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North Little Rock council adopts 2026–2035 consolidated plan after debate on CDBG distribution
Summary
After debate about how the city allocates Community Development Block Grant funds, the council approved the 2026–2035 consolidated plan and the FY2026 action plan. Council members pressed for a review of ward-based distribution while the community development director said federal funding is set by census-based formulas.
The North Little Rock City Council voted to adopt the 2026–2035 consolidated plan and the FY2026 annual action plan after a lengthy discussion about how the city uses Community Development Block Grant (CDBG) funds.
Council member Baxter urged the council to change the way it divides CDBG funds and to “reevaluate how we expend these funds on down the road,” arguing that spreading small amounts across wards has left some council districts unable to complete projects. “We don't even know if we're getting them next year,” Baxter said, urging the council to review distribution methods so funds are spent more effectively.
Council member Hart and others agreed that communication gaps and application denials for local organizations suggest the city is missing opportunities to serve low-income neighborhoods. Hart said she had reservations about approving the consolidated plan because it “follows the same pattern that we've continued to follow, which might put us in a situation where our funds get decreased again or taken away completely.”
Bahee Nolan, director of community development, told the council that CDBG is a formula grant. “This is a formula based grant,” Nolan said. “They look at our most recent census data and they look at the amount of individuals that we have at or below the poverty line as well as the housing need.” Nolan added that the federal formula, not local project choice, largely determines allocations and that fluctuations in congressional appropriations and census data drive funding changes.
Council member Hampton said he had misspoken earlier and acknowledged that how the city spends CDBG funding does not affect the federal formula, but he said local spending decisions “have a huge impact on who we serve.” Several council members called for staff-led follow-ups and better engagement with community organizations.
The council moved, seconded and approved the consolidated plan and action plan by voice vote. The vote carried with council members voting in favor during roll call.
Why it matters: The consolidated plan and action plan guide how CDBG funds are used for housing, infrastructure and social services. With federal funding described by staff as shrinking in recent years, council members said they want a more strategic local approach to maximize benefit for the city’s low-income neighborhoods.
What’s next: Council members asked staff to follow up with documentation on the federal formula and to explore ways to improve outreach and project prioritization; staff said they will provide additional materials and continue engagement with community organizations.
