City outlines $76,998 CDBG entitlement, says little remains for outside grants

Alyssa Canon presented details of Lebanon City's 2026 Community Development Block Grant (CDBG) entitlement on the evening the council opened a public hearing for the program. Canon said the city will receive $76,998 in entitlement funds for fiscal year 2026 plus an estimated $20,000 in program income, and that the U.S. Department of Housing and Urban Development uses a statutory dual formula to determine each jurisdiction's grant.

"The city will be receiving a CDBG entitlement in the amount of $76,998 plus an estimated 20,000 in program income for fiscal year 2026," Canon said. She listed the administration's preliminary funding priorities as police protection, code enforcement, street improvements, program administration, and the homeowner emergency rehabilitation program, and said a proposed budget will be presented to the council at a public hearing scheduled for July 23.

When a council member asked how much of the entitlement is available to outside organizations, Canon explained that the $20,000 figure represents program income from mortgage repayments and that the city's total entitlement has fallen in recent years from about $1.6 million to roughly $700,000, putting pressure on competing priorities and reducing the pool available for community grants. "We haven't given out any money to the community from this fund," she said, "I think only maybe 2012 give or take." Canon also reminded prospective applicants that organizations seeking FY2026 funding must submit applications by June 5, 2026.

The public hearing provides the city an opportunity to gather views and comments that will inform the annual action plan for fiscal year 2026. The council is expected to review a proposed budget allocation for the entitlement at the July 23 hearing and consider whether to set aside any amounts for outside organizations at that time.