Atlantic City Housing Authority Drafts Response to Federal Takeover Notice

ATLANTIC CITY, N.J. — The Atlantic City Housing Authority (ACHA) is in the process of composing a formal reply to a federal takeover notice issued by the U.S. Department of Housing and Urban Development (HUD). HUD declared the authority to be in “substantial default” and recommended that the federal government assume control due to unresolved management and operational concerns. This determination was conveyed in a detailed letter from HUD’s Principal Deputy Assistant Secretary, Benjamin Hobbs. The letter outlined significant issues that HUD concluded were too severe to be addressed solely by ACHA. Following this notice, ACHA was given 10 business days to prepare and submit a response. As of now, the authority is finalizing a draft expected to run between 20 and 25 pages. The response will cover HUD’s findings, present documentation supporting ACHA’s position, and specify where the authority disagrees with the federal assessment. Once the response is completed and submitted, ACHA plans to provide the public with a summary of the document. HUD’s decision to pursue federal oversight stems from ongoing concerns about the housing authority’s property maintenance, quality of services delivered to residents, and fiscal management. The outcome of HUD’s review of ACHA’s response will determine the next steps, including whether a federal takeover will proceed. The Atlantic City Housing Authority continues to engage in efforts to address the federal government’s concerns within the required timeframe.