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Council approves CDBG annual action plan, pulls COVID funds for later review amid public concerns

Hopewell City Council · November 10, 2025
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Summary

Council voted unanimously to approve the city’s CDBG annual action plan and 5-year consolidated plan but removed the COVID (CV) funds allocation for separate consideration after public concerns about prioritizing housing rehab and homeless services over Riverwalk spending.

Mr. Ward presented the Community Development Block Grant (CDBG) annual action plan and recommended allocations from the city’s FY entitlement and prior-year unspent funds. He said the city’s FY allocation for the year is about $239,391 and staff proposed $35,008 for public service grants (Hebron $5,000; Healthy Families ~$10,008 for child-abuse prevention; The James House $15,000 for domestic violence intervention; Pretty Purposed $5,000 for after-school youth services), roughly $140,000 toward housing rehabilitation programs for low- and moderate-income owner-occupants, and use of prior-year unspent funds to finance an ADA connection to the Riverwalk (staff noted a Riverwalk connection request for about $258,000 from older unspent allocations).

Ward told council HUD imposes caps on public-service spending (15% max) and that the city must submit the plan by the HUD deadline to avoid losing entitlement funds. Several council members and residents raised concerns about the prioritization of funds — particularly whether Riverwalk capital work should take precedence over housing repairs or expanded homeless services. Staff said the Riverwalk connection qualifies under HUD’s "presumed benefit" rules and that unspent funds risk recapture if not allocated.

During the public hearing, residents urged the council to prioritize housing repairs and homelessness services. Darlene Thompson and Mark Burrows both expressed frustration that prior pools of funding had not been used earlier for sheltering or direct housing needs.

Council agreed to split the CV (COVID) funds from the rest of the plan for later review (staff proposed $31,002 for Commonwealth Catholic Charities for homeless outreach; council pulled that CV allocation for additional vetting). Council then voted to approve the annual action plan and the five-year consolidated plan, authorizing the city manager to submit both to HUD with the exception of the COVID funds. The roll call vote was 7-0.

The council and staff directed the CDBG committee to review CV-money options and, where possible, to solicit additional information from potential subrecipients before allocating the remaining COVID funds; staff said HUD’s deadlines and the risk of recapture motivated the request for prompt action on the non-CV portion of the plan.