Tuesday, August 4, 2015

PHA agrees to pay the city $6.2 million for services

The Philadelphia Housing Authority (PHA) owes the city a lot of money and the agency has agreed to soon pay up.

PHA agrees to pay the city $6.2 million for services

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The Philadelphia Housing Authority (PHA) owes the city a lot of money and the agency has agreed to soon pay up.

PHA failed to pay the city for demolitions, repairs and maintenance of some of its scattered site properties for the last decade. Payment for those services coupled with a host of back taxes brought PHA’s bill to $10 million.

An agreement that allows PHA to pay the city $6,225,303 for service related work and delinquent taxes was approved by the PHA Board today.

“This is a good deal,” said Kelvin Jeremiah, interim PHA director. “It’s a win-win for the city.”

Jeremiah said PHA had agreed to pay the city back in 2009, but for some reason the agency never followed through and “the costs continued to escalate.” PHA is set to pay the city in at least 30 days.

Mayoral spokesman Mark McDonald said the money will be used to create more affordable housing.

PHA has been marred by scandal over the years. The latest this summer when former executive director Michael Kelly resigned following an affair with a woman he had appointed to head the agency's Department of Human Resources.

 

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William Bender, a Drexel graduate who landed at the Daily News in 2007, has covered everything from South Philly mobsters to doomsday hucksters. He occasionally writes about local food trucks and always eats everything on his plate, whether it be a bloody rib eye or a corrupt politician. E-mail tips to benderw@phillynews.com
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David Gambacorta, has been a reporter with the Daily News since 2005, covering crime, police corruption and all of the other bizarre things that happen in Philadelphia. Now he’s covering the 2015 mayor’s race, because he enjoys a good circus just as much as the next guy. He’s always looking to get a cup of coffee. Send news tips and other musings on life to gambacd@phillynews.com
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