Georgia DCA proposes budget consolidation; requests pass-through increase for regional commissions

The Department of Community Affairs proposed collapsing 13 program budgets into seven and asked the House Appropriations Subcommittee on Economic Development to approve a state pass‑through increase for regional commissions.

The department presentation, delivered to the subcommittee during the agency budget review, said the consolidation is intended to match how staff organize work, reduce administrative burden and improve transparency. The agency official described the change as primarily a "presentation"‑level restructuring rather than a large substantive cut or new program expansion.

The DCA representative said the proposed consolidation groups programs into buckets labeled building construction, historic preservation, state economic development programs, accountable housing initiative, community services and housing initiatives. On the state side, the representative said building construction represents roughly $315,000, historic preservation about $1.8 million and housing programs about $7.8 million; the community services bucket was said to include about $9 million in state funds and a substantially larger amount in federal funds.

The representative said the only substantive change the agency proposed in FY 2026 was an increase in the community services program (line 16.3.4) to provide additional pass‑through funds for the state's 12 regional commissions. The amount discussed during the presentation was described in the transcript as an increase of "$902,000, dollars 279" for pass‑through funds to regional commissions that assist local governments with comprehensive planning and grant administration.

Committee members pressed for detail on housing lines (16.11), and the DCA representative described several funding streams included there. The presentation said the homeownership program is funded entirely by bonds and administered by the Georgia Housing Finance Authority, which the speaker said retains a AAA bond rating. The broader housing programs section includes an estimated $150 million in federal housing choice voucher funding administered for very low‑income populations, as well as HOME funds (a U.S. Department of Housing and Urban Development program) and Emergency Solutions Grant funds for homelessness services.

Committee members asked which parts of the consolidated budget would be most vulnerable to federal funding cuts. The DCA representative said building construction is entirely federally funded; community services contains "a substantial amount" of federal dollars and has roughly $9 million in state funds against a total program reported as roughly $70 million; historic preservation would be significantly affected by federal reductions; housing initiatives are predominantly federally funded; and the accountable housing initiative is a state program. The representative also noted the agency works with about 80 different federal funding sources across HUD, the Department of Commerce, the National Park Service and Treasury.

On efficiency, the DCA representative told the subcommittee that the consolidation will enable time savings for agency leadership and budget staff — the agency has three deputy commissioners who now each manage multiple budgets — but that projected direct dollar savings are not large. The representative characterized the change as freeing staff time to serve communities more effectively.

The agency took questions from the subcommittee and said it would provide further detail if requested.