HENRICO COUNTY, Va. -- The Department of Housing and Urban Development (HUD) paid the company managing Essex Village more than $150 million to subsidize the rent of residents at low-income housing complexes across the country in 2016.
WTVR CBS 6 Problem Solver Melissa Hipolit uncovered the numbers after Congressman Donald McEachin called for HUD to terminate their business with PK Management, which manages several housing complexes in the Richmond-area.
McEachin said PK Management properties is not meeting the spirit of its obligation to provide safe and sanitary housing.
PK Management and their parent company, GHC Housing, received $152,110, 882 from HUD in 2016, according to information obtained through a Freedom of Information Act request submitted to HUD.
PK Management, an Ohio-based company, runs three Section 8 facilities in Henrico County including, Essex Village, Woodland Crossing and Hope Village.
The company receives more than $7 million a year from HUD to subsidize rent at its housing complexes in the Richmond-area, but multiple WTVR CBS 6 investigative reports have revealed multiple issues at the properties.
Essex Village
Residents have told WTVR CBS 6 that the company has not done enough to fix things like leaks, flood damage,sewage problems, structural issues, broken lights, and bug infestations.
“My constituents are being forced to live with sewage backups, dangerous structural issues, rodents and other vermin,” said Congressman McEachin. “Enough is enough – we need to stop wasting taxpayer dollars with this company, which has appeared to mismanage properties across the country.”
McEachin specifically noted that Essex Village should be closed due to "uninhabitable" conditions, and he wants HUD to terminate or abate all contracts with the management company.
“In any event, residents need expedited access to vouchers that will empower them to move to decent homes,” he said.
The President of PK Management, Jenee McClain-Bankhead, recently told WTVR CBS 6 reporter Melissa Hipolit via email, that the senior manager who oversaw Essex Village, Woodland Crossing, and Hope Village is no longer with the company.
The company said they are addressing deferred maintenance and meeting with residents who have concerns or repair requests.
McEachin has also requested that HUD allow permission for Henrico County officials to join HUD’s inspectors for future inspections at Essex Village.
"I will continue to do everything I can so that my constituents do not live in these conditions and that taxpayer monies are not given millions of dollars to a company that has failed at their minimal responsibilities," he wrote.
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