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Council approves $6.07 million CDBG contract for East Manawa Phase 1 infrastructure
Summary
Council Bluffs authorized the mayor to execute a Community Development Block Grant disaster-recovery contract for East Manawa Phase 1, providing $6,074,374 for streets and infrastructure that city officials say will unlock private development of about 40 homes and eventual additional lots.
The Council Bluffs City Council on Feb. 24 voted to authorize the mayor to execute a Community Development Block Grant (CDBG) disaster-recovery contract with the Iowa Economic Development Authority for the East Manawa Phase 1 housing project in the amount of $6,074,374.
Council members said the funds will pay for streets and infrastructure; private developers will build and sell homes on the completed lots. “This money is a grant that the City of Council Bluffs applied to the State of Iowa for to put in streets and infrastructure, in a sub development of affordable housing,” the mayor said, characterizing the award as a tool to enable private homebuilding rather than to construct homes directly.
The mayor and other council members described the Phase 1 work as a “jump start” for broader neighborhood development. Council members said the initial phase will facilitate construction of about 40 homes by a private developer and that proceeds or subsequent development would roll into additional lots to expand housing in the area. One council member said the initiative is intended to help create 500 to 700 housing units over time.
Speakers noted the city used American Rescue Plan Act (ARPA) funds to acquire land and applied to the state for the CDBG dollars to pay for infrastructure. The mayor acknowledged a tight timeline and said local developers committed to meet it. “It’s a tight timeline, but, we’ve got some folks that are willing to say that they can get out there and get it done,” the mayor said.
Council remarks included data points cited by speakers about local housing availability: “Council Bluffs has less than 1% owner occupied availability and 1.7% rental property availability,” one council member said during discussion. The council framed the project as a tool to expand housing supply and broaden the tax base.
The resolution to authorize the mayor to sign the contract passed by voice vote. No formal dissent or roll-call vote was recorded in the meeting transcript.
