My name is Maria Johnson and I am a member of the Board of Directors of Syracuse United Neighbors (SUN). SUN’s members are families living on the south, southwest and near-west sides of Syracuse. SUN’s concern is for our neighborhoods, for the crisis in housing that everyone sees when they look out their doors: the increasing number of abandoned houses, the fact that few of these vacant houses are ever rehabbed and the near impossibility for low and moderate income families to receive financial assistance to repair their own homes. These are the struggles the CDBG program was created to address.
We are at a crossroads in this country–the economy and credit markets have collapsed and the government has had to step in and provide the capital needed to keep our economy from grinding to a halt. Our new administration is asking us to believe again–to have hope. But it is also asking us to be accountable, to use the money the government provides in as efficient a manner as possible.
Let’s face it. This budget that you are approving today doesn’t meet the high standards set by the Obama administration. $2.8 million out of the $6 million of CDBG entitlement funds given to the city by HUD is going right into the pockets of City Hall bean-counters. Why should homeowners give up the chance at a home improvement loan to fund a Department of Economic Development that does nothing while the only grocery store on the Southside disappears? Why should neighbors give up hope of dangerous vacant houses being demolished because the city wants to create a slush fund called Special Housing programs that it refuses to describe in any detail whatsoever? Why should low-income neighborhoods plan for rehabilitation of vacant houses for new owner-occupants? The money will instead go to the administrative costs that eat up 46% of the CDBG budget–despite the fact that these costs are supposed to be capped at 20%.
We will be back here shortly to discuss how to use an additional $1.6 million in CDBG funds added to the budget in the Obama stimulus package. Administrative costs for that money is limited to 1%–or $16,000. SUN urges the Council to demand that the city take not one dime out of this additional money for overhead and apply the entire amount to actual housing projects–like the demolition of 170 W. Brighton and repurposing of the land to benefit the adjoining Cannon St. community center. But we’ll be back to talk about that.
SUN has three recommendations: for the current budget:
1) City departments must release detailed budgets and program descriptions for all money it receives from the CDBG budget–just like everyone else.
2) Eliminate all technical service lines, using the money to fund housing programs.
3) Create a program to help displaced renters and homeowners find new housing.