners.

They point to the newly opened Witherbees Market & Deli in downtown Flint as well as two recent investments that could bring more than 150 jobs as potential success stories.

One of the program’s stellar borrowers, David K. Berry received a $75,000 loan to open Raspberries Rhythm Café downtown in August. He said the 5-percent interest rate was unbeatable.

“The rate was just unheard of — it was that simple for me,” he said. “The support has been great.”

Still, 17 of the 43 active loans are behind on payments — and eight borrowers are more than six months behind.

If the loans aren’t repaid — and the loan program staff isn’t aggressive enough with collections — federal officials could subtract the funds from future grant awards, meaning fewer funds would be available for the business owners who need them.

The two main loan programs are the Flint Area Enterprise Community (formerly known as the Flint Area Investment Fund), which serves one of the poorest parts of Genesee County in a 10-square-mile area of Flint and Mt. Morris Township; and the Flint Economic Development Corp., eligible to all qualifying Flint businesses.

Mayor Dayne Walling, president of the EDC board, said the programs in recent months have taken significant steps to improve the loan process, including hiring banking and legal professionals to help guide the process.

Loan officials want to avoid abuses of the program, such as the case of Joseph P. Giacalone and Daniel Robin. In one of the largest local cases of theft of public money, the two men pleaded no contest to stealing $1.2 million in loans for a factory they never built.

That was an extreme case of loan misuse, but officials said there are other loans that have been a struggle to collect.

Oil Chem, an oil recycling company located on 12th Street, declared bankruptcy two weeks after taking out the last of its $250,000 loan, which was granted in January 2009.

With interest, the total bill is now $266,000 and loan officials must now wait on a payment plan as the company goes through the bankruptcy process, said Robert Goodman, loan officer for the Flint Area Enterprise Community.

Councilman Scott Kincaid said the company never should have been approved for a loan, especially since it was behind on its taxes at the time, according to county tax records.

Oil Chem owner Robert Massey could not be reached for comment Friday. A message was also left for his attorney.

Also, Hinky Dinky Market on King Avenue, which owes nearly $200,000 on its 2001 loan for $376,000, is now in foreclosure.

The most overdue is Rocky’s Pizza, which has two loans and hasn’t made a payment since November 2008, records show. He owes $285,000, more than the $267,000 he borrowed because of interest.

Rocky’s owner John Varner said he plans to lease the building to pay off the loan. After starting the business, health issues that included triple bypass heart surgery and back surgery contributed to his money problems, he said, but he’s hoping to have a renter soon.

“I think I’ve had it with this one,” he said.

Goodman said the loan programs try to work with the borrower whenever possible, rather than immediately seize the property.

“The problem is, in this economy we don’t want to become landowners anymore than anyone else does,” he said. “We’re stuck with a couple that have been out there a little bit longer, but we’re still working with them.”

Concerned the city hasn’t done enough to collect on some of the overdue loans, City Councilwoman Jackie Poplar has asked for monthly status reports. She also wants to monitor who is receiving the loans.

“I am very interested in the businesses in the African-American community getting the loans we need to be getting,” she said. “These people are struggling and they’re striving to do business.”

Walling said the changes the loan boards have made will ensure that the loan terms are fair, but also protect the public funds.

He said the EDC board recently approved loans for two “exciting projects.”

Metro Medical Ambulance is relocating from Burton to a new Clio Road location using a $200,000 loan. The company has about 85 employees, and hopes to have up to 200 when it’s finished expanding, Walling said.

Kettering University’s K. Joel Berry also will receive a $43,000 loan for his Global Energy Innovations, which is projected to bring up to 80 jobs in the coming years.

Walling said the loan programs are looking fund a wider diversity of enterprises, including alternative energy.

“Today, in this economic climate, this is an incredibly important tool for our small and mid-size businesses,” Walling said. “We want to encourage development in all parts of the city.”

Last edited by untanglingwebs on Fri Jul 02, 2010 8:49 pm; edited 1 time in total


Post Wed Jun 30, 2010 2:23 pm

Dave Starr
F L I N T O I D


When you drive by Hinky Dinky at King & McClellan it's hard to see where they spent 376K on the place.
Haven't been in there since it was Fred Farah's back in the day.

.

Post Thu Jul 01, 2010 8:50 am


untanglingwebs
F L I N T O I D


All new refrigeration units and freezers. Johnnie Coleman denied them a beer and wine license when he was councilman. They lost a lot of income that way. People who buy beer for a game on tv usually buy chips and other goodies. If they can't buy the beer they go where they can. Oddly enough the strip joint on Stewart wih multiple violations always got their license renewed.


Post Thu Jul 01, 2010 6:07 pm
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untanglingwebs
El Supremo

Topic: MIke Carr may join Bogardus lawsuit


untanglingwebs
F L I N T O I D


Mike Carr has a copy of a prior lawsuit for each county commissioner. In the lawsuit the duties of the Sheriffs office, as defined by the law, are enumerated.

Carr is upset that he is losing state mandated positions when the sheriffs office receives lesser cuts. Road patrols by he Sheriffs office are not mandated services. Some communities enter into contracts with the Sheriff for road patrols, but more patrols are currently entering into Flint, which does not contract for services.

Some county officials have stated they believe Bogardus will prevail in her lawsuit because at last count, the office was 23,000 documents behind in processing. The unions have had some issues with Bogardus.


Post Tue Jun 15, 2010 5:53 pm

untanglingwebs
F L I N T O I D


Genesee County department heads to commissioners: We were shut out of layoff decision making
Published: Wednesday, June 16, 2010, 12:35 PM Updated: Wednesday, June 16, 2010, 12:32 PM
Ron Fonger | Flint Journal
GENESEE COUNTY -- Several county government department heads told the Board of Commissioners today that they were shut out of layoff decisions made Tuesday, unnecessarily creating problems that have to be fixed now.


"I'm feeling a bit left out of the process," said Health Officer Mark Valacak. "(There were) decisions made by accountants who don't understand public health."



David Leyton
Commissioners voted Tuesday to eliminate 21 positions from several departments and Valacak was among department heads who made alternative suggestions to eliminate different positions just 24 hours later.


Board members said they will consider those alternatives in coming days and some said they should have talked more with department leaders before voting to eliminate specific positions.


In one case, Animal Control Chief Officer Stepheni Lazar said she found out about the decision to lay off one of her employees after the fact and only through the grapevine.


"I feel I and the employee deserved better," Lazar said.


Prosecutor David Leyton said he also watched from the sideline as commissioners announced which five positions they would eliminate in his office.


One of the decisions "would threaten our ability to remain serviceable," Leyton said. "I was not consulted."


Commissioner Brenda Clack, D-Flint, said she was "strongly recommending department heads have a seat at the table" in the future, and Commissioner Omar Sims, who voted against the layoffs, called the process a "rookie mistake."


Other county board members said they were forced to act quickly to eliminate a projected $700,000-plus deficit in the current fiscal year budget.


"We no longer have the luxury that we can just dip back into our reserves," said Commissioner Patrick Gleason, D-Richfield Twp. "We've been over-spending our budgets for a long time ... It's a very, very sad situation but there is no piggy bank left anymore."


Post Thu Jun 17, 2010 6:38 am


untanglingwebs
F L I N T O I D


Judge to Genesee County: Find a new attorney in case against Rose Bogardus
Published: Monday, June 21, 2010, 4:10 PM
Ron Fonger | Flint Journal
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GENESEE COUNTY -- The county might have to dig deeper to pay for outside legal help after all as it defends itself against a lawsuit filed by Register of Deeds Rose Bogardus.


Genesee Circuit Judge Geoffrey L. Neithercut ruled in favor of Bogardus' motion to disqualify Ward Chapman, the county's top attorney, from handling the case in which the register wants the court to require the county to pay her growing legal fees, Chapman said.


Bogardus and her attorney contended in court filings that the county attorney's office should be disqualified from involvement in her case because she provided confidential information to it previously.

Rose Bogardus
Bogardus and the county Board of Commissioners have been fighting throughout this fiscal year about funding for her office and the register has threatened to sue commissioners to restore at least some of those cuts.


She has said she needed an attorney to protect her office in light of how she has been treated by commissioners, who cut funds to her office drastically -- from $759,000 to $484,000 in one year.


Bogardus has estimated she's spent about $40,000 in legal fees already.


Chapman said Neithercut's decision would force the county board to hire someone outside the office of corporation counsel "if the ruling stands."


Bogardus released a statement Monday after Neithercut's decision, referring all other questions to the law firm of Clark Hill.


"My efforts today in court and for the last 10 months have been to work with county officials to provide sufficient staff to meet my statutory obligations," the statement said in part. "They have not listened. In fact, the only time the county has listened and temporarily increased my staffing levels was when the county needed information in order to tax citizens of the county."


The Flint Journal could not reach county board Chairman Jamie Curtis for comment Monday.


Post Wed Jun 23, 2010 11:11 am


untanglingwebs
F L I N T O I D


A number of County officials believe Bogardus will prevail in her lawsuits.

Register of Deeds Rose Bogardus sues Genesee County again, wants judge to restore cuts made by commissioners
Published: Tuesday, June 22, 2010, 2:06 PM Updated: Tuesday, June 22, 2010, 2:18 PM
Ron Fonger | Flint Journal


GENESEE COUNTY -- County Register of Deeds Rose Bogardus has filed a second lawsuit against the county Board of Commissioners, asking a judge to order more money be given to her office to bring staffing back to year-ago levels.


Bogardus filed suit in Genesee Circuit Court Monday, the same day Circuit Judge Geoffrey L. Neithercut disqualified the county attorney's office from continuing to represent the county in another lawsuit filed by the register. That first suit seeks to force the county to pay Bogardus' legal fees as she fights commissioners over funding for her office.


The move apparently represents the first time since the 1980s that a county officeholder has sued to force commissioners to provide more funding for a particular office.


"We are trying to cut the budget. There is only x-amount of dollars coming in the front door," said board Chairman Jamie Curtis. "If county co-elected (officials) are going to sue the county ... a judge (may have to) tell us how to pay for these services."



Rose Bogardus
Bogardus' lawsuit says her ability to carry out her duties as register are being "impaired or infringed upon by the Board of Commissioners by it failure to adequately fund (the) office."




It seeks a declaratory judgment determining whether the county is funding the register's office at a "barely adequate service level" and asks Neithercut to reinstate adequate funding -- enough to hire eight full-time staff from the general fund budget.


Bogardus, who would not comment when contacted today, had that level of funding a year ago but commissioners eliminated three positions in the office as part of a larger budget-cutting effort. In her lawsuit, Bogardus claims the cuts to her office were harsher than those in any other area of county government.


Commissioners voted today to authorize Curtis to make decisions regarding the Bogardus lawsuits, including potentially filing of an appeal of Neithcut's decision disqualifying county attorneys from representing the county.


Curtis would have to hire an attorney to achieve that, costing county taxpayers even more money. Bogardus said weeks ago that her legal bills were approaching $40,000 and counting. Her initial lawsuit asks that those bills to be paid with money from the county general fund as well.


Bogardus' motion to have Chapman disqualified contended the attorney's office had a conflict of interest in that she provided confidential information to county attorneys before the register hired her own attorney.


Chapman told commissioners today that he was surprised by Neithercut's decision to disqualify his office from handling the case.


"It's not unheard of ... but I was surprised at the ruling of the court," Chapman said.


The county has contended Bogardus has no legitimate reason for hiring her own attorney and that her office is being funded at a serviceable level.


Commissioners have spent much of this year attempting to erase red ink in the general fund as revenues have continued to drop even faster than anticipated because of falling property values and property tax revenues.


In recent weeks, the county board has laid off 35 employees in an effort to cut spending.


Two rating services lowered the county's bond rating earlier this year, partly because commissioners have spent down reserves funds rather than making deep enough cuts for several years.


Post Wed Jun 23, 2010 11:27 am

00SL2
F L I N T O I D



quote:
untanglingwebs schreef:
Bogardus' motion to have Chapman disqualified contended the attorney's office had a conflict of interest in that she provided confidential information to county attorneys before the register hired her own attorney.
What pertinent information could be "confidential" relating to the office of the Register of Deeds. Isn't the office supposed to be "transparent" to the taxpaying public?


Post Wed Jun 23, 2010 5:06 pm


Ted Jankowski
F L I N T O I D


I tried to get Rose to come on my show. She said she can't because of all this legal crap. But, I'm wondering now how much our commissioners are wasting in legal fees that have developed from Furlow days lawsuits and all the other lawsuits. Including Argentine and Grand Blanc suing the drain commissioner when that could have been settled fairly. These elected officials have no sense of fiscal responsibility. It's not their money they are throwing away.


Post Wed Jun 23, 2010 6:33 pm


untanglingwebs
F L I N T O I D


Why didn't they stop the furlough days after Sam Muma and AFSCME 1600 won their suit? The writing was on the wall and yet the county continued. Toll is over one million.


Post Fri Jun 25, 2010 9:55 am

Ted Jankowski
F L I N T O I D


I don't see how or why the County or the City cannot lay people off for One day here r one day there? Is it just a change in terminology that would fix this. Instead of furlough days. Lay everyone off for a whole week. Just close up shop completely. Lock the doors to City hall for a whole day or week and also to the County Building. Everyone is laid off. It just seems a bit ridiculous that the City and county can be sued for not providing a full work week


Post Fri Jun 25, 2010 3:03 pm
Post Tue Apr 28, 2015 8:31 pm 
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untanglingwebs
El Supremo

Topic: More Wright and Riddle- Curtis to micromanage dept?



untanglingwebs
F L I N T O I D


The Latest Community, Education & Government News, Blogs, Photos & Videos
Convicted consultant Sam Riddle got $44,000 from Genesee County but no records detail what he did for the money
By Ron Fonger | Flint Journal
June 04, 2010, 6:00AM

Sam RiddleGENESEE COUNTY -- Whatever imprisoned political consultant Sam Riddle did for the $44,000 he was paid by county Drain Commissioner Jeff Wright, there’s no evidence of it.

Wright’s office claims in response to a Freedom of Information Act request filed by The Flint Journal that it has no documents — notes, e-mails, memorandums or any other reports or records — that show what Riddle worked on or accomplished while he collected $2,000 monthly for nearly two years as a political consultant here.

All communication with Riddle was done on the phone or face-to-face, leaving no paper trail, Wright said in a written statement.

The drain commissioner reiterated that Riddle’s work resulted in “several productive meetings” between the county and officials in Detroit regarding water issues.

Flint and Genesee County get from the city of Detroit the public water sold to home and businesses here.

A spokesman for the Detroit Water and Sewerage Department said he was not aware of Riddle’s involvement in setting up meetings with officials there and said it has negotiated with dozens of communities “without the involvement of a hired political consultant.”

“They’ve been able to directly approach the department,” said Detroit water spokesman George Ellenwood.



Jeff Wright
Wright has acknowledged he acted as an FBI informant to help the federal government build a public corruption case against the Riddle, who is a Flint native and is now serving prison sentences for felony assault and corruption.

Court and county documents also show Wright secretly recorded a phone call to Riddle months after hiring him and continued to pay Riddle for approximately 18 months after agreeing to cooperate in the federal investigation.

In a written statement Thursday, Wright said the consulting agreement with Riddle’s Meridian Management “resulted in several productive meetings between GCDC (Genesee County Drain Commissioner’s Office) and DWSD (Detroit Water and Sewerage Department) and GCDC and the Detroit mayor’s office.”

Wright’s office provided The Journal with letters between his office and Detroit officials that indicate meetings have taken place or were being planned but none of the letters make reference to Riddle or his company’s involvement in the meetings.

Ellenwood said he was aware of some discussions that took place with the county.

“The name Sam Riddle never came up in relation to that,” he said.

Wright’s statement said, in part, “The purpose of the agreement with Meridian Management was to facilitate our negotiations with the city of Detroit for a redundance water supply at a reasonable rate. All communication with Mr. Riddle was via phone or face-to-face.”

County Board of Commissioners Chairman Jamie Curtis said he can’t explain why a professional consultant would have left behind no record of his accomplishments — except a log of checks issued to Riddle — after working for the county for nearly two years.

Curtis has said he didn’t know Wright’s office hired Riddle to work on water issues.

Although commissioners don’t approve such contracts between consultants and the drain office, Curtis has been an outspoken supporter of the drain commissioner’s push to build a new water pipeline to Lake Huron and to stop buying water from the city of Detroit.

Curtis said he’s asked Controller George Martini whether commissioners can establish procedures to keep a closer eye on such expenditures in the future.

“One way or another somebody has to have some oversight on that,” Curtis said.

The drain commissioner’s decision to hire Riddle raised eyebrows here as soon as Wright acknowledged last month that his office had hired him, something that happened after court documents filed in the federal bribery case against Riddle surfaced last month.

The court records revealed Wright was known as confidential Source-3 by the FBI and Wright has said he was contacted by federal investigators while Riddle was under contract with his office.

Wright has said he was performing his civic duty by helping in the investigation.

Riddle’s contract with the county also coincided with the time frame when he was accused of working with a Detroit council member to secure bribes from multiple parties looking to do business with that city.

Riddle told The Flint Journal before he went to prison that his work for Genesee County was “on the up and up” — but said he was concerned “if the contract were let solely so that the drain commissioner would have access to me for the FBI.”

Riddle also was eligible to receive expenses incurred during his work on behalf of Genesee County, but the documents received by The Journal indicate he did not receive any reimbursements.


Post Fri Jun 04, 2010 6:55 am


untanglingwebs
F L I N T O I D


Andrew Heller: Come Heller High Water
Andrew Heller's outlook and commentsAndy's Random Blog Thoughts -- Enter at your own risk »
Drain commissioner needs to come clean on Riddle
By Andrew Heller | Flint Journal
June 04, 2010, 7:37AM
The Sam Riddle-Genesee County Drain Commission story smells worse every day.

Now we learn that Drain Commissioner Jeff Wright paid erstwhile political consultant - and now prison inmate - Sam Riddle $44,000 over two years for brokering a couple of meetings between Wright and the Detroit water department.

Two small problems:

- There's no documentation of what Riddle did for the money.
- Detroit water folks say they weren't aware of Riddle's involvement, nor would a meeting with them require a hired consultant.

Wow.

Until Wright comes completely clean - brutally clean - on Riddle, anything coming out of his office (including plans for his pet project - a new water pipeline) is bound to be viewed with a raised eyebrow.

My view: If it was a dumb mistake, say so. Other options: Apologize and repay the money. Nothing else will erase the smell.


Post Fri Jun 04, 2010 7:25 am


untanglingwebs
F L I N T O I D


WHY WASN'T MORE BURTON CORRUPTION CHARGED?

- Cached - Similar pages
UNITED STATES COURT OF APPEALS
Apr 3, 2009 ... Albert Louis-Blake Rizzo, a local land developer, implicated Abbey in ..... ELGA Credit Union of Burton, Michigan—with whom Abbey sought a ...
http://caselaw.lp.findlaw.com/data2/circs/6th/072278p.pdf - - Cached - Similar pages


Post Sun Jun 06, 2010 7:07 am


untanglingwebs
F L I N T O I D


My question is why did the FBI allow Wright to be identified in the Riddle case?Are Detroit politics some how more odious than Flint?

here are some reminders of past sories.

Flint Journal links: A look back at Top 7 stories on Blake Rizzo ...
Blake Rizzo in 2000FLINT, Michigan -- Who would have thought Blake Rizzo ... 2, 2005: Federal agents probing Burton: Leyton still seeks Rizzo leak source ...
http://www.mlive.com/news/flint/index.ssf/2010/05/flint_journal_links_a_look_bac.html - 70k - Cached - Similar pages
Genesee County Drain Commissioner Jeff Wright had past FBI ...
GENESEE COUNTY, Michigan — Genesee County Drain Commissioner Jeff Wright's ... Wright said today that he couldn't comment on whether the Burton case is connected to his more ... See other stories on the Blake Rizzo bribery scandal. ...
http://www.mlive.com/news/flint/index.ssf/2010/05/genesee_county_drain_commissio_8.html - 64k - Cached - Similar pages

The truth as I recall it:

Auto theft officers of Gain were upset because they had Blake Rizzo on an insurance fraud case and an arson in Burton and they believed the case was bing stalled for political purposes. Their anger was focused on Sheriff Pickell and then County Commissioner Ted Hammon, a close friend of Rizzo. Rumors were the case was about to be deep-sixed.

Rizzo was driving a corvette leased by his father and allegedly had the car taken to Swartz Creek and hidden by Taylor. Rizzo then reported the car stolen.

The car was at the home of a young man, who had been reportedly told Rizzo would reclaim the car and sell it. Nervous after time passed and the car stayed in his possession, court records state the young man and a friend started to chop the car when they were caught, This man linked the crime to Taylor. Taylor, who had previous convictions, is said to have down played his role and told investigators he had participated in a barn arson for Rizzo.


Busch was approached in a parking lot and warned about the case. When he investigated, Busch was furious and actually threatened at one point to have Pickell and Hammond arrested. Busch started an investigation into Burton politics based on allegations made in a deposition of Rizzo, that alleged multiple inatances of political corruption.

Busch was given documents related to Burton politics and particulary the use of excess water and sewer funds as well as publicly financed bonds by the city to help developers build in the city. Note-several of these projects have now failed, but the bond payments are still due. Wright aand his family sold property to Arrabo for Blackberry creek, recently foreclosed and sold.

However, it was the result of Busch's own investigative efforts that provided the link to "Skeeter" Abbey and Rizzo and led to the conviction of Abbey on bribery charges.

The FBI wanted the case, but so did Busch. Busch had decided not to run for office again and he was working long hours on this case. The feds put what some call a "bullshit" investigation into Busch and his disposal of forfeited properties. Busch prevailed, but the toll was such that he gave up the case.

The secret deposition was used by Jim Kiertzner, then with Fox 66. Later it was used by the Bob Leonard Show and Ron Fonger. The redacted pages were released and an investigation was launched into how the deposition was originnally obtained by the media.

The only conviction was Abbey. Leyton turned the Wright case to Cox. Cox sent it back saying he was too busy but it was a classic money laundering case. Leyton then sent it to Lapeer and it looked as though the case might be reduced to misdemeanor. Despite repeated attempts by Ron Fonger of the Flint Journal, The Lapeer County Prosecutor would not discuss whwn he case would be finalized. The Statute of Limitations ran out.

The question is now was the case alllowed to disappear because Wright was now a confidential Informant? What aabout the other allegations and why did they disappear?


Post Sun Jun 06, 2010 8:23 am


untanglingwebs
F L I N T O I D


Company Sam Riddle admitted taking bribes from also had contracts with Genesee County Drain Commissioner Jeff Wright
Published: Sunday, June 20, 2010, 2:00 AM Updated: Sunday, June 20, 2010, 10:07 AM
Ron Fonger | Flint Journal

GENESEE COUNTY — The sludge-hauling company and a Flint native at the heart of a public corruption scandal in Detroit were also both working for county Drain Commissioner Jeff Wright as the wrongdoing unfolded.


Documents obtained by The Flint Journal through the Freedom of Information Act show that Sam Riddle and the waste company Synagro Technologies were working with Wright for the bulk of 2007 — at the same time federal prosecutors have said they were funneling bribes to Detroit City Hall.

Synagro’s presence in Detroit and here is the latest parallel in the saga involving the now-imprisoned Riddle and Wright, who served as an FBI informant in the case against him.

Riddle, a Flint native, was at the heart of the sweeping public corruption case in Detroit, where several officials have been convicted of bribery and extortion.

The sludge-hauling company Synagro was one of the key businesses connected by federal prosecutors to bribes Riddle collected for former Detroit City Councilwoman Monica Conyers, who is appealing her sentence of 37 months in prison, according to court records.

Documents obtained by The Journal show that two months after Riddle took cash from a Synagro representative outside Detroit Metro Airport in 2007 for Conyers’ support of a waste disposal contract there, Synagro penned a new contract here with Wright for disposal of sludge from the Anthony Ragnone Treatment Plant in Montrose Township.

Earlier contracts in 2000, 2003 and 2005 between Genesee County and Synagro were signed by James Rosendall, former vice president of development for Synagro who now is serving 11 months in federal prison. He pleaded guilty in January 2009 to conspiracy to commit bribery in connection with the Riddle case.

Both Wright and a spokeswoman for Synagro said Riddle never had contact with the company on behalf of Genesee County, and the federal prosecution of Riddle made no allegations about wrongdoing tied to his work here.

“We were unaware of any relationship between (Riddle) and Synagro,” Wright said in a written statement. “Contracts between the Water and Waste Services Division and the various land application companies are handled through a competitive bid process.”

Riddle was hired as a consultant to the drain commissioner for $2,000 per month for 22 months, starting in March 2007 and ending in December 2008.

Wright has said Riddle was hired “to facilitate direct meetings with Detroit officials, recommend strategies and assist with negotiations” on a future water contract and other water issues.

County Board of Commissioners Chairman Jamie Curtis said he would like to discuss the situation further with Wright, but that the lack of an indictment related to Riddle’s work here makes him believe the Wright-Riddle-Synagro connection amounts to a fluke.

“It looks coincidental to me,” Curtis said. “If there was (something illegal) going on, they (the FBI) would have popped him.”

In response to a previous FOIA request from The Journal, the Drain Commissioner’s Office has said it has no records of any kind — no reports, e-mails or any other documents — directly showing the results of Riddle’s 22 months of work here.

Officials in the office have credited Riddle with opening doors and securing key meetings inside Detroit city government.

The drain commissioner emerged as a player in the federal investigation of Riddle in May, when court filings claimed he acted as a confidential FBI source, making a secretly recorded phone call to Riddle — which Wright later confirmed.

Riddle has since pleaded guilty to conspiracy to commit bribery and extortion and to filing false tax returns.

Wright declined to comment further on how he became involved in the case or how he helped investigators.

“(I do) not know how and to what extent law enforcement is (still) using the information I assisted in acquiring,” Wright’s statement said. “Therefore it would be inappropriate for me to say anything more than I have already stated.”

Wright said he continued to keep Riddle on the payroll for some 17 months after having been contacted by law enforcement about its investigation because the consultant was “performing his contract satisfactorily.”

“Mere speculation that he may have been involved in something totally unrelated to this office was not a valid basis for termination of his contract,” the drain commissioner said.

U.S. Attorney Barbara McQuade, in Flint on Thursday to announce federal charges against 27 Flint residents for drug trafficking and gun violations, would not comment on how the FBI came to ask for Wright’s help in its investigation of Riddle.

“It’s the policy of the Department of Justice to neither confirm nor deny details of an investigation,” McQuade said.

It was McQuade who announced the guilty plea of Riddle on May 20 in Detroit, saying in a news release: “People who engage in public corruption will be held accountable. It is reprehensible when people cheat the taxpayers of cities that are already struggling financially.”

Wright has defended the hiring of Riddle, saying he previously worked for a congressman, governors and at least two Flint mayors.


The chain of events

• March 30, 1998: Former Genesee County Drain Commissioner Ken Hardin signs a contract with National Resource Recovery, which later becomes Synagro, for transport and disposal of sludge from the county’s Ragnone Treatment Plant.

• Feb. 1, 2000: Hardin extends the contract to Jan. 31, 2003, before losing his position to Drain Commissioner Jeff Wright in the Democratic primary election later that year.

• March 8, 2002: Wright’s office signs a contract with Synagro for the mobile dewatering of liquid biosolids and the disposal of dewatered biosolid cake from the Linden Waterwater Treatment Plant.

• Feb. 1, 2005: John O’Brien, Wright’s director of the Division of Water and Waste Services, signs another two-year extension with Synagro for transporting, disposal and land application of sludge from the Ragnone plant. The contract extends the bond between the county and the company for two years, not including provisions for extensions.

• Dec. 22, 2005: O’Brien signs an amendment to the county’s contract with Synagro.

• Jan. 3, 2006: Sam Riddle signs a six-month personal services contract with the city of Detroit to serve as a legislative assistant to City Council member Monica Conyers.

• March 2006: The U.S. Department of Justice alleges Riddle began to conspire with Conyers to commit extortion by attempting to obtain consulting contracts from people who dealt with or sought to deal with the Detroit City Council.

• July 1, 2006: Riddle starts work on a one-year contract to be Conyers’ legislative assistant.

• March 23, 2007: The county Drain Commissioner’s Office and Riddle sign a consulting agreement that pays Riddle $2,000 per month.

• May 24, 2007: Riddle signs a second one-year personal services contract to continue work in Detroit for July 1, 2007, to June 30, 2008.

• June 22, 2007: Wright works with the FBI to record a phone call to Riddle asking about a man named Glen Blanton, who was promoting himself as a consultant.

• Summer 2007: U.S. attorneys allege a courier handed a package to Riddle in front of the City-County Building in Detroit at the direction of Rayford Jackson, a representative of Synagro, for delivery to Conyers.

• Oct. 17, 2007: U.S. attorneys alleged Jackson handed Riddle cash for delivery to Conyers outside the Northwest terminal of Detroit Metro Airport.

• December 2007: U.S. attorneys alleged Riddle ended his conspiring with Conyers to commit extortion by attempting to obtain consulting contracts from people who dealt with or sought to deal with the Detroit City Council.

• Aug. 22, 2008: O’Brien wrote to Riddle, giving him a 90-day termination notice, saying his consulting contract is ending because of “cost-cutting measures.”

• Dec. 18, 2008: Wright signs a new contract with Synagro to dispose of sludge from the Anthony Ragnone Treatment Plant.

• Nov. 6, 2009: O’Brien signs a contract for Synagro for confined space cleaning and removal of sludge from a secondary digester at the Linden wastewater treatment plant.

Sources: Genesee County Drain Commissioner’s Office documents, U.S. District Court documents.

jwilly48519 June 20, 2010 at 4:21AM
Follow

Let's see...this was during a period of time when Synagro regarded paying "consultant's fees" that found their way to job awarders as a normal cost of business to get contracts, right? There also was talk that they and their competitors had coordinated their "competitive" bids on different jobs, in effect dividing up territories...did that come out in the trial?

Sure is getting smoky around here. You know what they say about smoke and fire.

I wonder how well Wayne County Prosecutor Worthy gets along with Genesee Country Prosecutor Leyton? Seems like there might be a lot of things they could delegate their assistants to review together, to see if there was money moving in either direction via Mr. Riddle in order to make deals happen.

One might think that Mr. Rosendall, now in prison, might like to avoid further prosecution. Thus he might be favorably disposed toward talking to prosecutors, in return for conditional immunity, whatever he might know about *other* deals Synagro had done, and where the records of the money trail might be found.

This however raises another question: Mr. Leyton is running for a statewide office. Mr. Wright is said to be substantially connected to one of the local political parties...the same one that's backing Mr. Leyton. Candidates try hard to maintain their distance from potential scandals in the run-up to elections. Has Mr. Leyton perchance recused himself from participation in the review of whether Mr. Wright had an external financial benefit from the Synagro contract? If so, who in the Prosecutor's Office would be handling that matter in his place?

And lastly: it'd be interesting to know whether the Genesee Country Prosecutor's Office is reviewing the curious situation that the Drain Commissioner's office somehow engaged a consultant for 22 months, yet had zero communications with him...no letters, no emails, no meeting minutes. Almost as if there was an effort to not leave any records. More smoke.


jwilly48519 June 20, 2010 at 5:10AM
Follow

Maybe lots of people are "confidential FBI sources" by happenstance and I just haven't heard about it. I'm under the impression, though, that usually when the FBI wants to get a target to talk about doing misdeeds, they twist the arm of someone that the target regularly talks about misdeeds with.

Was there an immunity deal with Mr. Wright, one of the conditions of which was his assistance in the Detroit matter? If so, it'd be most interesting to know the context of that immunity, and its Genesee Country impact.


Post Thu Jun 24, 2010 8:34 am
Post Tue Apr 28, 2015 8:39 pm 
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untanglingwebs
El Supremo

Topic: What will HUD say?



untanglingwebs
F L I N T O I D


HUD has been in City Hall this week and it will be interesting to see what they report back.
Personally, I believe they will be upset with all of the unqualified people in place now and the "blind leading the blind" mentality in the office. Josh Freeman said it well during the budget hearing when he stated how council did not believe the DCED had the capacity to operate the new federal money coming in.

The new Requests for Proposals on the DCED website are said to be Walling and Eason's way to restore some of the lost positions when council cut the general fund money for the department. Remember Eason told council certain positions were HUD and/or grant funded and they were not. Eason also ducked the issue when Sarginson asked him directly if certain new employees were already in place when these positions were not budgeted. Word is this Department is severely overbudget, especially in payroll, and there are no funds elsewhere in the budget to transfer to cover this deficit.

Tracy Atkinson was successful in driving Carol Freeman out of the Department. Carol recently retired. Word on the street is they now believe they can be successful in making Metaunenee Hills historic with her gone. The fools don't realize the have to follow state rules and procedures to make this happen. I quarantee they do not have the ability to make it happen and many properties do not qualify.

Also Tracy and others were angry when Carol did not follow their instructions to violate HUD rules. It is great when you have an OIG official as a witness! Too bad 1799 union official Daugherty Johnson is too much of a wimp to adequately support his people.

Expect more disallowances from HUD!


Post Fri Jun 11, 2010 8:52 am

untanglingwebs
F L I N T O I D


City of Flint moves forward on $4M neighborhood stabilization grant under threat from feds
Published: Monday, June 14, 2010, 10:12 PM Updated: Tuesday, June 15, 2010, 9:01 AM
Kristin Longley | Flint Journal

FLINT, Michigan — The threat was clear: Act now on nearly $700,000 in federal grant funds — or risk losing it all.


Faced with that ultimatum from City Administrator Gregory Eason, the Flint City Council on Monday night moved forward on committing the grant funds — some of them to out-of-county vendors — despite having only a couple hours to read and discuss the proposals.


The federal government is threatening to pull the plug on the city’s $4 million neighborhood stabilization grant if the city doesn’t take action on spending it, Eason said.


“Please, pretty please, do not jeopardize this money,” Eason said to the council. “We need to show we can be responsible, we can be timely.”


The city is up against a September 27 deadline to have all $4 million of the grant funds committed to be spent.



Eason
The federal government awarded the money to the city in 2008.Eason told the council he was on the phone with the undersecretary for the U.S. Department of Housing and Urban Development (HUD) on Friday and made a commitment that the city council would follow through on the funds.


After a heated discussion with Eason on Monday night, the council approved six contracts totaling about $697,000.


With those contracts approved, Eason said the city now has at least 75 percent of the grant funds allocated and is on track to allocate the rest.


But some city council members weren’t happy about approving large contracts on such short notice.


“Really this bothers me,” Council President Delrico Loyd said. “We can’t act in the best interest of the public if we can’t digest the information.”


Earlier this month, The Journal reported that federal officials wrote a letter to Flint Mayor Dayne Walling to express its concerns that Flint is at risk of not meeting the deadline for committing the neighborhood stabilization funds, which are federal grant dollars awarded to fight foreclosures and redevelop housing.


Because of internal problems in the previous administration’s community and economic development department, Eason said the city was already behind on spending the grant funds when Walling was elected.


“We can’t keep explaining why we can’t spend these dollars,” Eason said. “This is an albatross around our neck.”


The council passed the proposals on a 7-1 vote, with Loyd dissenting.


Council members questioned Eason about some of the larger contracts going to out-of-town vendors, including $250,000 to Saginaw-based nonprofit Circle of Love for homebuyer education and counseling services and $244,916 to Detroit-based Community Improvement Group for program management for the city of Flint.


Eason said HUD approved of those vendors and said Community Improvement Group will be hired to help the city manage the grant funds because the city doesn’t have the internal capacity to do it on its own at this time.


“For what we’re getting from them, we’re getting more than our money’s worth,” Eason said. “This is a company HUD has 100 percent confidence in.”


Audience member Pamela Gerald said the funds should have gone to Flint businesses.


“You keep talking about the Flint economy,” Gerald said. “Why are you pouring it into other cities?”


Tue Jun 15, 2010 8:12 am


Post Wed Jun 16, 2010 6:11 am
Post Tue Apr 28, 2015 8:43 pm 
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untanglingwebs
El Supremo

Topic: Neeley and Eason fight on transparency in council



untanglingwebs
F L I N T O I D


Watching City council on Comcast 17 and what a meeting. Neeley has repeatedly requested information on how many employees have been hired in DCED since Wendy Johnson, when there are no general fund dollars available for such employees. He stated he has information that about 5 to 6 employees have been hired. He observed that Eason had previously told Sarginson there were no new hires and 2 individuals were on the job within 48 hours.

Neeley requested a supoena to force the administration to answer his request and he was angered when Kincaid told him he could get a FOIA. Bade refused to issue he supoena and council later voted that an individual council could rquest a supoena, Neeley quoted an interview Walling gave to MSNBC where he allegedly discussed laying off 10 more police officers. He stated police were critical to the well being of the city and pointed out the recent serial killer that targeted black men.


Post Sun Aug 15, 2010 2:08 pm


Dave Starr
F L I N T O I D


Most transparent administration, EVER!

.

Post Sun Aug 15, 2010 2:18 pm




ConcernedCitizen
F L I N T O I D



quote:
Dave Starr schreef:
Most transparent administration, EVER!


More like "Most transparent Administration, NEVER!"

I have an inside source that told me there may have been as many as 10 people hired in DCED. Supposedly one is a plant by Eason to check up on everybody and report back to him. This insider also told me that they were told that their pay was going to be covered by grants. When asked, they told me that they did not have the grants yet, but they were going to get them. This person also told me that they had no idea how to do the job and had never written a grant. I was told that many of the people hired were in the same boat.

If this is true, where is their pay coming from? Obviously they are getting paid and that money has to come from somewhere. And if the grants never materialize, where is the money coming from? Since when is it acceptable accounting practice to take money out of the general fund to pay for employees that are not budgeted, in the hope that money from grants might materialize?

As if this city weren't in enough financial trouble, Walling in all his infinite wisdom got rid of the staff that knew what they were doing and is replacing them with unqualified newbies.

I also thought that when council approved the budget amendment that Josh Freeman pushed (and Walling agreed to), certain positions were to be eliminated, one of them being Wendy Johnson's position. Why is she still there?

I'm to the point that I would like to see the State take over Flint. Maybe, just maybe, there would be less of the political sweetheart deals that permeate our local government.



Post Sun Aug 15, 2010 4:31 pm
ConcernedCitizen
F L I N T O I D



quote:
untanglingwebs schreef:
Neeley requested a supoena to force the administration to answer his request and he was angered when Kincaid told him he could get a FOIA. Bade refused to issue he supoena and council later voted that an individual council could rquest a supoena,


From our City Charter:

Sec. 3-205 INVESTIGATION.
The City Council may make investigations into the affairs of the City and the conduct of any City agency pursuant to Section 3-206 [of this Charter].

(Adopted by the electorate, 11-5-74)

Sec. 3-206 INVESTIGATIVE POWERS.
A. The City Council may subpoena witnesses, administer oaths, take testimony and require the production of evidence in any matter pending before it or any of its committees .

B. To enforce a subpoena or order for production of evidence or to impose any penalty prescribed for failure to obey a subpoena or order, the City Council shall apply to the appropriate court .

(Adopted by the electorate, 11-5-74)


Now I am not an expert in law, but I see nowhere that it mentions having to go to the City Attorney to issue a subpoena. It clearly states that "City Council may subpoena." This is the "Rule Book" to which our City Council and City Administration is bound. Do they not even know what the charter says? And Kincaid has been in this Council long enough that he should have the Charter memorized.

So Mr. Neely, issue that subpoena and go after that information because a lot more people than just you want to know the answer to where the money is coming from. And if they refuse, go to the "appropriate court" to enforce that subpoena.



Post Sun Aug 15, 2010 4:54 pm


untanglingwebs
F L I N T O I D


I have never known a grant to be retroactive. When they posted the jobs they were about $55k to over $70 k. These people are possibly the reason more police may have to be laid off.


Post Sun Aug 15, 2010 5:33 pm

00SL2
F L I N T O I D


Didn't Eason say these positions were NOT posted? There was a complaint from a resident at the city council meeting that some of these people hired were not even city residents.


Post Sun Aug 15, 2010 7:48 pm
untanglingwebs
F L I N T O I D


About 3 positions were posted as RFPs or Request for proposals.. I am not sure if all of these positions were filled as Carpenter applied for one and Eason then decided to "fill it internally".

Most of these positions were not posted. DCED staff applied and were not considered. That is the basis of some of their unfair labor. There was no competive basis for most of the new hires. Normally new positions would be filled internally if at all possible before going outside,

It appears Eason filled these positions as new-hires and not as temporary grant positions.


Post Sun Aug 15, 2010 10:02 pm


untanglingwebs
F L I N T O I D


Today on comcast it appears that DCED hired 6 new employees.

Council took general fund dollars out of the DCED budget, which was in error as HUD always disallows certain costs for the Director and other employees as well as certain fixed costs for the office. As a result the office now has a $73,000 deficit.

Eason told Neely and council when Wendy Johnson was hired that she would be 100% grant funded and that was untrue as Eason apparently did not know what he was talking about.


Post Sun Aug 22, 2010 1:19 pm




untanglingwebs
F L I N T O I D


Some council people are being left out of the process. Before the August 9th meeting, Walling, Loyd, Lawler and Nolden had a quick meeting on the landing between the first floor and the basement.

Weighill is also experiencing difficulty in getting information.

Eason apparently told the North side group that all of the NSP2 money is "going north of the river". A deal has been made with HUD that the city will build up to 100 houses in Smith Village. About 300 homes will be demolished and many renovated at a cost of $70k to $80k each. This is in excess of what HUD normally allows for a rehab,so this should be interesting.

There will be an upscale senior citizen facility near Devils Lake, complete with a fitness center and other amenities. Court Street Village did a survey a number of years ago and realized there was a declining need for more senior housing and did not complete their plans for building additional senior housing unts, Blackberry Creek in Burton wanted upscale housing for seniors and others, They were recently foreclosed despite payments in lieu of taxes being given to them.


Post Tue Aug 24, 2010 5:42 pm
Post Tue Apr 28, 2015 8:56 pm 
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untanglingwebs
El Supremo

Topic: Most recent Flint OIG audit



untanglingwebs
F L I N T O I D


OIG Michigan Audit Reports - HUD
Oct 13, 2010 ... The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited the City of Flint's (City) HOME Investment ...
http://www.hud.gov/offices/oig/reports/mi.cfm - 87k - Cached




Date Issued: October 13, 2010
Audit Report No.: 2011-CH-1001
File Size: 543KB

Title:The City of Flint, MI, Lacked Adequate Controls Over Its HOME Program Regarding Community Housing Development Organizations' Home-Buyer Projects, Subrecipients' Activities, and Reporting Accomplishments in HUD's System


Post Sun Nov 14, 2010 8:45 pm


untanglingwebs
F L I N T O I D


The records for Flint West Village were under the control of David White and were stored in the archives at Kettering University. The legal department, if asked would have been able to secure these records. However, the agency was in a forced bankruptcy due to the sums of money owed to at least 2 banks and that may have complicated the transfer of the documents.

In a lame duck move Emergency financial Ed Kurtz gave large sums of federal money to Flint West Village just days before he surrendered control to Williamson. Williamson refused to honor this award because he was aware the company was not in good standing as to taxes owed and that they had 65 properties foreclosed upon just months before. Council refused to allow the reallocation of these funds and they were lost.

The land bank had foreclosed on a large number of houses and properties because Flint West Village attempted to be their own Land bank and fought the changes in the law that required they pay taxes on these properties. The bankruptcy reversed some of these foreclosures. A Flint West board of director and vice president of Kettering was cited in the bankruptcy for purchasing 3 properties for Kettering when he realized the agency was failing. Kettering was forced to pay more money for the properties and the newly built fraternity is on some of the sites.

Greater Eastside records should have been available and if demanded, they were required to have been surrendered. They too were allocated money by Ed Kurtz and were not in good standing. The administrative money had been drawn down and no rehabilitation work had been started much less completed. GECA was in the process of repurchasing a property they were selling on land contract and failed to disclose. The purchase was not completed within one year and the agency did not request an extension. The law department or the Finance Department should have realized the money from the lawsuit should not have gone to the law department. GECA was in breach of their contract.


Post Sun Nov 14, 2010 9:46 pm
Post Tue Apr 28, 2015 9:03 pm 
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untanglingwebs
El Supremo

Topic: The Greenview Manor money pit



untanglingwebs
F L I N T O I D


Greenview Manor is back on the council agenda after some units were condemned. The City of Flint got this pig from HUD in 2000 and was supposed to adhere to specific deed restrictions.

Barbara Chiapella , Director of the Michigan Multifamily Hub for the US Dept. of Housing and Urban Development, sent a letter to Mayor Williamson on December 19,2005 addressing Greenview Manor,

"On August 24,2000 the United States Department of Housing and Urban Development (HUD) held a foreclosure sale pertaining to the subject property and as the highest bidder, the property was deeded to the Secretary. Subsequently HUD renovated 47 of the 84 units at a cost of $456,699.07 and the property was offered to the City of Flint, On March 16, 2001 Greenview manor was formally sold to the City of Flint for $10 by a Special Warranty Deed that contained mutually agreed upon stipulations and requirements between HUD and the City. "..
"Unfortunately, the City has not fulfilled their obligations as they pertain to this document in spite of numerous phone calls and requests for compliance from the City by this office. The purpose of this letter is to notify you and City Council that the Detroit Office is referring this issue to the Chicago Departmental Enforcement Center (DEC) of HUD for resolution."..

The property was closed upon on March 16,2001 but was not recorded until 2002 (Registrar of deeds 200210018133) by Loyst Fletcher. This is in effect for 20 years.

The purchase price was $384,500 or $10 and adherence to the provision of tenant services as outlined. Woodrow Stanley chose the $10 option and the property was to be rehabilitated within 12 months of the closing.

Rider 12 of 12 detailed tenant services to be provided by Odyssey Housing Development. Included among these services were:
a. maintaim the office with at least one person for 20 hours per week and provide the use of a separate community room;
b. provide financial counseling services;
c. coordinate with Government Entitlement Agencies for benefits the residents might be eligible for;
d. coordinate daily free transportation services within a specified radius; coordinate low cost or free healthscreening services, case management, in home aide services for the elderly over 60, and life safety seminars;
e. coordinate a" meals on wheels" program;
f. provide on-site Please delete me! services;
g. delelop an adult literacy program;
h. coordinate police and crime watch services;
i.provide day care and child development services at no charge or on an ability to pay while tenants are looking for work, working, or attending job training or school;
j. implement welfare to work programs;
k. coordinate the provision of substance abuse services.


Post Sun Apr 18, 2010 4:12 pm

00SL2
F L I N T O I D


Interesting... Greenview Manor has property on State's Unclaimed Property website.

https://treas-secure.state.mi.us/unclaimedPropertyStatic/unclaimedProp2069.asp


Post Sun Apr 18, 2010 9:02 pm


untanglingwebs
F L I N T O I D


Jon Manning was the Odyssey House employee that ran STRIVE and was implicated in the Career Alliance scandal. He died last year. They ceased filing reports in 2001 and were automatically dissolved in 2004.


ODYSSEY HOUSING DEVELOPMENT

ID Num: 745975
Assumed Names

Entity Name: ODYSSEY HOUSING DEVELOPMENT

Type of Entity: Domestic Nonprofit Corporation
Resident Agent: JON M MANNING

Registered Office Address: 120 E FIRST ST, SUITE 1505 FLINT MI 48502
Mailing Address: MI

Formed Under Act Number(s): 162-1982

Incorporation/Qualification Date: 12-19-1996

Jurisdiction of Origin: MICHIGAN

Number of Shares: 0

Year of Most Recent Annual Report: 01

Year of Most Recent Annual Report With Officers & Directors: 01

Status: AUTOMATIC DISSOLUTION Date: 10-1-2004
View Document Images

Assumed Names: Id Num Creation Date Renew Date Expiration Date
GREENVIEW APARTMENTS 745975 7-27-2001 7-15-2004
RUPP'S SERVICE 745975 1-6-1999 7-15-2004


Post Sun Apr 18, 2010 9:30 pm
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untanglingwebs
F L I N T O I D


untanglingwebs
F L I N T O I D

The 6th year action plan for the City of Flint department of Community and Economic Development (City of Flint web site) shows $910,000 more to be spent meeting our HUD obligation to Greenview Manor .

When Kincaid questioned the cost and if the money was to be used elsewhere would we need a substantial amendment, Eason did not know that a change that significant would require another public hearing. The look on Kincaid's face-Priceless.

We probably have to spend the money though. See greenview manor money pit.


Wed Apr 21, 2010 11:44 am


Post Sun Aug 22, 2010 1:27 pm
untanglingwebs
F L I N T O I D


Council committee on comcast today. More bad news regarding Greenview manor and possibly more lost money.

It always seems like the projects HUD requires us to take on are the ones that cost the city the most. The city was not qualified to run this project and now it appears Mission of Peace wasn't qualified either.


Post Sun Aug 22, 2010 1:30 pm
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untanglingwebs
F L I N T O I D


Just checked out the county and city web sites, greenview Manor is in forfeiture. taxes owed:

2008 $37,400.61
2009 $28,049.97

40-12-358-049
Address:
817 N STEVENSON ST

Status:

Posted


--------------------------------------------------------------------------------

Owner:
MISSION OF PEACE CDC

877 E FIFTH AVE

FLINT, MI 48503
Classification:
Commercial Improved
Zoning District:
C-1
Lot Size:
Front: 0 Depth: 0


--------------------------------------------------------------------------------

Legal Description

Sale Information

Ward/Precinct Information





--------------------------------------------------------------------------------

Current Year (2010)
Previous Year (2009)

State Equalized Value
208800 217500
Taxable Value
208800 217500
Homestead%
0 0

--------------------------------------------------------------------------------

2010 Taxes

Summer Taxes
Winter Taxes

Original Tax
$11,539.94 Not Available
Penalty
$19.23
Water Lien
$0.00
Special
$0.00
Paid To Date
$0.00
Balance Due
$11,559.17


Post Sun Aug 22, 2010 3:19 pm


untanglingwebs
F L I N T O I D


Neeley and other previous council members once tried to set a limit on the amount of compensation a contract employee could receive.

They obviosly failed. Eason's friend Jackie Foster received $80 per hour for 125 hours to relocate the six Greenvie manor tenanrs. What was her skill set to command that level of compensation?


Post Sat Nov 06, 2010 11:16 am
Post Tue Apr 28, 2015 9:07 pm 
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untanglingwebs
El Supremo

Topic: Another embarassing past lawsuit for Greg Eason


untanglingwebs
F L I N T O I D


Greg;s resume seemed to be spiraling downward as he moved from CEO/Pres of the Center for Banking Education in the Detroit area and eventually running a consulting company for nonprofits out of his home. In between he ran a company called Center for Progressive Learnng.

An employee filed a lawsuit against Eason and the company stating it had been a practice to use credit cards to pay business expenses and be reimbursed. Filed in Oakland County, Debra benoit v Center for Progressive Learning and Gregory Eason, 03-05214-NO, Judge Kuhn, alleges Benoit used her credit card to purchase necessary materials in the amount of $8,868.90 to keep the business running after being notified that Eason was ill and would be for an indefinite time period.

After making partial repayment, Eason then refused to pay the balance of $28,000 plus interest, Benoit went on a long term disability related sick leave and alleged Eason harassed her at home and demanded she return to work. the pleading indicate he not only threatened to terminated payment of her entitled benefits until she returned to work, but he allegedly suspended her benefits. The allegations state Eason refused to process her insurance claims for extended wage loss benefits and she received no workers comp.

Eason counterclaimed stated Benoit contacted Deane Poole of the American Bankers Association and James kurt of the Michigan bankers Association and alleged unethical and/or unbusiness like behavior. The attached letter, in my opinion, appeared to be a request for payment of the monies owed. Karen Eason was the Board secretary for the corporation. Benoit reminded the letter recipients that the corporation would have been impacted had she not bought the supplies needed fo the winter semester . Benoit further stated the ABA benefitted by the book sales and the MBA received commissions on the book sales and enrollments.

The final judgement was for $10,000 to be paid to Benoit in three installments. Eason did not prevail in his counter claim and his lawyer asked to withdraw as his attorney.


Post Fri Oct 08, 2010 9:10 am


untanglingwebs
F L I N T O I D


Eason has lots of company with other government officials who owe the IRS money. During the years he owned Center for Progressive learning (2000 to 2006) He generated a tax bill for 2005, which remains unpaid. The lien in the amount of $16,907.59 was recoded with the Register of Deeds on July 10, 2009


Post Fri Oct 08, 2010 7:11 pm


insider
F L I N T O I D


You do realize you are talking about our next Mayor? He might not want these things made public.


Post Sat Oct 09, 2010 10:53 pm


untanglingwebs
F L I N T O I D


Warning or a threat?


Post Mon Oct 11, 2010 3:51 pm


untanglingwebs
F L I N T O I D


Further evidence of Eason's downward spiral are the 2 sheriffs sales in 2006 on properties Eason bought in 2004. Both documents for the sale refer to Greg Eason, a separated man, whose address is 1534 South Franklin Avenue.
address #1- 526 West Ruth owing $46,361.53
address #1- 720 Dougherty owing $83.655.47


Also when Kate Fields first presented her RFP for the energy grant, Eason's resume for CEO was included in her proposal.


Post Tue Oct 12, 2010 6:42 pm


insider
F L I N T O I D



quote:
untanglingwebs schreef:
Warning or a threat?


I think it can qualify as both.


Post Tue Oct 12, 2010 7:50 pm


Dave Starr
F L I N T O I D



quote:
insider schreef:
You do realize you are talking about our next Mayor? He might not want these things made public.


When's Walling resigning?

.

Post Wed Oct 13, 2010 2:01 pm


untanglingwebs
F L I N T O I D


I received my second warning- this time through the street gangs telling me to back off. I guess i should be afraid-very afraid.


Post Fri Oct 29, 2010 6:39 am
Post Tue Apr 28, 2015 9:13 pm 
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untanglingwebs
El Supremo

Topic: DID COMMUNITY AND ECONOMIC DEVELOPMENT SCREW UP AGAIN?



untanglingwebs
F L I N T O I D


The former staff of the Department and Economic Development prepared the Consolidated Plan from the city to HUD every Year. Last year under Walling and Eason, the department did not meet the deadlines and was criticized by council for not adhering to the written policy. As a result many contracts, such as a north end youth project, were never appproved timely by HUD so they could be executed when needed. A summer youth program is useless after the kids have returned to school.

Communities were given a sixth year by HUD instead of the regular five because of the stimulous plan and the complexities involved and the dueling deadlines. This year the complete Consolidated Plan, and not an amendment, is due.

However the DCED office has been revamped and experienced straff laid off while temporary workers remain. AFSCME 1799 has been said to have filed a grievance because Eason is outsourcing the consolidated plan preparation.

On December 22, 2009 the Request for qualifications was posted in the Flint Journal and other publications and were due January 5, 2010. Rumor has it the bid opening could not take place because Director Wendy Johnson allegedly opened one of the bids. Obviously the selection did not occur on January 7th as they have been republished today.

Until the city removes it the RFQ is posted at www.cityofflint.com/dced.

Also it is rumored that a company out of Lansing is favored to win the bid.


Post Fri Jan 07, 2011 11:11 am
Post Tue Apr 28, 2015 9:17 pm 
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untanglingwebs
El Supremo

Topic: GCARD Whistleblower case settled for $250,000



untanglingwebs
F L I N T O I D


Whistleblower Protection Act Case settled on December 9, 2010 for $250,000. Attorney Tom R. Pabst

Ray Barker v. Genesee County, Genesee County Community Action resource Department, and Steve Walker

Genesee County Circuit Court 09-92766-CL Judge Richard Yuille

Injuries alleged: loss of job, mental anguish, emotional distress and outrage

key to winning: Disprovong defendants alleged proffered business reasons and defenses with the testimony of their own employees and with their own documents.

In 2009 Genesee County Community Action Resource Department obtained grant money from the government to weatherize some older homes of relatively poor people throughout Genesee County by blowing insulation into their attics.

When Plaintiff, Ray Barker ll, who was employed by this department, observed first hand how Genesee County was weatherizing these homes, he became scared for his co-workers, and especially for the public. Why? He knew from first hand experience that the vermiculite and Zonolit (asbestos) in many of these older homes was dangerous in and of itself. He saw Defendants not taking the proper precautions, and making a dangerous situation toxic.

Barker courageously spoke up about the dangers to his crew leaders, even taking it upon himself to research the dangers of asbestos poisoning on his own time. Upon providing this research to his crew leaders, he was met with callous disregard- one crew leader shredding the research during a meeting in front of other employees, while another balled the documents up and threw them on the ground.

For his courageous efforts to protect his co-workers and the public from the hazards of asbestos poisoning, and despite receiving more than one excellent written evaluation, Barker was eventually fired, and branded
"uncoachable" by Defendents.

Defendants were later caught lying about the reasons Barker was fired.

Recently, this case was independently mediated by Judge Geoffrey Neithercutt, james Wascha, and Patrick O'callahan for $250,000 and settled.


Post Mon Dec 20, 2010 6:30 pm


00SL2
F L I N T O I D


IMO those irresponsible parties at GCCARD should be fired, and all actions, activities and work provided should be fully audited. Maybe those in charge should also be fully licensed and bonded as well, if they're not already.

Isn't it ironic that we're paying a senior millage, the sheriff has a special unit to go after those taking advantage of senior citizens; and then a county agency acts to deceive?


Post Mon Dec 20, 2010 7:56 pm


FlintCityMole
F L I N T O I D


I apologize for not being able to post but I was scared that someone had realized who I was. I have had numerous reviews as of late and audits. The administration has been spying on employees computers. Also, the administation has blocked numerous content from being accessed at city hall. I will say that you will see another whistle blower lawsuit soon.


Post Tue Dec 28, 2010 10:06 pm


Dave Starr
F L I N T O I D


So, when will the statue of Iron Feliks be placed in front of City Hall? Or, is it the Gestapo rather than the Cheka there?

.

Post Wed Dec 29, 2010 9:36 am


untanglingwebs
F L I N T O I D


This is not the first time GCARD has violated safety rules and laws. In 1992 and 1993 (then GCCAA) sprayed a dairy spray for cattle barns in their USDA commodity building with employees and commodities in the building/.


Post Fri Dec 31, 2010 11:04 am
untanglingwebs
F L I N T O I D


The Flint Journal finally posted the story!


Post Sun Jan 02, 2011 1:15 pm
Post Tue Apr 28, 2015 9:25 pm 
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untanglingwebs
El Supremo

Topic: Eason's plans destroy FAEC-5 board members quit

untanglingwebs
F L I N T O I D


Just about three weeks ago Wendy Johnson told council that the money allocated to the Flint Area Enterprise Community (FAEC) during the annual consolidated plan was finally going to happen. They hoped it would be in time to have assistance in place to help residents file for their earned income tax credit. The FAEC has received no funding for about 7 months and laid off all of their employees except one. That one was servicing loans previously made and putting together board packets for the FAEC and the Economic Devellopment Corporation. Now that employee has been laid off.

The Board of Directors for FAEC had recently had an inservice training on the obligations of a board, their Duty of Care and their Duty of Loyalty. Five members quit and some in the community say it was because they could not perform their duties because of interference from the walling Administration, namely from Greg Eason and Wendy Johnson.

As a result the FAEC cannot meet and conduct business because they do not have a quorum. The five that resigned:

Gloria Jones
Addie George
Sally Woodbeck
Mary branch
Gary Metzger

Wendy Johnson was named by Walling to the board as a voting member. The board requested a HUD determination as to a conflict of interest. The real issue is under Michigan Law and the law against Incompatible offices. Because Johnson is the one who controls the money coming from the city to the FAEC, then her position on the board is subordinate and may be incompatible.

The board is said to object to demands from the administration including who they hire as an Executive Director and a Loan Officer. It has been said that this organization has never received this much interference from any previous mayor, including Williamson.

The decisions of the board will not be heard in court unless it is alleged they violated their Duty of Care, their duty of loyalty or made an irrational decision. They must make their decisions with the care that an ordinarily prudent person would in a similar circumstance. They must base their decision making with a reasonable belief that they are acting in the best interests of the corporation. They have a duty not to waste the corporate assets by overspending on property or employment services.

The Duty of Loyalty involves no self interest violations. An example of this is when Flint West Village was going under and a Board memeber was allowed to purchase three parcels of land for the benefit of Kettering, whom the board member represented. The bankruptcy court was outraged and kettering was forced to pay more money for the proprties. The board member did not act in good faith for the benefit of the corporation and most likely violated the boards standards of conduct.

I believe the board would have incurred a liability if they had acted on the administrations demands. Their money comes from federal sources and has stringent rules attached to it. They have their own Standards of Conduct and bylaws. They had to follow their conscience and act in a capacity to prevent allegations of misconduct and possible violations of law if they ignored their duty of oversight.


Post Mon Feb 14, 2011 6:09 pm

untanglingwebs
F L I N T O I D


Jean Conyers, formerly of the Metropolitan Chamber of Commerce, recently resigned from the Economic development corporation. It has been alleged that a former loan officer inappropriately sent a letter to a loan applicant saying a loan would be approved prior to the loan application going to the EDC board. Conyers was furious and believed the reputation of the board was tarnished in some way by this being allowed to happen. Allegations are some in the Walling administration ordered the letter to be sent.

Conyers has enjoyed a reputation for being an honorable person and business woman. The loss of her services will be felt at the EDC, which is short on the number of required directors.


Post Mon Feb 14, 2011 7:05 pm

insider
F L I N T O I D


What? Mr. Eason micro-managing something? There is no way this story could be true because he would never micro-manage! Rolling Eyes


Post Tue Feb 15, 2011 7:03 am


untanglingwebs
F L I N T O I D


The wannabe "spin doctors" are trying to figure out how to deal with the resignation of so many directors. Word is they want to say the group resigned because their terms were expired.

Trouble is that is the case with so many boards and in most instances bylaws or ordinance allows them to remain until the seat is filled.

Johnson is falsely accusing some members of encouraging the others to resign. from the community is the word that Johnson has disrespected some of these board members during the meetings. These individuals have all been involved in some form of community service for years and are aware of the rules for being on a board.

Mybe the issue is those members of the Walling administration that continue to say these volunteers are too old an need to be replaced with young people. Yong peoplr that is that don't have the experience dealing with politicians and refuse to be FLIM-FLAMED.


Post Tue Feb 15, 2011 12:21 pm


untanglingwebs
F L I N T O I D


I wish I had been at council when Wendy Johnson verbally attacked Gary Metzger who was standing in the audience. Attorney Brenda Williams was also nearby and is said to have stopped this outrage and thoroughly chastised Johnson. I have seen Attorney Williams in action and she has a sharp, quick mind that does not tolerate foolishness in politics.


Post Fri Feb 18, 2011 8:22 am


untanglingwebs
F L I N T O I D


The decision is still pending on whether Flint and the State must pay back the money from the Flint Area Investment Fund (FAIF) that was misused. The Money came from the federal government to the stste and passed through to Flint. When CCDC stopped allowing monitoring and the Emergency Financial Manager refused to demand monitoring of the fund , the problems were not found. Add to that the State's failure to monitor and the stage was set for abuse.

After the initial monitoring the state immediately wanted repayment of the money. Forensic auditors came in to fill in the blanks. The federal government has not signed off and the whole fiasco is in limbo.

This board is not going to repeat the mistakes of the FAIF board, They are not going to be compromised.


Post Sun Feb 20, 2011 8:17 am
Post Tue Apr 28, 2015 9:33 pm 
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untanglingwebs
El Supremo

Topic: Public corruption Is it happening in Flint

untanglingwebs
F L I N T O I D


Walling, as an employee of the Minneapolis Urban Coalition, was treasurer of a group fighting redistricting in Minneapolis. The fight was legitimate as allegations were that minorities were packed into one district that threatened one of 2 minority council and that councilpersons were deliberately moved out of their districts and placed into districts with another sitting council member.

Allegations arose that the councilmamber leading the fight against redistricting was using the nonprofit to solicit bribes in return for selling his vote. Dean Zimmerman was convicted and spent 30 months in prison. The non profit only raised a fraction of the over $100,000 legal bill.

1. The description of the crime is the same as that of Jackie Poplar and the Party Store owners. The difference is the amount, but then Jackie wanted annual payments.
2. This begs the question as to why she was given a pass by the then US Attorney Haviland.
3. Have other council persons sold their vote for money or promises of development in their ward. Some have openly bragged that their wards were to receive vague future benefits. Is this a bribe to keep them re-elected.
4. This is a warning for everyone to pay attention as to the method employed by the new redistricting. Boundaries will be altered and what impact will it have on certain neighborhoods.


Post Sat Feb 12, 2011 9:11 am

untanglingwebs
F L I N T O I D


<iframe title="YouTube video player" width="480" height="390" src="http://www.youtube.com/embed/Rc0OKCnEAcE" frameborder="0" allowfullscreen></iframe>


Post Sat Feb 12, 2011 9:17 am


untanglingwebs
F L I N T O I D


Is pay for play operating in Flint?

Is that why federal grants are being taken from qualified long standing companies and given to new start ups?

Is that why DCED, the DDA, the EDc and the FAEC are sudenly being micromanaged?

What are your thoughts?


Post Sat Feb 12, 2011 9:26 am


untanglingwebs
F L I N T O I D


Search ResultsMinneapolis Confidential: Notes From Day Two of the Dean ...Aug 3, 2006 ... Notes from the Zimmermann trial. Day 2: Tuesday, August 1, 2006 ..... The treasurer was Dayne Walling (who worked for the Urban Coalition). ...
minneapolisconfidential.blogspot.com/.../notes-from-day-two-of-dean-zimmermann.html - Cached - Similar►Minneapolis Confidential: Notes from the Zimmermann Trial--Day 6 Aug 10, 2006 ... Notes from the Zimmermann trial. The usual cautionary note from the ...... Dayne Walling was the treasurer; the lawsuit took place in 2003 ...
minneapolisconfidential.blogspot.com/.../notes-from-zimmermann-trial-day-6.html - CachedDay two of Zimmermann trial reveals tapes and video evidence ... Aug 3, 2006 ... Day Two of the bribery trial of former Minneapolis City Council ..... The treasurer was Dayne Walling (who worked for the Urban Coalition). ...
www.tcdailyplanet.net/.../day-two-zimmermann-trial-reveals-tapes-and-video-evidence - Cached


Post Sat Feb 12, 2011 9:33 am


untanglingwebs
F L I N T O I D


Flint has a history of corruption in government and so did Minneapolis.

September 9, 2005
Zimmerman Following In Herron's Footsteps? (Update!)
Dean Zimmerman took Brian Herron's spot on the Minneapolis City Council after the arrest and conviction of the latter on federal bribery charges. Now the Strib and the AP confirm that federal agents have their eyes on Zimmerman for the same kind of behavior, apparently having caught him in a sting operation assisted by an anonymous local developer:

A City Council member is being investigated for allegedly accepting bribes from a developer in exchange for help with zoning permits, according to court documents filed Friday.
Councilman Dean Zimmermann, a Green Party member seeking his second term, is accused of accepting thousands of dollars from the developer, who was working in cooperation with the FBI.

One payment was to help with attorney fees owed by Zimmermann, according to the document. Other payments were for the councilman's re-election campaign, the document said. The exchanges between Zimmermann and the developer were recorded on audio- and video tapes.

Agents took computers, personal records and a campaign mailing from Zimmermann's home Thursday.


Herron took money from Basim Sabri, one of a family of colorful developers in the Twin Cities area that have heavily invested in the Minneapolis/St. Paul region, especially in Little Somalia. Sabri also got convicted in that case and currently serves his time at Fort Leavenworth. However, that didn't keep the feds from raiding his offices again on Wednesday.

The two actions might just be coincidental, but the timing, as I wrote, looks very strange. At first, I thought that perhaps Sabri's family might have helped the feds sting Zimmerman. After all, his brother Hamoudi is also a developer -- but then why raid Basim's office now, especially when Basim hasn't been there for several months? The feds say they're looking for evidence of forgery of a mysterious letter proclaiming his innocence that surfaced during the penalty phase of his trial, but again, what are the chances that two unrelated federal investigations would result in raids within 24 hours of each other, involving people who have longstanding connections in the community?

The property in question that was apparently used to sting Zimmerman is a condo development on Chicago Avenue. The primary owner of that property is the Chicago Commons Project, run by Gary Carlson. One of its investors associates, though, turns out to be ... Azzam Sabri, Basim's older brother, and his competitor in development, especially in the Somali community. (See update II below.) Both men built strip malls that compete with each other.

It's still pretty early to know what might be happening with this case. However, the Sabris have a history of bad blood between the brothers of the clan, although they have supposedly buried the hatchet a few years ago. Azzam could have helped the feds go after Zimmerman in the hope of reducuing Basim's sentence. He could just as easily have targeted Zimmerman to get even with Basim and Hamoudi.

All I know right now is that it will get interesting soon.

UPDATE: The source for Azzam's involvement in Chicago Commons is Council VP Robert Lilligren, whose ward includes that project:

Gary Carlson of Edina is listed as the CEO of the Chicago Commons Corp., which owns and is developing the site, according to public records. He didn't return a phone message left at his home Thursday evening.
The site developer recently sought to bulk up the retail component of the project but was denied by the city's Planning Commission.

Lilligren said Azzam Sabri, a brother of imprisoned Lake Street developer Basim Sabri, has been somewhat involved in the project since the beginning. Azzam Sabri could not be reached Thursday evening for comment.


It's interesting that Lilligren would know this, but not all that suspicious. One would expect Lilligren to involve himself in the details of development in his ward and to promote it for jobs and expansion of the tax base. I find it more interesting that Lilligren wanted to point that out.

UPDATE II: Azzam worked for Chicago Commons as a consultant for a short time, according to one reader, but was never an investor. My apologies for the misunderstanding of Lilligren's quote.

UPDATE III: I poked around Google a bit, and found this interesting little factoid. Azzam Sabri spoke out in support of the Chicago Commons project in a public hearing of the city Planning Commission on June 21, 2004 (page 12). He doesn't disclose any relationship between


Post Sat Feb 12, 2011 9:39 am
untanglingwebs
F L I N T O I D


It is interesting that with all of this federal money coming in the new President of City Council, jackie Poplar, chose to ignore the former chair of the grants committee, Bryant Nolden, and replaced him. Nolden had a learning curve but the was definitely trying to learn the HUD programs. What will happen next is any ones guess as an uniformed council cannot make informed decisions.

The federal government ramped up their investigative techniques and gave trainings on how to spot fraud in these new recovery grants. There will be far more oversight to see that things are done correctly,


Post Sat Feb 12, 2011 9:45 am

untanglingwebs
F L I N T O I D


Minneapolis Confidential In addition to taking bribes, Dean Zimmermann tried to convince real estate ... However, while former CM Zimmerman was convicted of accepting and using money from .... Here is an audio file from Zimmermann's appeal hearing that explains ...
www.minneapolisconfidential.blogspot.com/ - Cached


This is a revealing tape as the Us Prosecutor addresses government entrapment, the selling of a political office, the link between gratuity and bribery and jury nullification.


Post Sat Feb 12, 2011 9:58 am


Dave Starr
F L I N T O I D


Maybe this is why council wants cops at their meetings; to protect them from the citizens when the corruption is exposed. Is what's been happening in Egypt making them nervous?

.

Post Sat Feb 12, 2011 10:29 am


untanglingwebs
F L I N T O I D


Michigan AG creates Public Integrity Unit
Published: Thursday, February 10, 2011, 11:35 PM Updated: Thursday, February 10, 2011, 11:38 PM
By The Associated Press
Follow

AP File PhotoBill Schuette
Michigan Attorney General Bill Schuette (SHOO'-tee) has created a Public Integrity Unit aimed at stepping up the fight against corruption in state and local government.

Schuette says in a statement Thursday that corruption scandals have "damaged the public's trust in government" and left Michigan with a questionable national reputation. He says there will be "no more Kwames," a reference to disgraced former Detroit Mayor Kwame Kilpatrick.

Kilpatrick served jail time for lying in court about an affair and now is in prison for violating probation. He and his father also face a sweeping federal indictment that accuses them of taking kickbacks and bribes.

Schuette says the unit is being created with existing office resources. During last year's campaign, he had said fighting public corruption was important.



Sponsored Links


Post Sat Feb 12, 2011 11:54 am

Dave Starr
F L I N T O I D



quote:
untanglingwebs schreef:


Schuette says in a statement Thursday that corruption scandals have "damaged the public's trust in government" and left Michigan with a questionable national reputation.



Replace "damaged" with "destroyed".


Post Sat Feb 12, 2011 1:01 pm
Post Tue Apr 28, 2015 9:39 pm 
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untanglingwebs
El Supremo

Topic: December 22, 2010 HUD monitoring report



untanglingwebs
F L I N T O I D


This report was sent to Dayne Walling on December 22, 2010 and yet no council person has said they have seen it. It focuses on Community development Block Grants and HOME funding.

Subrecipients are the agencies the city contracts with HUD dollars to perform services for Flint.
HUD
"City needs to improve its subrecipient management in both programs, have better control over how the City documents its administrative charges to the programs, and needs to have improved written procedures in its City Wide Emergency Rehabilitation Program."

The report also stated the City has not corrected the IDIS used to draw down HUD funds that were cited in earlier monitoring reports.

City is not making sufficient progress in completing it's HOME Projects.

City Wide Emergency Rehabilitation
This section focused on rehabiltaion compliance and cited 24 CFR 570.202

Site visits by HUD revealed repairs that had excessive costs and some that did not appear to be emergency repairs. The procedures established by the City required a visit by a Program Enforcement Manager for all repairs over $10,000 so the City could decide how to proceed.

HUD found no evidence this procedure was followed and the projects did not meet the City definitions of an emergency.

The Department of Community and Economic Development stopped using nonprofit partners, with the exception of HOME CHDO (Community Housing Development organizations) and placed all housing activities under the direct administration of the DCED.

HUD noted the current staff is not experienced in administering a housing rehab program and "strongly suggested City establish a detailed, comprehensive, written set of rehabilitation policies and procedures."

CDBG
The rules for governance, 24 CFR 570.504, says the city must execute witten agreements with subrecipients.

In three consecutive visits by HUD the City did the bulk of their subrecipient monitoring just prior to HUD;s visit. Thus HUD was unable to see the responses from the agencies after the City monitoring visit.

There were no overall summary of conclusions for the entire year:
*Did subgrantees regularly submit the required monthy reports timely with draw requests?
* Was training needed to improve the subgrantees performance?
* Recommendations concerning the capacity of subgrantees to carry out the requirements of the agreements.?

HUD said there was confusion as to what constituted a finding versus a concern or comment.

The DCED Complince Officer was to work with the monitors to produce a consistency in reporting.

Administartive Expenditues
There were numerous unsupported charges to the CDBG and the HOME programs, especially by the business manager. Most staff said they had little to do with the HOME program. Yet there were timesheets with reported charges to HOME for "assisted client with general information", "researched GCCARD information" (when GCCARD had no active HOME contract), "completed second resolution re: MSHDA grant", 'managers meeting", "NSP1". "FAEC" and others.

DCED was required to perform city tasks that were not eligible for HUD CPD funding. Historically thes tasks were performed using general fund dollars, but DCED informed HUD the council withdrew all city funding from DCED. Yet, the most common cause of the misbilling was a confusion over what were the proper charges.
HUD
"IMPROPER CHARGES COULD LEAD TO DISALLOWED COSTS AND REPAYMENTS TO HUD FROM THE CITYS GENERAL FUND".
HUD wants to be informed how the city has or will educate staff as to the proper charging of time.

They also want to know if DCED will get general fund money or if staff will be prohibited from doing the tasks previously funded by the city and not eligible for HUD CPD funding.


Post Tue Jan 25, 2011 7:26 pm


untanglingwebs
F L I N T O I D


If you can read between the lines, it appears that HUD is saying the department doesn't know what they are doing.


Post Sun Jan 30, 2011 6:16 pm
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