Milwaukee, WI

Milwaukee Housing Authority short on cash after misuse of $2.8 million in funds

Published

10 months ago

January 31, 2025

Milwaukee Housing Authority short on cash after misuse of .8 million in funds

Milwaukee Housing Authority executives are scrambling to cut costs, after the agency’s new chief financial officer discovered that more than $2.8 million in rental assistance funds were misused by his predecessors.

Between 2019 and 2022, the Housing Authority’s former director of finance improperly pulled restricted federal funds out of the Section 8 rent assistance program to cover cash needs in other divisions of the agency, according to the CFO’s discovery.

Those transfers were used to cover a number of expenses — including administrative payroll and costs from construction projects that had gone over budget.

As a consequence, the Housing Authority says it is running an average of 45 days behind on paying its expenditures. The agency also has fallen behind on its pension fund contributions, and costs from its development projects currently exceed the amount covered by construction loans.

Now, executives are making major cuts to help “stop the bleeding.” On Thursday, 20 Housing Authority employees were laid off to bring down expenses.

New finance hire solved $3 million mystery

The dramatic discovery — disclosed publicly during a special meeting of the Housing Authority Board of Commissioners on Friday afternoon — solves a mystery that confounded agency leaders, the mayor’s office and federal regulators for nearly two years.

In April 2023, federal auditors reported finding more than $3 million in “unexplained variances” on the Housing Authority’s bank balance. After nearly two years, the agency’s finance team had failed to reconcile that cash balance.

Brad Leak — who joined the Housing Authority’s finance team in November and was promoted to be its chief financial officer on Jan. 19 — was able to trace that cash within a matter of months.

The revelation also comes after a dramatic leadership shakeup inside the agency.

All but one member of the Housing Authority Board of Commissioners are new appointees, and a slew of top executives have either retired or resigned in recent months — including Willie Hines, the agency’s controversial top executive and Fernando Aniban, the Housing Authority’s second-in-command and former chief financial officer.

Other recent departures include Finance Director Rick Koffarnus, Housing Choice Voucher Program Director Jackie Martinez and Warren Jones, vice president of construction for the Housing Authority’s development arm.

No evidence employees pocketed funds, more investigation promised

The use of restricted federal funds for unauthorized purposes is “improper and illegal under federal regulation,” Leak said in his address to the board Friday.

But Leak and Acting Secretary-Executive Director Ken Barbeau say they have not found evidence that the funds were pocketed for personal expenses — only that they were improperly transferred within the agency.

A recent forensic audit, which reviewed every financial record within the Section 8 rent assistance program, also did not find any evidence that employees had pocketed agency money.

That forensic audit, however, did not review financial records in other divisions of the Housing Authority — including within its real estate development arm Travaux, Inc.

Now, as these findings come to light, board is discussing the possibility of another forensic audit to examine other parts of the agency, Barbeau said.

Board chair vows ‘it’s a new day’ for the Housing Authority

Chairperson Charlotte Hayslett, who grew up in public housing and joined the board in November, became emotional as she apologized to residents on behalf of the organization.

“This is an embarrassment,” Hayslett said, adding: “It’s a new day here. I can’t impress upon you enough: It’s a new day here.”

As Hayslett thanked him for immediately coming forward with his findings, Leak wiped away tears.

Hayslett also spoke directly to local nonprofit Common Ground, which has spent the past two years organizing public housing residents and lobbying for reform of the Housing Authority.

“Thank you for that bullhorn,” she said. “Had it not been for you giving voice to the voiceless, people still would’ve been in place doing what they were doing.”

In a statement Friday, Common Ground leaders called for since-departed executives to be held accountable.

“We smelled smoke,” Common Ground tenants and organizers said. “Here’s the fire.”

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Milwaukee, WI

Milwaukee lights 112th annual Christmas tree in historic Deer District celebration

Published

12 hours ago

November 22, 2025

Press Room

Milwaukee lights 112th annual Christmas tree in historic Deer District celebration

MILWAUKEE — Milwaukee celebrated the lighting of its 112th annual Christmas tree Thursday evening in the Deer District, marking the second-longest-running Christmas tree lighting tradition in the United States behind only New York City.

The 42-foot Colorado blue spruce, donated by Kaitlyn Schmidt Thabet and Amgad Thabet, was transformed with vibrant jewel tones, large reflective metallic ornaments, oversized snowflakes and lighted stars inspired by the theme “Shining Together.”

“This tree stands as a celebration of Milwaukee’s incredible spirit during the winter season,” said David Caruso, designer of the Christmas tree and local event planner and TV host. “My hope is that it fills your evening and your holidays with light, joy and pride.”

Watch the full tree lighting ceremony:

Milwaukee lights 112th annual Christmas tree in historic Deer District celebration

Mayor Cavalier Johnson emphasized the historic significance of the event during his remarks to the crowd gathered in the Deer District.

“Tonight is special, not just because the holiday brings people together, but because this is a historic night for Milwaukee,” Johnson said. “Our Christmas tree lighting in the City of Milwaukee is the second-longest-running Christmas tree lighting in the United States of America, only behind New York City.”

The celebration featured performances by the Reagan High School varsity Drumline and entertainment by Guyton Entertainment and DJ YC.

Santa Claus made a special appearance, accompanied by his reindeer. Another famous deer — Bucks mascot Bango, also took part in the celebration.

Peter Feigin, president of the Milwaukee Bucks and Fiserv Forum, expressed pride in hosting the tree lighting in the Deer District.

“This is what we dreamed about when we built the Deer District,” Feigin said. “This is one of the greatest things.”

The celebration concluded with the mayor’s family and other children helping to officially light the tree, continuing Milwaukee’s 112-year tradition of bringing the community together for the holidays.

The event also launched the new Deer District Holiday Market, which runs through November 30 in the beer garden area. The market features local makers, food and drinks.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.

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Milwaukee, WI

112th Annual Christmas Tree Lighting in Milwaukee’s Cheer District

Published

1 day ago

November 21, 2025

Press Room

112th Annual Christmas Tree Lighting

Dynamic Events by David Caruso, designer of the City of Milwaukee Christmas Tree, will produce the tree-lighting ceremony on Nov. 21 with Mayor Johnson.

MILWAUKEE – Deer District is transformed into Cheer District through Jan. 15. The City of Milwaukee Christmas Tree will also be displayed in Cheer District for the fourth straight year and lit by Milwaukee Mayor Cavalier Johnson at a ceremony on Friday, Nov. 21.

Dynamic Events by David Caruso, designer of the City of Milwaukee Christmas Tree, will produce the tree-lighting ceremony on Nov. 21 with Mayor Johnson.

The City of Milwaukee Christmas Tree is the second-longest running official tree in the United States after New York City, with this year marking the 112th year of the city’s tree.

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Milwaukee, WI

Hugh Jackman to attend Milwaukee premiere of ‘Song Sung Blue’

Published

2 days ago

November 20, 2025

Press Room

Hugh Jackman to attend Milwaukee premiere of ‘Song Sung Blue’

MILWAUKEE — Oscar-nominated actor Hugh Jackman will be visiting the Badger State in the coming weeks for his upcoming film “Song Sung Blue.”

The film, starring Jackman and Kate Hudson, is based on an iconic Milwaukee Neil Diamond tribute band called Lightning & Thunder.

Hugh Jackman as Mike Sardina (left) and Kate Hudson as Claire Stengl (right) in director Craig Brewer’s “Song Sung Blue,” a Focus Features release. (Focus Features)

Mike Sardina was the “Lightning” while Claire Stengl was the “Thunder.” As the film’s description suggests, the two found love while following their musician dreams. They performed in the Midwest throughout the 80s and 90s and also opened for some major bands. They later married. Mike Sardina died in 2006.

Now, with the film about their lives and careers gearing up to play in theaters, there will be a special appearance in Cream City.

Hugh Jackman in director Craig Brewer’s “Song Sung Blue,” a Focus Features release. (Focus Features)

Because of the film’s roots, a premiere will take place at The Oriental Theatre in Milwaukee, 2230 N Farwell Ave, on Dec. 2.

During the hometown premiere, Jackman and the writer and director of the film, Craig Brewer, will attend.

Hugh Jackman as Mike Sardina (left) and Kate Hudson as Claire Stengl (right) in director Craig Brewer’s “Song Sung Blue,” a Focus Features release. (Focus Features)

“Song Sung Blue” will start playing in theaters on Christmas Day, Dec. 25, 2025. The film also stars Michael Imperioli, Ella Anderson, King Princess, Mustafa Shakir, Hudson Hensley with Fisher Stevens and Jim Belushi.

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