Prescott Valley begins CDBG consolidated plan and shares housing needs assessment findings

Prescott Valley officials and consultants briefed the Town Council on April 3 about preparing the town’s first Community Development Block Grant (CDBG) consolidated plan and a parallel housing needs assessment funded by the Arizona Department of Housing.

The presentation explained how CDBG funds must be targeted to benefit low- and moderate-income residents and outlined the consolidated plan process, public outreach requirements and reporting obligations. “As a new entitlement community for the Community Development Block Grant from the US Department of Housing and Urban Development, the town is working on our first consolidated and annual action plan,” said Tracy Lyra, deputy director for neighborhood services. Lyra said the town is estimated to receive $294,000 annually from HUD under the program.

Consultants from TDA Consulting described CDBG eligible activities — acquisition, rehabilitation, public facilities, limited public services (capped at 15% of the grant), economic development and targeted anti-blight work — and emphasized the low‑to‑moderate‑income benefit tests that govern who may be served and where infrastructure projects can be placed. “CDBG was enacted in 1974, and it is 1 of the most beloved HUD programs because it is a pretty flexible program,” said Jennifer, the project lead from TDA Consulting.

Elliott D. Pollack & Company presented a housing needs assessment done for Prescott Valley and the city of Prescott. “What is affordable housing? ... you want to make sure that your population is not paying more than 30% of their income towards housing,” said Rick Merritt of Elliott D. Pollack. The assessment found the town’s median age (about 47) is higher than the state median, labor force participation is lower than Arizona’s average, and household incomes and education levels lag some peer markets. Key market indicators cited by consultants: - Single‑family median assessed price rose from about $316,000 in early 2019 to about $490,000, a roughly 55% increase over five years. - Market‑rate apartment vacancy was reported near 20% (driven in part by new complexes still leasing up); average market rent cited was about $1,800 per month. - Estimated units under construction and approved total roughly 2,300 units (about a 56% potential inventory increase if all projects proceed).

Consultants and staff emphasized outreach. Pollack said the team received roughly 800 survey responses and ran focus groups and public meetings; staff described additional stakeholder interviews and a community participation process that will be used to set consolidated‑plan priorities. Consultants stressed that the consolidated plan is a five‑year strategy that will guide annual action plans and CAPER (Consolidated Annual Performance and Evaluation Report) reporting to HUD.

Council members pressed staff and consultants for next steps and concrete strategies. Several council members said they wanted faster movement from assessment to implementation. Staff and consultants replied that the consolidated plan and the housing assessment are intended to provide a data foundation for recommendations and that strategy development will follow; some strategy work will be done by separate contractors under the state housing grant. Staff also warned that HUD’s final allocation notice — required before the town can submit the consolidated plan — had not been posted and that the May 16 submission deadline referenced in earlier materials depends on HUD issuing the allocation.

The meeting produced no formal actions or votes. Staff said they will continue community outreach, refine the list of priority needs and goals, and return with recommended annual activities and funding proposals once the town has the HUD allocation and finishes the needs assessment.