In each city, as defined in ORS § 456.055, and county there hereby is created a public body corporate and politic to be known as the ‘housing authority’ of the city or county. However, the housing authority shall not transact any business or exercise its powers until or unless the governing body of the city or the county, by proper resolution, declares that there is need for an authority to function in such city or county. The governing body of the city or the county shall also elect to have the powers of a housing authority exercised in any one of the two ways provided in ORS § 456.095 (1). [Amended by 1969 c.630 § 2; 1975 c.322 § 1]