Mayor Johnson's push to have retired Ald. Walter Burnett lead CHA shut down by HUD

Retired Ald. Walter Burnett — Mayor Brandon Johnson’s pick to lead the Chicago Housing Authority — is no longer eligible to become the CHA’s CEO.

The U.S. Department of Housing and Urban Development denied the CHA’s request for conflict waivers for Burnett on Tuesday, marking the end of a seven-month stalemate with the federal agency.

Burnett’s apparent conflicts of interest were with his 30-year record as alderman and longtime ownership of properties rented to housing voucher holders, according to the CHA and HUD. Burnett and his wife have collected more than $260,000 since 2007 as CHA voucher landlords.

Burnett cannot be appointed as the CHA’s leader since the retired alderman exercised “functions or responsibilities with respect to CHA for approximately 30 years,” according to a copy of a Tuesday letter from HUD obtained by the Sun-Times.

“CHA may not appoint Mr. Burnett to serve as the CEO within one year of his retirement from a position as a public official with the City of Chicago, or at any time while he or any immediate family member is participating as an owner in the” voucher program, Todd Thomas, HUD’s acting deputy assistant secretary of public housing and voucher programs, wrote. Burnett retired in August 2025.

Mayoral spokesperson Griffin Krueger said in a statement that the mayor’s office is reviewing the HUD letter.

“There is clear prior precedent for individuals with Burnett’s background to assume executive leadership positions within public housing authorities across the country, this communication reaffirms that reality,” Krueger said.

Burnett, CHA interim Operating Chairman Matthew Brewer and HUD didn’t respond to requests for comment.

HUD’s letter, addressed to Brewer, is the latest development in what has been a tumultuous few weeks for Johnson and Brewer over the future of the agency. Their public skirmish escalated earlier this month when the mayor said he removed Brewer from his board chair and interim operation chairman role. It’s unclear if the mayor followed the proper procedures to do so. Brewer argues the mayor hasn’t.

Kruger said the mayor remains “committed to working with stakeholders to address the pressing concerns surrounding the anti-democratic procedure employed by the former Chairman which disenfranchised residents while stoking unnecessary confusion in this process.”

The CHA board voted 7-2 last month to appoint Keith Pettigrew, executive director of the District of Columbia Housing Authority, as its new CEO for a four-year term. He is set to start at the agency on Monday and will be tasked with righting a struggling agency that has been off course for well over a year.

Meanwhile, the mayor has remained steadfast in his support of Burnett, a mayoral ally who many CHA residents oppose, as the housing authority’s next CEO.

The agency's CEO selection committee — which included two representatives from the mayor’s team — recommended the mayor’s office interview three candidates, but the CHA was told the mayor wouldn’t schedule the interviews because he was recommending Burnett, according to Thomas’ letter.

The search committee then granted Burnett a “courtesy interview,” even though the retired alderman “had not applied for the position nor participated in the screening process with the executive search firm,” Thomas said.

“The Mayor’s Office was informed that Mr. Burnett was not selected as a finalist because of his limited operational experience managing” a public housing authority, Thomas said. “The selection committee also stated his background was inequivalent to the preferred finalists, resulting in the committee not selecting Mr. Burnett as a recommended finalist.”

Thomas said the mayor’s office still requested that the CHA seek a conflict-of-interest waiver from HUD for Burnett.

The CHA had been waiting on a final determination from staff at HUD’s headquarters in Washington, D.C. HUD’s letter said its regional office recommended that the waivers not be approved “because of failure to provide a good cause justification(s) for HUD to approve both waivers.”

The Sun-Times reported in November that Burnett was unlikely to lead the CHA, as its board was moving forward with other candidates.

The CHA, which is the third-largest housing authority in the country, had been without a permanent leader since former CEO Tracy Scott resigned Nov. 1, 2024. The housing authority then launched a national search to find its next chief executive, saying it would appoint a new leader come summer 2025.

Housing advocates sued the CHA in Cook County Circuit Court last week over its decision to hire Pettigrew, alleging the board’s vote didn’t follow the Open Meetings Act, which dictates how government agencies should conduct their public meetings. The housing authority has said it followed the law.