Public Housing Authorities.
Authorized by state law in 1939, a public housing authority (PHA) is an independent municipal corporation established to provide safe and affordable rental housing for low-income individuals, families, senior citizens, and people with disabilities. A PHA must be activated by a resolution of the governing body of a city or county, and a PHA's boundaries are coextensive with the creating city or county, unless established as a joint housing authority comprised of two or more jurisdictions. With some exceptions, PHAs are governed by a five-member commission appointed by a city's mayor or a county's commissioners.
While PHAs are created under state law, they primarily serve as a conduit for federally funded housing programs, such as tenant-based vouchers and publicly owned housing. The PHAs also own and operate other rental housing, such as emergency and transitional housing, senior housing, and properties funded through low-income housing tax credits. The PHAs have no taxing authority, and a majority of their funding is provided by the federal government.
Public Works.
"Public works" means all work, construction, alteration, repair, or improvement, other than ordinary maintenance, executed at the cost of the state or a municipality. All public works, including maintenance when performed by contract, must comply with prevailing wage statutes.
A PHA may contract with a property management services company to operate a housing project. Rental and other project revenues collected by a property management services company from the housing project's tenants and used to pay operating and maintenance costs must be treated as private funds.
(In support) Many housing authority properties operate without an operating subsidy, and housing authorities work hard to keep rents as low as possible. A key component in keeping rents low is the use of private property management companies. Ordinary maintenance does not always require high skill level. Residents expect maintenance issues to be resolved quickly and cost effectively. Without this technical fix, housing authorities will be required to use the public works procurement process for routine maintenance, such as a clogged drain. Rents will increase, and repairs and maintenance will be delayed. The bill addresses issues created by an agency-imposed rule.
(Opposed) None.
(Other) While the intent of the bill is to cover activities related to getting an apartment ready for the next tenant, such as cleaning or touch-up paint, the bill does not establish limits on the maintenance activities that would be allowed. The bill needs to clearly define the types of maintenance that would not be considered a public work.