The Department of Homeless Services announced Thursday that it is severing some, but not all, ties with Bushwick Economic Development Corporation (BEDCO), a nonprofit service provider that ran the South Bronx apartment shelter where two toddlers were fatally scalded by steam from a broken radiator last December.

BEDCO-operated hotel and cluster-site shelters will be either closed or transferred to other providers in the coming months, according to DHS. Eight traditional shelters, including an East Flatbush shelter that recently partnered with HBO for renovations, will remain open.

Mayor de Blasio has previously pledged to eliminate all hotel shelters—which have a reputation for lax security and limited resources—as well as cluster sites like the one where Scylee Vayoh and Ibanez Ambrose were killed, which cost the city north of $2,500 a month per unit with notoriously poor oversight. But homelessness continues to rise city-wide, and Social Services Commissioner Steven Banks has said hotel shelters, at least, are a necessary stop-gap measure.

The DHS release does not mention the Ambrose tragedy, and says that BEDCO's contracts are being cut as part of an "ongoing comprehensive review" of shelter conditions—one of the suggestions that came out of a 90-day review of all DHS procedures in 2016.

"We are aggressively reforming decades-old policies and practices, including ending relationships with providers who have had a history of serious shelter conditions or other issues," Banks said in a statement Thursday.

The Ambrose deaths were not BEDCO's first brush with controversy. Residents of the South Bronx building had reportedly been complaining to BEDCO about the radiators for a year before the tragedy, to no avail. And subsequent DNAInfo reporting found that a former BEDCO partner had allegedly received anonymous death threats after withholding payment from the company. BEDCO was also reportedly investigated by the city twice, was sued for failing to pay rent, and allegedly tried to cover up debts.

A 2015 Department of Investigation report found that there was no security, no onsite staff, and 149 open building violations at a BEDCO cluster site on East 174th Street in the Bronx.

In response to our inquiry about the decision to maintain contracts with eight traditional BEDCO-run shelters, DHS spokeswoman Lauren Gray said, "We will continue to review all aspects of this and our other providers."

We previously reported that city records show the company is in the middle of two four-year contracts with the city worth $28 million.

Last year, the city severed ties with another notorious shelter service provider: We Always Care, a nonprofit affiliated with Barry Hersko. The Legal Aid Society is currently representing 27 families, all former shelter residents, fighting to remain in former Hersko cluster-site apartments. Many went months without basic utilities last fall; at least one subject of our profile, who lives in a former Hersko building in Bed-Stuy, is still without utilities.

BEDCO did not immediately respond to a request for comment.