Over the past week I have posted two spreadsheets for the CDBG awards that I have created alot of questions. Let me try to clear them up.
The first spreadsheet details the entire amount of CDBG funds (4,136,520) and who was awarded what amount.
The second list details a portion of the entire amount (616,728), that was available for “public services”. The City had 26 applicants asking for $1,123,049 under “public services”. In the end, the 16 applicants listed at the top were awarded on average of 87.83% of what they requested. The 10 applicants on the bottom received nothing.
The 16 applicants that were received money on the 2nd list under “public services” are all listed on the first list, since they received monies. Hope that clears this up?
The number that jumps out to me is the 3rd one on the first list of 362,798 for the HUD loan with the title Gardner-Kilby-Hammond debt service. What really concerns me is the two years when we have balloon payments on this HUD Loan (2018-1,870,000 and 2024-1,270,000), we will have virtually no money left for “public services”.
Bottom line is that these HUD guaranteed loans are serious and no different if you were the co-signor on a car loan. Next time you hear the word HUD 108 loan, the City is the co-signor on the loan and could end up having to pay the bill.