The Commercial-News, Danville, IL

July 18, 2008

DHA budget affects director contract

BY JENNIFER BAILEY

DANVILLE — Unknown budget numbers from the U.S. Department of Housing and Urban Development, and other uncer-tainties regarding Danville Housing Authority board members and city housing plans, caused the DHA board of commissioners on Thursday to extend executive director Greg Hilleary’s contract by only a few months.

“With the uncertainty with finances and with board appointments, (we) don’t really want to strap anybody down at this time,” board chairman Mike Puhr said.

Hilleary’s current contract is extended through Dec. 31. Hilleary’s annual salary is $60,100.

His latest two-year contract is up in August. Hilleary previously had a one-year contract after taking over after Richard Unz resigned.

Puhr said hopefully by December, the DHA will have a full board of commissioners, a firm budget to work with from the federal government and an idea of Mayor Scott Eisenhauer’s city housing plans.

DHA officials have asked Eisenhauer to reappoint and/or appoint more board members.

Of the seven-member board, commissioner Peggy Kunze has resigned; Puhr’s term expired a year ago, but he can still serve despite not being re-appointed; and Chip Hasselbring will be moving.

As for unknown budget numbers, the DHA’s fiscal year started in April, but it’s still not seen what funding it will receive from HUD for operations.

“It’s crazy,” Puhr said.

The board hopes to receive budget information by next month.

The DHA has seen cuts in funding for the last three years.

It’s also experiencing low occupancy right now.

Public housing is leased up at about 81/82 percent, while 520 Section 8 subsidized housing vouchers are leased of 620 vouchers available.

Puhr said the authority’s tougher leases and occupancy requirements have caused occupancy to be down.

He’s looking forward to having more firm budget numbers and “to see where we’re at” before “a real contract” with Hilleary is reached.

Hilleary said he’s also frustrated with still being in the dark about budget numbers.

“That’s probably the most challenging piece, not knowing financially what you can and can’t do,” he said, such as for operating expenses and employee raises.

“If we could just get a feel from Washington as to what they’re going to do,” he said.

Lately, the DHA only has been funded at 80-some percent of the more than $1 million it requests each year.

In other business Thursday, the board approved a three-year pest control contract with Terminix Services Inc. of Danville at a base cost of $20,856 per year for all authority properties. The proposal also includes auxiliary services, such as exterior ant control and termite control.

The DHA received proposals from Terminix, Carso Pest Control and McCloud Services.

Carso has been the DHA’s provider for the past three years, but Hilleary said there has been high turnover for technicians, and he’s not sure, but a possible lack of training, in addition to possibly bugs becoming immune to what they’re using.

“Currently we are experiencing the worst infestation levels that we have had in six years,” Hilleary said.

He said the DHA has lost points in HUD inspections because of the bugs in certain areas, such as mechanical rooms where hot water heaters and furnaces are located.

Terminix provided an economical and most comprehensive service plan, he said.

Hilleary also commented on last week’s community dialogue on public housing presented by the East Central Illinois Community Action Agency.

“It was a great start,” he said of community input and understanding.

He’s eager to see the final report from the day-long session.

Hilleary said the authority plans to further review the Section 8 home ownership program to help people move from the sub-sidized program into their own homes.

He said federal funding is gone for most family services.

The DHA’s duty is to house people, not be a social service agency, he said.

He said the DHA will explore, however, if funding is available to have a family self-sufficiency program here.