Housing director outlines FY27 budget and ripple of federal grants

Maddie Haverlin, director of the Housing and Community Development Department, told the Dubuque City Council on April 9 that her department’s FY2027 budget centers on preserving affordable housing and strengthening federally funded programs.

Haverlin said the department completed an organizational review effective Feb. 1, 2026, that reclassified positions and centralizes functions “to improve efficiency, strengthen oversight of federally funded programs, and ensure appropriate staff support.” She said most of the reorganization costs are covered by federal HUD grants including CDBG, lead paint/healthy homes and older-adult modification grants, keeping the general-fund increase minimal.

The presentation included three recommended improvement packages: a $42,500 recurring package for building demolition to address unsafe abandoned structures; a $1,300 recurring subscription to the International Code Council premium library for staff and public code reference; and a $9,500 one-time request to upgrade a building inspector’s fleet vehicle to a four‑wheel‑drive SUV.

Chief Building Official Michael Belmont summarized a recent housing study and a pipeline of projects he said would help but not fully meet demand. He highlighted completed and active projects — 50‑unit low‑income tax credit apartments, the 201‑unit Union at the Marina workforce development, the Fox Hills project (390 units across phases that received a $1 million Iowa Finance Authority incentive), and other mixed‑use and market‑rate proposals that together represent tens of millions in private investment.

Staff also reported permitting activity and software improvements: the department issued certificates of occupancy for more than 300 new housing units this cycle and launched a new permit/inspection platform that staff say increased transparency; the department expects to issue roughly 5,334 construction‑related permits by year end.

On assisted housing, Gina Hodson, assisted housing supervisor, said the Housing Choice Voucher program supports more than 920 households monthly with nearly $9.8 million in annual housing payments (about $7.8 million from HUD and $2 million from participating families). She said utilization and port‑out activity have pushed HAP expenditures up and that some reductions in utilization reflect higher per‑unit costs.

Council members pressed staff on funding breakdowns, payments to partner agencies, voucher lease‑ups and port‑outs, and how inspection and licensing changes affect landlord participation. Chief Financial Officer Jennifer Larson and Mary Bridget Corkin Deutsch identified contracted partners (Hawkeye Area Community Action Program, HART and Community Solutions of Eastern Iowa) and noted a line‑item breakdown is in the budget book.

The department emphasized preservation work funded through a mix of grants and program income, including a $1.44 million FY27 CDBG entitlement plus about $194,000 of program income, and a three‑grant hazard reduction portfolio totaling about $8.5 million (lead and healthy homes, healthy homes production, and aging‑in‑place grants) intended to preserve thousands of housing units through 2029.

The council called for continued tracking of lease‑up rates and vacancies for the new units, close monitoring of the petition‑for‑title pipeline to reduce surprise demolitions, and consideration of occupancy/lease‑up data as new projects come online. Haverlin said staff will continue reporting on utilization, compliance and grant targets and will return with follow‑ups when requested.

The department concluded by asking the council to consider the budget requests and improvement packages during upcoming budget sessions; no formal vote was taken at the presentation.