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Norwalk council adopts CDBG and HOME annual action plan, earmarks funds for ADA ramps, capital work and social services
Summary
The council adopted the federal Community Development Block Grant (CDBG) and HOME Investment Partnerships annual action plan for FY 2026–27, authorizing staff to submit required documents to HUD and allocating funding to capital improvements (including ADA ramps), a $100,000 business incentive loan, emergency services and several social‑service providers.
The Norwalk City Council on May 5 approved the city’s annual action plan for the federal Community Development Block Grant (CDBG) and HOME Investment Partnerships program and authorized the city manager to submit required documents to the U.S. Department of Housing and Urban Development.
Staff presenting the plan said the HUD entitlements announced in April include a CDBG entitlement of $950,000 and a HOME entitlement of $263,328, with additional program income and carryover funding to be used alongside those grants. "The CDBG and HOME annual action plan is a required yearly document submitted to the U.S. Department of Housing and Urban Development," staff member Bethany Cardinas told the council during the second and final public hearing.
The draft plan lists specific allocations: $75,000 for the emergency services program; $20,000 each to community legal aid and two nonprofit service providers; roughly $632,000 for a capital improvement project (staff said that will include ADA sidewalk ramps); $100,000 for a business incentive loan program; and funding for security‑deposit assistance and affordable‑housing rehabilitation under the HOME program. Staff cautioned that HOME funds are restricted to affordable‑housing activities and administrative costs.
Councilmembers used the hearing to probe program details and past usage. Councilmember Ramirez asked for historical data on applicants to the business incentive loan and how the city has used similar funds. Staff replied that the rehabilitation program currently has more applicants than funding and that the city is pursuing a potential state HCD grant to support accessory dwelling units (ADUs) and affordable ADU production.
Ramirez said he favored keeping the $100,000 business incentive line in the plan for now but requested a six‑month utilization update to determine whether the money should be reallocated to higher‑demand programs such as home rehabilitation or accessibility improvements. "I want to make sure that there is enough funding to a program that's actually being used than one that's not," Ramirez said.
After discussion, Ramirez moved adoption of resolution 2619 to approve the CDBG and HOME annual action plan; a roll call vote recorded aye votes from Councilmembers Zella, Ramirez, Valencia, Vice Mayor Rios and Mayor Perez, and the resolution passed. Staff indicated the final plan must be submitted to HUD by the May 15 deadline.
What happens next: staff will finalize agreements with selected social‑service agencies and return with follow‑up information, including the requested utilization report for the business incentive loan and details about capital‑project timing.
