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Harrisonburg shifts CDBG funds to ready projects to meet federal timeliness rules
Summary
City staff proposed reallocating CDBG money—moving funds from Hillandale projects and an unused Habitat allocation into projects that can be completed quickly, and opened a 30-day public comment period ending Jan. 12.
Kristen, the city’s Community Development Block Grant (CDBG) program manager, told the City Council on Dec. 9 that staff is proposing targeted amendments to the city’s 2023–2025 CDBG action plans to keep the grant in compliance with federal timeliness calculations.
She said the recommended changes would move $80,000 from the Hillandale sidewalks project and $119,500 from the Hillandale playground project into the Kiwanis Playground project, which Parks and Recreation says is close to construction-ready. In addition, Kristen said $76,867.71 from a prior Habitat for Humanity allocation that could not be spent during the 06/30/25 grant period would be reallocated to the Ralph Sampson walking path project and the Wolf Street waterline project.
Kristen said Habitat for Humanity’s internal organizational changes limited its ability to deploy those earlier funds but that the organization remains committed to identifying eligible projects; staff is moving funds to projects that can be spent in a timely manner to preserve overall program eligibility under federal rules.
The council opened a 30-day public comment period; Kristen said staff will accept comments through 9 a.m. on Jan. 12 and will bring the item back for council consideration on Jan. 13. No members of the public spoke in person or by phone at the hearing.
The item is procedural: the amendments reassign existing federal CDBG grant dollars to city-managed projects and other CDBG-eligible uses so the city remains compliant with federal timeliness requirements.
