MARCUS SANTOS/ FOR THE NEW YORK DAILY NEWS
New York City Deputy Mayor Cas Holloway publically dismissed Controller John Liu's scathing audit on the city’s $2 billion upgrade of its 911 system — but this month he cited that same audit to the feds as proof city officials were being vigilant.
More than a year ago, Mayor Bloomberg dismissed as “stupid” a scathing audit by
Controller John Liu on the city’s $2 billion upgrade of its 911 system.
That audit, one of two released by Liu that year on the problem-plagued upgrade, claimed that Hewlett-Packard, the project’s main contractor, had repeatedly submitted “inflated” and “possibly fraudulent” charges and that city officials “grossly mismanaged” the effort as costs spiraled.
Bloomberg bluntly labeled Liu’s findings “intellectually dishonest.”
“The controller’s audit has three primary conclusions, none of them true,” Deputy Mayor Cas Holloway added.
The administration disagreed “almost entirely with your auditors’ findings and conclusions,” Bruce Gaskey, director of the Office of Citywide Emergency Communications, wrote to Liu. Gaskey even accused the controller of “deliberately misrepresent(ing) the facts.”
Given those denunciations, you may be surprised to learn what City Hall told the federal government just two weeks ago about the same 911 upgrade and the same Liu audits.
Letter dated Aug. 9 from Deputy Mayor Cas Holloway to Homeland Security Secretary Janet Napolitano regarding the 911 system.
On Aug. 9, Deputy Mayor Holloway wrote to Secretary of Homeland Security Janet Napolitano in an effort to head off a potentially embarrassing federal probe of the 911 project.
In that letter, a copy of which the Daily News has obtained, Holloway pointed to Liu’s audits as proof city officials were being vigilant.
“The city agreed with some of the controller’s findings,” Holloway wrote, and is reviewing payments made to Hewlett-Packard, “to determine what, if any recoupment should be pursued.”
No mention of “stupid” findings or of the city disagreeing “almost entirely” with Liu.
Holloway’s letter was a response to a formal complaint to Napolitano from Lillian Roberts, executive director of District Council 37, the main city workers union.
Page 2 of the letter.
On June 10, Roberts called for a federal investigation of the 911 project’s cost overruns and “operational issues.” The letter came after the NYPD rolled out a new computerized dispatch system — a rollout immediately beset with a flurry of computer glitches and highly publicized delayed responses.
Homeland Security provided a small amount of funding for the project, so the agency has the authority to review how those funds were used.
City Hall spokesman Kamran Mumtaz said he sees nothing unusual in Holloway’s softened tone toward Liu’s findings.
“We strongly disagreed with most of the controller's conclusions,” Mumtaz said. Liu “inaccurately claimed the city overpaid HP by as much as $163 million — that is simply not true.”
More than a year after the audits were released, City Hall still hasn’t said how much it believes HP actually did overbill taxpayers.
“City Hall will say anything if it thinks it will head off scrutiny of Mayor Bloomberg's management debacles,” Liu said Tuesday.