For some Atlantic City residents, this is the news they've been waiting for.

The federal government will take control of the long troubled Atlantic City Housing Authority.

A letter sent from the federal Department of Housing and Urban Development to the authority on Monday declared the agency was in substantial default, citing the many ways residents say they've suffered over the years as Ted Goldberg reports, the move comes months after residents let a petition urging HUD's takeover, but also provides little clarity on what comes next.

We're residents and we're paying to live here and we would like to be treated as fair residents as well with the federal government stepping in to take over properties ran by the Atlantic City Housing Authority or ACHA.

The emotions of residents range from elated to cautiously optimistic to uncertain.

I just hope that if they're going to come in and take over, I hope they're going to be coming in taking over.

Making things better.

I'm kind of unsure because we've been promised and promised and promised this certain things.

So once we see it action then you know my optimism probably go a little bit higher.

But right now we've been reporting on the issues surrounding Stanley Homes Village for several years, managed by the ACHA.

Residents have complained about mold and inconsistent heat and water.

The ACHA sometimes put residents in the Clarets Hotel when it got too cold, which wasn't an option for people like Tammy Bethia.

So relocate to the hotel to only come back to the same conditions.

Nothing was fixed.

I even lost my pet like they didn't have anywhere to send us.

There was pet print.

It passed from the condition.

It was freezing earlier this week.

The ACHA received this letter from the Department of Housing and Urban Development or HUD.

Part of it reads based on the gravity of ACHA situation, it is not appropriate to permit ACHA.

The opportunity to cure the substantial default.

Further, the most appropriate substantial default remedy is for HUD to take possession of ACHA.

The letter says the ACHA had 10 days to respond, but residents and advocates say they try to get attention for much longer than that.

A lot of the other residents deal with situations with mold and pests and their rodents.

Uhm, my my issue wasn't as big as a lot of other people's minds was more.

Like I said, consistent with the no heat and hot water situation.

We took a bus to Washington DC.

We we did everything we talked to the council people.

We talked to the school board.

One of those council people is Kaleem Shabazz.

Stanley Holmes to be gentlemanly about it and to be diplomatic about it is a disaster.

He says if the federal government is stepping in, there's a good chance life will improve for people living in Stanley homes and other public housing complexes.

I have to think and believe that by taking this step, they are willing to put the resources and the energy necessary to move Stanley homes to a level that's acceptable.

Congressman Jeff Andrew has been a longtime critic of the ACHA and said in part of a statement families were freezing in their homes living with mold.

No heat, no hot water and no help.

It was unacceptable.

I promised the people I would not stop until something changed.

And today accountability is here.

Housing attorney Olga Pomar, who represents tenants in ongoing litigation against the ACHA, wonders how the federal government will intervene.

The new administration is kind of looking to cut back on funding for affordable housing.

That was what the White House proposal was.

That's what the House Appropriations Committee proposed, so.

It's going to be even harder.

I think to find good solutions.

The timeline for HUD taking over is nearly a year and with 1200 people living in ACHA properties, Pomar says the federal government has a tall task ahead.

They are taking on some very serious problems.

We have people who need housing.

We have people living in bad conditions.

The housing authorities, inspection reports and analyses show that you know millions and millions of dollars are needed.

More than 100 Stanley homes residents are suing the ACHA over alleged living conditions.

It seems like that lawsuit will carry on.

Further complicating the situation for New Jersey's oldest public housing complex.

In Atlantic City, I'm Ted Goldberg.

NJ Spotlight news.