Atlanta

$1M+ for low-income housing was never used ... and now it's gone

ATLANTA — Channel 2 Action News has learned the city of Atlanta lost more than $1 million in federal housing money because the city failed to spend it on time.

Mayor Keisha Lance Bottoms made affordable housing one of her top priorities since taking office.

But federal officials notified Atlanta just before Thanksgiving that the city can say "bye-bye" to $1 million specifically earmarked for housing.

Channel 2 investigative reporter Richard Belcher said the news caught some city officials by surprise.

"I learned about this from you, and this is extremely concerning," Councilman Matt Westmoreland told Belcher.

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"A million dollars that could have gone to building, buying or rehabbing affordable housing -- rental or ownership -- for Atlantans most in need," Westmoreland said.

Westmoreland knows the political potency of the housing issue.

Bottoms campaigned on making a huge commitment to affordable housing so that the poor and middle class aren't priced out in a boom town.

"Building a city for everyone means reassuring those with roots in our community (that they) can remain in their homes and remain in those communities and live with dignity," Bottoms said.

But Atlanta took a hit when federal housing officials sent word that the city lost access to more than $1 million that could have been used for new housing, home rehabilitation or financing assistance for owners. The reason: Atlanta didn't meet the federal deadline.

"This does hurt," Westmoreland said. "To know that we had $1 million that we could have used to help residents in this city that slipped through the cracks is tough to hear ... and reinvigorates me to make sure that we don't do this again."

"That's not acceptable. You know, obviously this is a huge priority for the mayor, and we've got to take action to make sure it never happens again," Commissioner Keane said.

Keane said the city has money for affordable housing, but it needs more places to spend it.

"And that's part of the issue, is having a longer, deeper pipeline of projects to ensure that the money's getting out the door on time," Keane said.

Keane said the deadline Atlanta missed was last year. That's before Bottoms took office, but the bad news arrived on her watch.