WASHINGTON, DC—The Federal Reserve System's Inspector General is questioning the escalating project cost for the renovation of 1700 G St. NW for the Consumer Financial Protection Bureau.
The audit of the project was requested by North Carolina Congressman Patrick McHenry, chairman of the House Commission on Financial Services' subcommittee on oversight and investigations. The Federal Reserve Inspector General did not openly condemn the project, however, it did state that the project cost has ballooned from an original cost of $55 million to now more than $145 million, according to the Washington Business Journal.
The General Services Administration is now managing the renovation at the building for the Consumer Financial Protection Bureau, which was created in 2010 by the Dodd-Frank Wall Street Reform and Consumer Protection Act and currently has more than 1,000 employees.
“We cannot conclude whether a complete analysis would have altered the decision to approve funding for the renovation,” the Inspector General states in its report. “However, without this analysis, the value of the (CFPB's Investment Review Board) process as a funding control is diminished and a sound business case is not available to support the funding of the renovation.” See story in the Washington Business Journal.
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