DETROIT (AP) - Detroit’s land bank will pay Michigan housing officials $5 million as part of a settlement over invoices submitted for repayment as part of the city’s demolition program.
The city says, however, that the Michigan Homeowner Assistance Nonprofit Housing Corp. will make $5 million available to fund more demolitions of vacant structures in Detroit as part of the agreement.
The Michigan State Housing Development Authority announced the agreement Thursday between MHA and the Detroit Land Bank Authority. The nonprofit MHA was created to administer federal demolition funds.
Detroit’s demolition program has been under scrutiny by state and federal agencies.
In January, Mayor Mike Duggan said the city had agreed to repay $1.3 million but would seek resolution to other disputes. The $5 million announced Thursday is in addition to that repayment.
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