Milwaukee’s rental assistance program outsourced to private company 

Change is coming to Milwaukee’s Housing Authority, with new members poised to join the board and a private company taking over management of the city’s Section 8 housing voucher program.

Last month, the Housing Authority Board of Commissioners selected Florida-based CVR Associates to take over the rental assistance program after the U.S. Department of Housing and Urban Development mandated the city outsource the program because of mismanagement. HUD previously notified the agency that its Section 8 bookkeeping contained millions of dollars in “discrepancies” and also posed a fraud risk. 

Opponents of that decision called on the board to select a local contractor. Milwaukee County — which manages a smaller Section 8 program — was one of the six bids to administer the program.

“We were deeply disappointed to see that outsourced to a Florida for profit company, when there could have been either a compromise, or the selection of the (Milwaukee) county housing authority,” said Jennifer O’Hear, an organizer with the advocacy group Common Ground.

Some in the community, including Common Ground, had pushed for a delay in that decision because three of the seven seats on the board of commissioners are vacant.

However, the board could soon be at full capacity. On Monday, the city’s steering and rules committee heard testimony from Milwaukee Mayor Cavalier Johnson’s three new picks to the board — Jackie Burrell, Charlotte Hayslett and Milwaukee Alder Sharlen Moore.

The appointments were confirmed by the committee Monday, but they still need approval from the Milwaukee Common Council. After the meeting, organizers with Common Ground said they were encouraged by what the nominees said about their vision for the future of the housing authority.

“We’re really hopeful and excited,” O’Hear said.

Barb Valley, a resident of Lincoln Court, is one of dozens of residents who have complained to the board about a host of maintenance and safety issues at public housing properties across the city. She said she was pleased with the testimony Monday.

“I was impressed. I think they’ll do a good job,” Valley said of the new picks for the board.

CVR Associates got highest scores from review committee

Around 7,000 households participate in Milwaukee’s Section 8 housing voucher program. The program provides rental assistance for low-income families and individuals.

CVR Associates will now run the $42 million program for at least the next five years. 

Willie Hines, the secretary-executive director of the Housing Authority of the city of Milwaukee, said last month that he believed the selection was the right choice. He said the company has taken over “troubled” programs in the past. 

“We’re excited with the decision that was made,” Hines said. “It was a long time coming, but it was worth the wait and now we’re excited about what the future holds.” 

CVR Associates received the highest average scores in past performance and management plans from a committee that reviewed bids.

Fradique Rocha, the CEO of CVR Associates, is a former lawyer for the Boston Housing Authority. The company currently manages voucher programs for public housing agencies in Chicago, San Francisco, Buffalo and Westchester County in New York. 

Hines said while the company is not from Milwaukee, it’ll still have a presence in the city and will be working out of the current Housing Choice Voucher Program office on the city’s west side. He said the company has a “proven record.”

“What we’re more concerned about is their ability to perform and be able to meet HUD rules and regulations and get us back to high performing status,” Hines said. 

New leadership likely coming to the board

On Monday, alders on the steering and rules committee questioned board nominees about their priorities if confirmed.

“We have high hopes for you guys for significant improvement,” Milwaukee Alder Russell Stamper said.

Hayslett, the former vice president of human resources at Visit Milwaukee, said she grew up in public housing properties in the city. During the meeting Monday, she said believes there’s a “lack of transparency” and a “breakdown in communication” between residents and the housing authority.

“I don’t know where the fractures are internally, but it’s time to really address these things, and change the dynamics of everything that’s happening in the housing authority right now, today,” Hayslett said.

Burrell, a resident of Westlawn Gardens, said one of her top priorities on the board would be to improve communication between residents and managers of the agency.

“The reason that I do choose to sit on the board is because I want my voice, as well as the resident voices, to be heard,” Burrell said.

Some residents have criticized the board in the past for not holding in-person meetings. Moore said she values public input and would commit to holding monthly meetings with leadership and tenants.

“We should be able to respect and value every single member of our community, and that’s what that’s why I’m here. That’s why I’m looking to be appointed to this board,” Moore said.

The Milwaukee Common Council also confirmed Karen Gotzler as a new member of the Housing Authority Board of Commissioners during a meeting on Nov. 6. 

“For the past quarter-century Gotzler has been a consultant, contractor, or employee of public housing authorities,” Johnson wrote in a statement about the nomination.

Jeff Fleming, a spokesperson for Johnson, said current board member Brooke VanDeberg will likely be replaced by Moore if she’s approved by the common council. Fleming wrote in an email that VandeBerg has “asked the Council not to act on her nomination.”