Legislation Details

File #: TMP-2477    Version: 1 Name:
Type: Resolution Status: Agenda Ready
File created: 6/11/2026 In control: City Council
On agenda: 6/23/2026 Final action:
Title: RESOLUTION NO. 2026-9621 - AUTHORIZING AN AGREEMENT WITH DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) TO RESTORE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR ELIGIBLE COMMUNITY PROJECTS
Attachments: 1. Resolution, 2. Repayment Agreement between the City of San Marcos and the U.S. Department of Housing and Urban Development
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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MEETING DATE:
JUNE 23, 2026

SUBJECT:
Title
RESOLUTION NO. 2026-9621 - AUTHORIZING AN AGREEMENT WITH DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) TO RESTORE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR ELIGIBLE COMMUNITY PROJECTS

Body

Recommendation
Recommendation
ADOPT resolution authorizing the City Manager to execute a Repayment Agreement with the U.S. Department of Housing and Urban Development (HUD) related to the Community Development Block Grant (CDBG) Program.

Body
Board or Commission Action
City Council previously approved Substantial Amendments to prior CDBG Annual Action Plans through Resolution No. 2025-9435 and Resolution No. 2026-9580, establishing eligible activities for future allocation of restored CDBG funds. The proposed Repayment Agreement represents the remaining administrative action necessary to facilitate restoration of those funds to the city's CDBG balance in accordance with HUD requirements.

Executive Summary
The Department of Housing & Urban Development (HUD) has provided the city with a Repayment Agreement establishing the terms for repayment of certain previously expended Community Development Block Grant (CDBG) funds identified through HUD's FY23 monitoring process of activities in program years 2020 and 2021. Execution of the agreement will satisfy HUD's repayment requirements and facilitate restoration of the repaid funds to the city's CDBG balance for future expenditure on eligible CDBG activities.

Discussion
The proposed Repayment Agreement establishes the terms under which the city will repay HUD a total of $1,490,811 in non-federal funds. The agreement provides for three annual payments of $496,937 due no later than July 31, 2026, July 31, 2027, and July 31, 2028. In accordance with HUD requirements, funds repaid under the agreement will be restored to the city's CDBG line of credit and made available for future eligible CDBG activities.

City Council has previously approved Annual Action Plans and ...

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