Subdivision 1 of section 32 of the Public Housing Law states a local housing authority may employ a general manager, a secretary, technical experts and such other officers, agents and employees as it may require and that employment shall be subject to the provisions of the Civil Service Law applicable to the municipality in which it is established. The compensation of such employees is, further, subject to the approval of the local legislative body. The authority's table of organization and the rates of compensation it pays are further subject to the limitations imposed by the development cost and operating budgets which must have division approval. Division approval of the employment of specific individuals is required. The positions to be filled must have been provided for in an approved budget in order for the compensation to be charged to State-aided projects and no compensation in excess of those provided for the respective positions in the approved budgets shall be charged to development costs or operating expenses of State-aided projects. In its periodic examinations, the division will therefore look for the certification of the local civil service commission with respect to appointments, the approval of the local legislative body with respect to compensation, and conformity with the approved development cost and operating budgets. Division policy is that employees must take vacations. They may not be paid for accrued vacation time in lieu of taking vacation.