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New Castle County staff outline HUD five‑year consolidated plan as council members voice concern about federal funding freeze

2159046 · January 28, 2025
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Summary

County staff described the start of the five‑year HUD consolidated plan process and the county’s HUD‑funded programs; council members and officials raised alarm about a reported federal freeze on HUD grant disbursements and urged coordination with the congressional delegation.

Nicole Waters, acting manager for community development and housing with the New Castle County Department of Community Services, told the Community Service Committee on Jan. 28 that the county has contracted with Mullen and Lonergan to prepare its next five‑year consolidated plan required by the U.S. Department of Housing and Urban Development (HUD).

The plan — which Waters said identifies local needs, a housing and homeless needs assessment, a market analysis, a strategic plan and an annual action plan — is the document HUD requires for communities to continue receiving federal grants such as the Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME) and the Emergency Solutions Grant (ESG).

Waters said the county will hold stakeholder meetings and collect data over the next several months to prepare the plan for HUD approval. "A 5 year consolidated plan is the document required by HUD for communities to continue to receive federal grants," Waters said.

Council members used the presentation to discuss a separate, simultaneous concern: reports of a freeze on federal grant funds. Councilman Street called the reported freeze “no joke,” urged unified local action and said the county should support state attorney generals and the congressional delegation in legal and political responses. Councilwoman Janet Kilpatrick and Councilwoman Carter also urged coordination with the county’s federal delegation and with national county groups to press for bipartisan advocacy in Washington.

General Manager Carrie Casey told the committee the county executive’s office had already contacted the congressional delegation and that county staff would continue outreach. "All of these programs are federally funded and are all on the list that was received today, to be frozen," Casey said. "The executive office has already been in touch with the congressional delegation." She added that the county pays approximately $1 million in rent monthly for about 1,800 families through HUD‑funded programs and that a freeze would be disruptive.

Why it matters: HUD allocations support housing rehabilitation, homelessness services, rental assistance and public services in New Castle County. The consolidated plan determines how those federal resources are prioritized locally; a federal pause on grant disbursements would create immediate uncertainty for agencies and residents who rely on the funding.

The county plans public stakeholder meetings and technical assistance for applicants; Waters urged council members and providers to participate in the outreach. Committee members also discussed briefing materials for the county’s federal delegation to explain New Castle County programs such as inclusionary zoning and the county housing trust fund, both cited during the meeting as local tools that complement HUD funding.

What’s next: Waters said draft documents will be prepared after HUD releases the county’s 2025 allocation and that the county’s annual action plan submission date could change based on HUD’s timing. Council members requested continued updates and coordination with the county executive’s office on federal advocacy.