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Marion City touts ARPA-backed housing rehab results; Medco seeks $1.5 million regeneration pilot

Marion City Work Session · January 7, 2026

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Summary

City staff reported 23 completed ARPA-funded owner-occupied rehabs and $475,959 spent of a $530,000 allocation; staff said Medco is seeking $1.5 million in pilot capital and council agreed to provide a letter of support and continue discussions.

Sarah Buck, director of the housing fund in Berlin County, told Marion City council members on Monday that the city—s ARPA-funded owner-occupied housing rehabilitation program has completed 23 projects and expended $475,959 of the $530,000 the council allocated for the effort.

Buck said the program launched in late 2023, targets households below 80% of area median income, and aligns with Marion—s 2022 housing study and the Marion 2045 comprehensive plan. She said a windshield study identified roughly 176 units (about 43% of the targeted low- to moderate-income area) needing major exterior repairs, and the program has delivered siding, window replacement, foundation and drainage repairs, HVAC and roof work, and accessibility upgrades such as ramps and sidewalk repairs.

"We've expended $475,959 in total reinvestment," Buck said. She added the program's average cost per home has been $18,238, which staff said demonstrates efficiency in stabilizing neighborhood housing stock.

Council members pressed staff on program protections and long-term maintenance. Buck said the city places a lien on properties receiving rehabilitation funds that lasts five years to protect the public investment, and that the lien is released after that period. On long-term upkeep, Buck said staff hold maintenance conversations with homeowners and can point owners to optional homeownership-maintenance resources but do not currently require mandatory maintenance classes, noting many households are on fixed incomes.

Members also raised contractor capacity as a limiting factor: staff said finding contractors willing to bid small-scale rehab work has been challenging and proposed outreach to trade programs and local training providers to expand the contractor pool.

Staff said demand has outpaced available funding: the program accepted 36 applications before closing the intake, and the city's housing study shows a broader shortfall (staff referenced an estimated need of roughly 2,000 units across housing types and about 1,000 single-family units to meet plan targets).

On next steps, staff described a proposed regeneration pilot developed with Medco and Onward Bank to move beyond one-off rehabs toward scaled reinvestment. "Medco is seeking $1,500,000 in capital" for a pilot, staff said, and the city plans to request a letter of support and meet with Debbie Durham on Feb. 4 to discuss the pilot further. Staff told council the $1.5 million figure came from Medco and Onward Bank based on their program goals and that staff would share Medco's supporting budget numbers when available.

Council members asked whether the pilot would require matching funds; staff said matches in similar federal programs often range around 10–20 percent but that final match requirements would depend on the grant or financing structure.

The presentation closed with staff asking whether the council supported moving forward with a letter of support and continuing engagement with Medco; councilmembers indicated general support for continued engagement but did not take a formal vote. Staff said they would return with additional details and underlying financials for the proposed pilot.