The board continued debate July 2 and ultimately tabled action on reallocated Community Development Block Grant (CDBG) funding for Yavapai County, asking staff and NACOG representatives to return with more detail at the board’s July 16 meeting in Cottonwood.

Development Services director Jeremy Dye told the board the county’s expected CDBG allocation dropped from an estimated $1.3 million to $1,042,648. The board had previously prioritized three projects: Prescott Valley Food Bank (which had been combined with a Meals on Wheels element but later removed), Verde Valley Habitat for Humanity, and a county cesspool remediation/replacement program. Dye said staff recommended reducing the county’s cesspool/cesspool replacement allocation and keeping the two partner grants at $400,000 each, while the shortfall would reduce the county’s own septic remediation line.

Supervisors asked whether Prescott Valley’s change in status (becoming an entitlement community) and other grant opportunities meant the county should reallocate funds differently. Several supervisors — particularly those representing affected rural districts — urged more money flow to cesspool/septic remediation, saying cesspools pose urgent health risks if they fail and county residents lack sewer infrastructure.

County staff and NACOG said some of the cesspool work may qualify for other competitive funding, and that small adjustments (up to roughly 25% per agency guidance) could be made without restarting the application process. After discussion, Supervisor Cech moved to table the item to the July 16 meeting to allow staff to return with clearer options and recommendations; the motion carried unanimously.

The board stressed the need for clear public hearing opportunities and for staff to bring specific scenarios showing how funding adjustments would affect each prioritized project and whether projects would remain viable under reduced allocations.