|HUD No. 00-244|
|Further Information:||For Release|
|In the Washington, DC area: 202/708-0685||Wednesday|
|Or contact your local HUD office||September 13, 2000|
STATEMENT BY HUD SPOKESMAN ON PUERTO RICO
PUBLIC HOUSING ADMINISTRATION
HUDs settlement with the Puerto Rico Public Housing Administration (PRPHA) resolved PRPHAs complaint of 25 years that HUD had unfairly discriminated against the agency in calculating its annual operating subsidy. The settlement, which addressed claims totaling over $500 million, was approved by the Department of Justice as being in the best interests of the United States.
As we have said consistently, HUD has zero tolerance for fraud, waste and abuse. HUD has responded aggressively to developments in Puerto Rico by sending two teams to inspect PRPHA properties, by conducting an assessment of the local authoritys procurement practices and financial operations, and by establishing an ongoing procurement monitoring mechanism.
HUD is committed to producing measurable progress
in PRPHAs financial controls. HUD does not anticipate any difficulty
in satisfying Senator Bonds concerns and, indeed, has already started
on that process.