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Clay County continues CDBG amendment after commissioners press for clearer plan on $100K nonprofit capacity funds
Summary
County staff proposed reallocating unused CDBG funds — $900,000 to sidewalks and a new $100,000 'nonprofit capacity' line split between Seeds of Grace and Impact Clay (Lynxy). Commissioners asked for more transparency and clarification about staffing costs; the board continued the item to March 10 for further review and applicant presentations.
Clay County commissioners on Feb. 24 continued a public hearing on a proposed substantial amendment to the county’s Community Development Block Grant (CDBG) annual action plan after questions from board members about a new nonprofit capacity‑building line.
Grants director Megan Cubby told the board staff had identified unused CDBG funds from prior years and proposed adding $900,000 to the sidewalk program and creating a $100,000 nonprofit capacity‑building activity. The staff memo said the $100,000 would be split between two applicants that met HUD eligibility: Seeds of Grace (community cleanup and limited home rehab in Keystone/Hyde areas) and Impact Clay, which proposed deploying Lynxy, a software platform designed to connect residents to services and to close referral loops.
Commissioners pressed staff on how the funds would be used. Several asked whether the capacity funds would underwrite personnel (FTEs); Cubby said the nonprofit awards were intended as startup or seed funding and could be used to support part‑time or initial staffing and onboarding costs to stand up the services. One commissioner said a county policy of cutting county FTEs made funding nonprofit staff politically sensitive.
Impact Clay CEO Connie Thomas described Lynxy as a real‑time resource referral platform already piloted locally: “When you go into Lynxy… it will pull up every veteran service in the county… and then it’s going to ask you, do you want us to send a referral for you?” she said, and explained the system’s referral‑loop tracking and quarterly resource scrubs that keep listings current.
Other commissioners asked why only two nonprofits applied; staff said the amendment was advertised and the two proposals fit HUD’s definition of capacity building. Commissioners also questioned whether awarding CDBG funds to staffing is the best use of federal housing‑and‑community funds and asked staff to solicit additional applicants or more explicit service‑directed proposals.
Because Seeds of Grace representatives were unable to be at the meeting, the board voted to continue the item to its March 10 meeting so both applicants could present and commissioners could evaluate alternatives and conditions before finalizing the budget change.
