CG Statement Regarding HACM’s Third-Party Nepotism Investigation

Today, the HACM Board will discuss a third-party investigation about nepotism conducted by James M. Carroll of Buelow Vetter Buikema Olson & Vliet (attached). We commend the new HACM Board for transparently releasing the investigation—sparked by our FOIA requests.

The report validates everything we and HACM tenants said for years: That the previous HACM administration—led by Willie Hines, Fernando Aniban, Greg Anderson, Crystal Reed-Hardy (former HR director), and others—was not just incompetent, but also disreputable. The previous HACM leadership knowingly violated internal nepotism policies, federal regulations, and HUD guidelines, creating a “permissive culture regarding nepotism.” Disgraceful.

Particularly damning are pages 17-21 of the report regarding Ms. Reed-Hardy, the former HR Director going back to 2011, who played a role in employment decisions/actions related to her daughter and other family.

As the report states:

“Ms. Reed-Hardy used a temporary agency to bring Ms. Hardy (her daughter) into the organization before she was hired directly, noting that if other upper level HACM employees (such as Fernando Aniban) could hire their family members, she should be able to do the same.”

…

“As the human resources director for the entire HACM and Travaux organizations, it is fair to say that Ms. Reedy-Hardy exercises significant authority regarding organizational policies and most HACM/Travaux employees, regardless of whether she directly supervises them. For this reason, while the most diligent attention to nepotism and conflict of interest policies and best practices should be expected of her, the evidence indicates that she fell far short of that standard. Particularly (but not exclusively) troubling are her admission that she is not particularly familiar with nepotism/conflict of interest policies, her concessions that she should not have signed off on a raise for her own daughter, and her lack of candor when asked to identify HACM/Travaux employees to whom she has family or personal connections… Though Ms. Reed-Hardy maintains that she took appropriate steps to avoid conflicts of interest, the record suggests otherwise, particularly given her long-standing and influential position within the HACM/Travaux organizational chart. Her actions regarding her daughter… are particularly egregious. Credible evidence indicates that Ms. Reedy-Hardy understood her actions were potentially problematic, thereby prompting her to erect sham barriers between herself and her daughter’s employment.”

We are glad that the new HACM Board and Executive Leadership promptly removed Ms. Reed-Hardy and others involved in nepotism.

To the previous HACM leadership—and those who supported them: Shame on you. Because of you, thousands of vulnerable people suffered. Because of you, HACM’s Section 8 program was outsourced to a third-party company. Because of you, HACM is buried in $10 million of debt. You perpetrated real, immoral, structural harm to Milwaukee’s communities. We will not forget what you did.

To the new HACM leadership: Keep up the good work.

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.