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Adrian commission authorizes McKenna to help run $400,000 CDBG home‑repair grant; $75,000 public‑amenities grant faces tight timeline
Summary
The commission unanimously approved a resolution (R26-51) authorizing city administration and McKenna to move forward with a $400,000 CDBG home‑repair grant that needs substantial administration; staff also reported a $75,000 MISDA public-amenities grant with an August 31 deadline that may require scope changes and an amendment.
The Adrian City Commission on June 8 authorized city staff to proceed with third‑party assistance to administer a $400,000 Community Development Block Grant (CDBG) for home repairs and discussed time-sensitive options for a separate $75,000 MISDA public‑amenities grant.
Acting city administration staff briefed the commission that the CDBG grant generated roughly 30–35 applications with awards of up to $25,000 per home. Staff said key outstanding tasks include income verifications, property inspections, developing a contractor list through an RFQ and coordinating repairs; the grant has an August 31 deadline with a possible extension to November 30. Staff recommended contracting McKenna — a firm the city already uses for planning work — to provide third‑party grant-administration capacity. Paige Smith, a planner with McKenna, told the commission McKenna would support application processing, income verification, environmental review paperwork, radon testing coordination, inspections and contractor coordination.
Staff warned that federal grant rules usually prohibit using grant funds to pay the administrator; McKenna’s work was estimated at about $72,000 (roughly 18% of the $400,000), which the city would need to cover from its budget or fund balance. Staff also said the city’s ability to proceed on the $400,000 grant affects eligibility for a separate $1.5 million home-improvement grant with a July 15 application deadline.
Commissioner Roberts moved and Commissioner Chesher seconded a resolution authorizing the interim city administrator, Michelle Dwey, and McKenna to move the $400,000 home‑improvement grant forward (resolution number recorded as R26-51 to be finalized). In a roll-call vote the mayor and all commissioners voted yes; the motion carried unanimously.
On the $75,000 MISDA public‑amenities grant, staff said the original town‑square plans are unlikely to meet the August 31 schedule and that staff is exploring alternative downtown sites or an amendment to preserve the funds. Staff said certain eligible items include signage, lighting, permanent benches and sculptures, but the city must move quickly to meet delivery and installation timelines.
Commissioners asked staff to return with specific project proposals for the public‑amenities grant and to work with McKenna and legal counsel to finalize procurement steps and budget offsets for the grant-administration cost.
