Community Development Advisory Board recommends 2025 HUD funding allocations, approves contingency plan

CHARLESTON — The Community Development Advisory Board (CDAB) for Charleston County on Wednesday recommended how the county should allocate its 2025 urban entitlement funds from the U.S. Department of Housing and Urban Development (HUD), approving a slate of awards across Emergency Solutions Grant (ESG), HOME-CHDO and Community Development Block Grant (CDBG) funding streams and adopting a contingency plan if HUD’s final allocation differs from projections.

The board voted to allocate $74,454 in ESG money to 180 Place, a nonprofit homeless services provider; voted to award Metanoia $195,000 from HOME-CHDO funds with the remaining HOME balance recommended for Tri County Weatherization Group; and approved a detailed CDBG distribution that includes $175,000 to Operation Home and a $300,000 earmark for well and septic projects. Board members also approved a contingency plan specifying how any HUD overage or shortage will be distributed among applicants.

The recommendations now go to the Charleston County Council for final approval. The board noted a public hearing on these recommendations is scheduled for April 8, 2025, at 6:30 p.m. in council chambers.

Staff gave the board a status update on previously funded projects before the funding votes. Gail Carson, with Community Development and Revitalization, briefed the board on multiple subrecipients’ progress and outstanding issues, noting delays tied to environmental reviews and procurement. "We anticipate this project really coming to conclusion, within this extension period," Carson said of one housing project that had been reimbursed for 72% of its funds.

Nicole Manglona, who explained the scoring methodology used to rank applicants, told the board that scoring follows the county’s consolidated plan and includes community-alignment, project feasibility, capacity/performance and application completeness. "All our funding streams are based on our consolidated plan," Manglona said, and the scoring team included outside reviewers and staff who monitored performance data.

On ESG funding, Louella Smalls, director of Community Development and Revitalization, told the board the projected ESG allocation from HUD is $124,091 and reminded members that no more than 60% of ESG may be spent on shelter operations. Michael Allen, serving as the board’s legal representative, moved to allocate the shelter-eligible portion — $74,454 — to 180 Place; Michelle Reed seconded, and the motion passed.

On HOME-CHDO funding, Smalls reported a projected funding cap of $313,317 and noted HUD requires a minimum CHDO set-aside (the board discussed a HUD minimum amount of $62,633 based on that cap). The board voted after discussion to award Metanoia a $195,000 grant and to recommend the remaining HOME balance for Tri County Weatherization Group.

The board’s discussion on CDBG funding addressed a $675,736 projected pot, with staff noting $300,000 has historically been allocated to a county well-and-septic priority program. Michael Allen moved a multi-part CDBG recommendation that included maintaining the $300,000 well-and-septic allocation and distributing the remainder to emergency housing repair and public service projects; Michelle Reed seconded. After debate about minimum grant thresholds and program priorities the board approved the motion and the associated award list (which includes allocations to Operation Home, James Island Outreach, Charleston Habitat for Humanity, Increasing Hope Financial Training Center and others as recorded in meeting materials).

Because some applicants requested amounts below practical administrative minimums, the board adopted a CDBG contingency plan amendment that set award-adjustment rules in $10,000 increments and directed that no award be reduced below $10,000 in the event of a funding shortfall. The contingency language also specified how any HUD overage should be distributed: first to projects that had not met their minimums (in score-priority order) and then pro rata by score within each eligible section, subject to HUD caps on public service funding.

Board members emphasized monitoring and technical assistance to subrecipients with compliance or capacity concerns, and staff said they will follow up with organizations that did not apply this year for certain ESG categories to understand why and encourage future participation. Several subrecipients were flagged in staff updates as having incomplete environmental reviews or procurement issues; staff said they have extended or will extend contracts to allow projects to complete required steps.

The CDAB’s recommendations, minutes and contingency plan will be forwarded to Charleston County Council for its review; the board reiterated that council approval is required before funds are committed. A public hearing on the recommendations is scheduled for April 8, 2025, at 6:30 p.m. in County Council Chambers.