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Council reallocates FY26 CDBG funds amid appeals from Rebuilding Together
Summary
After public testimony from Rebuilding Together Silicon Valley and others, the council adjusted its CDBG action to restore a large allocation to home‑repair programs and allocate a smaller amount to sidewalks.
In a public hearing on June 2, the Gilroy City Council approved submission of the city’s FY2025–26 Community Development Block Grant (CDBG) Consolidated Plan and Annual Action Plan and approved an amended distribution of the available funds following public testimony.
Community Development staff reported the city’s FY26 HUD allocation at $380,083 plus prior‑year unspent CDBG funds of approximately $78,829. Several nonprofit applicants submitted proposals in the city’s Notice of Funding Availability. During public comment, Rebuilding Together Silicon Valley urged council to fund its home‑repair program, citing urgent owner‑occupied repairs for low‑income seniors and residents with disabilities.
After public comment and council discussion, Councilmember Debbie Bracco moved — and Councilmember Terrence Klein seconded — a motion that directed staff to allocate $149,693.12 to Rebuilding Together Silicon Valley and $28,412.52 to a public‑works sidewalk/curb‑ramp project, and then submit the consolidated documents to HUD. The motion passed by a 7‑0 roll call vote.
Several speakers from Rebuilding Together emphasized the program’s ability to move quickly on owner‑occupied critical repairs and noted extensive community outreach and demand: “Safe, stable housing is infrastructure essential to public safety, health, and economic stability,” Rebuilding Together’s executive director said during public comment. City staff noted that sidewalk project planning may involve longer procurement and design timelines, while Rebuilding Together’s home‑repair work is largely “shovel ready.”
Staff will submit the adopted consolidated plan and annual action plan to HUD and will amend the FY26 budget in the CDBG fund to reflect the allocations approved by council. Council also authorized staff to make technical adjustments necessary to satisfy HUD submission requirements.
Speakers quoted or referenced in this article are identified from the meeting transcript: Sharon (Diane) Everton and Elena Purcell Schroeder (Rebuilding Together Silicon Valley representatives) and Community Development staff.
