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Oak Park finance committee reviews CDBG allocation, alley and sidewalk projects and lead-service program funding
Summary
Village staff told the Finance Committee the community-development (CDBG) program will support alley and sidewalk capital work, limited public services and housing-related grants; staff also described limits on private lead-service-line funding and uncertainty about federal allocations.
Village of Oak Park budget staff on Sept. 11 told the Finance Committee that Community Development Block Grant (CDBG) funding will support alley and sidewalk capital work, public services and program administration while staff continue planning for private lead-service-line assistance.
The committee heard that the village is budgeting roughly $420,000 for alley improvements and about $278,000 for sidewalk repair and replacement in the coming year, and that staff has set aside “slightly less than $700,000” of CDBG money for capital projects in 2026. Staff said 15% of CDBG dollars are allowable for public services and 20% may be used for program administration; the rest is devoted to capital and housing programs.
The discussion included an update on the village’s approach to private lead-service-line replacement. Staff said that after HUD feedback, average private-side replacement costs exceed $5,000 and that the village did not set aside additional CDBG dollars for private-side lead work in this budget cycle. Staff also noted the village will continue housing programs that include small rental building support and efficiency and lead-remediation projects.
Committee members asked about federal appropriations and the risk that CDBG funding could change. Staff said congressional spending bills then under consideration continued to include CDBG funding levels similar to prior years but noted the president’s budget had proposed eliminating CDBG; staff said they would report real-time updates to the board if the federal picture changed.
Members also discussed carry-forward funds. Staff said the 2025 program had used unspent allocations from prior years (2021–22) for deeper investments and that those older balances will be exhausted by the end of the 2025 program, leaving the 2026 budget to reflect only the 2026-year entitlement.
Ending: Staff told the committee it will continue updating the board when federal guidance or signed grant agreements arrive and will return to the board for related CIP (capital improvement program) questions and decisions at future meetings.
