The defiant stand comes as the U.S. Department of Housing and Urban Development completes its six-week investigation of malfeasance charges against the board.

HUD is ordering the authority to repay $706,000 in non-authorized expenses such as the creation by Blacksheare of a $59,000 Edward Blacksheare Scholarship Fund for apartment tenants. Blacksheare is on record as saying the money could be paid back in about three years. He could not be reached by GlobeSt.com at publication deadline.

HUD's final report reprimands the authority and resigning executive director Timothy Hudson for mishandling and misspending about $1 million in federal funds over the past five-year reign of Hudson.

HUD owns six apartment projects totaling 450 units rented to low-income families. The investigation found 180 of the 450 units boarded up and in a dilapidated condition. HUD had assumed the units were fully rented, operating and producing revenue.

HUD accuses the board of giving Hudson a blank check and not asking him where, why or how the money was being spent. Hudson, a co-owner of two local commercial development firms, is resigning April 20.

The city commission representing this blue-collar suburb of 37,327 residents wanted to fire Hudson as the investigations unfolded but did not act to do so.

Besides misspending irregularities, HUD found Hudson was overpaid $9,200 for unused sick leave. Hudson makes $103,000 a year.

The city commission votes April 11 on Mayor Dale's charges and demand for termination of the five-member housing authority. The board has until then to rebut the mayor's accusations.

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