Notwithstanding the provisions of this chapter relating to rentals of, preferences or eligibility for admission to, or occupancy of dwellings in housing projects, during the period when the Authority determines that there is an acute need in this area of operation for housing to assure the availability of dwellings for persons engaged in national defense activities or for victims of a major disaster, the Authority may undertake the development and administration of housing projects for the Federal Government, and dwellings in any housing project under the jurisdiction of the Authority may be made available to persons engaged in national defense activities or to victims of a major disaster, as the case may be. The Authority is authorized to contract with the Federal Government or the Government of the United States Virgin Islands or public agencies thereof for advance payment or reimbursement for the furnishing of housing to victims of a major disaster, including the furnishing of the housing free of charge to needy disaster victims during any period covered by a determination of acute need by the Authority as herein provided.