Is This My Wayne County Fantasy?

Could this be a fantasy come true?

The feds are finally investigating child welfare fraud in Wayne County, Michigan??

Feds investigate contractors who worked for Mullin's brother

Detroit— Two contractors under scrutiny by federal officials for their work on a controversial Wayne County project are also building an office complex for Turkia Mullin's brother.

The U.S. Department of Housing and Urban Development has ordered the county to end contracts with Parlovecchio Building and the Hennessey Group on a $7 million recreation center because of conflicts of interest.

Anthony Parlovecchio was Mullin's economic development director until this spring, while the Hennessey Group has another county contract to manage federal money.

The two contractors also are working on a $680,000 office building on Schoenherr near 13 Mile in Warren for Dr. Sam Awada, Mullin's brother, according to planning documents obtained by The Detroit News.

The revelation is the latest in a series of associations between current or former county officials and contractors that Wayne County Commission Chairman Gary Woronchak and others find questionable.

"This is turning into a cesspool," said Woronchak, D-Dearborn. "It's hard for me to express how disgusted I am getting with all this, the cozy relationships."

Woronchak added: "What this boils down to is a violation of trust. This changes the landscape of how the county commission is going to deal with this administration."

The commission already is investigating a $200,000 severance paid to Mullin after she resigned to become CEO of Detroit Metropolitan Airport in September and plans to meet today on the issue. The FBI also is investigating the payment, and Mullin was fired Monday from the airport post.

Parlovecchio and Hennessey officials didn't return phone calls for comment. Nor did Awada or Mullin.

According to planning documents, Hennessey is providing civil engineering work and Parlovecchio is listed as the contractor on Awada's 12,100-square-foot medical office building. The city issued permits for the project June 20.

There's no suggestion the involvement of county contractors for a building owned by a relative of the county's former economic development director is improper. But it doesn't look good, said John Chamberlin, a University of Michigan professor of public policy and ethics expert.

"The smell is going to come off about every relationship these people have at this point," Chamberlin said. "It seems a little too cute, too cozy."

Federal officials released a HUD report on Parlovecchio and the Hennessey Group on Wednesday, the same day The Detroit News reported that county commissioners and others are questioning a no-bid contract that could net Parlovecchio $1.65 million for monitoring construction of the county's $220-million jail.

The report focuses on Parlovecchio and Hennessey's work on the nonprofit Helping Youth Prosper and Excel Athletics, or HYPE, for an 110,000-square-foot center under construction in Dearborn Heights. County commissioners are upset about the project because they say eight acres of parkland were sold to the nonprofit for $1 without their knowledge.


Child welfare fraud is not limited services to children.  As seen here, it includes the category of land.  I will wager this non-profit project, upon completion, had formatted and adopted a revenue-maximization scheme to bilk Medicaid dollars under the guise of "the best interests of the kids".

County officials have until Friday to respond to the HUD report. They agree with HUD on Parlovecchio and say his contract with HYPE will end. But the issue with Hennessey is a "clerical mistake" that will be resolved, said Brooke Blackwell, a spokeswoman for Wayne County Executive Robert Ficano.

The findings are "the government equivalent to insider trading," Chamberlin said.

"It just looks bad," Chamberlin said. "It's the reason people don't trust government."

Parlovecchio has said he was set to be paid as much as $270,000 for the HYPE facility. While working for Mullin with the county, he helped the nonprofit find the site.

Not insider trading.  Child Welfare fraud.  Oh, just read this.

Wayne County Operational Audit Report 2004

The contract violates federal rules that forbid government employees to be hired on federally funded projects within a year of their departure, HUD wrote Deputy County Executive Azzam Elder on Sept. 30.

"His former position provided him with access to insider information," the report reads. "This granted Mr. Parlovecchio undue enrichment."

Parlovecchio now plans to continue on the project as a volunteer, Blackwell said.

Wayne County lacks a so-called "revolving door" policy barring former employees from returning for contracts, but county Commissioner Ilona Varga, D-Lincoln Park, plans to introduce new ordinances that would make it more difficult.

Ask Jewel Ware why there is no "revolving door" policy.

Wayne County Juvenile Assessment Center Audit 2004

The HUD report also found a conflict of interest in the Hennessey Group's engineering contract on the recreation center. The report also claims the Southgate-based firm has a role monitoring Neighborhood Stabilization Program funds for the county — the same type of grants used for the HYPE center.

That is wrong, Blackwell said. The county pays Hennessey $1.1 million to monitor other federal programs, she said.

"In our response to HUD we acknowledge that a clerical mistake was made on the HYPE payment process with Hennessy," Blackwell wrote in an email. "We have agreed to take additional steps to ensure that such mistakes are not taken in the future.  [bullshit].


I expect Berg and McQuade to finally make their USAs sing for their supper, now.

In The Name Of God I Command You To Give To Me

Oh those wacky Christian charities.  Invoking images of the wrath of God if you do not give to them in order to save the poor souls of the abused and neglected child, while they drive off in their Mercedes to make sure someone is in the office when the decorator arrives.

Charities With the Highest Admin Costs

A favorite saying in business is that you have to spend money to make money. Charitable organizations, on the other hand, have to spend money to give money, and it turns out that some are woefully inefficient at channeling donations to the people they're supposed to help.

The non-profit Charity Navigator Web site tracks such expenses via charities’ disclosure statements to the IRS to provide donors with an assessment of how well charities run themselves. Looking only at the supply side for the more than 5,500 charities that it tracks, the organization does not evaluate the impact on the recipients of funds, since that impact is often a subjective appraisal of "effectiveness." The statistics used in this list are from the most recent fiscal year's data on the Charity Navigator Web site at the time of publication.

Here are a few of my favorites of the top 20:

18. Gospel to the Unreached Millions (GUM)

Administrative expenses: 43.1%

Based in Houston, this evangelical ministryis one of the least efficient in translating donations into international programs designed to spread its spiritual message. With administrative expenses topping 43% and fundraising expenses more than 38% of its total budget, GUM was able to disburse a mere 18% of incoming money to the targeted recipients of aid in its last reported fiscal year, 2006. Managing a budget of almost $1.5 million, GUM has a poor track record of directing that cash to its evangelical programs.

17. American Psychiatric Foundation

Administrative expenses: 43.7%

Psychiatric evaluation and treatment are a big business in the United States, with new conditions being identified and monitored seemingly every day. The American Psychiatric Foundation, based in Arlington, Va., tries to improve the public’s understanding of mental illness and to advocate for early intervention programs and treatment services through grants, research funding and awards. The group, which is the philanthropic arm of the American Psychiatric Association, has received consistently low ratings for its high administrative costs, which consistently reach more than $500,000 annually.

11. Victorious Christian Living International

Administrative expenses: 46.0%

Based in Phoenix, Arizona, VCLI is one of the smallest organizations on the list, as well as being one of the least efficient. With a budget of only around $100,000 in fiscal year 2007, the group spends almost half on administrative expenses stemming from the operational costs of running offices in Illinois, Alabama, Guatemala, and Cuba in addition to its headquarters in Arizona. The organization, founded by its charismatic leader Ray L’Amoreaux (whose $24,000 salary represented 2.24 percent of expenses in 2007), seeks to help churches further their efforts to recruit more committed followers of Jesus.

9. Changed Lives

Administrative expenses: 47.4%

Changed Lives is a Christian organization based in Tennessee whose message of Biblical values is broadcast streaming over the internet to followers around the world. Carried by speaker Ben Haden, who began his broadcasting career at NBC in 1967, Changed Lives features video lectures on a number of spiritual topics and distributes Bibles and other religious literature for free to its supporters. While the organization’s revenues have increased over the last three reported years, its overhead has more than kept pace, pushing administrative expenses to over 47 percent of the group’s 2008 budget of around $790,000.

8. Vision New England

Administrative expenses: 48.7%

Another evangelical organization, Vision New England works with a network of over 5,000 churches to advance its goal of supporting and improving upon pastors’ efforts to increase bring more New Englanders to faith in Jesus. It does this through seminars and prayer groups throughout the region. The group’s $1.4 million budget in 2008 was significantly lower than the previous two fiscal years, but a significant rise in administrative costs during that same period brought overhead costs up to 48.7 percent of total expenses.

1. American Tract Society

Administrative expenses: 68.0%

Topping the list of America’s worst charities is an organization that spent more than $1.6 million dollars on its administrative expenses in 2007, over twice what it spent the previous year. The American Tract Society, based in Texas, distributes religious literature to spread its message around the world. With a history of low ratings from Charity Navigator, the group’s administrative expenses have consistently outpaced the amount of donations coming in. While the group receives income from other sources than contributions, donors to the American Tract Society may be surprised to know that the recipient is the most inefficient in the country at maximizing the impact of its donations.