Bradenton Housing Authority still reeling from DeSue scandal

BRADENTON -- More than two and a half years after federal agents raided the Bradenton Housing Authority and escorted its executive director from the premises, the agency and its residents are still feeling the effects of the actions of former boss Wenston DeSue and former employee, now DeSue's wife, Stephanie West.

The pair bilked the agency of more than $300,000 and sent the agency spiraling into more than $500,000 in debt.

Much-needed capital improvement projects have been on hold for years and, according to Executive Director Ellis Mitchell Jr., hired in November 2014, it will take at least another year to fully recover.

The U.S. Department of Housing and Urban Development provides about $300,000 a year to the BHA for capital improvements. Since BHA is a small agency, it can use the money for whatever it needs and: "You all know how the previous administration used it," said Mitchell.

DeSue and West pleaded guilty September in federal court to one count each of theft of federal funds.

DeSue is spending a year in federal prison and West was sentenced to probation.

Both were ordered to pay restitution but, when federal prosecutors were asked by the presiding judge whether restitution should go to HUD or

BHA, they chose HUD.

However, it will likely take years for the DeSues to pay back what they owe.

Languishing projects include BHA's oldest housing units in the 2200 block of Martin Luther King Jr. Boulevard. Mitchell is trying to redevelop the 10-acre complex through the tax-credit application process, but it can take some time.

Once DeSue was terminated from the BHA, former acting Executive Director Darcy Branch said replacing the roofs on the Sugg development was a priority for years, but no funding was available in the wake of the scandal.

Mitchell said HUD capital funds in 2014 and 2015 had to be applied toward plugging the holes of a sinking ship.

Those holes have been repaired now and cost-saving measures Mitchell implemented the past year are working, but not quick enough. At least one Sugg unit's roof is collapsing and others are in desperate need of attention. BHA received a cost estimate of $264,000 to do the work, but those funds won't be available until the 2016 budget cycle this fall.

"And we have to wait to see what Congress funds HUD first before they can approve our budget," said Mitchell, who said the roofs will be a priority in the next budget. However, he said, with the intent to still redevelop the 50-year-old Sugg units, he could cut costs by doing a 10- to 15-year roof instead of a 20-year roof.

"Those are the priorities I want done," said Mitchell. "We have twice the turnover we do in Sugg than anywhere else."

Board Chairman Napoleon Mills, re-elected at Thursday's annual board meeting, said it is obvious why there is such high turnover.

"These are our oldest units," he said. "Look at the problems we are having with the roofs and floors."

Mills, the last board member under the DeSue era to remain, has been outspoken in taking responsibility for being taken advantage of by DeSue.

Last month, the board took on a new member in Judith Heston. Bonnie Belford joined the commission a few months ago and Gayle Jones joined the board this month.

Norma Dunwoody resigned from the board effective April 15. She was not on the board under DeSue and the resignation leaves an empty seat for now.

Mark Young, Herald urban affairs reporter, can be reached at 941-745-7041 or follow him on Twitter @urbanmark2014.

This story was originally published April 21, 2016 at 11:28 PM with the headline "Bradenton Housing Authority still reeling from DeSue scandal ."