Acting in its capacity as a state housing finance agency, the industrial commission may contract for, accept, and administer any grant, contribution, or loan of funds, property, or other aid in any form from the federal government or from any other source, and may do all things necessary to qualify for any grant, contribution, or loan under any federal program, including those things necessary to qualify for assistance under the federal housing programs in effect from time to time. Upon submission of written notice to the industrial commission, a housing authority established under chapter 23-11 may elect to exercise the authority granted to the industrial commission under this section and preempt the industrial commission from acting with regard to tenant-based housing certificates and vouchers or successor programs within the area of operation of that housing authority or may elect to enter an agreement with the industrial commission to accept, exercise, and administer any housing aid or assistance upon the terms and conditions agreed upon by the parties. For the purposes of this section, “area of operation” includes any political subdivision that lawfully contracts with the local housing authority to act as a local housing authority for that political subdivision and any political subdivision that has its certificates and vouchers or successor programs assigned by the industrial commission to the local housing authority under an agreement between the local housing authority and the industrial commission.