TO: Mayor and Members of City Council
THRU: Jeffrey Yates, Assistant City Manager
FROM: Christopher Cauley, MPA, Economic and Community Development Director
Albert A. Baker, Assistant Economic and Community Development Director
Tiffany R. Murray, MBA, CLGFO, Chief Financial Officer
DATE: September 22, 2025
RE:Title
Accept the 2025-2026 Housing and Urban Development (HUD) Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grants, and Housing Opportunities for People with AIDS Entitlement Funds and Adopt Special Revenue Fund Project Ordinance Amendment 2026-4 Title
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COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal 2: Responsive City Government Supporting a Diverse and Viable Economy
Goal 3: City Investment in Today and Tomorrow
Goal 4: Desirable Place to Live, Work and Recreate
Goal 6: Collaborative Citizen and Business Engagement
Executive Summary:
Council is asked to accept the U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), Emergency Solutions Grants (ESG), and Housing Opportunities for People with AIDS (HOPWA) Formula Grant Funds in the amount of $3,667,793.87, and a $220,513 local HOME Partnerships Program match along with an Emergency Solutions Grants local match in the amount $11,264.
Background:
HUD has awarded the City of Fayetteville entitlement funding through the Office of Community Planning and Development (CPD) for which seeks to develop viable communities by promoting integrated approaches that provide decent housing, a suitable living environment and expand economic opportunities for low and moderate-income persons.
The City Council adopted the 2025-2029 Housing and Urban Development Consolidated Plan, 2025-2026 Annual Action Plan for the Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grants and Housing Opportunities for People with AIDS, along with an updated Citizen Participation Plan on April 28, 2025.
Issues/Analysis:
Staff has submitted the City Council action, which has been accepted by HUD, and in turn, issued FY2025 CPD Formula Grant Agreements which must be accepted by the City Council.
Budget Impact:
The HOME Investment Partnerships Grant requires a matching contribution of $220,513. The Emergency Solutions Grant (ESG) also requires a 50/50 match, which is primarily passed on to subrecipients of ESG funds. Additionally, ESG administration requires an $11,264 match, which will be met through expenses allocated to support the Homeless Management Information System (HMIS). These expenses include payments to the HMIS software vendor and the HMIS Data Analyst employed by Cumberland County. The estimated annual General Fund expenses for HMIS support are $56,000. The CDBG and HOME grants also pay for City services through the annual cost allocation plan and is estimated to pay the General Fund $83,230 for next Fiscal Year.
Options:
1) To accept the 2025-2026 Housing and Urban Development (HUD) Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grants, and Housing Opportunities for People with AIDS Entitlement Funds and Special Revenue Fund Project Ordinance Amendment 2026-4
2) Do not accept the 2025-2026 Housing and Urban Development (HUD) Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grants, and Housing Opportunities for People with AIDS Entitlement Funds and Special Revenue Fund Project Ordinance Amendment 2026-4.
Recommended Action::Recommended Action
Staff recommends the Council accept the 2025-2026 Housing and Urban Development (HUD) Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grants, and Housing Opportunities for People with AIDS Entitlement Funds and Special Revenue Fund Project Ordinance Amendment 2026-4
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Attachments:
2025 Grant Agreement Transmittal Letter
CDBG - Grant Agreement
ESG - Grant Agreement
HOME - Grant Agreement
HOPWA - Grant Agreement
SROA 2026-4