Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Cdbg Home Funding topic
No spam. Unsubscribe anytime.
City submits CitySteps 2030 amendment to program 2026 CDBG and HOME allocations; HUD changes noted
Summary
City staff presented a substantial amendment to CitySteps 2030 on July 8 to incorporate federal CDBG and HOME allocations for FY 2026, describe planned activities and note recent federal regulatory changes. Staff said they will submit the consolidated plan amendment to HUD after the public-comment period closed.
Iowa City staff presented a substantial amendment July 8 to CitySteps 2030, the city’s five-year consolidated plan, so the city can accept and program its FY 2026 CDBG and HOME allocations from HUD.
Neighborhood Services staff reported the city expects approximately $741,000 in Community Development Block Grant (CDBG) funds and about $378,000 in HOME funds for FY 2026, a net increase of roughly $19,000 from the prior year’s formula allocations. The plan will allocate CDBG to public services (capped at 15 percent), owner-occupied and rental rehabilitation and a competitive process for rental acquisition and nonprofit facility improvements. HOME funding will support down-payment assistance, tenant-based rental assistance and an activity with the Housing Fellowship community housing development organization.
Staff noted regulatory context: the federal “Affirmatively Furthering Fair Housing” rule has been rescinded and staff is tracking recent executive orders and guidance that affect HUD funding conditions. The city’s 30-day public-comment period for the substantial amendment closed on the day of the council meeting and no written comments had been received at that time; staff will submit the amendment to HUD after the notice period.
Why it matters: The CDBG and HOME programs have funded housing, small businesses and nonprofit facilities in Iowa City for decades; staff said the programs have invested about $40 million locally over the last 30 years. Neighborhood Services noted that federal proposals have threatened program funding, and staff will continue to monitor federal budgets and guidance.
Ending: Staff said projects funded under the amendment will proceed after HUD approval, environmental review and agreement execution. The competitive round for CDBG public facilities and rental acquisition opened July 2025 and applications were due Aug. 4.
