Chattanooga City Council expected to address housing authority term changes

Chattanooga Housing Authority houses, like the Glenwood Heights Apartments on Judson Lane, are to be updated in the near future.
Chattanooga Housing Authority houses, like the Glenwood Heights Apartments on Judson Lane, are to be updated in the near future.

Chattanooga Housing Authority board members this week approved a 2017 budget, renewed a contract for pest control and made plans to apply for tax credits for more affordable housing.

Executive Director Betsy McCright also established plans to make sure no more than two board members have terms that expire at the same time. She worked with the mayor's office to research term ending dates, because under current rules the housing agency faces the possibility of losing five board members at the same time.

She said she plans to attend City Council meetings at 3 p.m. and 6 p.m. Tuesday, when she expects council members to approve the changes. Commissioners now can serve up to five-year terms.

Local public housing residents have argued residents should have more representation on the board after Eddie Holmes, a board member since 2006, and Jim Sattler, a board member since 2005, were re-elected as chairman and vice chairman, respectively. Residents said most current board members don't represent their interests on issues such as windows not opening and how funds generated from laundry and vending machines at housing sites are spent.

Accounting consultant Philippe Lindsay said the housing authority is in overall good shape financially for 2017, but housing officials said the authority will eventually need more financial support from the federal government if it's going to avoid deficits. The housing authority expects the federal government will give it about 90.21 cents for every dollar it's due in 2017 for low-income public housing. And the authority will get 83.94 cents for every dollar it's due in its Housing Choice voucher program.

McCright said the agency has survived funding shortages by cutting staff and expenses. She cut expenses about 50 percent from 2016 looking forward to 2017. But it will eventually be difficult to continue cutting staff and still get quality service, McCright said.

Board members also approved spending more than $176,200 for two separate contract renewals with Kirkland's Pest Control.

It approved $81,252 for authoritywide general pest eradication and a $95,000 renewal for bedbug inspection, treatment and control services.

The board renewed the services less than three months after East Lake Courts residents became so frustrated by roaches, rats and bedbugs that some residents started a petition asking for something to be done. Residents said they planned to send the petition and letters of complaint to the U.S. Department of Housing and Urban Development.

The board also approved authorizing the housing agency to establish a limited liability company to serve as the owner for the development of the CHA scattered sites at Missionary Heights Apartments, Glenwood Heights Apartments-East and North, and Woodside Avenue Apartments. The housing agency is seeking 9 percent low-income tax credits to renovate the housing sites totaling nearly 100 units of housing.

The board also honored board member Jim Steffes, who is leaving after more than 11 years.

"I just don't think the city understands the quality of the organization that we have here, the dedication and professional staff that resides here at the housing authority," Steffes said.

Steffes, who assisted the housing authority in preparing for audits, was among all seven authority commissioners who this week attended the agency's last board meeting of the year.

Mayor Andy Berke has nominated Carl Henderson, a partner and certified public accountant at Henderson, Hutcherson & McCullough, to replace Steffes.

Contact staff writer Yolanda Putman at yputman@timesfreepress.com or 423-757-6431.

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