Human Services commission approves $1.1M CDBG set‑aside for housing rehabilitation programs and Scottsdale Food Bank upgrades

"So what is a set aside? CDBG funds that are reserved solely for city programs and projects from the federal allocation based on priorities and goals established in the consolidated action plan," Chad, city staff, told the Human Services Advisory Commission when presenting the proposed FY25–26 CDBG set‑aside.

Chad said the city estimated an entitlement of roughly $1,080,000 and, after planned reserves for administration and public services (20% for admin; about $160,000 for public services), proposed a set aside that included $450,000 for the major ("green") housing rehabilitation program, $260,000 for roof repair, $300,000 for emergency repair and $100,000 for repairs and client‑service upgrades at the Scottsdale Food Bank. Chad described reprogrammed funds from prior years and program income as additional sources used to reach the proposed total set aside.

The commission discussed program details and demand. Chad said the major rehab program offers comprehensive home rehabilitation up to $80,000 under a deferred loan that is 50% forgiven after three years of occupancy; proceeds from repayment when properties are sold return to program income. For roof repair, Chad said the program targets structural roof replacements (not minor repairs) with an approximate per‑project cap of $20,000; the emergency repair program covers immediate livability issues such as HVAC and water heaters with a current per‑client cap of $10,000 per fiscal year. Staff proposed service targets for FY25–26 of five major rehabs, ten roof repairs and 48 emergency repairs based on recent usage and staff capacity.

On the Scottsdale Food Bank, Chad described work at the new McKellips and Miller site: a client service entrance, a shaded waiting area with circulation improvements for pickups and deliveries, and restroom upgrades to meet ADA standards. Chad estimated $73,000 for the client entrance, $6,500 for restroom upgrades, and a standard 15% contingency; the project will require architectural design, a federal procurement process and an environmental review before construction.

Commissioners asked about program demand and costs. Chad said inflation and larger housing stock have raised per‑project costs since 2020; he described how roof and HVAC prices have increased and that the department is operating near full capacity. Commissioners suggested removing the word "green" from program labeling because it can be controversial; several commissioners also requested more historical program data (three to five years or longer) on how many homes have been served before Council consideration.

After discussion, a commissioner moved to approve the proposed CDBG set‑aside for FY25–26 as presented; a second was recorded and the commission voted by roll call. The vote was unanimous: Chair Lohrey — yes; Vice Chair Jung — yes; Commissioner Turjell — yes; Commissioner Dodds — yes; Commissioner Shear — yes; Commissioner Cooley — yes; Commissioner Jamieson — yes. The motion carried. Commissioners noted staff heard recommendations about replacing the "green" label and exploring day‑relief/expansion options for the food bank, but members agreed not to delay approval of the funding package while staff considers those suggestions.

Staff said the set aside will be incorporated into the annual action plan that accompanies the consolidated plan and that further details (procurement, environmental review, project scheduling) will follow according to federal requirements.