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Tusayan Council gives staff direction to withdraw from stalled CDBG project
Summary
Facing site constraints and shifting federal grant requirements, the council directed staff to notify NACOG that Tusayan will withdraw from pursuing the Community Development Block Grant project for the contested site and to seek a graceful exit.
Town staff told the Tusayan Town Council on Feb. 11 that the town’s proposed Community Development Block Grant project faced persistent site and administrative hurdles that make funding uncertain.
Town Manager Hendrix said staff learned from NACOG that the town could use its own project administrator but that remaining problems — notably site suitability and new federal grant stances — would be difficult to overcome. Council members debated whether to continue investing staff time and resources in the project or to move ahead with town-owned parcel development without relying on the grant. Council Member Andrew Aldaz explicitly noted concerns about the grant holding up progress on the 7 Mile Lodge site.
After discussion, the council directed staff to inform NACOG that Tusayan will withdraw from pursuing the grant for the current site and asked staff to prepare exit paperwork for future board action. Town Manager Hendrix said she would return with documentation on the Consent Agenda at the next regular meeting to formalize that direction.
