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Roswell advances 2025 CDBG annual action plan; staff reports Section 108 loan approved internally by HUD and awaiting congressional review
Summary
The Roswell Mayor and Council committee approved June 24 moving forward with the city’s 2025 Community Development Block Grant annual action plan and a public-comment timeline that supports using CDBG funds to repay a Section 108 loan for redevelopment of the Roswell Housing Authority site at 199 Grove Way.
The Roswell Mayor and Council committee approved June 24 proceeding with the city’s 2025 Community Development Block Grant annual action plan and its public comment schedule as staff seeks to use CDBG resources to help repay a Section 108 loan for redevelopment of the Roswell Housing Authority site at 199 Grove Way.
What staff presented: Charles Alford, grant specialist, said the city must submit an annual action plan to HUD and tie the plan to the city’s five-year strategic plan. Alford summarized prior steps: in 2023 the city allocated CDBG funds for demolition and clearance of the housing site and applied for a Section 108 loan in December 2024 to support site work for the low-income housing tax credit redevelopment of the site.
HUD and the Section 108 loan: Alford said HUD has provided internal approval for the Section 108 loan and that it now requires congressional approval; staff told the committee they expect that approval within about 30 days and that the low-income housing tax-credit closing is anticipated in August so the timing should align to use loan proceeds for the redevelopment. Staff recommended applying both 2024 and 2025 CDBG allocations to repay the Section 108 loan moving forward.
Public comment and schedule: Alford described staff’s plan to open a public comment period beginning July 7, close it July 28, and return a resolution to the full mayor and council on August 11 for approval of the annual action plan and submission to HUD by the August 16 deadline cited by HUD.
Action: Councilmember Gee Lee Hills moved adoption of the committee recommendation; Councilmember William Morthland seconded. The committee approved the plan and schedule unanimously.
Limitations and clarifications: the transcript did not provide a clear numeric figure for the city’s 2025 CDBG allocation in the packet; staff’s description emphasized that the Section 108 loan application is approved internally at HUD and is pending congressional review. The staff presentation stressed that Section 108 proceeds will fund site work and that loan repayments are intended to be repaid using future CDBG allocations starting in fall 2025.
Next steps: staff will run the public comment period, return the plan to council on Aug. 11 and submit the final annual action plan to HUD after council’s approval.
