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B-171500 1 (1973-05-07)

handle is hein.gao/gaobaagfb0001 and id is 1 raw text is: 


                       COMPTROLLER GENERAL OF THE UNITED STATE 1
                                 WASHINGTON. D.C. 20548



                                    LM096373                                       '
                                                      MAY 7 1973 _5

      The Honorable Wright Patman                               ,     V,.i.>'~ze/F/<
      Chairman, Committee on Banking     .'
   ((    and Currency
       House of Representatives

       Dear Mr. Chairman:

            Your letter of September 14, 1972, requested the General Accounting
       Office to review the Model Cities Program in Newark, New Jersey. This
       program, which was to demonstratie°  ith e   ingnand general
       wel,faKe, oi _peop1e_.. .yin in s umsor blightq.p4,        cnu, be
       improved through a compreghensive, coordinated Federal, State,_,And ,I9oal
       ewas initiated in Newark in 1968. At December 31, 1972, the City
       of Newark had been awarded about $18.3 million in Model Cities funds
       I from the Department of Housing and Urban Development (HUD) to assist it $3
     'in carrying out its Model Cities Program.

            The development and implementation of the Model Cities Program, at
       the local level, is the responsibility of a city demonstration agency
       (CDA) which is generally an administrative unit of the city. Pursuant
       to your request and in accordance with subsequent discussions with
  &JdZCongressman Joseph G. Minish, we reviewed the activities of certain
  '    organizational components of CDA. Our work included an examination of
       costs incurred for travel, contractual services, and salaries of CDA
       employees. In addition, we reviewed certain Model Cities projects.

            On March 15, 1973, at the request of Congressman Minish, we met
       with the members of the oversight subcommittee of your Housing Subcom-
       mittee to discuss the results of our work. At the conclusion of this
       meeting, the subcommittee members requested that we provide you a
       report on our review. The matters which we discussed during the meet-
       ing, together with additional data we subsequently obtained, are pre-
       sented as an enclosure to this letter.

            As requested by the members of your oversight subcommittee, HUD
       officials and officials of the C-ity of Newark have not been given the
       opportunity to formally examine and comment on the matters discussed
       in this report.



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