Funds

City Commissioners to Vote on Plan for Spending Federal Funds on Housing/Homelessness Efforts


In addition to construction contracts for several city projects, Traverse City commissioners will vote tonight (Monday) on a plan for spending over $1.8 million in federal funding over the next five years on housing and homelessness efforts – with the largest amount dedicated to bringing more permanent supportive housing online. Commissioners will also consider a liquor license application for the new Bushell’s restaurant on Union Street, continue their review of the city’s draft master plan and Mobility Action Plan, and vote on reestablishing the city’s Complete Streets committee.

CDGB Funding
Traverse City’s status as the seat of the region’s new metropolitan planning organization (MPO) means the city is now eligible to receive Community Development Block Grant (CDBG) funding. Under federal requirements, Traverse City must create a five-year plan shaped by public input outlining how those funds will be spent. Following local stakeholder meetings and a community survey, commissioners tonight will hold a public hearing and vote tonight to approve the draft plan, which is due August 16.

Traverse City is expected to receive over $1.8 million in CDBG funding over the next five years, starting with $365,323 this year. The CDBG program is focused on “providing decent housing, a suitable living environment, and expanded economic opportunities” for low and moderate-income groups, according to the federal government. The biggest line item in Traverse City’s five-year plan – $1,113,625, or 61 percent of funding – calls for bringing more permanent supportive housing online. That amount could support constructing four such units locally, according to the plan.

Another $250,000 is allocated for rental assistance to help up to 225 tenants avoid homelessness, $164,394 for support services at shelters, and $109,596 for support services for individuals housed in permanent supportive housing. An additional $100,000 is budgeted for upgrades at both local day and overnight shelters. The plan allocates five percent of funding – $89,000 – for program administration, a permissible expense. The plan states that Traverse City will seek as much as possible to leverage CDBG funds for other grants and funding sources, stretching the impact of those dollars.

Deputy City Planner/Sustainability Coordinator Leslie Sickterman noted in a memo to commissioners that Traverse City can amend its CDBG plan over its lifespan if new priorities or partnership opportunities emerge. Commissioners will be required to approve a one-year action plan annually for CDBG funds. “Once the city’s CDBG program is up and running, there will be opportunity to explore other funding avenues that meet the city’s priorities but may not now be ready for immediate implementation,” she added, citing as examples helping income-eligible homes with weatherization upgrades or assisting seniors with improvements that can help them stay in their homes, such as accessibility upgrades.

“The funding through CDBG is welcome but relatively small in relationship to the large housing-related issues facing the city,” Sickterman wrote. “Ideally, the CDBG spending moving forward will be part of a big picture set of housing policies established by the city. Activities in pursuit of these broad policies can then be planned to best leverage public and private dollars to address a consistent and shared set of priorities.”

Liquor License
Commissioners will vote tonight on approving a request to transfer a Class C liquor license from Bahia – which closed its doors last fall at 127 South Union Street – to new soul food restaurant Bushell’s Kitchen + Cocktails, which replaced Bahia in June. Restaurateur Andre Bushell – co-owner of Foundry Craft Grillery and Dreloco Taco – has been serving food inspired by his family recipes this summer, such as collard greens, fried chicken, sweet potato yams, grits, and more. The restaurant has only been able to serve non-alcoholic beverages so far, but Bushell previously told The Ticker he plans to offer a craft cocktail menu in addition to a variety of mocktails as soon as his liquor license is approved.

Master Plan/Mobility Action Plan
Commissioners tonight will wrap up a series of meetings they’ve held this summer to review the city’s new draft master plan and Mobility Action Plan. Tonight’s session will focus on the master plan’s “magazine,” the prescriptive part of the plan that includes previously established guiding principles, the city’s future land use map, and an action plan, among other elements. The action plan outlines specific goals the city hopes to tackle in the coming years, the desired timeframe, and the responsible departments for implementing them. With the review concluded, next steps will include the city planning commission voting on August 20 to adopt the plans, followed by a likely city commission adoption vote in September.

Complete Streets Committee
Commissioners will consider voting tonight to reestablish a Complete Streets ad hoc committee. In late 2022, Commissioner Tim Werner suggested updating the city’s Complete Streets policy to strengthen the city’s commitment to multi-modal transportation. Commissioners approved a resolution reiterating that commitment but held off writing a new policy, as the latter is a more detailed document laying out specific standards, requirements, and metrics for implementing the city’s commitment. A Complete Streets ad hoc committee was formed and met in 2023 to consider such a policy, but that process was disrupted by the change in city administration last year. The ad hoc committee then expired. Werner and Commissioner Heather Shaw requested placing the committee’s reformation on the agenda tonight. Vogel noted that because of other workload demands on staff – including an upcoming strategic planning process – she likely won’t be able to provide the committee with staff support until October if formed.





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