Columbia University has ceased its financial contributions to a nearly $100 million fund established to regenerate West Harlem, citing decades of mismanagement by the nonprofit tasked with its oversight. The university made its final payment last year to the West Harlem Development Corporation (WHDC), leaving the fund with approximately $56 million.
The fund was created in 2009 as part of a deal where Columbia University allocated over $96 million to the WHDC. This was intended as a form of restitution for the displacement of local residents during the university's $6.3 billion expansion into the Manhattanville neighborhood, an area spanning West 125th to West 134th streets. The expansion itself was controversial, involving the seizure of existing buildings through eminent domain, which led to protests from local business owners and residents.
Despite the initial intentions to foster economic growth and community participation, sources within Columbia University have expressed frustration over the WHDC's inability to develop a strategic plan for the funds. Nearly two decades after its inception, not one major project has been conceived or built using the allocated money. A significant portion, roughly $20 million, designated for affordable housing, remains largely unspent.
Instead of substantial development, the fund has reportedly been used for token grants to arts organizations and other community initiatives, as well as expenditures such as purchasing Broadway tickets for seniors and distributing turkeys during Thanksgiving. Former board members have alleged that the funds were steered towards pet projects rather than broader community needs like housing and subsidized transportation.
Allegations of Mismanagement and Discrimination
The WHDC has been plagued by internal dysfunction and accusations of mismanagement. Larry English, a lawyer and current WHDC board member representing Congressman Adriano Espaillat, stated that the board has failed to retain a competent firm to manage the endowment, constituting a breach of fiduciary duty. He also highlighted the lack of progress on affordable housing, a critical concern for West Harlem.
Further complicating the situation are recent allegations of racism and antisemitism within the organization. A federal lawsuit has been filed by a former board member and employee, Vincent Morgan, who claims the current Executive Director, Zead Ramadan, engaged in a pattern of discriminatory behavior. Ramadan, who also serves on the board of the Council on American and Islamic Relations (CAIR) New York City chapter, is one of the few paid employees at WHDC, earning $225,000 annually.
Concerns about the management of the community benefits agreement surfaced early, even during its drafting in 2007. Several board members resigned at that time due to disagreements over the negotiation process with Columbia. In 2010, then Manhattan Borough President Scott Stringer criticized the organization for failing to establish clear guidelines and accountability for fund distribution. At that time, board members resigned amid concerns the nonprofit was becoming a "slush fund" for politicians.
In 2014, former board chair Donald Notice resigned amid allegations of nepotism just before a vote to award a $10 million housing fund to a nonprofit run by his sister.
Community activists, such as Derrick Haynes, an advocate for juvenile offenders, have expressed disappointment that the funds have not benefited the community as intended, with residents continuing to face economic pressures.
Despite the controversies and allegations, Judge Milton Tingling, who has chaired the WHDC since 2013, remains in his position. WHDC bylaws were changed in 2020 to allow board members to serve extended terms, citing the COVID-19 pandemic, and Tingling continues to lead the organization. The organization's annual grants to local nonprofits amount to around $2 million, with its largest single grant being $125,000 per year to the Harlem Arts Alliance.