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Asheville begins drafting $225 million CDBG-DR action plan with public feedback period set for March

2247696 · February 7, 2025
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Summary

City staff and Hagerty Consulting outlined a draft schedule to submit a Community Development Block Grant Disaster Recovery action plan after HUD allocated $225 million to Asheville; staff plans a March 4 draft posting and an April 8 council approval for HUD submission.

City staff told the Feb. 6 agenda briefing that the U.S. Department of Housing and Urban Development has directly allocated $225 million in Community Development Block Grant Disaster Recovery (CDBG-DR) funds to the City of Asheville and staff will develop an action plan to identify unmet needs and programming priorities.

James Shelton, the city’s Community Development Division manager, said the allocation includes about $195 million for housing, infrastructure and economic-revitalization activities, and about $29 million set aside for mitigation tied to those investments. Shelton and Stan of Hagerty Consulting explained the city has 90 days from HUD’s allocation to submit an action plan (April 21) and that HUD will take up to 45 days to review the submitted plan.

Stan with Hagerty, a former HUD official, noted statutory and programmatic guardrails: at least 70% of program expenditures must benefit low- and moderate-income persons, HUD allows up to 5% for local administrative costs and up to 15% for planning in limited circumstances, and grantees must comply with cross-cutting federal requirements including environmental reviews, Davis-Bacon labor standards and the Uniform Relocation Act when applicable.

Staff said they will post a draft action plan for a 30-day public comment period beginning March 4 and will hold at least three public feedback sessions (focused on housing, economic recovery and infrastructure) during March. Shelton asked council to review the draft and indicated staff would bring a final action plan for council consideration on April 8 with the intent to submit to HUD on or by April 21. Staff emphasized the action plan is a starting document that HUD expects grantees to amend as recovery needs evolve and as additional information becomes available.

Council members asked about sequencing and how CDBG-DR investments will relate to other recovery programs. Staff said CDBG-DR is intended for long-term recovery investments and is designed to be coordinated with FEMA public-assistance projects, state allocations and other local resources. Shelton said the city anticipates a multi-year implementation horizon and will return to council with program specifics, allocations and proposed project lists after the public comment period and additional analysis.