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Council urged to use $1.6M in free cash to extinguish Brockton Redevelopment Authority deficits; HUD audit ongoing
Summary
Mayor and CFO requested a $1,609,443 transfer from certified free cash to cover deficits tied to the Brockton Redevelopment Authority's CDBG, HOME and LEHI programs; officials said HUD supports bringing the programs in-house and an external audit is underway.
Mayor Robert Sullivan and CFO Troy Clarkson asked the Finance Committee to recommend using $1,609,443 in certified free cash to eliminate deficits tied to the former Brockton Redevelopment Authority (BRA) after the city brought BRA functions back in-house.
Clarkson said the city has taken multiple steps — including external audits and coordination with HUD — to reconcile older commitments; he and Juan, city finance staff, explained the deficit is made up of three programs (CDBG, HOME, LEHI). Juan said the original deficit was closer to $2.5 million but has been reduced to about $1.6 million after work with HUD. The mayor said bringing the work in-house was supported by HUD and would avoid repeated hits to free cash.
Councilors pressed the administration for documentation, the provenance of bills (some line items trace back to earlier allocations), and whether judgments against the BRA could become city obligations; the CFO and legal staff said judgments are against the BRA and not the city, and HUD and outside auditors are engaged. The committee recommended the appropriation favorably; the item will go to the full council for final approval.
