The New York Daily News reports that the NYCHA hired Boston Consulting Group (BCG) to conduct a review of the authority, along with recommendations on how to improve the NYCHA's operations. BCG had previously employed NYCHA Chairman John Rhea and was the only consulting group considered for the review.
However, the NYCHA has resisted sharing the BCG review with the public, citing that it was for ‘internal use only’ and that its findings were ‘confidential.’ Grassley, the ranking member of the Senate Judiciary Committee, lodged a complaint with the U.S. Department of Housing and Urban Development (HUD) about the ‘lack of transparency’ in the NYCHA's actions and demanded to see an unredacted copy of the BCG report and a full accounting of how the review was financed.
‘Given the financial problems that have come to light at public housing authorities across the U.S., HUD needs to make every effort to ensure transparency and accountability for all programs receiving federal funding,’ Grassley wrote. ‘I am concerned that other housing authorities across the country may also be paying millions to BCG and other consulting firms without fully understanding the drawbacks of such contracts.’
The NYCHA is currently operating on a $50 million budget deficit.