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The Kent County Daily Times: HUD audit: Providence owes $1.5M

PROVIDENCE (AP) – A federal watchdog says it’s recommending Providence repay nearly $1.5 million because it didn’t properly administer an affordable housing program.

The Department of Housing and Urban Development’s Office of Inspector General said Thursday the city didn’t properly commit and disburse federal grant funds according to federal rules.

The grants are awarded to create affordable housing for low-income people.

City spokesman Victor Morente says they’re improving administrative procedures and can address many of the issues by providing additional documentation.

The office audited the city. It says HUD should require Providence to repay nearly $1.5 million in costs deemed ineligible because program requirements weren’t met.

It says HUD should require Providence to justify the use of an additional $3 million, or repay or reallocate it.

It says city officials disregarded federal requirements.

Courtesy of The Kent County Daily Times

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