The City of Utica is entering a shared services agreement with PeopleFirst that city leaders say will cut costs, keep work local, and help move forward major improvements to aging public housing across the city.

PeopleFirst is preparing to begin the first phase of its Asset Management Project, a large redevelopment effort that will rebuild more than 400 apartments at Adrean Terrace, the F.X. Matt Apartments, and N.D. Peters Manor. The work includes extensive demolition, and city officials say cooperation between the two agencies made sense.

Under the agreement, Utica’s Department of Public Works demolition crew will perform the demolition work at the three housing complexes. Because PeopleFirst is the successor to the former Utica Municipal Housing Authority, the arrangement qualifies as a shared services agreement, allowing the work to be completed at standard municipal rates rather than private contractor costs.

Mayor Michael Galime said the partnership benefits taxpayers while helping move forward much-needed housing upgrades.

“This is a situation where the City is paid for its expertise and labor while helping a municipal partner succeed,” Galime said. “It reduces pressure on the property tax levy and lowers the overall cost of redeveloping affordable housing that’s critical to our community.”

PeopleFirst Executive Director Bob Calli said collaboration between the city and community organizations is an important measure of a healthy municipality.

“In 2026, PeopleFirst will begin two major housing projects that will significantly improve quality of life in our neighborhoods,” Calli said. “Both require demolition services, and this agreement allows that work to be done efficiently while keeping it within the City of Utica.”

City officials say the partnership helps ensure redevelopment dollars are spent wisely while strengthening neighborhoods across Utica.

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