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LaSalle city staff say many housing-rehab applicants were disqualified under HUD point system; city apologizes for communication gap
Summary
City and NCICG staff reported that HUD's point-based qualification system reduced the pool of applicants for the housing-rehab program; city officials apologized for a lack of advance notice about letters sent to applicants who did not meet HUD thresholds.
LaSalle — City staff and the economic development director updated the council on the Neighborhood/Community Improvement and Capacity Grant (NCICG) housing-rehabilitation program and said applicants who submitted by the deadline received letters indicating whether they met HUD's point-based thresholds.
Kurt, the city's economic development director, told the council that NCICG administers the grant and that HUD’s point system — not local staff standards — determines which applications qualify. The program will fund 10 homes initially and keep 5 additional applicants on a backup list in case a selected household drops out. The city received more than 40 applications, Kurt said, and NCICG sent letters to applicants stating they did not qualify; the city and council members said some residents and aldermen were surprised to receive disqualification notices so soon after the application deadline.
Council members and staff acknowledged the communication breakdown. One council member apologized to residents and aldermen, saying the city had not been aware those letters would be sent immediately by the administrating agency and that staff should have warned applicants and elected officials.
City staff urged residents who were disqualified to reapply if the program runs again, saying eligibility can change between application rounds. "I extend my apologies if there was a lack of communication in that," a city official said, and encouraged residents to apply for future rounds.
No funding decisions beyond the initial 10 awards were announced at the meeting. The city said it will work to improve future communication when third-party administrators are used for grants.
