Agency: Portsmouth improperly awarded legal contract, mishandled Section 8 funding

(RECAP: A federal agency says the Portsmouth Redevelopment and Housing Authority erred in awarding a legal contract to a firm that ranked lower than another and hasn’t spent some of its $1.4 million in reserves to pay for badly needed Section 8 vouchers. HUD asked to be paid back for any money spent on the legal contract so far, according to an April 27 letter obtained by WAVY-10, which reported on it Tuesday. The Pilot obtained copies of the letter from a city spokeswoman Wednesday. The agency visited the authority in mid-March and raised concerns that it had more than enough money to pay for Section 8 vouchers but noted some families had been on the waiting list for “a number of years although funding for assistance is and remains available.” HUD, in its letter, says it generally wants to see an authority have no more than 6 percent in reserves. Portsmouth’s authority will have 12.5 percent by the end of this year and 15.7 percent by the end of next year.)