waa/ 91/99.; vagina-5w

April 5, 2018

Mr. Stanley Gimont

Deputy Assistant Secretary

for Grants Programs

US. Department of Housing and Urban Development
Washington, DC 20410-7000

Via E-mail

Dear Mr. Gimont:

The State of West Virginia has received your letter dated March 28, 2018, addressed to our
Department of Commerce Secretary, H. Wood Thrasher. I have been directed by the Governor to
provide our state?s response to your inquiry. Additionally, I am requesting a meeting to discuss
your concerns in greater detail at your earliest convenience.

First and foremost, rest assured that West Virginia is aware of the obligations and
requirements associated with the CDBG-DR funds. Further, we intend to act in a manner
consistent with the Federal Register Notices as referenced in your letter. However, based upon
the tone and tenor of your letter, I believe you have been provided false and misleading information
from a source obviously not associated with either the intent or actions of the State of West
Virginia regarding our unmet housing needs.

While your correspondence references a ?suSpensio'n of housing recovery activities,? we
have not directed such suspension but rather have placed an operational pause upon our Rise
program while this of?ce concludes an investigation that we have conducted regarding the
procurement of consulting services. We are currently determining our best course(s) of action to
comply with the CFR, but also ensure that no federal or state laws are violated with respect to the
expenditure of public funds. The actions of the prior administration and several individuals at the
agency level have created complications which we must new address before further
implementation of the plan. We are diligently pursuing remedies in effort to avoid unnecessary
delay.

Please be advised that West Virginia has not considered shifting the administration of the

funding to another agency so we are puzzled by your reference to the ?uncertainty? as to which
agency will be responsible for CDBG-DR grant. Also, I believe you have been misinformed about

State Capitol 1900 Kanawha Blvd, East, Charleston. WV 25305 I (304) 558-2000

 

 

OFFICE OF THE GOVERNOR

?the prospect of a substantial reallocation of CDBG-DR funds from housing to economic
development or infrastructure activities.? While we are reviewing our current unmet housing
needs, we are doing so to ensure that no public funds are misspent or wasted on unnecessary
projects. Our efforts are not as a result of questions arising from our prior certi?cation of the grant
but rather the realization that hundreds of homes have been constructed by volunteer organizations
in the time period following the submission of the grant. However, no direction has been given to
request a reallocation at this time. We understand West Virginia will be required to demonstrate
that our housing needs have been completely satis?ed before making a request for reallocation in
the future and will only do so in the event we are assured we have addressed the unmet housing
needs of our citizens.

Once again, I believe an in-person meeting is imperative in order for me to provide much
greater detail and clarity about our intent and actions. I await your invitation and appreciate your
anticipated cooperation in this matter.

Sincerely,

Brian R. Abraham
General Counsel

cc: H. Wood Thasher