Durham City Council approves $1.5M loan for Housing Authority and new budget plans

Durham City Council made significant strides in its June 16 meeting, approving a series of motions aimed at bolstering community support and economic development. The council unanimously passed a motion to authorize the city manager to execute a contract with Downtown Durham Incorporated, allocating $2,278,030 for the Downtown Durham Municipal Service District operations for the fiscal year 2025-2026. This contract, totaling up to $8 million over several years, aims to enhance the downtown area’s services and infrastructure.

In a related move, the council also approved a contract worth $170,048 to support economic development programs and services, again with Downtown Durham Incorporated. Both motions passed with a vote of 6-0, with Councilmember Rist recusing herself due to a conflict of interest.

The meeting also highlighted the city’s commitment to addressing housing issues. The council authorized a conditional binding commitment of up to $1.5 million in loan assistance to the Durham Housing Authority (DHA). This funding is intended to help the agency navigate financial challenges exacerbated by the pandemic, including a backlog of unpaid rents and a waiting list of over 6,000 individuals seeking housing assistance.

Community members voiced concerns about the DHA's management and accountability, emphasizing the need for transparency in how funds are utilized. Residents expressed frustration over maintenance issues and the overall living conditions in public housing, calling for more proactive measures from both the DHA and the city.

The council also discussed the fiscal year 2025-2026 budget, which is set to exceed $700 million for the first time. This budget includes provisions for maintaining fare-free public transportation, increasing wages for city workers, and investing in critical infrastructure projects. Council members praised the budget as a reflection of the city’s values, emphasizing the importance of supporting vulnerable populations through programs like eviction diversion and immigrant defense.

As Durham continues to grow, the council remains focused on addressing the needs of its residents while navigating the complexities of funding and resource allocation. The decisions made during this meeting are expected to have lasting impacts on the community, particularly in enhancing economic opportunities and improving housing conditions.