HomeMy WebLinkAboutPR 24416: REQUEST FOR APPROVAL OF THE 2025 CDBG ALLOCATION P. R. #24416
City of 06/04/2025 M. Essex
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INTEROFFICE MEMORANDUM
Date: June 17,2025
To: The Honorable M
Mayor and City Council
Through: Ronald Burton, CPM
CityManager
From: Pamela D. Langford, CPM,Assistant City Manager—Operations/
Development Services Manager
RE: P.R.NO. 24416—Request for Approval of the 2025 CDBG Allocation
Introduction:
This Agenda Item seeks the City Council's approval of P.R.NO. 24416 for the 2025 Community
Development Block Grant(CDBG) allocation in the amount of$1,006,766.
Background:
The Community Development Block Grant (CDBG) Program, administered by the U.S.
Department of Housing and Urban Development(HUD),provides annual funding to eligible cities
and counties to develop viable urban communities.These funds support activities that benefit low-
and moderate-income individuals by providing decent housing, a suitable living environment, and
expanded economic opportunities.
Since housing assistance remains a high priority for the City of Port Arthur,the 2025 CDBG funds
will be used in part to support low-to-moderate-income families in need of down payment
assistance and essential home repairs. These initiatives are part of the City's ongoing commitment
to increasing housing access and improving neighborhood conditions.
HUD regulations permit up to 15% of the total CDBG allocation to be awarded to qualified non-
profit organizations for public service activities. For the 2025 program year, this amount equals
$151,014.90.
The city received 14 applications for CDBG funding. After evaluation, 10 applications met the
eligibility and program requirements established under federal guidelines.
Staff Recommendation:
The staff has prepared funding recommendations for eligible applications based on the following
criteria:
1. Funding Availability
P. R. #24416
06/04/2025 M. Essex
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2. Past Performance of the applicant in managing prior CDBG or similar funding
3. Number of Persons Served by the proposed program or project
4. Alignment with the City's Priority Needs as outlined in the Consolidated Plan
It is important to note that while staff provides these recommendations to guide the funding
process, final approval authority rests with the City Council.
The City's total CDBG allocation for 2025 is $1,006,766, which reflects a $23,823 decrease from
the 2024 allocation.
Budget Impact:
Community Development Block Grant is the funding source.
Recommendation:
It is recommended that the City Council approve P.R. NO. 24416 for the 2025 Community
Development Block Grant(CDBG) allocation in the amount of$1,006,766.
P. R. #24416
06/04/2025 M. Essex
RESOLUTION NUMBER
A RESOLUTION APPROVING THE 2025
COMMUNITY DEVELOPMENT BLOCK
GRANT (CDBG) FUNDING ALLOCATION OF
$1,006,766 FROM THE DEPARTMENT OF
HOUSING AND URBAN DEVELOPMENT. THE
2025 CDBG GRANT WILL BEGIN IN THE
CITY'S FY26 BUDGET.
WHEREAS, the U.S. Department of Housing and Urban Development (HUD) has
allocated $1,006,766 in Community Development Block Grant(CDBG) funds to the City of Port
Arthur for Program Year 2025, which must be used to benefit low- and moderate-income
neighborhoods or households; and
WHEREAS, pursuant to the Housing and Community Development Act of 1974, as
amended (Public Law 93-383), the City of Port Arthur is required to submit to HUD the Fiscal
Year 2025 CDBG funding allocation in the amount of$1,006,766; and
WHEREAS,the Fiscal Year 2025 allocation reflects a decrease of$23,823 from the City's
FY 2024 CDBG allocation of$1,030,589; and
WHEREAS,while Public Service projects are eligible under the CDBG program, funding
for such activities is statutorily limited to 15% of the City's annual allocation, or$151,014.90 for
Program Year 2025; and
WHEREAS, the 2025 CDBG program year will commence with the City's FY 2026
budget year; and
WHEREAS,the City's 2025 Consolidated Plan includes a proposed list of eligible projects
to be funded through the 2025 CDBG allocation, as set forth in Attachment"A"; and
WHEREAS,it is necessary for the City Council to authorize the City Manager to execute
all documents required in connection with the submission and administration of the proposed
projects.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PORT ARTHUR,TEXAS:
Section 1. That the proposed list of projects for Program Year 2025, as set forth in
Attachment "A" and incorporated herein by reference, is hereby approved and adopted in
accordance with the Housing and Community Development Act of 1974, as amended.
Section 2. The City Manager is hereby authorized to execute all documents necessary to
implement and administer the City's 2025 Community Development Block Grant program in
accordance with applicable federal regulations.
P. R. #24416
06/04/2025 M. Essex
Section 3.That a copy of the caption of this Resolution shall be spread upon the minutes
of the City Council.
READ, ADOPTED, AND APPROVED this day of
A. D., 2025, at a Regular Meeting of the City Council of the City of Port
Arthur,Texas,by the following vote: AYES:
MAYOR
COUNCILMEMBERS
NOES:
Charlotte M. Moses, Mayor
ATTEST:
SHERRI BELLARD
CITY SECRETARY
i APPRO
ROXANN PAIS COTRONEO
CITY ATTORNEY
APPROV F ADMINISTRATION:
RONALD ON, CPM
CITY MANAGER
41,
PAMELA LANGFORD
ASSISTANT CITY MANAGER-OPERATIONS/
DIRECTOR OF DEVELOPMENT SERVICES
APPROVED AS FOR AVAILABILITY OF FUNDS
LYNDA BOSWELL, MA, ICMA-CM
DIRECTOR OF FINANCE
P. R. #24416
06/04/2025 M. Essex
ATTACHMENT "A"
U.S.DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
WASHINGTON,DC 20410.7000
OFFICE OF C04LC11N1rf PLANNING
AND DEVELOPMENT
May 14, 2025
The Honorable Thurman Bartie
Mayor of Port Arthur
444 4th Street
PO BOX 1089
Port Arthur,TX 77640
Dear Mayor Bartie,
Secretary Scott Turner is committed to improving housing opportunities, reducing
regulations to lower housing cost, and expanding housing supply for hardworking Americans.
The nationwide shortage of rental and owner-occupied properties and the current rate of
construction has not kept pace with the demand. This lack of adequate housing supply leads
to higher prices for renters and homebuyers alike, forcing some into homelessness and
preventing countless Americans from becoming homeowners. Across the country, partnerships
between public and private sectors are providing millions of Americans an opportunity to get
ahead. HUD is determined to continue its collaboration with you so programs are responsibly
utilized and can spark additional leveraging and partnerships to address the nation's housing
crisis.
As authorized by the Consolidated Appropriations Act(Public Law 119-4)on
March 15, 2025, I am honored and excited to announce that your jurisdiction is receiving the
following Fiscal Year 2025 allocations for the identified programs:
Community Development Block Grant(CDBG) - $1,006,766.00
HOME Investment Partnerships (HOME) - $321,504.70
Emergency Solutions Grants (ESG)- $0.00
Housing Opportunities for Persons W/HIV/AIDS (HOPWA) - $0.00
Housing Trust Fund (HTF) - $0.00
Recovery Housing Program (RHP) - $0.00
In addition, your jurisdiction's CDBG allocation for this year provides you with
$5,033,830.00 in available Section 108 loan guarantee borrowing authority. Section 108 permits
you to borrow up to five times of your current CDBG allocation. This loan allows jurisdictions
to maximize access to low-interest capital, and provide long-term financing to invest in
Opportunity Zones, or further address gap financing for big projects that you envision for your
community.
2
As you are finalizing your Annual Action Plans or Consolidated Plans that are due for
submission to our office by August 16, 2025,please be reminded that it is important to align with
executive orders and applicable laws. If you or any member of your staff have questions, please
do not hesitate to contact your local HUD Field Office in Houston or CPDGDAS@hud.gov.
Thank you for your interest in CPD programs and for ensuring that these dollars are
responsibly achieving outcomes as intended by law. When people have a safe and stable place to
call home, they can focus on contributing to the economy and be productive members of their
respective communities.
Sincerely,
Claudette Fernandez
General Deputy Assistant Secretary
for Community Planning and Development
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