PITTSFIELD, Mass. — The City Council voted this week to accept an order from the mayor to appropriate $110,000 from the Community Preservation Act Fund for an emergency housing assistance program.

 

After waiving rule 27 on Tuesday, the council voted for the allocation of CPA funds to become part of the city's $1.1 million COVID-19 relief and recovery fund, which also includes money from the federal Community Development Block Grant program. 

 

"The purpose of combining the two sources was because under CDBG, we can only assist renters or homeowners with incomes up to 80 percent of median family income," Director of Community Development Deanna Ruffer said. "With this, we can assist families up to 100 percent of the median income."

 

These funds specifically will go toward emergency home security funds for households just above the federal CARES (Coronavirus Aid, Relief, and Economic Security) Act income threshold.

 

Councilor at Large Earl Persip had some questions about CPA projects and the impact of the allocation on them. City Planner CJ Hoss said $566,000 would be available this year from the 1 percent surcharge on real property beyond the first $100,000 in value. That amount is also partially matched by the state.

 

"It would come off the top of that," he said.

 

He said no project has been awarded funding yet and that the committee had received 18 applications. 

 

Hoss added that the CPA Committee has yet to determine its path forward with other projects and may take another look at project presentations in June. This would mean funds would be available in the fall. 

 

This may create some issues with construction projects, Hoss said, and it may be worth just rolling applications into a new cycle next year. He said currently he is reaching out to applicants to see if they even still plan to begin construction this year.

 

Hoss believed the committee in the past had been reluctant to spend down the account, however, depending on what it decides to do, the account may be maxed out this year.

 

Either way, he thought this added cost would impact potential projects.

 

"It will have some impact but we will have to see how the other projects grade out," Hoss said. "It is tough to say one way or the other."

 

The City Council also saw a petition from Ward 4 Councilor Christopher Connell to create a special revenue account for all COVID-19 funds instead of diverting them into the general fund.

 

Connell asked to amend the petition to change "special revenue account" to "special grant fund" by request of auditor Tom Scanlon. He added that the city would need a grant letter to set up the fund.

 

Director of Finance Matthew Kerwood said the fund would hold money from the CARES Act directly from the state or federal government.

 

"We then would in fact have an award and would have a grant award letter saying that we would have X amount," he said. "However the funding shakes itself out then we can set up the grant account."

 

He said they can shift some of the expenses the city has incurred because of COVID-19 to the fund.

 

"I have a feeling that not all of our expenses are going to be covered by this grant and again I don't know the details at the moment in time but more information will be forthcoming," he said. 

 

Kerwood said some expenses may not be covered by the money or there may not be enough. He said in this case, the city would seek reimbursement through other means.

 

The City Council then moved to business regarding the Department of Public Utilities' Wastewater Division and referred the transfer of $125,000 from Retained Earnings-Sewer to that division to the subcommittee on public works and utilities.

 

This amount would be used to supplement a deficit under the sludge handling account. This deficit comes after a 33 percent increase in the cost to manage sludge disposal. Commissioner of Public Services and Utilities Ricardo Morales said bids for sludge removal came in 33 percent higher than budgeted for. He said additional funds are still needed to pay a forthcoming bill. 

 

Originally the council looked to waive rule 27 and expedite the funding but some members asked that it go to subcommittee first.

 

"I really feel that this should go to the subcommittee," Connell said. "I would like to see some invoices and see the history of the sludge handling in the past."

 

Morales said this should not be an issue as long as the subcommittee meets sooner than later so City Council can act on the item at its next meeting.

 

Councilors also sent a comprehensive wastewater treatment plan to the public works and utilities subcommittee and a sewer and drain ordinance to Ordinance and Rules. 

 

The amendment is being proposed in order to meet the requirements of the Massachusetts Department of Environmental Protection in order to apply for a reduction in the interest rate on the loan acquired for the ongoing Nutrient Removal Upgrade project at the Wastewater Treatment Plant.