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McKinney outlines changes to consolidated grants process, adds nonprofit capacity category
Summary
Community Services staff described amendments to the consolidated grants application for FY26–27, including reallocating $321,000 of CDBG funds to community economic development, a planned $402,000 remaining allocation for eligible uses, a $40,000 transfer to Samaritan Inn and a new capacity category offering up to $75,000 to nonprofits.
Shalita Best, Community Services Administrator, briefed council on the city's consolidated grants application process for fiscal 2026–27 and described program changes meant to expand capacity and oversight for subrecipients.
Best said the city had "an opportunity to utilize an additional $321,000 under our CDBG grant to be able to utilize that for community economic development," and that staff would request a remaining allocation of $402,000 for eligible uses. She described eligible uses including facade improvements, workforce development, micro‑enterprise support and infrastructure. Best also said Community Lifeline Center has transitioned to Samaritan Inn and that the council reviewed a $40,000 transition of those funds.
To support smaller organizations, the Community Grants Advisory Commission proposed a nonprofit capacity category that would allow one or more organizations to use up to $75,000 for capacity building (technology, cybersecurity, training or governance) but not for fundraising, administrative overhead or political activities. Best said staff will hold a public hearing that evening as part of the grant process and will return with application details and timelines.
Next steps: staff will conduct the public hearing, finalize application materials for the nonprofit capacity category and present recommended awards after the city budget and consolidated plan timelines are complete.
