Mayor Kurt L. Schmoke issued the following statement yesterday in response to the first part of a three-part series in The Sun about no-bid contracts, cost overruns and faulty work in a $25 million program to renovate dwellings owned by the Housing Authority of Baltimore City.
"The Special Vacancy Program of the Housing Authority of Baltimore City was a tremendous success. It renovated 1,137 vacant dwellings, many of which had been vandalized and become blights on their communities.
"More than 1,000 families who were homeless or living in substandard conditions were able to move into decent housing. More than 1,000 houses and apartments that had been boarded up and completely uninhabitable were renovated and became occupied by families.
"These vacant units were totally renovated with new plumbing, electrical and heating systems at an average cost of less than $25,000. Most of the work was done by minority contractors who, almost without exception, provided quality work on budget and on time.
"Questions about the work were raised regarding 65 of the units. In most of these cases, inspection showed that the contractors had performed their work properly. In the few cases with deficiencies, the repairs have been made or will be made at the expense of the contractors.
"Only federal funds, not local tax dollars, were used for this program. These funds would have gone back to Washington if they had not been used. The federal government continues to send new funds to Baltimore for new housing programs.
"The city is proud of what it accomplished with the Special Vacancy Program and will continue to upgrade the housing conditions of its citizens."