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City to administer DHCD stabilization subgrant applications; county to disburse $250,000 strategic demolition funds

3760044 · June 4, 2025
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Summary

City staff described a memorandum of understanding under development to operationalize a $250,000 state strategic-demolition stabilization grant: the city will collect and screen applications in a specified downtown stretch, forward recommendations to the county review committee, and the county will execute subgrant agreements and disburse funds.

City staff briefed the mayor and council on an upcoming memorandum of understanding that will govern how a $250,000 state strategic-demolition stabilization grant is administered for downtown Frostburg properties.

Staff said Allegany County secured $250,000 from the Maryland Department of Housing and Community Developmentʼs strategic demolition fund and intends to subgrant those funds to eligible Frostburg buildings within a defined corridor (“Main Street from Water to Bowery”). Under the proposed MOU, city staff will collect applications, forward them to a review committee (city staff plus county representatives), and compile recommendations for the mayor and council. The mayor and council will have final authority to select projects for county subgrants; the county will sign subgrant agreements and disburse funds.

Staff said the MOU term would run from execution (discussed as likely at the county meeting on June 26) through Aug. 15, 2027, to comply with DHCD grant guidelines. The MOU will formalize roles: the city will lead outreach and intake, the review committee will score applications, council will recommend awardees, and the county will finalize contracts and payments.

Staff committed to provide a draft MOU to council members “ASAP” and to return with questions or edits before execution. No final awards were made at the work session.