GLENDALE TRYING TO ACCOUNT FOR NEARLY $100,000 IN FUNDS.

Byline: EUGENE TONG Staff Writer

GLENDALE -- The city said Monday it was working with federal auditors to account for nearly $100,000 in housing grants and matching funds in connection with its homeless assistance program.

A federal audit over the summer said the city could not account for more than $19,400 in federal housing grants and about $76,800 in matching funds for its homeless assistance program.

The money is part of $752,000 the city received in 2005 from the federal Department of Housing and Urban Development to operate a transitional homeless shelter. Until last year, the shelter was operated by El Monte-based Institute for Urban Research Development.

The city has until mid-November to resolve the allegations. City Manager Jim Starbird believes the city will be cleared after a financial review.

``We always take these things very seriously,'' Starbird said. ``We're entrusted for the money we received.''

The city contracted with the institute to operate the Project Achieve transitional shelter until September 2005, when the group withdrew from the agreement, citing a change in focus.

The nonprofit group People Assisting the Homeless -- PATH -- now operates the center.

A July 19 audit, obtained by the Daily News on Monday, found $108,853 in unsupported expenses, of which $19,412 were HUD funds allocated to Glendale.

The audit by the Office of Inspector General concluded the city and the Los Angeles Homeless Services Authority -- the other recipient -- ``did not provide adequate monitoring and oversight of the institute's grant activities.''

Also, auditors could not substantiate $181,020 in matching funds from the institute. Of that, the city owed $76,804.

Joe Colletti, the institute's executive director, declined to comment Monday, saying the audit was ongoing. But Jess Duran, the city's assistant director of community development and housing, said both the grant money and the matching funds will be accounted for.

``It's just whether they're in a form that's accountable to them,'' he said Monday. ``We've whittled (the grant) down to $5,000 that's undocumented. We're confident we can document that as well.''

eugene.tong(at)dailynews.com

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