HUD officials knowingly failed 'to comply with the law,' stalled Puerto Rico hurricane relief funds
Two top officials with the Department of Housing and Urban Development admitted at a congressional hearing this week that the agency knowingly missed a legally required deadline that would have made desperately needed hurricane relief funding available to Puerto Rico.
HUD’s chief financial officer, Irv Dennis, and David Woll, the department's principal deputy assistant secretary for community planning and development, made the admission Thursday before a House Appropriations subcommittee.
The two told bewildered lawmakers that the agency missed the congressionally mandated deadline to issue a notice that would have kicked off a monthslong process to help Puerto Rico get billions in federal housing funds Congress allocated after Hurricane Maria devastated the island in 2017.
“HUD did fail to comply with the law,” said Rep. David Price, D-N.C., said at the hearing.
The housing agency was supposed to issue funding notices to 18 states affected by disasters on Sept. 4. They published all the notices except Puerto Rico’s. The publication of the notice would have allowed Puerto Rico to start drafting a plan that would create the structures needed to manage the much-needed funds.
Two years after Maria, Puerto Rico has received a third of the roughly $43 billion Congress allocated toward hurricane recovery efforts such as rebuilding tens of thousands of homes with damaged roofs, many still covered with blue tarps.
“American communities have been waiting far too long for the relief and recovery assistance,” said Rep. Nita Lowey, D-N.Y., adding that such funding delays were unlawful.
Woll admitted that HUD had “no statutory authority” to miss such a deadline.
Woll and Dennis, in defending why HUD felt compelled to delay the distribution of funds, echoed previous talking points from HUD Secretary Ben Carson, President Donald Trump and other members of his administration in citing "alleged corruption" and "fiscal irregularities" as well as “Puerto Rico's capacity to manage these funds."
Woll brought up events this summer that led to the resignation of Ricardo Rosselló as governor amid mass protests triggered by political scandals, as well as the island’s decadelong financial crisis, in justifying HUD’s decision to stall Puerto Rico’s funding process.
Rep. Katherine Clark, D-Mass., stressed that during Puerto Rico’s political unrest no indictments were issued against the island’s housing secretary, Fernando Gil-Enseñat, or the department he leads, known as Vivienda.
Both Clark and Woll agreed that Gil-Enseñat is an “honorable head of housing."