City asks for $200,000 for low-income-area street resurfacing and $340,000 for Section 108 payment; planning/admin request also submitted

City of Kenosha staff presented three funding requests to the CDBG advisory committee: $200,000 for street resurfacing in low-to-moderate-income census tracts, $340,000 for a scheduled Section 108 loan payment tied to Fire Station 1, and $204,331 for planning and administration (the program's administrative cap).

A city representative explained that the street-improvement funds would be used on road segments not scheduled in the capital-improvement plan and that public-works staff confirm a segment is in a low-to-moderate-income census tract before using CDBG funds. The work would pay prevailing wages and is planned for the 2026 construction season.

The Section 108 loan payment request of $340,000 covers principal and interest; staff said $3,033,000 remains on the loan and payments continue through 2037. Staff warned that if federal CDBG allocations are reduced or delayed, the city budget would need to cover the payment and that a government shutdown could affect timing.

The planning and administration request asks for $204,331 (20% of the predicted 2026 grant) to reimburse staff time spent on CDBG administration, comprehensive planning and historic-preservation work. Staff said if planning/admin funds are reduced, city general funds would need to cover those salaries.

Committee members asked for lists of targeted street segments and pressed city staff on contingency plans should federal funding be reduced; staff said lists exist and that any shortfalls would require council budget adjustments.