Auditor Finds DC Risked $3M in Stimulus Funds

Wed February 29, 2012 - National Edition

WASHINGTON (AP) -The District of Columbia’s inspector general has found the city’s transportation agency and contractors risked losing $3 million in federal stimulus funds by not following standard guidelines for the money.

The D.C. government received about $124 million in 2009 to pay for 15 road projects. The criteria for stimulus funding required that they be ”shovel-ready" and that the Federal Highway Administration would approve any changes to the plans.

The Washington Examiner reports the D.C. Department of Transportation did not regularly review or adequately approve project designs. That led to reactive changes costing $2.8 million. The inspector general also found the city and its contractors began making changes to projects without approval from the Federal Highway Administration.

Federal authorities ultimately approved most of the changes. Four projects are still outstanding.