News Summary
Nan McKay & Associates has been fined $3.7 million by the U.S. Department of Justice for failing to comply with cybersecurity standards in a contract with the Jacksonville Housing Authority. This comes amidst a separate breach of contract lawsuit from the San Francisco Housing Authority. The Jacksonville Housing Authority recently transitioned management of its Housing Choice Voucher program to Nan McKay, resulting in job losses and uncertainty for former employees. Nan McKay assures that they are investing in training for reapplying employees amid ongoing challenges.
Jacksonville – Nan McKay & Associates, a management partner of the Jacksonville Housing Authority (JHA), has been fined $3.7 million by the U.S. Department of Justice for failing to meet cybersecurity standards in a federally funded contract. This penalty comes as the company faces a separate breach of contract lawsuit from the San Francisco Housing Authority, further complicating their operations.
In addition to the significant fine imposed by the federal agency, a partner company of Nan McKay was also penalized, receiving a $7.6 million fine. The Jacksonville Housing Authority shifted the management of its Housing Choice Voucher program to Nan McKay after eliminating the entire program in June 2024, resulting in the loss of approximately 50 jobs.
As the transition moves forward, there is uncertainty regarding whether former JHA employees who can reapply for their positions will maintain the same salary and benefits they experienced prior to the program’s cessation. Nan McKay assures stakeholders that they are investing in training these former employees, aiming to equip them with the necessary knowledge and skills for their new roles.
Nan McKay & Associates has been involved with housing authorities for nearly 45 years and has administered around 100,000 housing choice vouchers nationwide. The company’s CEO emphasized that they believe there may be misunderstandings regarding the ongoing issues with the San Francisco Housing Authority. They assert that available public data demonstrates the positive outcomes associated with their management practices.
The fine of $3.7 million was settled without an admission of liability. Inquiries regarding the fines and ongoing legal matters have been directed to Nan McKay by the Jacksonville Housing Authority, reflecting a calculated approach to information dissemination concerning these serious issues.
The Jacksonville Housing Authority has a tumultuous past, characterized by frequent changes in leadership, including numerous board resignations and high turnover rates among executives. Additionally, the organization has faced multiple investigations by the inspector general and has witnessed criminal charges against a former deputy CFO within the last 18 months. This history has contributed to an environment of instability and challenges within the authority.
Amid these developments, the Jacksonville Housing Authority’s decision to outsource the management of the Housing Choice Voucher program has raised questions about future operations and the overall direction of the agency. As the situation evolves, stakeholders across the community are closely monitoring how these changes will impact both employees and residents relying on the housing assistance programs.
With Nan McKay navigating significant financial and legal challenges, their role will be pivotal in shaping the future of housing assistance in Jacksonville. The outcome of the San Francisco Housing Authority lawsuit and how Nan McKay manages the ongoing issues related to cybersecurity compliance will play a crucial role in their continued partnership with JHA and other housing authorities across the nation.
Deeper Dive: News & Info About This Topic
HERE Resources
JHA Outsources Housing Choice Voucher Program Amid Scandal
Additional Resources
- WOKV: Jacksonville Housing Authority Voucher Program Fines
- Action News Jax: Jacksonville Housing Authority Job Outsourcing
- News 4 Jax: New JHA CEO’s Plans for Affordable Housing
- Jacksonville.com: CEO Candidate Withdraws from JHA
- Action News Jax: Federal Fines on Jacksonville Housing Authority Firm
- Wikipedia: Jacksonville Housing Authority
- Google Search: Jacksonville Housing Authority
- Google Scholar: Jacksonville Housing Authority
- Encyclopedia Britannica: Jacksonville Housing Authority
- Google News: Jacksonville Housing Authority
Author: STAFF HERE JACKSONVILLE WRITER
The JACKSONVILLE STAFF WRITER represents the experienced team at HEREJacksonville.com, your go-to source for actionable local news and information in Jacksonville, Duval County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Jacksonville Jazz Festival, Riverside Arts Market, and World of Nations Celebration. Our coverage extends to key organizations like the Jacksonville Chamber of Commerce and JAXUSA Partnership, plus leading businesses in logistics, healthcare, and entertainment that power the local economy such as CSX Corporation, Baptist Health, and VyStar Credit Union. As part of the broader HERE network, including HEREOrlando.com, HEREStPetersburg.com, HERETallahassee.com, and HERETampa.com, we provide comprehensive, credible insights into Florida's dynamic landscape.
