The troubled city of Montebello, Calif., took another financial hit last week when federal housing officials suspended funding to the city and demanded repayment of $5 million in grants, according to local news reports.

U.S. Department of Housing and Urban Development officials told the city last week it must pay back $2.7 million on top of $2.2 million already owed to the federal agency. HUD also froze Montebello’s access to affordable housing funds, citing 31 violations, according to the Los Angeles Times.

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