By Lev D. Zilbermints
NEWARK – In the May 16 issue of Local Talk, this newspaper blasted the lid off numerous problems that beset the Newark Housing Authority (NHA). We cited the Executive Summary of the report, which demonstrated deep-seated financial, administrative, oversight, and management problems at the Newark Housing Authority. In the second part, “Local Talk” examines the problems with governance of Newark Housing Authority.
According to the Newark Housing Authority Independent Assessment, governance of NHA is vested in a seven – commissioner board. Of these, one position, the appointee from the Governor’s Office, has been vacant for the past three years.
The current list of commissioners are: Norma Gonzalez, Chairperson; Brian Logan, Vice Chairperson; Patrick Council, Commissioner; Linda Washington, Tenant Commissioner; Alif Muhammad, Commissioner; Daud Haqq, Commissioner.
What the law says. How the Board of Commissioners was created.
“The Newark Housing Authority was created and established through New Jersey State Legislation for the accomplishment of any and all purposes specified in New Jersey Revised Statutes Title 40A: 12A-17 (2013). The state law governing the Board of Commissioners is NJRST 40A:12A-17, which states that the Board should have seven (7) Board Commissioners appointed as follows:
“A housing authority shall be created pursuant to the procedures of the ‘Local Authorities Fiscal Control Law,’ P.L.1983, c.313 (C.40A:5A-1 et seq.). The authority shall consist of seven members. In a county that operates under the ‘county executive plan’ set forth in the ‘Optional County Charter Law,’ P.L.1972, c.154 (C.40:41A-1 et seq.), six members shall be appointed by the county executive with the advice and consent of the board of chosen freeholders, and one member shall be appointed by the Commissioner of Community Affairs.
“In all other counties and municipalities, five members shall be appointed by the governing body of the county or municipality, as the case may be, one by the mayor or other chief executive officer of the municipality, or in the case of a county by the director of the board of chosen freeholders or by the chief executive officer of the county if the county’s charter provides for such an officer, and one by the Commissioner of Community Affairs.”
Board members receive no training
According to the report, “NHA Board members receive no orientation from their appointing official or the NHA as to the expectations, their role, functions of the Board or HUD programs. Many of the Board members interviewed stated that they needed additional training in specific areas as these areas are not specifically covered under (New Jersey Statutes Annotated) N.J.S.A. 40A:12A -45.”
“Additionally, many members discussed communication issues amongst Board Members and a lack of clarity on their roles and responsibilities. Without specific training on HUD programs and the role and functions of the Board, it is unclear how the Board is providing appropriate monitoring and oversight of the NHA.”
Conflicts of Interest
Two members of the Board of Commissioners hold positions with the City of Newark, which is a conflict of interest. According to the report, Chairperson Norma Gonzalez is a current employee of Invest Newark. According to the City’s website, Invest Newark is listed as “the primary economic development catalyst for the State of New Jersey’s largest city, Newark. It is organized to retain, attract and grow businesses, enhance small and minority capacity, and spur real estate development throughout the City’s 20 diverse neighborhoods.”
Patrick Council is both a member of the City Council and Board of Commissioners.
The question of why there was no vetting for any conflict of interest remains unanswered. Plausibly, the answer would be, politics as usual. In other words, those appointed to the Board of Commissioners have powerful political friends with connections.
According to the report, “The Newark Field Office and the NHA need to inform the appointing officials of these conflicts of interest and ask them to take appropriate steps to either replace these Board Members or provide a written legal opinion as to why they feel these appointments do not present any conflict of interest.”
“Another concern, raised both by both Board Members and staff members of NHA, is that Board Members are inappropriately interfering with the day-to-day operations of the NHA. Issues raised include Board Members interfering with hiring actions, disciplinary actions and engaging and making direct referrals of contractors and developers for business with NHA. Any such actions by the Board constitute a violation of the NHA’s Personnel Policy, the NHA’s Procurement Policy, and federal and state regulations and statutes.”
Victor Cirilo’s Role
According to the Newark Housing Authority Independent Assessment report, “Board Members state that they received limited information and reports at Board meetings on the financial condition, occupancy, legal action, HCV utilization, tenants accounts receivables, accounts payables physical condition, hiring, contracting and budget to actuals from the former Executive Director. They also state that they had no discussions with the former Executive Director about Strategic Plans or Priority Goals for the NHA (Newark Housing Authority).
“Additionally, they stated that their contract with their former Executive Director did not set any benchmarks or goals or timeframes or mechanism to regularly review the Executive Director’s performance. They note that they are starting to receive more information from their new Executive Director and that his contract does include goals or a regular schedule for performance reviews.”
