East St. Louis regains control over housing authority - KMOV.com

East St. Louis regains control over housing authority

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(Credit: KMOV) (Credit: KMOV)

EAST ST. LOUIS, Ill. (AP) — The city of East St. Louis has regained control of its housing authority after three decades, though it still has some federal oversight.

The U.S. Department of Housing and Urban Development on Thursday formally returned the southwest Illinois city's housing authority to local control.

The department has entered into a transition agreement with the city that allows the department to assign an administrator to oversee the authority for the next two years.

To avoid corruption and financial mismanagement, a five-person commission made up of the city's residents will be appointed by the mayor and approved by the City Council.

The housing authority had been under federal authority since 1985, when the local housing director was convicted in a kickback scheme that involved more than $1 million in federal housing funding.

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