STRATEGIC PRIORITY: Fiscally Sound
AGENDA DATE: June 11, 2025
COUNCIL DISTRICT(S): N/A
DEPARTMENT: Budget and Management Services
EXECUTIVE: Jack Ireland
______________________________________________________________________
SUBJECT
Title
(1) Close the May 28, 2025 public hearing to receive comments on the Proposed FY 2025-26 HUD Consolidated Plan Budget for the U.S. Department of Housing and Urban Development (HUD) Grant Funds; and (2) authorize final adoption of the FY 2025-26 HUD Consolidated Plan Budget for HUD Grant Funds in an estimated amount of $29,886,873 for the following programs and estimated amounts: (a) Community Development Block Grant (CDBG) in the amount of $12,944,689; (b) HOME Investment Partnerships Program (HOME) in the amount of $5,082,901; (c) Emergency Solutions Grant in the amount of $1,144,567; (d) Housing Opportunities for Persons with AIDS in the amount of $10,014,716; and (e) estimated CDBG and HOME Program Income in the amount of $700,000 - Financing: This action has no cost consideration to the City (see Fiscal Information)
Body
BACKGROUND
The City of Dallas receives four formula grants each year from HUD. Four grants make up the Consolidated Plan and consist of: CDBG, HOME, Emergency Solutions Grant (ESG), and Housing Opportunities for Persons with AIDS (HOPWA). The purpose of CDBG is to develop viable urban communities by providing decent housing and a suitable living environment and expanding economic opportunities. HOME Funds are used to develop, support, produce, and expand the supply of decent and affordable housing. ESG Funds help to prevent homelessness and assist individuals and families who are already homeless. HOPWA Funds provide housing and supportive services to persons living with human immunodeficiency virus (HIV)/acquired immunodeficiency syndrome (AIDS) and their family members.
In order to continue receiving the four grants from HUD, the City must have a Consolidated Plan. The Consolidated Plan covers a five-year planning period. It is a comprehensive analysis and strategic plan that identifies community needs, prioritizes those needs, and details how they will be addressed. Requirements for development and submission of the Consolidated Plan are found at 24 CFR, Part 91.
The Community Development Commission (CDC), a citizen advisory board appointed by the City Council, along with City staff, conducted a total of six public meetings. These meetings provided the public with opportunities to participate in identifying community needs and to comment and provide input on potential uses of HUD Grant Funds.
Public meetings were held as follows:
January 9, 2025 City Hall & On-Line Virtual Meeting
January 13, 2025 In-Person Meeting at Willie B. Johnson Recreation Center
January 14, 2025 On-Line Virtual Meeting (evening)
January 16, 2025 In-Person Meeting Jaycee Zaragoza Recreation Center
January 16, 2025 On-Line Virtual Meeting (day)
January 23, 2025 Telephone Town Hall Meeting
For budget development purposes, pending notification from HUD of the City’s actual formula grant allocations, the City Manager’s Proposed FY 2025-26 HUD Consolidated Plan Budget assumed level funding for all four grants. In order to meet statutory deadline requirements, development of the City’s FY 2025-26 Consolidated Plan Budget had to begin using preliminary estimates and could not wait for notification of actual grant amounts. On May 14, HUD published actual formula grant allocations, and the City Manager proposed increases or decreases as necessary to balance the budget with available resources, including capped categories. On May 21, 2025, the City Council set as a Committee of the Whole to discuss proposed amendments and take straw votes. One amendment was approved by straw votes and incorporated into the budget for final adoption.
Federal regulations require that a public hearing be held on the Proposed FY 2025-26 HUD Consolidated Plan Budget. Federal regulations and the City’s Citizen Participation Plan also require a public comment period of not less than 30 days and a public hearing to receive comments.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On March 6, 2025, the CDC was briefed on the City Manager’s Proposed FY 2025-26 HUD Consolidated Plan Budget followed by CDC Committees held meetings to review the proposed budget.
On April 3, 2025, the CDC authorized the City Manager’s proposed budget and made no amendments.
On April 16, 2025, the City Council was briefed on the “City Manager’s Proposed FY 2025-26 HUD Consolidated Plan Budget.”
On April 23, 2025, the City Council authorized preliminary adoption of the Proposed FY 2025-26 HUD Consolidated Plan Budget and a public hearing, by Resolution No. 25-0614.
On May 7, 2025, the City Council was scheduled to be briefed on the “City Council Discussion and Amendments to the FY 2025-26 HUD Consolidated Plan Budget” but the item was deferred.
The City Council was briefed by memorandum on the “FY 2025-26 HUD Consolidated Plan Budget: Discuss City Council Proposed Amendments” on May 21, 2025. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=14220259&GUID=AD2A36E9-E6FF-4282-A6BD-28BACEC44EC7> The City Council approve one amendment to be incorporated into the budget for final adoption.
On May 28, 2025, the City Council conducted a public hearing on the Proposed FY 2025-26 HUD Consolidated Plan Budget, which satisfies the requirements set forth in HUD regulations and the City’s Citizen Participation Plan by Resolution No. 25-0867.
The CDC will be briefed by memorandum on the “FY 2025-26 HUD Consolidated Plan Budget: Discuss City Council Proposed Amendments” on June 5, 2025. By straw votes, one amendment was incorporated into the budget for final adoption.
FISCAL INFORMATION
This action has no cost consideration to the City.
Proposed FY 2025-26 HUD Consolidated Plan Budget
CDBG: $12,944,689 FY 2025-26 Entitlement
$ 200,000 Program Income (estimate)
$13,144,689
HOME: $ 5,082,901 FY 2025-26 Entitlement
$ 500,000 Program Income (estimate)
$ 5,582,901
ESG: $ 1,144,567 FY 2025-26 Entitlement
HOPWA: $ 10,014,716 FY 2025-26 Entitlement
$29,886,873 Total FY 2025-26 HUD Consolidated Plan Budget