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Committee forwards 2026 HUD annual action plan with CDBG/ESG/HOME allocations
Summary
The committee voted March 26 to forward staff recommendations on the 2026 annual action plan for HUD grants to the full City Council, endorsing estimated allocations of about $2.3M for CDBG, $207K for ESG and $1.07M for HOME and approving program set-asides and provider selections to be reviewed by council.
The Community Vitality and Safety Committee on March 26 voted to forward the draft 2026 annual action plan for federal HUD programs to the full City Council for consideration.
Taylor Palmer Jensen of the Housing Division, Community and Economic Development, summarized estimated allocations: about $2,300,000 for the Community Development Block Grant (CDBG), $207,000 for the Emergency Solutions Grant (ESG) and $1,070,000 for HOME Investment Partnerships funds. Jensen said programs generally target households earning 80% or less of the Pierce County area median income.
Jensen described the proposed breakdown for CDBG: roughly 52% toward housing assistance (chiefly housing repair programs), 13% toward economic programs, 15% toward public services and 20% for administration. The city set an initial single-family rehabilitation set-aside at $596,264 for loans up to $60,000. Jensen also said the Tacoma Community Redevelopment Authority (TCRA) selected Rebuilding Together South Sound to provide home repair services for a contract of $644,470. Business Impact Northwest and Faithworks were named as technical assistance providers for microenterprise services, at $125,000 and $175,000 respectively.
On ESG, staff said about 90% would go to external contracts, with a portion used for shelter and inclement-weather programming and a small share for administration and homeless-management information systems. When asked whether ESG funds support inclement-weather programs, staff confirmed ESG is used for those programs and added that staff could recommend continuing or reprogramming funds based on demonstrated need.
Committee members also asked about loan terms for the single-family rehab program; staff said most loans are 1% interest and staff can offer 0% loans in certain cases (for qualifying households on fixed incomes such as Social Security or disability).
After discussion, a motion to forward staff recommendations on the 2026–2027 annual action plan for housing and community development to the full City Council was moved and seconded and carried by voice vote. Staff said the plan will go to council study session, a public comment period will run April 1–May 1 with a required public hearing April 21, and final council consideration is expected May 5 ahead of a May 15 submission deadline to HUD.
The committee flagged that final federal allocations depend on the federal budget; staff used estimated figures for planning.
