Human Relations Commission backs CDBG plan, instructs staff to consider reallocation and reduces We Care allocation

Palo Alto — The Human Relations Commission voted on Thursday to recommend City Council approve the city’s draft five‑year consolidated plan and the fiscal year 2025–26 annual action plan for Community Development Block Grant (CDBG) funds, while directing staff to explore reallocating some funds away from a for‑profit technical assistance pilot toward locally eligible housing and public‑facility projects.

What the commission recommended: Commissioners approved the staff-recommended CDBG allocations with one change — a 25% reduction in the recommended economic-development award to Upwards/We Care (the “Boost” family child‑care support pilot) and direction that staff consider using the resulting funds for uncapped projects, with special emphasis on additional funding for the Alma Garden rehabilitation project.

Why it matters: Palo Alto receives approximately $500,000 annually from HUD for CDBG, plus roughly $100,000 in program income. The program has a 15% cap on public‑service spending and a 20% cap on planning and administration; the cap limits how much the city can allocate for social‑service organizations even when demand is high, commissioners were told.

Key details presented to the commission

Program background and outreach

Robert Fain, housing planner in the city’s planning and…