Monday, March 05, 2007

Housing Decision

Wildwood faces split decision on housing

By TRUDI GILFILLIAN Staff Writer, (609) 463-6716
Published: Monday, March 5, 2007

WILDWOOD — The federal Department of Housing and Urban Development is moving its public housing authorities toward a new way of doing business through project-based accounting and budgeting with a goal of operating those authorities more like their counterparts in the multi-family real estate business.

But the move has some, like Wildwood Housing Authority Executive Director William Harris, concerned that the change will actually make the small housing operation less efficient.

“This year, we should be able to maintain the status quo, but it could result in staff reductions later on,” Harris said.

The authority has one part-time and five full-time employees, two full-time and two part-time housekeeping staffers, and six full-time administrators.

Under project-based accounting, the authority will have to divide its two housing entities, Sandman Towers and Commissioners Court, by using two separate budgets and conducting two separate audits.

Sandman Towers has 100 efficiency or one-bedroom units, while Commissioners Court has 70 two-, three- or four-bedroom units.

The units in Sandman Towers are open to those meeting federal income guidelines who are older than 60 or permanently disabled, while Commissioners Court is open to low-income families.
While the change should make the Housing Authority more cost conscious, Harris said it will also add expenses, such as the need to install a second water meter, to allow the two facilities to be billed separately in keeping with the new accounting system.

It's a move Harris fears could make things less efficient given the small size of Wildwood's housing complex.

“This won't have any impacts in 2007 or through mid-2008, but possibly an effect later on in areas such as being able to turn over units and getting new people moved in,” Harris said.
Authority employees will have to undergo new training to meet the requirements of new Housing and Urban Development job descriptions that are more in keeping with their private sector counterparts.

Harris said the authority also is coping with budget changes as its federal subsidy drops from $640,569 in fiscal year 2007 to a projected $502,362 in fiscal year 2008.

The agency's total budget also will drop slightly from $1.27 million in 2007 to $1.25 million in 2008. Tenant rents, interest on the authority's reserves and grants from the state Department of Health and Senior Services support the budget.

To e-mail Trudi Gilfillian at The Press: TGilfillian@pressofac.com