SHRA presents one‑year HUD action plan priorities; requests exceed estimated funds

The Sacramento Housing and Redevelopment Agency (SHRA) presented workshop #2 of the one‑year action plan for federal HUD entitlement funds, outlining preliminary allocations for Community Development Block Grant (CDBG), HOME, and ESG programs.

Staff estimated roughly $4.9 million in CDBG funding and proposed allocations that would fund public services, capital infrastructure, housing repair programs and administrative costs. After eligibility and readiness screening, staff recommended approximately $1.45–1.55 million for infrastructure and public facilities projects (including alleyway and neighborhood street improvements), and roughly $405,000 for housing‑related activities such as a build‑together home repair program. Staff noted that requests submitted by departments and community organizations exceeded available funding and proposed prioritization based on readiness, eligibility and city priorities.

Councilmembers asked about administrative caps and whether staff could reduce administration allocations to free more money for capital projects. SHRA staff explained prior efforts to pare administrative costs (down from near 20% to a proposed mid‑teens level) but said union and cost‑of‑living adjustments required a modest restoration to about 16% in the current budget exercise. Members discussed balancing park and transportation projects and asked staff to revisit priorities and possible matching grant requirements before finalizing the plan.

SHRA will return with a finalized action plan for council approval; the workshop will feed the city’s budget and HUD submittal timeline.