Members of the city council’s community development committee agreed to recommend funding for various Community Development Block Grant (CDBG) and HOME project in 2016 and to spend down the 2015 CDGB and HOME funds.

Committee Chair Bryan Callahan was joined by committee members Adam Waldron and Lou Stellato and council member Eric Evans at a meeting Oct. 12. They voted to move the issue to council for further consideration.

Housing and Community Development Planner Allyson Lysaght told committee members there was $1,161,205 remaining 2015 CDBG funds for city departments and $148,204 outstanding CDBG funds for external nonprofit organizations that would need to be spent or lost.

In addition, she said the city Housing Rehabilitation program has $344,315 remaining funds available for loans/grants and $393,485 for Housing Rehabilitation staff. There is currently a waiting list of 23 owners for housing rehab and the wait time is 12 to 18 months.

Director of Community and Economic Development Alicia Karner said the challenge was “changing people’s minds you don’t have to hold on to it.”

Waldron agreed it was important to use the funds, saying, “You don’t want to waste federal money.”

At current rate of spending, it would take close do three years to spend down the housing rehab funds, while HUD regulates one year.

Staff has increased capacity by hold lead training sessions to certify contractors to work on housing rehab projects and increase number of projects bid, but lacks internal capacity to meet needs of residents, Lysaght said.

The application vetting process the 2016 CDGB/HOME funding began with a request for letters of interest that went out in late summer to gauge interest in 2016 program while implementing 2015 award.

Full applications were due Sept. 25. After being reviewed by an internal committee, the applications are sent to HUD in April. HUD announces the grant in July and the funds are typically received in the third week of August, meaning they must be spent down in four months.

A total of $1,150,900 in CDBG funds was requested and the total award was $1,010,560. Karner said this includes funds for city staff. “We’re managing those projects,” she said.