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Arcata approves mid-year budget adjustments and authorizes CDBG applications after staff warns of stricter federal readiness rules

Arcata City Council · March 19, 2026
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Summary

Arcata Council approved mid-year budget revisions and authorized three 2025 CDBG applications; staff said stricter CDBG readiness rules (completed NEPA and bid-ready plans) made some previously proposed projects ineligible for this cycle and favored water-meter work if threshold requirements are met.

Arcata’s City Council on March 18 authorized submission of three 2025 Community Development Block Grant (CDBG) applications and adopted mid-year budget revisions after staff described both project-readiness requirements and timing-related adjustments to capital projects.

Community Development Director David Loya told the council that the 2025 CDBG round requires higher readiness for construction projects: environmental review (NEPA) must be complete and bid-ready plans and specifications must be prepared. Because of those thresholds the Grove housing project is not sufficiently ready to qualify for the current application round, while a water-meter…

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