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HRA hears update on CDBG, HOME and ESG funding; staff flags federal uncertainty and district council impacts
Summary
PED staff briefed the HRA on Community Development Block Grant (CDBG), HOME and Emergency Solutions Grant (ESG) timing, proposed federal cuts, compliance changes and how recent OMB/HUD clarifications affect district councils' indirect cost reimbursement.
City of Saint Paul Planning and Economic Development staff updated the Housing and Redevelopment Authority on CDBG, HOME and ESG grants, described administrative and timing constraints, and warned the board that proposed federal budget changes could reduce local funding streams used for affordable housing and gap financing.
Beth Ulrich (Planning and Economic Development) told the board the department had not yet received 2025 HUD grant agreements because federal appropriations were delayed; staff expect 2025 funding to be similar to 2024 but said the 2026 outlook is uncertain. "The Administration's budget request proposed a 51% cut to HUD funding with $0 for CDBG and HOME," Ulrich said; she added the House THUD subcommittee subsequently previewed a spending bill that fully funded…
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