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HUD No. 21-051
HUD Public Affairs
(202) 708-0685
FOR RELEASE
Thursday
April 1, 2021

GARY HOUSING AUTHORITY RETURNED TO LOCAL CONTROL AFTER SEVEN YEARS UNDER FEDERAL RECEIVERSHIP


WASHINGTON - U.S. Department of Housing and Urban Development (HUD) on Thursday announced Gary Housing Authority’s (GHA) transition back to local control. HUD assumed control of the agency in 2013.

“The Gary Housing Authority has made significant progress over the past several years," said HUD Secretary Marcia Fudge. “I'm pleased that we are able to take this important step with Mayor Prince to return the GHA to local control, where it will continue to serve its residents and the community. HUD looks forward to ensuring a successful transition, under the oversight of the Board of Commissioners. We could not take this important step without the partnership of the housing authority and the local government.”

“This is a great moment for the people of the City of Gary and for the Gary Housing Authority,” said Mayor Jerome Prince, mayor of Gary, Indiana. “Under Director Taryl Bonds, we're looking forward to exceeding our GHA residents' expectations and providing them with the best possible service. I especially want to thank Secretary Fudge for her leadership and vision.”

Under the Cooperative Endeavor Agreement between HUD’s Office of Public and Indian Housing (PIH) and the City of Gary:

  • HUD’s recovery team, in collaboration with the community, provided GHA the tools and support to correct these issues and turn the agency around. GHA is no longer designated as troubled in its public housing program, and its Housing Choice Voucher program has achieved a high performer designation.
  • Since 2013, HUD provided GHA with $11.9m in special grants for demolition and rehabilitation, and $7.3m in contractor assistance to support the recovery effort. These numbers are above and beyond the countless hours of on-site and remote direct assistance provided by at least 18 different HUD team members from across the country.
  • HUD put in place and developed new executive leadership, provided technical expertise to resolve management issues, built GHA staff and advisory committee capacity, and guided GHA to available HUD resources to maximize the impact of limited financial resources.
  • GHA received an overall passing Public Housing Assessment System (PHAS) for GHA’s properties, improved physical condition and inspection scores, increased occupancy rates, an unmodified financial audit with no findings, demolition of more than 400 blighted units at six sites, approval to demolish approximately 600 additional obsolete units at four sites, preservation of more than $13 million in Capital Fund grants at risk of recapture, opening of a successful community resource center, and a sustained high performer designation for its Housing Choice Voucher program.

HUD assumed control of the GHA 7 and a half years ago, citing substantial default and possession based on GHA’s chronic poor performance. As of April 1, GHA will have approximately 1,100 of public housing units and approximately 2,000 Housing Choice Vouchers.

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