The Getragette Urban Renewal Agencies neighborhood investments committee unanimously recommended designating Black Hands Universal as a CBDO, a status that would allow the group to receive community development block grant (CDBG) funds that are exempt from the 15% cap on public-service awards.

The committee’s recommendation came after staff described application issues and unanswered questions about the organization’s governance and financial transparency but concluded the applicant met the minimum thresholds for CBDO designation. Committee members discussed that Black Hands Universal is not currently a 501(c)(3) and that the organization’s tax filings and audit history were not supplied with its application; staff said those gaps do not automatically disqualify the applicant but do raise monitoring and exposure concerns.

Why it matters: CBDO designation would let Black Hands Universal apply for CDBG funds in ways that organizations lacking that status cannot, including some award pathways that exceed the usual public‑service cap. Committee members emphasized that designation is a threshold decision and that contract terms can add monitoring and reporting requirements to address transparency concerns.

Discussion and context: Committee members asked whether the organization was pursuing 501(c)(3) status and whether Internal Revenue Service (IRS) review would identify potential conflicts of interest among board members. Staff said the IRS process and the organization’s steps toward tax‑exempt status were not fully documented in the file; staff recommended using contract conditions and escrow protections to reduce risk while the organization pursues longer‑term governance changes.

The committee noted prior program support for Black Hands Universal and past recommendations tied to earlier years’ funding cycles. Staff also summarized that when the CBDO designation was first considered last year, the committee expressed a desire to support the organization despite application weak spots; this time staff concluded the application met the ordinance’s minimum criteria.

Votes and next steps: The committee moved and seconded a resolution to recommend CBDO designation for Black Hands Universal. The motion passed; the transcript records the committee’s announcement of a unanimous approval but does not include a roll‑call tally. Staff will include standard contract conditions and may request further documentation if the designation passes through the agency’s administrative steps.

Career-resources request: Committee members also reviewed a separate Black Hands Universal application for a career-resources/apprenticeship program seeking staff and participant supports. Members said the organization’s recent programming enrolled participants in past cycles but raised questions about capacity and whether earlier implementation learnings were incorporated into the new budget and deliverables. Committee members requested clearer detail on participant recruitment, training versus placement components, and how this request connects to the organization’s other, larger proposals.

Ending: The committee’s recommendation advances the CBDO designation to the next administrative step. Staff will return any further documentation that the agency requires as the designation and any subsequent funding requests move through review.