The Housing Authority sweeps through the past and forges toward the future.

When the Housing Authority of the County of Monterey began its transition last December from a complicated bifurcated organization with two leaders to a streamlined operation under one person, it became apparent that there were some cobwebs that needed to be cleared. One entanglement included employee withholding taxes from 2017 and 2018 that were never paid, resulting in a debt of over $175,000, according to Interim Executive Director Tory Gunsolley.

How the taxes weren’t paid is a mystery. The agency has seen several executive directors and interim directors come and go since. HACM is now on a payment plan with the IRS for $8,000 a month. In the meantime, there are larger issues to settle, like completing the merger of employees and systems of HACM and the Housing Development Corporation, a construction arm of HACM established as a nonprofit in 2007 with its own executive director. There are also key management positions that need to be filled and an audit ordered by the Monterey County Board of Supervisors.

Last December the two boards of HACM and HDC, along with the Board of Supervisors, held an emergency vote to bring HDC back under the Housing Authority’s leadership. Having two organizations with two leaders had created dysfunction and hampered efficiency, said HACM Board Chair Jon Wizard during the meeting. With supervisors wanting change and a recent Housing and Urban Development audit showing deficiencies and other external pressures, ending the split between agencies was seen as paramount.

Merging meant terminating HDC’s seven employees and simultaneously offering them positions at HACM. All accepted their positions except former HDC executive director Starla Warren and another employee who retired. Warren opted to take a one-year medical leave the day before the merger vote. The HACM board acted quickly to hire Gunsolley to replace its last executive director, Jose Gomez, who died on Oct. 30.

Wizard says the HDC employees were excited to make the transition “and put Humpty Dumpty together again.” Employment agreements are still being worked out. Interviews for a permanent executive director are expected later this month. They may hire a new finance director soon and “we’re still on the hunt” for a human resources director, Wizard says.