YOUNGSTOWN — American Rescue Plan funds given by Youngstown Councilwoman Samantha Turner to Youngstown CityScape includes “disturbingly inappropriate expenditures for lobbying to secure additional funds in contravention of federal law,” according to city Law Director Jeff Limbian.

Limbian wrote a Tuesday letter to Turner, D-3rd Ward, and Sharon Letson, CityScape’s executive director, stating there are a number of ARP expenditures related to the Belmont Avenue corridor revitalization project that appear to violate federal law, including a March trip to Washington, D.C.

Limbian wrote in the letter to them: “Please cease all ARP expenditures until a complete review can be accomplished. Federal laws have been violated and certain expenditures are not in conformity with the Youngstown city administration’s plan for the best utilization of ARP funds. Please forward all receipts, invoices and expenditures to the law department as soon as practicable so that an investigation with greater scrutiny can be accomplished.”

Limbian said he would let “the letter speak for itself.”

Turner sent a written statement that Limbian’s letter “took all involved by surprise because we have all been transparently working for the betterment of the community. If something (was) misspent, I would have hoped the administration would bring it to the organization’s attention and ask for clarification rather than send what appears to be a politically motivated letter.”

She added: “However, I will work with the United States Treasury to ensure that we meet the required law and I look forward to providing additional information in the future.”

Letson issued a written statement: “CityScape did not knowingly use any funds improperly. ARP funding and guidelines are new and untested, and we will take all necessary steps to clarify the process. It is significant to note that no one from the city of Youngstown has ever reached out to me or our staff to attempt to clarify or resolve any issues.”

In an April 26 letter to Turner, Letson listed $22,183.96 in expenses during the first three months of the year related to the “Ward 3 Revitalization Projects” that use $1.1 million the councilwoman gave the organization from her $2 million total ARP allocation.

About $300,000 of that $1.1 million is supposed to go toward CityScape’s efforts to improve the Belmont Avenue corridor in Turner’s ward.

Limbian wrote that all of the expenses listed by Letson are in question, but further analysis is needed.

“The Airbnb in Washington, the consulting firms, various vendors in Washington and the excessive CityScape administrative fees are all suspect and must be analyzed in more depth and will require more review,” he wrote.

Limbian added: “It has been suggested that ARP monies have been used for grant writing to secure even (more federal) money. All such expenditures are not allowable and must be repaid by your organization and not with ARP funds.”

ITEMIZED LIST

The itemized list Letson sent to Turner includes $5,267.50 in CityScape administrative fees; $11,295.06 in consulting fees to Milestone Partners, a Villanova, Pa., firm that is doing the corridor study; $4,815 to KO Consulting LLC of Youngstown; $313 for the Airbnb; $425.44 in dinners at local restaurants that included the purchase of alcohol; and $67.96 in travel and meals to “various vendors” during the Washington, D.C., trip of March 26 to 28.

Limbian wrote the meals and alcohol purchases are “concerning and not allowable ARP expenditures.”

In Letson’s letter to Turner, she states KO was retained to “assist in submitting formal federal earmark funding requests” to U.S. Sen. Sherrod Brown, D-Cleveland, and U.S. Rep. Bill Johnson, R-Marietta, for the corridor project.

Letson also wrote that she and Turner met with representatives of the two while in Washington to “promote the corridor project for federal earmark spending.”

In Limbian’s letter, he wrote the trip to Washington “appears to be a direct violation of the Byrd Anti-Lobbying Amendment.” That amendment requires those who apply for or seek a federal award of at least $100,000 to certify that appropriated federal funds weren’t used to pay a person or organization for influencing or attempting to influence a member of Congress or a congressional staff member.

Limbian also wrote that Turner’s involvement in hiring consultants for the corridor study “crosses the line of the administrative functioning of the city and must be discouraged.” Also, meeting with congressional representatives “was inappropriate and not in keeping with the city’s goal of correct ARP expenditures.”

RESPONSES

In Letson’s letter to Turner, she wrote that the $22,183.96 were “expended as directed by the Final Rule of the Coronavirus State and Local Fiscal Recovery Funds.”

She added: “CityScape is using its ARPA funding to address economic harms to the Third Ward community by improving the Belmont corridor. Our intent is a tailored response to negative economic impacts and aims to include households, small businesses, impacted industries and nonprofits along the corridor.”

In her Tuesday statement, Letson said: “For 26 years, we have been a loyal partner to the city and have worked tirelessly to improve and revitalize our community. We are preparing to respond to the letter and resolve any outstanding questions. For 26 years, our reputation has been impeccable, and we intend to ensure it remains so.”

Turner wrote Tuesday that since the June 28 meeting of the city’s ARP committee at which the $22,183.96 in expenses were disclosed voluntarily, “there has yet to be any correspondence from the administration to CityScape or myself stating issues with their use of the funds.”

She added she was “confident CityScape would work with the administration to make corrections if the administration had any perceived issues.”

TURNER’S CRITICISM

Turner has been a vocal critic of how her colleagues have used the $2 million per ward the council members approved — $14 million in total — in April 2022. Turner, who has alienated several council members and was removed last year from committees, frequently has voted against those funding requests.

She was the lone “no” vote on the legislation to give each member $2 million in ARP funding saying it was because the administration failed to provide “guidelines and instructions for” ARP spending.

On Monday, Turner objected to legislation sponsored by Councilman Julius Oliver, D-1st Ward, to give $150,000 in ARP funds to the Western Reserve Port Authority to purchase 64 Ridge Ave. to turn it into a community center and business incubator.

Turner abstained from voting after Oliver pointed out that she was a board member of the Boys & Girls Club of Youngstown. But before that, Turner read a lengthy letter from the club’s executive director, James F. Bird, objecting to the project — saying there already are a number of existing buildings that can be used for the project.

After that vote, Limbian — in response to a question from Councilman Mike Ray, D-4th Ward — said that council members who serve on boards shouldn’t engage in discussions that impact those organizations.

Not participating in those talks “would be a wise course of conduct,” said Limbian, who apparently was putting the finishing touches on the letter he would send Turner and Letson the following day.