MILWAUKEE, Wis. — A federal review of the Housing Authority of the City of Milwaukee (HACM) came to a one-word conclusion: it remains troubled.
HACM and its executive director, Willie Hines, have faced scrutiny for the past two years. This federal review of their operations confirms many concerns residents have shared with TMJ4’s Jenna Rae, including deplorable living conditions in properties citywide.
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The report, made public Wednesday, was sent to HACM leaders and Mayor Cavalier Johnson in October.
It states HACM is not providing high-quality public housing, inaccurately reporting financial information, and may not be in compliance with federal and state regulations.
"I feel that it's very sad," HACM resident Kelly Barnes said.
TMJ4's Jenna Rae was the first reporter to have the HUD report Wednesday. She shared it with residents.
"The report you just read as well showed a lot of confirmation of the things we suspected were going on in HACM," tenant William Harrell added.
Watch: Federal review calls Milwaukee’s Housing Authority “troubled”
In December 2022, the U.S. Department of Housing and Urban Development (HUD) labeled the agency “troubled” and outlined corrective actions for improved safety, financial management, and overall compliance.
This latest report from HUD reveals that none of those changes have been implemented.
"This is a huge violation of pubic trust that they would mismanage an essential service for the most vulnerable people this badly, but it also is a moment of vindication," Common Ground Executive Director, Jennifer O'Hear, said.
O'Hear and her team have rallied beside residents for several years to fight for better living conditions.
They've even helped residents sue the organization for a bed bug infestation at one property.
In the letter, HUD officials said HACM leadership, including Hines, lacked adequate oversight, citing the absence of a full board since 2019 and a failure to prioritize appointing new members by the prior and current mayor.
The report also highlights issues with HACM’s housing quality and financial reporting. HUD officials say the agency submitted “material misstatements,” including a variance of more than $2 million in an unreconciled account.
"If I was doing one-tenth of the things that are reported in this letter, I'd be fired. Anybody would," O'Hear added.
"It's not fair to us the way that things are being handled. We are the ones that are suffering," Barnes said.
"I've survived prostate cancer. I'm an overcomer, but now there's another cancer that's attacking and it's HACM," Harrell explained.
Because of HACM’s troubled designation, the federal government requires this assessment to be used to develop a recovery plan.
As of now, HACM's board is still short two commissioners. There's no word on if the mayor has made recommendations to the common council for those positions.
For the new members, they said they're working towards accountability and transparency.
"The issues are serious and they require us to take immediate actions, and we intend to be very transparent and intentional about the work that we do," new Vice Chair, Karen Gotzler, said Wednesday.
HACM's Executive Director Willie Hines stepped down last Friday. He submitted his retirement letter one month and one day after this HUD letter came out.
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