A
housing authority is a public body corporate and politic created
by a city or county declaring a need for affordable housing.
RCW 35.82.030. Governing body: A five-member board of
commissioners one of which must be directly assisted by the
authority. No commissioner can be an officer or employee of the
city or county in which the housing authority was created. All
of the power of the housing authority is vested in the
commissioners. A housing authority may conduct examinations,
investigations, hear testimony & take proof under oath at public
or private hearings and issue subpoenas.
A
housing authority has the power to make and execute contracts
and other instruments including partnership agreements, joint
venture agreements, establish limited partnerships and limited
liability corporations and establish non-profit organizations in
order to exercise its powers. A
housing authority has the power to purchase, lease,
rehabilitate, newly construct, sell, rent or acquire by eminent
domain, any dwellings, buildings, structures, facilities
embraced in/for housing or commercial space. Upon request of a
city or county to exercise any powers
of an urban renewal agency under chapter 35.81 RCW or a public
corporation commission, or authority under chapter 35.21 RCW.
A
housing authority can make, purchase, participate in, invest in,
take assignment of, or otherwise acquire loans with security to
persons of low income for the rehabilitation, purchase construct
improvement of, lease or refinance of their dwelling.
Housing authorities can contract with HUD
and other providers of subsidy funds to provide rental
assistance to persons of low-income. An authority is empowered
to borrow money from or accept grants from the federal
government or other financial assistance in the aid of any
housing project.
A housing authority acts as a not for
profit, and does not operate its communities for a profit. A
housing authority shall fix rents in its communities at no
higher rates than what its obligations of bonds require. Also;
in order to produce enough revenues, incomes and receipts to
meet the cost of and provide for maintaining and operating the
community and to pay sufficient administrative expenses of the
authority. A housing authority can use any profit realized from
renting commercial space or non low-income units to carry into
effect its powers and purposes.
Any two or more housing authorities can
join or cooperate with one another in the exercise of any or all
of the powers of an authority. A
housing authority has the power to issue revenue bonds for any
of its corporate purposes. An authority can also issue bonds
for refunding of existing obligations. Housing authority bonds
can be sold publicly or privately. Housing authority bonds can
also be issued on behalf of a for-profit or non-profit investor
for the development of low-income housing. Neither the city,
county nor municipality where a housing authority operates is
liable for a housing authority obligation.
The property of a housing authority is
declared to be public property for essential public and
governmental purposes and is tax exempt from all taxes and
special assessments of the city, county, state or any political
subdivision thereof. A housing authority may agree to make a
payment in lieu of taxes (PILOT) for facilities, improvements
and services provided by the city, county or any political
subdivision in support of the housing community. Housing
authority debt is tax exempt. That means that income from a
tax-exempt instrument issued by a housing authority is
tax-exempt to the holder of the instrument. By being tax-exempt
lower than market rate interest rates can be obtained for the
development of low-income housing.
