Loveland council approves corrected CDBG resolution after funding total was overstated
The Loveland City Council voted Tuesday to approve Resolution #R-34-2026, correcting an earlier Community Development Block Grant funding resolution after staff found the available brick-and-mortar funding had been overstated. The action rescinds and replaces Resolution #R-30-2026, which council approved June 16, and re-approves the city’s 2026 grant recommendations with a lower total for one housing award.
The correction reduces the total available for CDBG brick-and-mortar grants from $357,627 to $353,539.33, a decrease of $4,087.67. Staff said the error happened because about $4,087 in program income from the Loveland Housing Authority was counted twice, once in 2025 and again in 2026, even though that income could only be allocated once.
Under the revised resolution, Neighbor to Neighbor’s brick-and-mortar award drops from $257,627 to $253,539.33. Staff said that organization was selected for the reduction because it had been awarded more than it originally requested, and that even after the cut it will still receive more than its ask. No other project awards are changed.
The resolution re-approves both brick-and-mortar and public service grant recommendations from the Loveland Affordable Housing Commission and Human Services Commission, along with administration funding. Corrected documents list $368,417 in anticipated 2026-2027 HUD funds, including $55,260 for human services grants, $239,474 for brick-and-mortar grants and $73,683 for administration, plus $114,065.33 in prior-year funds or unallocated program income, for a total recommended grant package of $408,799.33.
The item passed as part of the consent agenda. The grants remain subject to HUD approval and allocation of funds to Loveland, City Council appropriation, and execution of required contracts with grant recipients. Staff plans to bring the city’s 2026 Annual Action Plan to council in August before submitting it to HUD for release of the 2026-2027 CDBG funding.