MILWAUKEE, Wis. — The Housing Authority of the City of Milwaukee (HACM) has failed to comply with federal requirements intended to address longstanding issues within the agency, according to a letter from the U.S. Department of Housing and Urban Development obtained Friday.
HUD said HACM failed to meet several requirements in its recovery agreement, including improvements to the condition of rental units, required inspections, and the agency’s financial position. The housing authority also missed deadlines for required documents, including a financial audit. Some deadlines, the letter states, were missed by several months to a year.
The findings mark the latest setback for HACM, which provides housing and rental assistance to thousands of low-income Milwaukee residents.
HUD designated HACM as “troubled” in December 2024 and outlined corrective actions aimed at improving safety, financial management, and overall compliance.
According to the newly obtained letter, many of those required actions remain incomplete.
HACM now has until the end of the month to complete inspections of more than 100 units and provide its fiscal 2025 audit.
If HACM fails to meet the requirements, HUD could take control of the housing authority and possession of all HACM properties.
The latest federal action comes after years of scrutiny over conditions inside tenants’ apartments and HACM’s finances.
TMJ4's Chief Investigative Reporter Jenna Rae has spent years uncovering deplorable living conditions, safety concerns and financial mishaps within the agency.
In January 2025, Jenna Rae obtained internal emails from HACM's Chief Financial Officer and board members which said that the agency was at risk of bankruptcy and that millions of dollars of Section 8 funding were improperly used to pay staff.
Most recently, the agency was failing to pay its tenants' rent on time and in some cases was six months behind on rent. Owners of those properties talked to TMJ4 after they said they weren't being paid.
Friday afternoon, a HACM spokesperson said the agency continues to work closely with HUD to address outstanding requirements and advance its recovery efforts.
HACM has its monthly board meeting next week and TMJ4 plans to be there.
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