Millions taken from the Stabilization Fund for wages & given to the city unions’ welfare funds.The UFT now sits on a billion dollar nest egg while members pay more out of pocket for stagnant benefits.
Excellent and long awaited assessment. We need an independent forensic audit. The City Council and other entities mentioned are in the pockets of the unions. Just as Pete Harckham (NYS senator) caved to pressure from the afl-cio on the NYS bill to protect all NYS retiree health benefits. Mulgrew is on the board of the AFL-CIO. Harckham was threatened with loss of support and donations. There is a seasoned professional who has done forensic audits for various pension funds. Time to blow the whistle.
Thank You for the revelation about the DC37 Welfare Fund paying Hunter Roberts Construction Group 100+ million dollars to renovate their Barclay St. HQ, despite the DOJ criminal settlement. I referenced this in my letter to The Chief, published today.
“Plaudits for audits”
Posted Wednesday, January 7, 2026 9:27 am
To the editor:
The audit of the Health Insurance Stabilization Fund conducted by former Comptroller Brad Lander, which declared it insolvent, was the first review in 40 years. Mayor Mamdani said that "the report, as well as any other analysis, is something that we are going to take seriously.”
Now is also the time to take seriously more focused and frequent audits of union administered benefit funds.
According to the Citizens Budget Commission (CBC), a nonpartisan fiscal watchdog, “The audits and annual reports reveal that many funds have problems with: (1) excessive administrative expenses, (2) unnecessary reserves, or (3) mismanagement.”
The CBC noted that between 2009 and 2017, only 9 of 108 funds were audited, "and only $44.5 million out of $10.3 billion in City contributions to welfare funds during that audit period.”
The Comptroller’s last comprehensive audit of all benefit funds was in fiscal year 2020. One troubling finding was that 57 funds did not use a certified public accountant (CPA) firm on the Comptroller’s prequalified list. One was the District Council 37 Welfare Fund, the second largest fund in the City.
This is troubling, if for no other reason that District Council 37 has paid about $130 million to one of the contractors participating in renovations to its 125 Barclay Street property over the past four years, according to IRS Form 990 filings.
It is the Hunter Roberts Construction Group, which had to pay $7 million penalties and restitution for engaging in a fraudulent overbilling scheme, after a 2015 Department of Justice criminal investigation.
Comptroller Levine can put a fresh set of eyes on all of these taxpayer dollars, with more vigilant oversight.
Retired for 5 years now from the UFT. I’m disappointed and totally disgusted by Mulgrew who tried to push us into Medicare Advantage Plan and added copays. It comes down to misogyny, the majority of teachers are women whereas many of our so-called Unity leaders are male. NYCPD AND NYCFD pay no premiums on medications and no copays. Teachers are the unwanted step children of city workers.
Excellent abd informative piece.
So how can we get an audit underway?
What steps are needed to ensure that it happens?
Excellent and long awaited assessment. We need an independent forensic audit. The City Council and other entities mentioned are in the pockets of the unions. Just as Pete Harckham (NYS senator) caved to pressure from the afl-cio on the NYS bill to protect all NYS retiree health benefits. Mulgrew is on the board of the AFL-CIO. Harckham was threatened with loss of support and donations. There is a seasoned professional who has done forensic audits for various pension funds. Time to blow the whistle.
Thank you , everyone must read this.
Thank You for the revelation about the DC37 Welfare Fund paying Hunter Roberts Construction Group 100+ million dollars to renovate their Barclay St. HQ, despite the DOJ criminal settlement. I referenced this in my letter to The Chief, published today.
“Plaudits for audits”
Posted Wednesday, January 7, 2026 9:27 am
To the editor:
The audit of the Health Insurance Stabilization Fund conducted by former Comptroller Brad Lander, which declared it insolvent, was the first review in 40 years. Mayor Mamdani said that "the report, as well as any other analysis, is something that we are going to take seriously.”
Now is also the time to take seriously more focused and frequent audits of union administered benefit funds.
According to the Citizens Budget Commission (CBC), a nonpartisan fiscal watchdog, “The audits and annual reports reveal that many funds have problems with: (1) excessive administrative expenses, (2) unnecessary reserves, or (3) mismanagement.”
The CBC noted that between 2009 and 2017, only 9 of 108 funds were audited, "and only $44.5 million out of $10.3 billion in City contributions to welfare funds during that audit period.”
The Comptroller’s last comprehensive audit of all benefit funds was in fiscal year 2020. One troubling finding was that 57 funds did not use a certified public accountant (CPA) firm on the Comptroller’s prequalified list. One was the District Council 37 Welfare Fund, the second largest fund in the City.
This is troubling, if for no other reason that District Council 37 has paid about $130 million to one of the contractors participating in renovations to its 125 Barclay Street property over the past four years, according to IRS Form 990 filings.
It is the Hunter Roberts Construction Group, which had to pay $7 million penalties and restitution for engaging in a fraudulent overbilling scheme, after a 2015 Department of Justice criminal investigation.
Comptroller Levine can put a fresh set of eyes on all of these taxpayer dollars, with more vigilant oversight.
Harry Weiner
It is a sign of hope that the Comptroller is exiting with an audit of the Health Stabilization Fund.
A day of reckoning is coming. Mulgrew and the MLC are roasting the books and chestnuts over an open fire.
https://www.thecity.nyc/2025/12/22/city-comptroller-audit-health-stabilization-fund-brad-lander/
Retired for 5 years now from the UFT. I’m disappointed and totally disgusted by Mulgrew who tried to push us into Medicare Advantage Plan and added copays. It comes down to misogyny, the majority of teachers are women whereas many of our so-called Unity leaders are male. NYCPD AND NYCFD pay no premiums on medications and no copays. Teachers are the unwanted step children of city workers.