New Castle County committee schedules multiple affordable-housing ordinances, hears funding breakdown for Southbridge project amid tense exchange

New Castle County Council Community Services Committee Co-Chair Councilman Hollins on April 28 opened the committee and scheduled a slate of ordinances related to affordable housing and shelter renovations for consideration on May 12.

The agenda included Ordinance 26040 to appropriate Federal Home Loan Bank of Pittsburgh funds for Hope Center shelter renovations; Ordinance 26041 to add anticipated HUD funds for an Emergency Housing Voucher Shelter; and a series of affordable-housing amendments (26042, 26046, 26047, 26048, 26049 and 26050) that would reallocate county housing funds, change project scopes, and carry grant funds for special events and lead-remediation efforts.

"Order number 26040, amend the grants budget appropriate funds from the Federal Home Loan Bank of Pittsburgh to the Hope Center Shelter renovations," Co-Chair Councilman Hollins said when introducing the first item. He also said there was no public comment online during the committee's review.

Why it matters: The bundle of ordinances would shift resources and project scopes across New Castle County, including purchases of nine parcels near the Route 9 library for affordable housing and a proposal to convert the former Palmer School site in Southbridge into affordable townhomes. Those changes affect where county housing dollars and grant-funded projects are invested across municipalities in the county.

Councilman Street praised county staff and Carrie Casey for advancing the parcel purchases. "I just want to, thank, commend, and express my sincere thanks and appreciation to, Karen [Carrie] Casey for her due diligence in trying to make this happen," Street said, describing earlier debates over whether projects should be limited to senior housing.

Carrie Casey, general manager of the New Castle County Department of Community Services, provided background on the county's affordable-housing fund and the scope change requested by the Wilmington Conservancy (a land bank separate from the city). She said the county created a $32,000,000 affordable-housing fund in 2021 and that the conservancy asked to shift a previously funded Hilltop townhome project to Southbridge to create ten affordable townhomes.

Casey gave a project budget breakdown for the Southbridge townhome plan: "The whole overall project cost is is like $11,000,000," she said, and listed approximate contributions as $1,200,000 from the city of Wilmington, $3,000,000 from the state, and about $6,300,000 in contractor financing. "So it's a total budget of 11,000,000, and we are 500,000 of that project if the scope is approved," she added, describing the county share as roughly $500,000 if the committee and council approve the scope change.

Councilman Tackett pressed whether the ordinance would send county taxpayer funds to the city of Wilmington. Chair Hollins replied repeatedly that the funds go to the developer, not the city's budget, and that the county's housing dollars can be used in any jurisdiction that qualifies. "It's not county taxpayer fund, first of all. Secondly, it goes to the developer," Hollins said.

The line of questioning produced an extended, heated exchange between Hollins and Tackett over repeated mentions of Wilmington. The chair admonished Tackett to "stop saying Wilmington," and at one point told him, "You're ******* me off," language that other council members sought to tamp down while urging the meeting return to agenda items.

Councilman Smiley, who said he was born in Southbridge, thanked the committee for investing in affordable housing there and sought clarification about the source of the county's housing trust funds. Casey confirmed the county had previously appropriated $15,000,000 from the tax stabilization account toward affordable housing and reiterated that federal funds have different restrictions.

Other items discussed but not acted on included a $7,000,000 lead-remediation award the county received and an amendment to increase units in a contract with the National Alliance on Mental Illness from four to six supportive housing units; those items were scheduled for consideration at the May meeting along with the rest of the housing package.

No ordinance on the agenda was voted on at the April 28 committee meeting; the committee scheduled the items for consideration at the May 12 council meeting. The committee approved the minutes and then moved to adjourn.

What happens next: The ordinances will be considered by the full council on May 12; staff indicated they can supply more specific funding breakdowns if requested before that meeting.