The Tribune Democrat, Johnstown, PA

News

April 9, 2014

City’s block grant funding bigger than expected

JOHNSTOWN — Johnstown will receive almost $100,000 more than what it anticipated in Community Development Block Grant and HOME Investment Partnerships Program funds this year.

City officials originally applied for $1.2 million in CDBG money. Ten percent, though, was listed as uncommitted because the municipality usually gets

7 percent to 10 percent less than what it requests, according to Economic Development Director Renee Daly.

However, this year’s cut was not as deep as in the past.

Johnstown was awarded 97 percent of the funds it requested, meaning there will be approximately $80,000 more available compared with what there would have been with a 10 percent reduction.

“They’re literally based on what the federal government is going to allow for the CDBG under HUD, the (U.S. Department of) Housing and Urban Development, so whenever they set their budget for the 2014 year, they start distributing their funds appropriately. CDBG, across the nation, didn’t get cut as much as they were expecting to,” said Daly.

Meanwhile, the city got a 9 percent increase in HOME funding.

“Surprisingly enough, our HOME funds actually increased,” said Daly.

Johnstown will distribute the extra block grant money among  six line items: technical assistance, code enforcement, Catholic Charities’ homeless shelter, rehabilitation/delivery, demolition/clearance and administration.

The largest single amount, $25,000, will go toward demolition/clearance.

The extra $14,876 in HOME money will go toward owner-occupied rehabilitation and other areas.

In all, the city will get slightly less than $200,000 in HOME funding from HUD.

Dave Sutor is a reporter for The Tribune-Democrat. Follow him on Twitter at twitter.com/Dave_Sutor.

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