The Examiner

Board of Legislators Initiates Legal Action to Recover Federal Funds

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The Westchester County Board of Legislators on Monday agreed to challenge the federal Department of Housing and Urban Development (HUD) in hopes of recouping millions of dollars in lost funding.
The Westchester County Board of Legislators on Monday agreed to challenge the federal Department of Housing and Urban Development (HUD) in hopes of recouping millions of dollars in lost funding.

In an effort to recoup millions of dollars of lost federal funds, the Westchester County Board of Legislators voted on Monday to initiate legal action against the Department of Housing and Urban Development (HUD).

The legislation, approved by a 14-0 vote, authorized County Attorney Robert Meehan to sue HUD and other “appropriate parties” over the withholding of Community Development Block Grants (CDBG) for 2012, 2013 and 2014 and for Lead Hazard Reduction Demonstration Grant funds from last year.

Board Majority Whip Lyndon Williams (D-Mount Vernon) said prior to the vote the county was seeking to recover CDBG monies of $5.2 million from 2012, $5.3 million from 2013 and $5.4 million from 2014.

Board Chairman Michael Kaplowitz (D-Somers) said legal action was necessary against the federal government to return “some of the tax dollars taken from Westchester.”

The Board of Legislators decision was in response to the recent ruling by the U.S. Court of Appeals for the Second Circuit that determined HUD’s actions in withholding Westchester’s grant money were subject to judicial review.

The Feb. 18 decision stemmed from HUD holding back the money because it concluded the county was noncompliant with portions of the 2009 affordable housing settlement. That decision requires the two parties return to U.S. District Court Judge Denise Cote.

In its decision, the Court of Appeals said the agency did not have discretionary power to withhold funds because there are statutes limiting its authority. HUD had rejected the county’s Analysis of Impediment (AI), which has become a major sticking point between the federal government and the county.

HUD had been demanding that an acceptable AI be filed because some of Westchester’s communities subject to the settlement were found to have potential exclusionary zoning.

The Board of Legislators’ action on Monday differed from its decision last year not to pursue lost funds from 2012-14, which placed it at odds with County Executive Rob Astorino.

The Court of Appeals’ decision last month allows the county to pursue  $750,000 in grant money from 2011. That was the portion of money from that year which hadn’t been reallocated to other areas of the United States.

Legislators who were absent for Monday’s vote were Peter Harckham (D-North Salem), Ken Jenkins (D-Yonkers), Virginia Perez (D-Yonkers) and Bernice Spreckman (R-Yonkers).

 

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