Lakewood staff outline 2025–29 CDBG/HOME priorities, propose tenant-based rental deposit aid

Lakewood housing staff presented a proposed 2025–29 Consolidated Plan and the city’s 2025 annual action plan at the City Council meeting on March 17, outlining CDBG and HOME spending priorities and a new tenant-based rental deposit assistance program.

The plan is meant to guide how the city uses federal Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) funds over five years. Jeff Gumb, Housing Division manager, told the council staff recommends “a stay the course in the initial year of the 5 year plan” and a housing-focused approach for 2025 while reserving infrastructure projects later in the cycle.

Gumb said the city currently projects about $525,000 in CDBG and $250,000 in HOME funding for 2025. Staff’s 2025 recommendations include $325,000 for a major home repair program, $35,000 for emergency assistance for displaced residents, $45,000 for an emergency payments program, and the standard 10% administration allocation. Program income is projected at roughly $100,000 annually and staff proposed using about $104,995 in HOME program income for a tenant-based rental assistance (deposit) program he described as a one-time help for low-income households facing barriers to renting (first/last month and security deposit).

Gumb said the proposed tenant-based rental assistance would likely serve 20–30 households (about 40–60 persons) based on prior program experience. He noted the city ran a similar short-term rental assistance program in 2022 that served 178 households and 417 individuals.

The Consolidated Plan also retains longer-term goals: advancing economic development and equity; preventing and reducing homelessness and housing instability; supporting diverse rental and homeownership opportunities; funding public infrastructure and improvements; and stabilizing residents and neighborhoods. Proposed infrastructure projects identified for later years include Edgewater Park improvements (year 2), Pine Street South (year 4) and Seminole Road (year 5), each mapped to low- and moderate-income service areas for CDBG national-objective compliance.

Gumb described HOME program income mechanics and staffing: HOME program income is typically recognized with a one-year lag; CDBG program income is recorded in the same year. He said the housing team is roughly 2.25 staff FTEs dedicated to these programs, with one staff member (Martha Larkin) assigned full time to CDBG loan underwriting and monitoring.

Major schedule milestones Gumb cited include a 30-day public comment period April 1–30, a local public hearing in April (date listed in the packet), council action to approve the final annual plan on May 5, and HUD submission by May 15.

Council members asked for clarifications on program-income timing, household vs. person counts for emergency assistance, and how unspent funds are reprogrammed. Gumb said historically the city has carried forward small unspent balances in the same activity and larger balances have been reallocated by council action.

The plan will proceed through the public comment period and the schedule Gumb described before returning to council for final approval.