HSD outlines 2025 HUD annual action plan allocations and warns council vote needed to meet Aug. 16 submission deadline

The Seattle Human Services Department told the Housing & Human Services Committee that the city must approve and submit its 2025 annual action plan to the U.S. Department of Housing and Urban Development (HUD) by Aug. 16 to access formula grant funds for the year.

Anne Gorman, an HSD representative, said the annual action plan is the city’s spending plan for four HUD formula grants — the Community Development Block Grant (CDBG), the HOME Investment Partnerships Program (HOME), Housing Opportunities for Persons With AIDS (HOPWA) and the Emergency Solutions Grant (ESG). HSD received final federal allocations in May and prepared legislation to match those amounts to projects and programs consistent with Seattle’s adopted 2024–2028 consolidated plan.

Gorman said overall 2025 allocations are roughly in line with 2024, with about a 1% variance across most programs and a larger but still modest 4% reduction for ESG. She told the committee HSD does not anticipate significant programmatic impacts from these small year‑to‑year changes and noted that ESG reductions nationally reflect smaller congressional appropriations for that program this year. HSD highlighted increased capital investments in facilities addressing the opioid and fentanyl crisis consistent with mayoral priorities and with the consolidated plan’s five policy goals: homelessness prevention, mental‑health and substance‑use needs, equitable access to community infrastructure and recreation, economic development for low‑ and moderate‑income households, and increasing affordable housing options.

Gorman reviewed planned CDBG allocations for 2025, noting the draft plan shows $8,900,000 in new CDBG awards for 2025 and an additional $13,800,000 balance from prior years designated for specific projects. She said HSD will also report on planned uses of HOME, HOPWA and ESG funds and the CDBG revolving loan fund. The department asked the committee to ensure a path to timely council approval so HSD can meet the statutory submittal deadline and access the grant awards.

Council members asked questions about the ESG decrease, regional coordination and the city’s timeline to act so HSD can meet its August 16 submission deadline. HSD said it would follow up with additional information about regional coordination (for example, joint recommendations committees) and that staff would work with council leadership on a path to approval; HSD deferred detailed scheduling to council staff but stressed the statutory deadline.

No committee vote occurred during the community meeting. Committee members and HSD staff discussed contingency procedural options — including calling a special meeting or other legislative paths — to ensure the plan is adopted and the city is able to access allocated funds. HSD said it will monitor spending categories and report back at the end of 2025 to determine if further adjustments are needed.

Discussion only; HSD will transmit finalized legislation to council and seeks a timely vote to meet HUD’s statutory deadline for submission.

Key clarifications from the presentation: HSD is the city’s grantee for the HUD formula programs; the city’s consolidated plan (2024–2028) frames priorities used for 2025 allocations; the statutory deadline for HSD submission to HUD is Aug. 16; HSD reported a roughly 1% variance in most program allocations versus 2024, with a 4% ESG reduction; planned CDBG awards for 2025 total approximately $8,900,000 with $13,800,000 available from prior years for designated uses.