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Salinas council approves HUD amendment to use CDBG program income for Chinatown property acquisition and Alisal sidewalk work
Summary
The Salinas City Council voted April 21 to submit a second substantial amendment to its HUD Annual Action Plan to reallocate Community Development Block Grant (CDBG) program income toward acquisition of a Chinatown property, sidewalk improvements in the Alisal neighborhood and program administration; the measure passed with one absence noted.
The Salinas City Council on April 21 approved a second substantial amendment to its HUD Annual Action Plan to reassign program income from a recent sale toward three city priorities: acquisition of a property in Chinatown, sidewalk and ADA improvements in the Alisal neighborhood, and administrative costs to manage the program. The council’s action authorizes staff to submit the amendment to the U.S. Department of Housing and Urban Development and to incorporate any required changes.
Orlando Reyes, deputy director of community development, told the council the city must follow HUD rules for substantial amendments when it changes allocations or adds eligible activities. Staff recommended assigning $56,619 to sidewalk improvements, $31,800 to planning and administration (within HUD’s allowable 20% cap on administrative costs) and up to $1,000,085 for acquisition of a property at 43 Soledad Street to support Chinatown revitalization efforts. Reyes said the purchase could include a lease-back option and that further design and developer selection would come later through an RFP.
Residents, neighborhood groups and nonprofit representatives made public comments urging the council to prioritize affordable housing and protections against displacement. Marisol, representing the youth council, and speakers from community housing organizations said they want tangible benefits for low-income residents, including mothers and farmworker families. Chloe Shim, speaking during public comment, asked the council to ensure that the Republic Cafe — listed on the National Register — receive consideration and warned against routing the bulk of funds to one organization or a single lease arrangement (Mission of Victory was cited by commenters as a frequent project partner).
Councilmembers pressed staff about next steps, oversight and timelines. Several said they wanted the community to see project renderings when the city reaches the design phase; Reyes said the city would return to the council for any property purchase approvals and would conduct further community outreach during RFP and design phases. Staff also stated that the amendment is a non-project action under the California Environmental Quality Act as presented to the council.
The council approved the amendment in a roll-call vote with Councilmember Barajas absent and all members present voting in favor. The motion, moving the item forward to HUD and authorizing the city manager to incorporate technical edits into the amendment, was carried up at the meeting’s conclusion.
