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Reidsville council accepts state and federal grants for water and radios, tables repairs for 105 Gilmer Street

Reidsville City Council · February 11, 2025
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Summary

Council accepted a $150,000 state lead service‑line inventory loan/grant and a $963,000 U.S. Department of Justice grant for Motorola radios, approved related budget amendments, and voted to table action on repairs to 105 Gilmer Street pending further evaluation.

The Reidsville City Council on Feb. 11 approved two funding packages and delayed a contested code‑enforcement repair at a downtown commercial property.

Lead service‑line inventory: Chris Phillips, assistant city manager and finance director, presented a state Local Government grant/loan of $150,000 to support the city’s federally required lead service‑line inventory. Phillips said $90,000 of the award is forgivable and $60,000 is repayable at 0% interest, typically over about 20 years. Council voted to adopt the resolution accepting the award and a budget ordinance amendment to record the proceeds and contract expenses.

“$90,000 of the loan is really a grant because it will not have to be paid back,” Phillips said, summarizing the award. Staff noted the inventory step will likely be followed by onsite investigations and potential additional funding opportunities to support replacements, but replacement of privately owned service lines is not mandated by the program and would remain with homeowners.

Public‑safety radio grant: Phillips also explained a U.S. Department of Justice award of $963,000 to help upgrade Reidsville’s public‑safety radio equipment through Motorola under the state contract. The total project cost is about $1,221,100; Council approved accepting the federal grant and a budget amendment to cover the local share from general fund balance. The contract vendor is a state‑approved Motorola vendor; the city is not required to competitively bid because the purchase uses the state contract.

Code enforcement at 105 Gilmer Street: Jason Harden presented a non‑residential code‑enforcement repair order requiring facade repairs at 105 Gilmer Street after a prior administrative hearing and a 60‑day compliance period expired on Jan. 13, 2025. Staff said the owner is Washington Street Holdings LLC and that liens already exist on the property. Several council members expressed discomfort with immediately spending taxpayer dollars to repair privately held property, noting the building’s prolonged exposure to the elements and uncertain title encumbrances. Councilwoman D said she would not grant further extensions. Council voted to table the matter to the March meeting and directed staff, with the city attorney, to obtain structural assessments, cost estimates, and a title‑and‑liens review to determine whether repair, demolition, or other action is more cost‑effective.

Why it matters: The grant awards reduce local costs for federally and state‑mandated work (lead‑line inventory) and for a large public‑safety upgrade; accepting the awards commits the city to federal and state conditions tied to those funds. The tabling on 105 Gilmer Street delays a decision about using municipal funds and prioritizes due‑diligence work about liabilities, structural integrity, and lien priority.

Next steps: Staff will submit the grant paperwork to the Local Government Commission where applicable, proceed with contracted lead‑line inventory work, coordinate Motorola radio delivery and deployment, and return to council in March with an updated report on 105 Gilmer Street including structural and cost estimates.