Community Development: Information on the Efforts by the City of Philadelphia, Pennsylvania, to Relocate and Compensate Residents of the Logan Triangle Area Page: 2 of 25
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program (referred to as the block grant program) to provide the benefits mandated by
the act. This program provides federal funds to help grantees-cities and urban
counties-finance projects and services for local residents and the operating expenses
for administering the projects and services.
Benefits to residents were funneled through the Logan Assistance Corporation
(Corporation), a nonprofit organization founded by the city of Philadelphia in 1987.
Since then, the Corporation, which holds a contract with the city's Office of Housing and
Community Development, has received about $34.3 million from the city of Philadelphia,
the state of Pennsylvania, and HUD to relocate Logan residents. HUD was the source of
most of these funds ($28.9 million, or 84 percent). This is because the city has chosen to
allocate a portion of its annual block grant program entitlement funds provided by HUD
to the Logan acquisition and relocation activities- $23.1 million. HUD has also
provided an additional $5.8 million through its Special Purpose Grants. The city pointed
out that while HUD is the source of most of the funds used to relocate and compensate
Logan residents, the city considers block grant program funds to be an entitlement to
the city and the decision to allocate these funds to Logan residents represents its
contribution to the Logan effort. In addition, the city has provided $3.7 million to
demolish unoccupied properties.
Concerned about the progress the Corporation has made in relocating Logan residents,
you asked us to address the following two questions:
* What is the status of relocations of property owners and tenants in the Logan
* What are the management challenges the Corporation faces in completing the
This letter summarizes the information presented to your staff at our briefing on
April 7, 2000. Enclosure I contain the materials we presented at that time, along with
some additional information requested by your staff as a result of the briefing and
updated information on the funding levels provided by the city.
Status of Relocations
We found that as of December 31, 1999, the Corporation had relocated and/or
compensated 499 Logan Triangle property owners and tenants, or about 70 percent of
the 714 owners and tenants eligible to be relocated and compensated. The remaining
215 eligible property owners who have not been relocated or compensated by the
Corporation consist of
* 186 property owners who moved on their own without receiving compensation and
may be difficult to locate, and
* 29 owners, with occupied properties (16 homeowners and 13 ineligible
GAO/RCED-00-165R Logan Sinking Homes
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United States. General Accounting Office. Community Development: Information on the Efforts by the City of Philadelphia, Pennsylvania, to Relocate and Compensate Residents of the Logan Triangle Area, text, June 9, 2000; Washington D.C.. (digital.library.unt.edu/ark:/67531/metadc300144/m1/2/: accessed July 19, 2018), University of North Texas Libraries, Digital Library, digital.library.unt.edu; crediting UNT Libraries Government Documents Department.