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Augusta Housing Director Resigns Amid Federal Grant Scandal

Augusta City Hall, where the recent housing director scandal unfolded

News Summary

Hawthorne Welcher, Augusta’s Housing and Community Development Director, resigned following a suspension and an FBI investigation into the mismanagement of over $6 million in federal rental assistance funds. The Augusta Commission unanimously accepted his resignation, with calls for transparency regarding the financial discrepancies. An audit is expected to take five to six months as the city addresses this issue, with Deputy Administrator Charles Jackson stepping in as acting Housing Director. The mayor has called for clarity and a day of mourning for the community.

Augusta Housing Director Resigns Amid $6 Million Federal Grant Scandal

Augusta’s Housing and Community Development Director Hawthorne Welcher resigned last week following a month-long suspension and the initiation of an investigation by the Federal Bureau of Investigation (FBI). The Augusta Commission accepted Welcher’s resignation unanimously in their recent meeting, though Commissioner Brandon Garrett was absent.

Welcher’s departure comes after city officials discovered that over $6 million in federal grant money, intended for rental assistance during the COVID-19 pandemic, remained unspent and was not returned promptly after the government demanded a refund. Following this revelation, an audit of his department was launched.

In his resignation letter, Welcher described his 17 years of service with the city as “professionally and personally rewarding.” However, he did not explicitly mention the circumstances leading to his resignation. While some Commission members expressed surprise at his decision, there was a consensus on the need for clarity regarding the financial discrepancies and the ongoing federal investigation.

Audit and Investigation Details

The audit of Welcher’s department is anticipated to take approximately five to six months to complete. The FBI was recently confirmed to be conducting unspecified law enforcement activities at the Augusta-Richmond County Municipal Building, although it remains unclear whether Welcher’s resignation is directly related to the ongoing FBI investigation.

An unnamed source has suggested that the FBI’s inquiries may be associated with the Augusta Land Bank Authority’s recent lease agreement with WODA Cooper Development, signed on May 16. However, specific details about the investigation or any connections to the mismanagement of the federal funds have yet to be disclosed by the FBI.

Impact on City Leadership

In the interim, Deputy Administrator Charles Jackson will step in as the acting Housing Director until a permanent replacement is appointed. Jackson has previously held interim roles in various city departments, including Parks and Recreation.

During the Commission meeting, Commissioner Tony Lewis noted that he believed Welcher could have awaited the completion of the audit before resigning, although he acknowledged that there were discrepancies in the department’s financial operations but not evidence of theft. Commissioner Jordan Johnson emphasized the importance of transparency in addressing the situation, describing it as a “stain on the community.”

Background Context

Hawthorne Welcher’s resignation follows a troubling episode for Augusta’s Housing and Community Development Department. The federal rental assistance funds, intended to assist residents affected by the COVID-19 pandemic, were mismanaged, raising serious concerns among city officials. As a result, efforts are underway to ensure accurate information is disseminated to the public while they await the findings of the ongoing audit.

Mayor Garnett Johnson has emphasized the necessity for transparency as the city navigates this challenging situation. He has also declared a day of mourning for former Commissioner Richard Colclough, reflecting the leadership challenges and community concerns arising from Welcher’s resignation.

As the investigation proceeds and the audit results become available, it is anticipated that more clarity will emerge regarding the management of federal funds and the implications for Augusta’s housing programs.