The Real Deal New York

City agency lacked oversight with Sandy contracts: report

Comptroller accuses Department of Homeless Services of paying $19.9M for unfulfilled services
July 18, 2014 04:50PM

The city Department of Homeless Services paid $19.9 million in emergency contracts during Hurricane Sandy for services that were never provided, according to a report from Comptroller Scott Stringer’s office cited by the Wall Street Journal.

The contracts were intended to give victims a temporary shelter. Instead, the agency “made the city vulnerable to waste, fraud and abuse,” Stringer wrote in the report.

A DHS spokesperson told the Journal he was “encouraged to see that their findings are relatively minor, when compared to the herculean response that DHS executed in the aftermath of Hurricane Sandy.”

Mayor Bill de Blasio said yesterday the city is back on track with rebuilding in Sandy’s aftermath, having finished 30 homes and disbursed over $6.3 million to reimburse homeowners for reconstruction costs, as previously reported. [WSJ]Mark Maurer