More on the $600,000 which the feds want returned. See also:
Mayor Larry Morrissey has called for a review of how city employees document and monitor reporting requirements when issuing grant or stimulus money to vendors and nonprofits.
The review is expected to be complete in two weeks.
Nearly half of the funding in question went to the Rockford Area Economic Development Council.
The council received $100,000, which was spent on staff salaries, according to the audit report. But RAEDC didn’t document exactly how the money had been spent toward stimulus goals — job creation or help for the poor.
George Davis, Rockford’s director of human services, said the city required RAEDC to provide the same documentation it does for other federal grants.
“As an economic development organization, (RAEDC) is categorically eligible for this funding,” Davis said. “When we funded them, it was reviewed and approved by the state.”….
“It’s not a case where we had explicit guidelines or instructions and didn’t follow them,” Davis said. “We had no unique guidelines.”
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