New Bern holds public hearing on CDBG annual action plan with $240,314 proposed allocation

City staff presented the draft Community Development Block Grant (CDBG) annual action plan at the New Bern Board of Aldermen meeting on May 12, outlining a proposed $240,314 allocation across four priority projects and explaining federal rules that limit how the money may be spent.

Miss Rube, who led the presentation, said the plan functions as an annual implementation budget tied to the city's five-year consolidated plan and that federal timeliness tests — including a June 30 close-out deadline for this funding cycle — shaped staff recommendations. "There are very specific formulas associated with spending this money," she said, noting caps on certain activities and the need to meet HUD's expenditure tests.

Staff highlighted four proposed lines in the plan: administration; streets and sidewalks within the CDBG-eligible tract; a roof replacement pilot targeted at households in need; and a partnership-based utility-assistance program. The roof pilot was presented as a $40,000 line intended to help about four homes at roughly $10,000 per household; staff cautioned that if bids or conditions push per-household costs above that target, they would return with a policy amendment. The staff presentation also noted about $42,000 remains in a 2022 HVAC line item that staff expect to draw down as pending homeowner applications finalize.

On the utility-assistance proposal, staff said one of three submitted partner applications proposed a $25,000 award to a community organization to administer emergency utility assistance; under the proposed arrangement the organization would implement the program and bear associated costs, subject to HUD's administrative cap and program requirements. "That $25,000 would be given to them, and implementation of it, and all costs associated with that are the responsibility of Abundant Life," the presenter said.

Board members pressed staff for clarifications on whether leftover 2022 funds would be immediately available to new applicants and on the meaning of the $10,000 roof figure; staff said three applications are under review and reiterated that staff would return to the board if adjustments to per-household caps were needed. No formal action was taken at the meeting; the plan will remain on public display through June 8 and the board will consider a vote at its June meeting.

What happens next: Written public comments will be accepted while the plan is on display; staff will finalize any application vetting and bring a recommended ordinance or resolution to the board for a vote in June.