HOUSTON – The KPRC 2 Investigation into the Houston Housing Authority is getting attention. We have several big updates on our investigation - let’s get right to it!
The Houston Housing Authority (HHA) board President and CEO, David Northern, is on administrative leave following an investigation that uncovered questionable contracts allegedly costing taxpayers millions.
The investigation, led by reporter Amy Davis, revealed questionable contracts Northern authorized that cost taxpayers millions of dollars; we also exposed deals you were never supposed to see.
The contracts involved federal funds allocated by HUD for window air-conditioning (A/C) units at three housing developments. The project had significantly exceeded budget, ballooning from an initial $2.3 million to more than $5.4 million.
Work left unfinished at homes
Damages caused during the installation remain unaddressed, impacting residents who can least afford it.
Shamica Killings, a former HHA employee at Kelly Village in Houston’s Fifth Ward, witnessed the contractors install new window A/C units in each apartment, forcing residents to remove existing units.
However, Killings noted serious safety issues: faulty installation trapped some residents, leaving windows damaged and secured only with plywood. “They threw all those panes away,” she said, describing incomplete repairs that left homes vulnerable.
“So if the house catches on fire that window - they could just push their AC out,” she explains. “But how he did it, they’ll be trapped in.”
To fix the fire hazards workers removed some units but the windows had already been trashed. Now some people are left with plywood where glass used to be.
When KPRC 2 Investigates analyzed the contracts and pay outs we found:
- 22 companies were hired to install over 1,600 units, but one contractor stands out: Lemontre Woods.
- In September 2023, Woods was paid $75 per hour as a supervisor with a separate firm.
- By January, he launched Elite Project Managers, which was soon awarded over $1 million to correct installation-related safety issues.
In May, KPRC reported on mold issues in a resident’s apartment due to poorly sealed windows, intensifying questions about Woods’ work.
Amy Davis confronted Woods at an HHA board meeting, where he defended his work and Northern’s leadership.
“I have not, now would I ever take the money from my clients and not get the job done,” said Woods.
Shamica Killings recognized Woods on TV and called us to report the work he left unfinished.
“Every time, every time. We’re going to try to get someone over there tomorrow. I’m gonna try to get somebody over there. I’m at Cuney today, so I’m trying to get somebody over there on Thursday,” said Killings.
Karl Schaack, an engineer and owner of Price Consulting, also came under scrutiny after records showed he hired Elite Project Managers even before it was officially established.
When asked why he directed substantial funds to the new firm, Schaack declined to comment, citing instructions from the Housing Authority.
Amy: “Why did you give so much money to Elite Project Managers? How did you find them?”
Karl Schaack: “I’ve been instructed that you need to go talk to them about the project.”
Amy: “You’ve been instructed- by who?”
Karl Schaack: “Housing Authority told me to tell you to talk to them about the project.”
KPRC 2 Investigates did ask the Housing Authority why it would pay Elite Project Manager directly more than $1.3 million and also pay the same company through a third party hundreds of thousands more.
An HHA spokesperson has confirmed a third-party investigation into the contracts and declined further comment.
Do you have a tip or question for Amy Davis? Email ADavis@kprc.com.
