Board approves $25,000 gap funding for Habitat for Humanity to keep homebuilding cycle alive
Get AI-powered insights, summaries, and transcripts
Subscribe
Summary
Caroline County approved a $25,000 donation to Habitat for Humanity of the Fredericksburg region as gap funding to help the organization finish current homebuilding and position itself for upcoming USDA funding; Habitat said an unrelated regional grant had fallen through due to subordination disputes but USDA closeout funding remains in place.
The Caroline County Board of Supervisors approved a $25,000 donation to Habitat for Humanity to cover gap funding needed to complete a current construction cycle and position the organization for an expected USDA funding closeout later this year.
Habitat representative (mister Tickle) told the board the organization still has USDA closeout funding and is pursuing refunds and additional reimbursements tied to delays, but that a $2 million regional planning grant they had been counting on through the George Washington Regional Commission (GWRC) did not close because of unresolved subordination agreement issues with the seller and GWRC. Habitat said that complication left a timing gap they need bridged to keep several local home closings and lot transfers on schedule.
The $25,000 was presented to the board as a one‑time donation to be used for gap financing to complete about nine homes and to help Habitat demonstrate capacity for a planned two‑year grant cycle that seeks funding for additional homes and repair programs. The board discussed alternatives including structuring the funds as a loan to be repaid on grant receipt; Habitat’s representative said they would be open to repayment terms if the board prefers a loan approach but emphasized timing needs for immediate construction contracts.
Several supervisors said they wanted to see clearer reporting and suggested that Habitat provide financial statements or grant schedules to county staff so the county can verify the timing and flow of funds. The motion ultimately passed by majority vote after one supervisor recorded a nay; roll‑call was taken and the motion carried. Board members noted Habitat’s prior successes, local workforce and partnerships—Habitat said it has dedicated partnerships with local contractors and works with the high school trades program to provide training.
Why this matters: the donation keeps a locally run affordable‑housing effort moving toward completion and preserves the organization’s ability to compete for USDA and state funding going forward. Supervisors asked for additional documentation and transparency from the nonprofit going forward.
What the board did: the board approved a $25,000 donation; staff and Habitat will follow up on documentation and potential repayment terms to be discussed if necessary.