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Council approves select items in Budget Amendment No. 2, closes HUD/TEFRA hearings and approves local loans and plans
Summary
Council approved select items in Budget Amendment No. 2, closed required HUD and TEFRA public hearings, approved a small business loan and adopted the county hazard mitigation plan and an interlocal HTRZ agreement.
At the Oct. 21, 2025 meeting the Salt Lake City Council considered Budget Amendment No. 2 for fiscal year 2025-26, several federally required public hearings, and a series of related resolutions and administrative items.
Budget amendment overview: Council policy analyst Michael Sanders said Budget Amendment No. 2 includes 34 proposed amendments totaling $71,326,282 in revenues and $137,038,667 in expenditures, including $940,000 from the general fund. The council had previously received work-session briefings and moved to address specific administrative requests in the package while deferring the remainder.
Selective approvals and deferrals: Councilor Wharton moved to close the public hearing and adopt three specified items in the package (National League of Cities Summit costs; modification of an appointed position in the Police Department; and temporary assistance for airport federal partners affected by a federal government shutdown), and to defer the remaining budget amendment items to a future council meeting. The motion was seconded and passed 6-0 with one member absent. Councilors highlighted support for temporary assistance to airport employees working without pay during the federal shutdown.
HUD and TEFRA hearings: The council also held the annual HUD general community development needs public hearing and a TEFRA hearing for an affordable housing project at 203 West Paxton Avenue (a 272-unit tax-exempt financing project proposed by Patriot Service Group). Both hearings were procedural: no public comments were registered for those items and the council closed the hearings. Staff noted the TEFRA hearing is required by federal tax-law procedure and does not create a financial liability for the city.
Other actions: The council adopted a substantial amendment to the HOME-ARP allocation plan (relocating a portion of one-time HUD HOME-ARP funding) by unanimous vote. The council also approved a $40,000 economic development loan to Rich—s Grub Houses LLC (doing business as Richburger's and Groove), adopted the 2025 Salt Lake County Hazard Mitigation Plan, and approved an interlocal agreement for the Salt Lake Central Housing, Transit and Reinvestment Zone (HTRZ) with the community reinvestment agency. Each of those motions passed on voice votes recorded as unanimous among members present.
Why it matters: Budget amendments and reallocations shape municipal spending priorities. The HOME-ARP amendment affects allocation of one-time federal HOME-ARP funds. The approved loan and hazard mitigation plan are discrete actions with local impacts. The TEFRA hearing satisfied federal procedural requirements for the proposed affordable housing financing; the city reported no direct liability.
Next steps: Deferred budget amendment items will return for council review and adoption at a subsequent meeting; staff will follow up on ordinance language, budget adjustments and grant-acceptance items as needed.
