An embattled shelter and services provider that has been repeatedly lit up for failing to tackle the homeless problem at Penn Station blew city revenue on a booze cruise, fast food items, and movie tickets for its personnel, according to an audit.
Bowery Residents’ Committee charged the metropolis at the very least $2,653 for the $36,510 catered boat ride, along with $1.4 million in other charges that had been either unsupported or not authorized, the audit by state Comptroller Tom DiNapoli’s office identified.
“It’s a result in for issue when the non-financial gain employed to tackle the expanding homeless disaster has so several purple flags on the costs it costs to the city. Charging taxpayers for a booze cruise is inappropriate at very best,” DiNapoli reported in a statement.
BRC’s work at MTA hubs which include Penn Station was beforehand named “very expensive” and “minimally effective” by the MTA Inspector Basic.
The non-gain held $527 million in town homeless company contracts as of 2019. DiNapoli’s audit protected its deal to operate the 200-mattress Jack Ryan Residence on West 25th Road for mentally sick and chemically-addicted homeless grownups.
Auditors uncovered hundreds of hundreds of bucks of personnel and amenities fees like lease and utilities were being improperly allocated to BRC’s Jack Ryan Home deal, as a substitute of to other BRC courses found in the same creating.
BRC also claimed reimbursement for $3,482 at AMC Theaters and $1,500 at Wendy’s, the audit stated — but could not supply invoices or other documentation for almost 50 % of that revenue. The relaxation had been submitted as “staff appreciation.”
The organization allocated $2,653 for the cruise to the Jack Ryan deal, which was ostensibly for “staff education and recruitment,” the report explained. BRC officials declined to convey to auditors if the rest of the cruise expense had also been charged to the city.
The State Comptroller’s audit is the most recent black eye for de Blasio’s Section of Homeless Solutions, whose oversight of $16 billion in contracts more than Hizzoner’s tenure has occur below recurring scrutiny.
BRC is one of a handful of scandal-tarred shelter operators who The Write-up claimed in October been given $4.6 billion in town tax bucks above Mayor Monthly bill de Blasio’s eight many years in business office — 1 out of every four dollars expended on contractors by the Office of Homeless Providers.
Other teams are accused of employing city income to shell out for their director’s “lavish way of life.”
DHS was compelled to yank contracts from 1 of its major companies, Brooklyn-based mostly Core Services Group, right after twin investigations by the Publish and The New York Instances uncovered rampant nepotistic choosing practices and self-dealing that enriched its CEO, Jack Brown, as well as quite a few of his friends and relations.
BRC Executive Director Muzzy Rosenblatt did not return a ask for for comment.
DHS did not reply to the audit’s results. Agency spokesman Isaac McGinn termed the report “flawed,” “inaccurate” and an “attempt to uncover fault where there is none and politicize our very important function with BRC.”
“BRC is an great homeless companies corporation that does amazing get the job done,” McGinn mentioned in a assertion. “Jack Ryan shelter is a mainstay in the Manhattan neighborhood and has served as an lifeline for thousands of New Yorkers in have to have for numerous many years.”