Jefferson City community development program to receive less funding, future still up in the air
Jefferson City is adjusting its action plan for community development projects as it waits on federal grant money.
ABC 17 News reported that President Trump’s proposed budget for the upcoming fiscal year aims to eliminate the Community Development Block Grant (CDBG) program, which is through the U.S. Department of Housing and Urban Development (HUD), nationwide.
The city received a letter from HUD this summer saying it will get about 7 percent less in funding for the current year compared to what it has received in recent years past.
The CDBG program benefits the Jefferson City community in a number of ways.
“It does assist with beautification, such as sidewalk installation, infrastructure repair and assistance to low-to-moderate income households that may not be able to complete the necessary repairs to their home without those funds,” said Jayme Abbott, the Jefferson City neighborhood services manager.
With that grant, crews are set to begin work on adding a sidewalk along Broadway near South Elementary School where many young students walk each day.
Abbott says there may be a couple of reasons why the city’s portion of the grant was less than expected this year.
“It’s possible to say that our poverty rates may have gone down, or in addition to that, there was additional entitlements that were brought on to the formula,” Abbott said.
Entitlements are given to cities with a population of 50,000 people or more, and each year more cities are being added to the list, according to Abbott.
However, the reduction in funds will not stop plans for the sidewalk, the demolition of two rundown homes or various existing programs that assist low-to-moderate income families.
Right now, it is not clear if the program will continue. But Abbott said she is not concerned just yet.
“Each year, when it comes to budget time, the federal government is typically looking at cutting back the program,” Abbott said. “So we typically have become used to this. You know, the program’s not going to be funded, but then it ends up being funded.”
If the program continues in the new fiscal year, Abbott said the city plans to look at ways the grant can help improve the Southside Old Munichburg District if the City Council passes the neighborhood plan.
The federal government’s new fiscal year starts Oct. 1.