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untanglingwebs
El Supremo
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Grand jury convenes in federal investigation of Flint energy grant funds
Published: Friday, July 22, 2011, 9:51 AM Updated: Friday, July 22, 2011, 1:58 PM
By Kristin Longley | Flint Journal The Flint Journal
View full sizeEmily-Rose Bennett | The Flint JournalThe Department of Community and Economic Development in the north building at Flint City Hall.
FLINT, Michigan — A federal grand jury is seeking city of Flint documents in what appears to be a wide-reaching investigation into millions of dollars of federal stimulus grants awarded to Flint.
It’s part of an ongoing investigation into grant spending — including at least $1.3 million in federal energy grants awarded to Flint — that also included a raid of City Hall on May 25.
Subpoenas issued to four city departments in May demanded more than two years worth of documents, check stubs, emails and audio and video recordings of city dealings, according to information obtained by The Journal under the Freedom of Information Act.
Most requests for information related to employees of the economic development department, but also include the personnel files for two high-ranking mayoral appointees — City Administrator Greg Eason and Green City Coordinator Steve Montle, both of whom declined comment, citing the ongoing investigation.
Federal officials requested the information in advance of a grand jury hearing that convened July 6 at the federal courthouse in Flint. Grand jury proceedings are closed to the public.
Flint City Attorney Peter Bade declined to comment on the proceedings, other than to say the city is cooperating.
Flint Mayor Dayne Walling said he has no further details on what federal officials are investigating.
“The city continues to fully cooperate with the investigation process,” he said.
Walling has previously said that he is not a target of the investigation.
Federal investigators and the FBI in May took volumes of archived documents and electronic information from the Department of Community and Economic Development.
A hand-written list compiled by a city employee during the raid, and obtained by The Journal, shows auditors from the Department of Energy were looking into $1.3 million in federal energy grants awarded to Flint through the Recovery Act.
Six city employees salaries are paid in total or in part with funds from the energy grants.
Federal officials have been cracking down on Recovery Act programs across the country.
It’s not known whether any of the city’s other grant awards have also come under scrutiny.
The subpoenas were requested by Assistant U.S. Attorney A. Tare Wigod of the Flint office.
Officials at the U.S. Attorney’s Office and the Department of Energy have declined to comment.
Each of the four subpoenas sought records related to city employees or persons or companies that have done business with the city going back to April 1, 2009, including:
• All audio and video recordings of all Flint City Council meetings and council committee meetings.
• All time sheets, payroll records and/or pay checks for a list of 23 employees, people and companies.
• Two years worth of emails to and from 19 city employees, most of whom work in the economic development department.
• The personnel files for seven employees including Eason and Montle. All five others work in the economic development office.
The city’s economic development department handles most of the federal grant funds for the city, which has been awarded more than $40 million in recent years under various federal programs.
The list of information taken from City Hall in May also indicates investigators were interested in information regarding the city’s $4.2 million federal Neighborhood Stabilization Program 1 grant, which is dedicated to rehabilitation and demolition of houses in the city.
Jackie Foster, an administrator in the city’s economic development department, said she has no idea why her name or others’ names were on the list.
“The feds came in, we cooperated fully, we gave them all the documents they requested,” she said. “I’m not sure that any of us really clearly understand exactly what’s going on or what prompted this.”
Kate Fields, who runs a consulting firm listed on the subpoenas, said she is also in the dark on what investigators are looking for.
Her firm, Advanced Solutions Group, was paid $250,000 of the energy grant funds to prepare an energy efficiency and conservation strategy. The strategy was submitted to the Department of Energy in December 2009 and resulted in Flint being awarded the balance of the $1.1 million grant in March 2010.
The money is primarily for energy efficiency and energy conservation activities.
“I thoroughly document my work,” she said Friday. “I have no concerns about the work or anything to do with my contract or projects.”
This article has been updated to include a clarification.
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Fri Jul 22, 2011 4:24 pm |
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untanglingwebs
El Supremo
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Flint mayoral candidate Darryl Buchanan blames FBI investigation on Walling administration 'incompetance'
Published: Friday, July 22, 2011, 5:04 PM Updated: Friday, July 22, 2011, 7:14 PM
By Blake Thorne | Flint Journal The Flint Journal
FLINT, Michigan — Flint mayoral candidate Darryl Buchanan said Mayor Dayne Walling's administration has been "almost totally incompetent" in events leading up to and following the FBI investigation of federal grant funding to the city.
If the administration was doing nothing wrong "they wouldn't be taking any files out of city hall," Buchanan said at an "emergency" press conference Friday.
Walling dismissed Buchanan's charges as "irresponsible accusations."
View full sizeFlint Journal file photoDarryl Buchanan
"If Mr. Buchanan is representing to having knowledge about what is actually under investigation, then he may be aware of more than he's admitting," Walling said. "Because I have no information about what is actually being reviewed."
Buchanan — who served as city administrator in 2008 and 2009 and as a councilman and ombudsman before that — also sought to clear his name from any association with the investigation.
He said he was gone before April 2009, the starting point for documents investigators have requested.
"If you can do the math, I was long gone," he said.
Buchanan charged that the investigation wouldn't be necessary if the Walling administration were more transparent and forthcoming about spending.
"It's a crying shame that the only way we can find out about these funds is by the FBI coming in," he said.
The FBI and a federal grand jury are seeking city documents in what appears to be a wide-reaching investigation into millions of dollars of federal stimulus grants awarded to Flint.
The investigation also included a raid of City Hall on May 25.
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Sat Jul 23, 2011 5:54 am |
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untanglingwebs
El Supremo
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patclawson July 22, 2011 at 5:49PM
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It's very interesting that the Flint Journal, which has done very little reporting on the mayoral campaign over the past several weeks, somehow deems it worthy to give coverage to an "emergency" Buchanan news conference.
What's the "emergency" here, Journal? Please explain.
As far as I can see, the only "emergency" is that Buchanan is looking for some free ink prior to the election because he's afraid he might not win and has little money to buy advertising.
I note that many "news conferences" and public speeches of other candidates have not received any coverage whatsoever in the Flint Journal. What makes this one so special?
Other candidates also have said that the FBI raid on City Hall is evidence of the Walling Administration's incompetence, but their comments have not received any press coverage at all.
I also note that no other candidates or their comments are included in this story. How's that for fair and balanced coverage of the campaign? The answer is obvious.
This story is not only lousy journalism, but it is indicative of strong editorial bias on the part of the Journal against other candidates in the race.
The editorial quality of the Flint Journal just keeps going down the sewer.
Speaking as an old newshound, are there any editors on duty over there anymore?
Pat Clawson
Swartz Creek, MI
patrickclawson@comcast.net
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Sat Jul 23, 2011 5:55 am |
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untanglingwebs
El Supremo
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cyrtonjoe July 22, 2011 at 11:54PM
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You want to talk about corruptness put the chips where they should be: the FBI investigation going on in City Hall. Let's take a count: 1. Mayor Walling run out of Washington for questionable activity with money. Check the Washington Post under then Mayor Anthony. 2. Greg Eason run out of his job at Job Central for more sexual law suits to count. thenwriting checks his bank account could not support. Check the county records. 3. Donna Poplar run out of GCCAA we all know what that was about embezzelling money from Joubran she also lives in his old house. What's that all about? What did she have to do to get a prize like that. She is a convicted felon hiring her family and friends to gain political favors. 4. Steve Montle the green guy run out of the Westwood Heights School District for his racist remarks to students.
NEED I GO ON the list continues. No wonder this city is a crime capital the mayor and his cabinet are corrupt.
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Sat Jul 23, 2011 5:59 am |
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untanglingwebs
El Supremo
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I saw this video on facebook so I looked it up in the you tube videos
Steve Montle, could be the Big Fish
What's Going on at Flint City Hall
by PTCPAC |3 days ago |272 views |
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Wed Jul 27, 2011 6:39 am |
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untanglingwebs
El Supremo
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There are 2 more videos on you tube by the same group.
Anyone but Dayne
Peter Bade, wrong for the city |
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Wed Jul 27, 2011 6:49 am |
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untanglingwebs
El Supremo
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The Walling administration refused to give the JULY 19TH DEPARTMENT OF ENERGY LETTER to 8th ward councilman Mike Sarginson, so he obtained it himself. He then read a portion into the council committee meeting. City Attorney Bade later said council did not need to file Freedom of Information requests, but he did not explain why the administration would not give out the information.
The Letter dated July 19,2011 came from Contracting Officer Judith S. Wilson of the Department of Energy Oak Ridge Office in Tennesee.
Dear Mr. Waling:
Thank you for your inquiry about your subject grant with the Department of Energy (DOE). As you are aware, several of our staff conmducted a routine on-site monitoring visit to the City of Flint in June 2010 and a representative from the Inspector General's Office visited on may 2011. We appreciate the time and assistance of your staff in conducting our reviews of your grant program.
Our preliminary reviews have indicated some areas for concern to DOE. In accordance with 10 CFR 600.24(b)3, DOE is investigating the City of Flint for serious mismanagement or misuse of financial assistance awards necessitating immediate action. At a minimum, the mismanagement includes failure to follow procurement standard policies and procedures, incurrence of unallowable costs, and pursuing activities beyond the approved scope of work.
Therefore, this letter serves tas notice to suspend the entirety of your grant for 90 days in accordance with 10 CFR 600.25 and 600.243(a)(3). The effective date of this suspension is July 29, 2011, ten (10) days from from the date of this letter. Costs resulting from obligations incurred by the grantee during this suspension are not allowable. In addition to this, as indicated to City of Flint personnel during the Inspector general's visit on May 25, 2011, DOE instituted 10 CFR 600.243(a)(1) and froze all funds in Flint's ASAP account until our review is concluded.
DOE will be reviewing documentation collected by the Inspector General's office and simultaneously will continue to review the amendment request that has been submitted by the City of Flint. We look forward to the City of Flint's continued cooperation with DOE in these matters, and swift resolution of the isssues.
This was also sent ot:
Gregory Eason, Flint City Administrator
Tracy Atkinson, Development and grants manager |
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Fri Sep 30, 2011 10:10 am |
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00SL2
F L I N T O I D
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This to me constitutes one of the frauds perpetrated upon the public. What was the exact reason residents were told water and sewer rates were going to increase effective September 2011? And then Eason asks council to approve use of W&S funds for Smith Village!
"Therefore, this letter serves tas notice to
suspend the entirety of your grant for 90 days in accordance with 10 CFR 600.25 and 600.243(a)(3). The effective date of this suspension is July 29, 2011
, ten (10) days from from the date of this letter.
Costs resulting from obligations incurred by the grantee during this suspension are not allowable.
"
Thank you Webs! This shows part of the coverup. And residents have a right to be angry! |
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Fri Sep 30, 2011 9:47 pm |
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