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StumbleMayor angry, Reid disappointed Las Vegas denied more federal aid for foreclosures
Mayor Oscar Goodman: ‘It’s outrageous. It makes me sick.’
Published Thursday, Jan. 14, 2010 | 12:01 p.m.
Updated Thursday, Jan. 14, 2010 | 2:57 p.m.
Oscar Goodman
Beyond the Sun
Sun Archives
- Nevada records nation’s highest foreclosure rate in 2009 (1-13-2010)
- Cities, county find buying valley homes isn’t easy (7-7-2009)
- Federal funds meant to ease valley’s foreclosure problems (7-7-2009)
- HUD providing $18.5 million to help purchase foreclosed homes (3-30-2009)
- North Las Vegas eyes foreclosure solution (11-14-2008)
- State plan could ease pressure of ‘tsunami’ (10-23-2008)
Sun Topics
Las Vegas Mayor Oscar Goodman was angry today about the news that Las Vegas would not be getting any more federal Neighborhood Stabilization Plan funding to help keep neighborhoods besieged by foreclosures from becoming blighted.
"It's a slap in our face, it defies logic," Goodman said this morning at his weekly press conference. "But the NSP2 grants exclude Las Vegas from receiving any of the monies."
Goodman said he just learned about the lack of funds a few minutes before the press conference, "and I'm still hot." He planned to continue looking into the matter.
Meanwhile, Senate Majority Leader Harry Reid, D-Nev., was also looking into it this afternoon.
Reid issued a statement through his office this afternoon that he was "extremely disappointed" to learn that Southern Nevada will be denied the funding, designed to assist areas in the country with the most need.
"Secretary (Shaun) Donovan was in Las Vegas last summer and saw first-hand how serious the situation is. With the highest foreclosure rate and today’s news that bankruptcies increased by nearly 60 percent last year, it’s clear Nevadans need help and it’s time for HUD to step up," Reid said in the statement.
“HUD has indicated that the applicants in southern Nevada did not meet eligibility requirements but the agency needs to explain why. And, given the severity of the foreclosure crisis in southern Nevada, HUD needs to work with the state to provide needed resources to confront it.
“I will be sending a letter to Secretary Donovan asking him to meet with me to discuss this issue further. I also want to hear an explanation from the agencies in southern Nevada that received $60 million dollars from the first round of Neighborhood Stabilization funds about why, according to press reports, tens of millions of dollars have been left on the table. It would be a travesty if that alleged inaction cost our state badly-needed federal funding.”
On the first round of grants about a year ago, the city receive about $20 million, to be used to take care of homes that were foreclosed, he said. The Las Vegas Valley as a whole received around $64 million.
Goodman said at that particular time, he thought federal Department of Housing and Urban Development was doing the grants backward.
Rather than help people who were in danger of foreclosure, the money was given to the city to help purchase the homes that were already in foreclosure so they wouldn't become blighted and allow the city to provide affordable housing, he said.
In July, Las Vegas joined in with Clark County, North Las Vegas and Henderson to ask the federal government for another $368.2 million.
"But we get the list today and there's an omission that people could not understand," he said. The $2 billion in Recovery Act grants were announced today by Donovan's office.
Goodman said Las Vegas not being on the list of grantees "defies any kind of logic" because the Las Vegas area is considered "the poster child for economic woe at this point in time."
Goodman said that for 38 consecutive months, Las Vegas has been leading the country in economic trouble, which included foreclosures and unemployment.
"It's unbelievable for the number of people being laid off that we haven't received money from HUD," he said.
HUD made these grants out of Washington, D.C., and there was no opportunity for local input for the grants, Goodman said.
"Only a moron who follows anything that's happening wouldn't know how much we needed this money in order to take care of the problems we have in the community," he said. "Hopefully we're going to be able to rectify it because it's unacceptable at this point in time. It's just inexcusable."
"It seems like every other city in the United States got money, except us. It's outrageous. It makes me sick."
The mayor said that no one in the country had had worse foreclosure experiences that Las Vegas.
Looking through the list of grants, he noted that the Michigan State Housing Authority was given $223 million and Los Angeles had received $100 million.
Some 6,500 homes are going to hit the market in the Las Vegas Valley "and we can't afford to buy any of them because we don't have this money," he said, slamming the grant list down on the podium.
"It's a joke! But the joke's on us. And it stinks. It really stinks. And if people don't like me saying it, that's tough," he said.
Goodman said he didn't know if the city could make an appeal to be included in this round of funding.
"I have a phone call in to HUD. Everybody's bewildered who has been associated with the process related to Las Vegas. Nobody can figure out what this story is because it is illogical, it makes no sense and it's just nuts."
He said Reno received $20.9 million but no other city in Nevada received any funding in the second round of funding.
"Habitat for Humanity is getting money all over the place and Las Vegas doesn't get a penny," he said. "...I'm going to try to do something about this."
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"Only a moron who follows anything that's happening wouldn't know how much we needed this money in order to take care of the problems we have in the community,"
Tell it to Harry Reid and Obama......
Sounds like you need a better grant writer. Not everyone can do this kind of thing. Doesn't surprise me that the money will not be forthcoming. This state truly doesn't care about the the people who live here - it only cares about gaming and tourism. Screw the people that live here.
Where's the powerful harry reid that Nevada so desperately needs?
Harry traded it away in a back-room deal on ObamaCare!
Giving tax money to people who will not pay their mortgages is ridiculous. Foreclose and sell it.
NO free houses, no more welfare
$368.2 million would be $56,646 for each of the 6500 homes he says will hit the market. Seems like this money is going to the wrong people! If just half of $56,646 was used to reduce principle and modify each of these home owners mortgages, they surly would be able to stay in their homes and greatly improve the real estate market.
If this money is given to the government they will just waste it hiring move un-needed government employee and do nothing to help the poor people loosing their homes.
Give it to the people, NOT THE GOVERNMENT! This whole thing, the real estate crash has been engineered to transfer private property to the banks and the government, just like they did in the great depression, read your history.
Going to the wrong people?
So people who lied about their income should be given a house? Why should people who do not pay their bills and those that do fund it?
Reduce principle? How about buying me a car or paying my credit card? These deadbeats will raise a new generation that expects a bailout for everything. Enough is Enough.
Sounds like the Feds finally decided to stop throwing good money at bad with Las Vegas. Now if only they'd stop doing the same in the rest of the country so that I don't have to pay other peoples' mortgages...
AND WHAT IS OUR GOVERNOR , STATE SENATORS, AND ALL POWERFUL HARRY REID DOING TO HELP US ? ABSOLUTELY NOTHING !!!
I'm with lizzieborden -- find out who wrote the grant proposal and FIRE them for gross incompetence. In fact, I'd like to know the name of the writer who couldn't make the case for LV getting this competitive grant.
I agree that paying down people's mortgages is a wrong thing to do, but IF the Fed Government is going to give away our tax dollars, and it appears they are doing so in a big way, I would rather see it go to the people rather than be used to build a bigger government that will need to be fed with more tax dollars in the future, once you create more government jobs, even though they are not needed, it's almost imposable to eliminate them.
The Obama plan is to destroy the private sector and replace it with more government jobs, once you have most of the people depending on government for their livelihood, they are very easy to control. This is what everything that is going on is about!
the money should go towards lowering the costs of my bullets.
downtown doesn't look much better than Hatti, send the aid there then
HookorCrook
The government could never buy these homes, fix them up and sell them at below market prices and still make a profit? If, or when this could be done, the private sector could do it much better and for much less.
Everything and anything that the government is involved in, costs more and delvers less! You know this!
Foreclosure aid simply delays the inevitable. Let the houses go into foreclosure. The market will correct itself. That's what free markets do.
And before anyone accuses me of being heartless, my own house is going into foreclosure. I bought it four years ago at nearly $200 a square foot. Today its worth less than half of that. My wife and I bought it as our dream home. We put 20% down, thought we would live there forever. We both lost our jobs, got way behind on the mortgage, we have no good way out. I have no problems with the bank taking the house back. They are entitled to do so. I blame nodody but myself. I took a big risk, I lost big. It happens.
I have to agree with "Nick". This city isn't in a position where we have most of our foreclosures due to people losing their income and as a result not being able to pay their mortgage. People who saved up, and invested in their community and own families. What we have here is too many people buying homes that they KNEW they couldn't afford as either a primary residence or investment property. We shouldn't reward irresponsible and deceptive behavior.
Goodman can complain all he wants, but he is a part of the problem. Had the city have instituted controlled development and expansion of the city, none of this would have happened. Even so, he doesn't care about the voters. His concern is that lost property tax revenue. Those homes could burn to the ground, people could loose their jobs, and everyone could become homeless for all City Hall cares. Just as long as the taxes keep rolling in...
Nightmare: You are responsible and honest. Sometimes luck runs out and you man up and move on. You will recover and build again.
I wish more people had your values.
nightmare :
Spoken like a true and honorable gambler! My hat is off to you! and may better luck befall you and your wife soon!
E.P.
How can you be surprised that the federal government turns its back on Las Vegas? Haven't you been paying any attention to the way we treat our own citizens? They're not going to help us until we try to help ourself.
The schools, the poor, the uninsured . . . none of you freaks give as crap about anyone else but yourself or what you can get from the federal government. The government doesdn't owe you anything until you take some responsibility for the trailer trash reputation we've earned.
I'm getting my family the hell out of here. Save your, "Don't let the door knob hit you . . . " comments. You can have this crap hole. You're not going to be happy until it reverts back to dirt roads and outhouses and your kids are too stupid to do anything but dig holes.
Enjoy it. You deserve it. You've earned it. Now choke on it.
Come on Harry? Where's our share of the pie???
What are you doing for NEVADA????
We know you are spending 999.99% of your time working on the Obama/Pelosi/Reid machine, but couldn't you at least toss a few crumbs to Nevada??
I feel like a small child asking:
"Please sir, may I have some more?"
What a surprise!!!
Obama will be here soon to show his support for Reid. Maybe we should let him know that we are not happy, I'm curious to see what words will pop up on the teleprompter or whether he will simply say "Hope and Change".
Has Washington become a better place with the democratic super majority. Reid has paid off other senators and has left Nevada out to dry.
Good luck to you and your wife, Nightmare. I'm so sorry about your awful predicaments, but your post is refreshing in that you are very upfront about the realities of life, and are accepting of said realities because, sadly, we cannot always control our fate as much as we think we can or would like.
I have a feeling that with your attitude, eventually, you will be just fine.
What happened to all the "clout" Harry has that we can't afford to give up?
I think the people who decided to leave Las Vegas out of getting funding probably lost money in Las Vegas. If you flew to any city in the US for a vacation, and got mugged, you'd probably say to hell with that city if I ever have a say in it. What did you do with all of the money people blew in your town? Oh, you gave it to your firefighter's... Idiots.
Obama probably lost money in LV also, and is coming to visit just to take a dump on Goodman's desk. I just don't see any sympathy abroad for Las Vegas, it enjoyed a perfect economy for too long.
It's called "Obama doesn't want bail out money going to towns that are "fun / tourist locations" or to that affect when he slammed us last year...
I like the red-faced picture of Goodman the Sun put there, too. Very funny.
We should've let the Feds stash their nuclear waste at Yucca Mtn. Then NV could be sitting pretty with millions of federal dollars coming in.
Blown opportunity, imo.
Stupidest city in the world IMO, if it cannot capitalise on what it has. People bitching about lack of diversification in the local business are idiots because they don't realize other cities don't have that either and would gladly trade the tourism industry like Las Vegas has for whatever they have.
This city needs to use what it has [glitz?] for what it's good for... Hollywood style, next generation, prototyping. Test marketing.
Why is Oscar angry about L.A. getting 100 million.....the city alone has a population of 4,065,585 and the county has a population of 10,393,185, considering the population numbers, it doesn't seem out of line. An old rundown house in Watts or South Central costs more than newer ones in Las Vegas. Check realtor.com to see prices there.
"The mayor said that no one in the country had had worse foreclosure experiences that Las Vegas."
Toplikcar -- should be "THAN Vegas."
Nightmare -- look up NRS 104.3501 then use it. That's your way out.
VegasVegas,
I agree the leadership sucks, starting with Goodman, Rory Reid, and who knows who else. It's like a shell that needs to be broken.
But once the shell is broken, I think the test market approach is good for Las Vegas. Town Centers like it/ hate it. Hate it? OK destroy it, build the next option...
The problem has been the overvaluation of property in Las Vegas drowning any innovation... It's a desert, land is worth nothing...NOTHING
Nightmare -- find a local fireman to torch your house for you (cleanly) then collect the insurance, that's your other way out... I'm too drunk and lazy to look up NRS 104.3501
TopLicker -- your spelling is fine, if you are who you say you are :)
There is no Toplikcar, dammit!
Internet, you've made a fool of me for the last time! Damn you!
Reid is the second most powerful person in DC by some ranking.
He got Benedict Nelson a sweet deal to buy his vote.
All Reid got for us was lousy T-shirts that say, "Obama...the light skin non-negro speaking dude."
Wow mrability you sound like a teaparty guy.
mrability would be on the other side of the line if that whore had accepted his wedding proposal
loosers... it's losers you idiot. If you can't address me properly, I can't take you seriously you uneducated POS.
Seriously, am I missing out on some joke that everybody who posts a comment mispells losers and their, they're, there?
Looser is your mother's name who got knocked up by your Uncle Dummer, we think.
Ask not what Oscar's country can do for him - ask what Oscar can do for his country?
Did Oscar lose Harry's phone number?
It's 1-866-SEN-REID (736-7343)
: p
THERE ARE NOT ENOUGH JOBS HERE TO SUPPORT A MORTGAGE EVEN WITH THIS "GIVE-AWAY" FOR CLOSING COSTS AND DOWN PAYMENTS.
It's more than likely that even if anyone got any money at all they wouldn't even be able to pay the mortgage for one year, let alone 30 years.
Yeah, just what we need, more "investor" Section 8 and Section 42 housing that ends up being used by meth dealers and cookers, illegal aliens and their anchor-baby kids, heroin shooting galleries, jacked-up home car repair businesses, and havens for gang members whose only inevitable job will be doing prison work in an orange jumpsuit.
The only people who get anything out of this deal are scammer Real Estate people, Mortgage Loan people, Banking people, and the Politicos that need "cooked up" programs to get "donations".
Who cares if this is for "pretend give-away" mortgages. Let's talk about $100 million for a new industial factory, not some yo-yo scammer's sales commission fees and late night real-estate fantasy.
wizardofoz:
I'm with ya here, don't forget to mention that these cookie cutter grade three materials homes aren't worth the paint jobs that cover them !
tomfranklin
You are kinda right about Harry reid cut a back door deal with Obamacare
Harry Reid is so consumed with the Healthcare bill and some of his other pet projects that the moroon doesnt care about Nevada like he should.
between Reid and Pilosi California and Nevada are in real trouble.What people seem to not understand is the healthcare bill is not costitutionally legal.My concerns is that they are going to figure this out and pass costitutional amendments to make it legal.
If reid would worry about Nevada and the countries economic situation and work on starting federal projects instead of a bill that is not legal we would truelly be on economic recovery.Reid needs to resign or an imediate vote of confidence should be called and the state legislation call for his resignation.
The people in favor of the healthcare bill do not understand what it trully means for this country.No more freedom.
WALL STREET - BAILED OUT.....DETROIT - BAILED OUT.....EVEN HAITI GETS A $100 MILLION HELPING HAND.....VEGAS - THE SHAFT!
But Dee, we get to keep Harry when Washington D.C. is finished with him...
What is OUTRAGEOUS is that one DIME of tax money is going to buy houses. This is just another glorified bailout which hurts us all far more than it helps. Without the flood of artificial demand for housing from these sorts of misbegotten programs, the PRICE of housing would have dropped ANOTHER 50% from where it currently is, and THAT would help a lot more people actually AFFORD to be able to BUY A HOUSE, many of us even without a loan.
Some of you folks continue to be misguided;
The Feds don't call up Gov'ner Gym, or Uncle Harry, or Slepwither Ensign, or The King of Las Vegas Oscar, and say "HEY BOYS! HOW MUCH YA NEED DOWN THERE IN NEVADA?"
Lizzieborden has it right... who bothered to ask?
AND did they have a proper Grant writer?
We are surrounded by such FOOLS and INCOMPETENTS!
Nevada has been by-passed this month by DOL for over $290 Million in Green Energy Training despite the best efforts of expert grant writers for the Energy Partners Grant and Pathways from Poverty. Nevada received Zero Dollars. Add that to the 3rd lowest 2010 Weatherization allocation announced to weeks ago and a pattern is emerging. Many of the theories stated above are certainly accurate.
IMHO, Harry Reid needs to move on. He's done so little for Nevada despite claims to the contrary. His commercials touting his accomplishments, are embellishments, at best. He's so terrified of losing his cushy job and being put out to pasture, he's formed his own support group. Yeah, nice try Harry. See you in the old senator's home. LOL!!
hey OSCAR
maybe if you didnt focus on the bimbo holly madison filming her reality tv show at your office,you might have realized what was going on with the housing denial
Fri%&&( moron
peace out
im sorry everyone,and NO im not jealous of holly coattails madison
you just dont see anywhere else in our nation,a reality television show being allowed to film with no purpose inside of a mayors office
that political mentality that exists just is bothersome
have a great weekend
peace out
Obviously our officials are at their best. This recent article just proved it. Come election time you know who to vote for!!!!!!
Hey Oscar, call "Fat Tony" he will take care of things. forgetabountit
If the Neighborhood Stabilization Plan is a form of federal aid, isn't that some form of, I hesitate to say, SOCIALISM??? If it is indeed socialism, won't that eventually lead to the destruction of truth, justice and the American way?
Mayor Goodman should respectfully decline these funds as they will have to paid for by somebody through taxes. If someone is going grandstand against taxes they shouldn't get angry when federal aid is denied to them. I thought the argument was that low taxes and little regulation lead to wealth and prosperity. Guess he just wants something for nothing, just like the rest of Vegas.
what does he want the money for put other people in empty house
Screw the real estate market. Foreclosed the idiots who bought these houses and let capitalism sort it out. The problem we have today is the goddamn government sticking its nose into very part of our economic decision making. Let's start with getting rid of the tax deduction for mortgage interest.
Our elected officials make me sick with their hands out to Washington begging like lepers. Take some responsibility for a change.
OOOOOOOOOkkkkkkkkkkkkkkkkkkkk, I just don't get it. All you Harry Reid supporters tout how great it is to have the SENATE MAJORITY LEADER as our state's representative, yet we continually receive THIS type of support from him.
Reason I bring this up is this comparison is always made to the people who will run against Reid in November.
OK, maybe I do get it. We keep Reid in, and we KEEP GETTING THIS KIND OF SUPPORT.
OR
We get someone new in, the old senate majority leader who is the cause of a lot of our current problems with this administration goes OUT,
AND
we just, just might get someone in who CARES about our state!
Hmmmm, what to decide, what to decide....
Bad Reid
Bad Senator
http://aBadReid.com
Here's a novel idea...why not contact the banks in this state and ask them exactly what steps they are doing to step up to the plate to prevent foreclosure and help when asked to help? There is an entire host of people simply walking away from their commitment. Well, if you want to play games, shouldn't there at least be someone to play with?
Nightmare, you're a good dude. I'm pleased to see so many positve comments about your post. Perhaps there is hope after all. Keep on keepin on!
There are so many illiterate posts on this listing. I am resentful of many of them. Nightmare is one of the only ones that I can identify with. We need to let the people around this issue aware we are upset and we need to figure out why this happened and get it fixed.
I definately agree with Nightmare and had similar scenario. I have been living in Vegas for 14 yrs. My wife I and bought an expensive house in 2005 and put 20% cash down. After all is said and done, we lost our home and lost $200k in cash. Like Nightmare, I took a risk because I thought it made sence. We made all the payments and still had to make a payoff to the bank to approve the short sell. I thought it was a good investment for my family. I was wrong and made a bad business decision. Our home is gone. All of the pain of saving and investing in a home is gone.
The fact is that this (for lack of a better analogy) a sweeping Financial Sunami in US hosuing markets like Nevada, AZ, CA and FL. The market will correct itself. I just hope this town is a town I still want to live in after the correction.
I am very disspointed in the responce from the government to address this. This issue is not new. The banks and governments have been slow and stupid from even over a yr ago. I liken it to the levy issue from Katrina. Just no Skycam mass flood TV spot.
Maybe our public servants don't care about locals? There is probably a couple that do. I think this is THE opportunity for the right people to rise to the occation. Or maybe just do their job and what we elected them for.
We'll see what the story was on the LV ommission. I vote in every election and will be paying close attend to how people act on this and what happened. If someone messed up, they need to help clean up and fix this problem. Even if they are digging a ditch.
I will certainly remember the people who lead the way to better days on this.
Look at what most of the foreclosures consist of, poeple walking away from thier note because the house isn't worth what the note is. A bunch of idiots bought homes they knew they couldn't afford in the first place and then bought at the same time all the speculators were buying which was driving the price up, now the speculators lost and so did anyone else who bought at the same time.
Some people need to be loosing their homes. They are in a tight spot...
Ok, quit the blame game. Oh, I forgot, HUD has consistently been the most corrupt of all agencies. I worked for them and in the early 80's some of us used to tell folks that we worked for the IRS because they had a friendlier reputation. Get HUD! They only ever had one competent head (the present head fool might be an exception) and that was Henry Cisneros. All before and since have been political idiots.
Hey Oscar, go back to your roots and threaten obama and HUD with a baseball bat beating.
With a jacka$$ like you for a mayor, if I was in charge of the money you wouldn't get a dime either. anyone with even a single brain cell knows you and your corrupt government would keep most of the money, not the people that need it.