Focus Area: Economy/Quality of Life
Staff Contact: Emily Diehl/Mike Sirna
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title:
title
2027 Community Development Block Grant (CDBG) Funding Recommendations.
Body
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recommended motion:
Approve the Program Year 2027 Community Development Block Grant funding recommendations and authorize staff to adjust individual award amounts in accordance with the approved contingency provisions.
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Summary:
The City of Olathe participates in a cooperative agreement with Johnson County for administration of Community Development Block Grant (CDBG) funds through the U.S. Department of Housing and Urban Development. Under this agreement, Olathe receives 41% of the County’s annual CDBG allocation. The City’s projected award for Program Year 2027 is estimated at $479,700.
The City of Olathe and Johnson County follow the same application guidelines and review procedures. Olathe is responsible for advertising funding availability, conducting the required public hearing, managing the application and review process, and presenting funding recommendations to the City Council. For Program Year 2027, the City received 10 applications requesting a total of $504,867.72 in CDBG funding. Following an initial eligibility desk review, qualified applicants presented their proposals to a rating team on June 18, 2026.
The rating team has submitted its recommendations for Program Year 2027 funding. Federal regulations cap public service activities at 15% of the annual CDBG award. The recommended public service total of $71,955.00 represents exactly 15% of the estimated allocation.
Recommended CDBG allocations:
Public Services (not to exceed 15% of the total allocation)
• $12,983.64: Kansas City Metropolitan Lutheran Ministry, Emergent Needs for Homeless & At-Risk Households
• $25,591.36: Catholic Charities of Northeast Kansas, Inc., Olathe Rent & Utility Assistance
• $15,000.00: City of Olathe Parks & Recreation Department, Childcare Scholarships
• $18,380.00: Johnson County Park & Recreation District, Children’s Services Scholarships
Economic Development
• $30,000.00: Upwards Care, Inc., Boost + Learn
Public Facilities
• $50,000.00: City of Olathe & the Mahaffie Stagecoach Stop & Farm Foundation, Mahaffie Accessible Ramp Improvement
Housing
• $38,880.00: Friends of JCDS, Inc., Accessibility, Safety, & Efficiency Renovations at 2145 E 154th St, Olathe, KS
• $88,865.00: City of Olathe, Community Enhancement, Full-Time Community Enhancement Officer
• $100,000.00: City of Olathe, Housing Rehabilitation Administration Funds
Contingency Allocation Plan
The recommendations include contingency provisions to address potential adjustments to the final federal award. Council approval will authorize staff to adjust individual award amounts in accordance with the provisions below if the final allocation differs from the current estimate.
If the final allocation exceeds the current estimate:
1. Public Service awards will be increased equally among recipients, up to the 15% statutory cap.
2. Community Enhancement will be increased to a maximum of $100,000.
3. Any remaining funds will be allocated to Upwards Care, Inc., up to a maximum of $50,000.
If the final allocation is less than the current estimate:
1. Public Service awards will be decreased equally to maintain compliance with the 15% statutory cap.
2. Any remaining reduction will be applied to the Mahaffie Stagecoach Stop & Farm project.
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Financial Information:
An estimated $479,700 in federal Community Development Block Grant funds will be made available to Olathe to address public improvements, housing services, community development, economic development, and public services that benefit low- to moderate-income persons living in Olathe.
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Attachment(s):
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