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CDBG advisory panel recommends $846,494 in FY25–26 allocations; 30-day public comment to follow

2904816 · April 9, 2025
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Summary

The city's CDBG advisory commission recommended a slate of regional and local projects totaling roughly $846,494 for FY2025–26, including funds for playground replacement, code enforcement, critical home repair and public‑service grants; staff will open a 30‑day public comment period before returning to council for final action.

Orem's CDBG advisory commission presented draft funding recommendations for the FY2025–26 Community Development Block Grant allocation and rollover funds and asked the council to accept the recommendations for a 30‑day public comment period.

The packet shows combined available funds (allocation plus rollover) of about $846,494. The commission and staff proposed a regional share for joint projects with Provo and Utah County and several city projects: Fuller Center (single‑family home rehab) as a regional recommendation, city administration and MAG administration, a final Section 108 loan repayment item (staff said this will free approximately $100,000 for future years), code-enforcement staffing, an Orem critical home‑repair program, and a large parks playground replacement request (Cherry Hill), which staff said could absorb the shifting of neighborhood‑revitalization funds when HUD technical rules limited certain uses.

Staff explained a HUD coding issue that limits how certain neighborhood revitalization dollars can be spent for public‑service categories; to keep the city within HUD limits, the commission moved most of the prior neighborhood-revitalization allocation into a playground‑replacement project and reduced the neighborhood cleanup line. Staff said that next year, with the Section 108 loan repayment concluded, the city will have more flexibility and that staff intend to propose a list of non‑public‑service activities (sidewalks, tree planting, street improvements) that could better serve neighborhood revitalization in future cycles.

The council was asked to accept the funding recommendations and open the required 30‑day public comment period; staff said they will return with a resolution to adopt the final allocations after the comment period and after MAG completes the annual action plan.