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Durham council approves $6.755M ARPA amendment for Hayai Promise CDC amid divided council and public scrutiny
Summary
After hours of public comment and detailed questioning from council, the council voted 5–2 to amend ARPA/revenue replacement funding to remove St. Joseph’s Historic Foundation as fiscal agent and designate Hayai Promise CDC as the recipient for $6.755 million; two council members voted no, citing concerns about oversight, timelines, and equity of process.
The Durham City Council on March 16 approved amendments to ARPA-funded agreements that reclassify and transfer up to $6,755,000 related to the Fedville Street (Hay/Hạy/"Hayai") corridor revitalization to the Hayai Promise Community Development Corporation and removed St. Joseph’s Historic Foundation as fiscal agent.
The item prompted a lengthy public comment period and extended council discussion. Supporters and board members, including Sher Brown (chair of Hayai Promise CDC) and Marcelus Smith (board member), urged the council to allow the CDC to continue revitalization work and described long-term community ties and plans for economic development. Opponents and originators of the community plan, including Angel (Angelet) Doer (Historic Pine Street), urged the council to pause the transfer and bring the original community coalition back to the table, characterizing the proposed change as a "bait and switch" and questioning formation and fiscal controls.
City finance director Tim Flores clarified funding categories and compliance issues, telling council: "The cap for revenue replacement is $10 million." He and other staff explained that portions of the original funds were obligated as regular ARPA grants while the remaining balance had been reclassified as revenue replacement. Council members repeatedly pressed staff about earlier audit flags, timelines, embedded city staff support for the CDC, and whether other organizations were being given equal flexibility.
Council Member Burrus and Council Member Cook voted no; the amendment passed 5–2. The council also voted unanimously to authorize subsequent negotiated modifications so long as total grant funds do not exceed $6,755,000, and to approve related agreements that remove St. Joseph's as fiscal agent and bring other partners into the implementation agreement. Council requested additional transparency and reporting: several members asked staff and the CDC to post major work products to city/CDC project pages and to provide periodic metrics and six‑month reporting on ARPA/replacement fund outcomes.
