14-169-207. Creation of authorities.

14-169-207. Creation of authorities. (a)(1) In each city and in each county of the state there is created a public body corporate and politic to be known as the “housing authority” of the city or county. (2)(A) An authority shall not transact any business or exercise its powers under this subchapter until or unless the governing body of the city or the county, as the case may be, by proper resolution shall declare at any time that there is need for an authority to function in the city or county. (B) The determination as to whether there is a need for an authority to function: (i) May be made by the governing body on its own motion; or (ii) Shall be made by the governing body upon the filing of a petition signed by twenty-five (25) residents of the city or the county, as the case may be, asserting that there is need for an authority to function in the city or county and requesting that the governing body so declare. (b)(1) The governing body shall adopt a resolution declaring that there is need for a housing authority in the city or county, as the case may be, if it shall find that: (A) Insanitary or unsafe inhabited dwelling accommodations exist in the city or county; or (B) There is a shortage of safe or sanitary dwelling accommodations in the city or county available to persons of low income at rentals they can afford. (2) In determining whether dwelling accommodations are unsafe or insanitary, the governing body may take into consideration: (A) The degree of overcrowding; (B) The percentage of land coverage; (C) The light, air, space, and access available to the inhabitants of the dwelling accommodations; (D) The size and arrangement of the rooms; (E) The sanitary facilities; and (F) The extent to which conditions exist in the buildings which endanger life or property by fire or other causes. (c)(1) In any suit, action, or proceeding involving the validity or enforcement of, or relating to, any contract of the authority, the authority shall be conclusively deemed to have become established and authorized to transact business and exercise its powers under this subchapter upon proof of the adoption of a resolution by the governing body declaring the need for the authority. (2)(A) A resolution shall be deemed sufficient if it declares that there is need for an authority and finds in substantially the foregoing terms, with no further detail being necessary, that either or both of the enumerated conditions exist in the city or county, as the case may be. (B) A copy of the resolution, duly certified by the clerk, shall be admissible in evidence in any suit, action, or proceeding. (d) A housing authority created under this section shall not transact any business in this state or exercise its powers under a fictitious name unless: (1) It receives approval by its commissioners of the governing body of affairs of the state public body or, in the absence of commissioners, approval from the governing body of the city or county; and (2)(A) It files with the county clerk a notice for recording the fictitious name under which the applicant housing authority will transact business or exercise its powers and the name of the housing authority and location of its principal office. (B) The notice to be provided to the county clerk shall contain: (i) The fictitious name under which the business is being, or will be, conducted; (ii) The entity name of the applicant and the date of its housing authority resolution filed with the appropriate city or county in Arkansas; (iii) Whether the housing authority is a public body for a city or county; (iv) The county or city in which a copy of the housing authority resolution is filed; and (v) The city and street address of the principal Arkansas office location of the applicant entity. (C) The filing fee, if any, shall be the same as for any other fictitious name filed with the county clerk.