OLYMPIA… Senate Republican Leader John Braun, R-Centralia, is calling for a full investigation and immediate accountability after a Seattle journalist’s months-long investigation revealed information indicating that people connected to a race-restricted homeownership program have been misusing taxpayer funds for personal gain.
The investigation involves the Community Reinvestment Program managed by the state Department of Commerce. It was launched by majority Democrats through a $200 million budget appropriation in 2022 and received another infusion in the budget adopted in April.
Braun said the apparent scandal demonstrates a deeper problem: state-endorsed discrimination creates fertile ground for corruption, allowing a select few to profit while struggling families are fed false hope.
“This mess isn’t an accident — corruption thrives wherever government decides certain people get special treatment and others don’t. When politicians divide people by race, they create a shadow system with no transparency, no fairness, and no results. That’s exactly what we’re seeing here.
“The Democratic majority funneled another $50 million to this program last year. People were told to trust this program – that it would have widespread impact in minority homeownership. Instead, the report I saw today indicates it’s been treated like a private bank account. This is about more than wasting money — it has stolen hope from families counting on a fair chance to build a future.
“When public money is hijacked by self-serving operators, every Washingtonian pays the price. Corruption at any level is morally rotten, but especially if it happens under the nose of the agency that has been entrusted to oversee this program. This financially destructive to our state and simply cannot continue.
Braun said Senate Republicans will sponsor legislation to:
- Eliminate discriminatory housing programs that pick winners and losers based on race
- Impose strict oversight and spending controls on state-funded nonprofits
- Enforce performance standards so that assistance reaches real families, not insiders