Detroit Land Bank accused of not paying demolition contractors
"Up to $8.7 million in payments have been delayed because of alleged issues in the agency.
Demolition contractors who have been working on the blighted homes project in Detroit have not been paid by the Detroit Lank Band Authority (DLB), a report by the Detroit Free Press says.
Up to $8.7 million has been delayed because of alleged issues stemming from within the agency.
Land bank officials rebuffed the claims in the report, but the Michigan State Housing Development Authority (MSHDA), with offices in Lansing and Detroit, said in a statement to the Free Press that the “backlog is currently in the DLB office in getting us invoices for review.”
The land bank is reimbursed by the state agency to pay contractors....
Detroit received $258 million in federal Hardest Hit Funds and has spent $144 million, the report says..."
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