Forney City Council to Debate Creating Housing Authority

Forney City Council to Debate Creating Housing Authority

FORNEY, TX – The Forney City Council is set to decide on a major proposal that could fundamentally change how the city manages its rapid expansion. On Tuesday, April 21, 2026, the Council will deliberate the creation of a municipal housing authority—a move that would grant the city new powers to address local housing needs and affordability.

The proposal was brought forward at the request of Council Members James Traylor and Sarah Salgado. While city staff has provided the legal framework necessary for the decision, they have notably offered no formal recommendation, leaving the final choice entirely to the Council.

Council Member Salgado argues that the authority is not just about development, but about protecting the city's character while managing its future:

“The single-family neighborhood is where kids ride bikes, neighbors look out for each other, and the American dream of ownership is real. Growth is coming—that’s not changing—but we have a choice: watch it happen or shape it. Creating a housing authority gives Forney the tools to protect what makes Forney, Forney.”

What is a Housing Authority?

Under the Texas Housing Authorities Law (Chapter 392 of the Local Government Code), every city technically has a housing authority "on the books," but it remains dormant until the Council votes to activate it. To formally "turn on" the authority, the Council must determine that there is a documented shortage of safe or affordable housing for low-income residents in Forney.

Governance and Oversight

If approved, the Housing Authority of the City of Forney would be governed by a board of five commissioners. The administrative structure would function as follows:

  • Appointments: The Mayor selects the five commissioners, subject to Council approval.

  • Staggered Terms: Commissioners serve two-year terms without compensation.

  • Community Voice: At least one board member must be a tenant of a public housing project or a recipient of housing assistance.

  • Independence: To ensure impartiality, commissioners cannot be employees or officers of the City of Forney.

  • Removal: The Mayor maintains the authority to remove a commissioner for misconduct or neglect of duty following a public hearing.

Scope of Authority

An active housing authority functions as an independent unit of government with broad powers, including the ability to:

  • Finance & Build: Issue bonds and borrow capital to construct or lease housing.

  • Land Use: Exercise the power of eminent domain to acquire property for housing projects.

  • Federal Support: Apply for and manage federal funds from HUD, including Section 8 vouchers.

  • Jurisdictional Reach: The authority’s jurisdiction covers the city limits as well as the area within five miles of the city boundaries (the Extra-Territorial Jurisdiction, or ETJ).

Fiscal Impact on Taxpayers

According to the staff report, the creation of the authority does not impose a direct fiscal obligation on the City of Forney.

  • Separate Debt: The authority is responsible for its own debts; its bonds are not a liability for the City of Forney.

  • Outside Funding: The entity can access federal and state grants that are not typically available to the city’s general fund.

  • City Support: While the city could choose to provide initial startup capital for administration, it is not legally required to do so.


What’s Next?

If the resolution passes Tuesday night, the next steps include the Mayor appointing the initial board of commissioners, followed by the authority registering with the Texas Secretary of State as a public corporation. Once established, the board would begin the process of identifying specific housing needs and potential project sites within the Forney area.

Documents

Housing Authority

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