Biloxi City Council members and staff debated how to use federal Community Development Block Grant Coronavirus (CDBG‑CV) funds and confirmed deadlines and eligibility rules before voting on a CV‑related agenda item.
The conversation focused on an August 15 deadline for a next‑round plan and on an earlier deadline tied to an HVAC project. “The 1 that’s due when? August 15,” said a council member during the discussion. Consultant Grace Arum told the council that entitlement status and HUD formulas determine which cities receive annual allocations; she said the federal designation process is closed to new cities.
Why it matters: council members said the grants represent substantial federal sums — “several $100,000, probably, in this case, almost a million dollars,” one councilmember said — and come with income and use restrictions. The council discussed whether using the funds to buy equipment such as a fire truck would be permissible and whether alternative funding (bonds or leasing) might better suit that purchase.
Councilmember comments and staff explanation: Councilmember Marshall urged quick action on a planned application and on grant timing, saying, “If the money is for the people, let's give it to the people. Simple.” Councilmember Tisdale described the formal public‑comment process for federal funds and said there is usually a 30‑day comment period and at least one public hearing. Arum, a consultant identified in the meeting, described entitlement designations as historical and population‑based and said HUD uses specialized statistics, not simply census tables.
Outcome: after discussion, the council voted on the CV‑related agenda item and the motion carried 6–0 with one abstention. The council did not adopt new policy language in the meeting; councilmembers said staff and the budget process will determine how particular purchases are funded.
Details and next steps: speakers asked staff to confirm whether particular projects (an HVAC contract referenced during the meeting) fit within CDBG‑CV allowable activities and whether a substantial amendment to the consolidated plan would be required to distribute funds to residents. Several councilmembers noted that any use of federal CDBG funds would be subject to income‑eligibility rules and other federal strings; Grace Arum told the council that HUD maintains neighborhood‑level low‑and‑moderate‑income designations within the city’s wards and that those designations are available on the city website for review.
The council did not finalize a detailed spending plan during the public portion of the meeting. Councilmembers said the budget process and subsequent public hearings and comment periods will be used to set final allocations.