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Financial Management: Cleveland, Ohio's, Community Development Block Grant Applications

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Report Type Reports and Testimonies
Report Date March 19, 1978
Report No. 106853
Subject
Summary:

A review of Cleveland, Ohio's, Community Development Block Grant applications for 1975 through 1977 indicated that Cleveland's application for 1977 funds did not describe the activities to be undertaken to meet community development needs and objectives. Instead, the applications listed general classes of activities, the total dollar amount requested for each class of activity, and referenced the location to large blocks of census tracts. These class descriptions did not appear to be sufficient for the Department of Housing and Urban Development (HUD) to determine whether the activities were eligible under the requirements of the Housing and Community Development Act of 1974. Without specific activity descriptions, HUD could not adequately fulfill its responsibilities concerning the application and review requirements of the act. There was no evidence that the city had officially committed itself to a complete program of specific activities at any time before the application was transmitted to HUD for review. The city's commitment to specific activities was apparently made some time after HUD approval of the application. Concern was expressed over the apparent lack of management control by HUD in approving the 1977 application and the potential for unnecesarily tying up block grant funds because of a lack of timely commitment by the city.

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