As the federal authorities are looking into the Detroit Building Authority, the deputy director of the DBA resigned from his position, effective immediately.
Jim Wright's resignation was announced Thursday in a press release from the Detroit Building Authority. According to the press release, Wright resigned Wednesday, effective immediately and his resignation does not include a severance.
The city's demolition program has been under scrutiny from federal authorities for several months amid concerns about escalating costs.
Charlie LeDuff has been chasing this story down since late last summer. In December, he ran into Wright and had a question: why does it cost so much to truck dirt out of Detroit? That question was prompted after Charlie learned that the city was paying a contractor $3,000 to move dirt 3 miles.
That was just part of the story.
We took a look at 50 demolition bids. In more than 20 percent of the time, the contractor who the city judged to be the best and who had also bid the lowest price, didn't get the job.http://www.fox2detroit.com/news/local-news/33260393-story
"It was a negotiated price, there's no question about it," Mayor Duggan told LeDuff, when confronted with emails confirming the deal. "I don't believe it was collusion."
The subpoena from the inspector general, is forcing Detroit's auditor general - who looks at all demolition activity - to give up all records information, documents and accounts in relation to the Troubled Asset Relief Program or TARP and The Department of Treasury's hardest hit fund dating back to January of 2014 when Duggan took office.
Detroit Building Authority Director Tyrone Clifton named Timothy Palazzolo as his replacement. He's been with the DBA since April 2015, according to the DBA.