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To authorize the Chief Administrative Officer, for and on behalf of the City of Richmond, to accept funds in the amount of $8,719.00 from the United States Department of Housing and Urban Development, and to amend the Fiscal Year 2025-2026 Special Fund Budget by increasing estimated revenues and the amount appropriated to the Department of Housing and Community Development’s HOME - ARP Special Fund by $8,719.00, for the purpose of funding the construction of the Rady Street Apartments project.
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THE CITY OF RICHMOND HEREBY ORDAINS:
§ 1. That the Chief Administrative Officer, for and on behalf of the City of Richmond, is authorized to accept funds in the amount of $8,719.00 from the United States Department of Housing and Urban Development for the purpose of funding the construction of the Rady Street Apartments project.
§ 2. That the funds received from the United States Department of Housing and Urban Development, are hereby appropriated to the Special Fund Budget for the fiscal year commencing July 1, 2025, and ending June 30, 2026, by increasing estimated revenues by $8,719.00, increasing the amount appropriated for expenditures by $8,719.00, and allotting to the Department of Housing and Community Development’s HOME - ARP Special Fund the sum of $8,719.00 for the purpose of funding the construction of the Rady Street Apartments project.
§ 3. This ordinance shall be in force and effect upon adoption.
City of Richmond
Intracity Correspondence
DATE: August 12, 2025
TO: The Honorable Members of City Council
THROUGH: The Honorable Dr. Danny Avula, Mayor
THROUGH: Odie Donald, Chief Administrative Officer
THROUGH: Tanikia Jackson, Deputy Chief Administrative Officer for Finance and Admin-
istration
THROUGH: Letitia Shelton, Director, Department of Finance
THROUGH: Meghan K. Brown, Director, Department of Budget and Strategic Planning
THROUGH: Sharon L. Ebert, Deputy Chief Administrative Officer, Economic Development and Planning
FROM: Merrick Malone, Director, Department of Housing and Community Development
RE: Awarding Additional HOME-ARP Special Funds to a Project
ORD. OR RES. No.
PURPOSE: To authorize the Chief Administrative Officer to accept $8,719.00 from the Department of Housing and Urban Development (HUD) and award the funds to Rady Street Apartments, LLC for the construction of the Rady Street Apartments project, which will support the reduction in regional homelessness.
BACKGROUND: On April 30, 2025, HUD notified the Department of Housing and Community Development that while conducting a “quality control effort,” an administrative error in the allocation of HOME-ARP funds was identified. The error resulted in the City being allocated $8,719.00 less HOME-ARP funds than it was legally entitled to receive. To correct the issue, HUD issued an amended HOME-ARP grant agreement to the City to sign and return to receive the funds.
On November 12, 2024, City Council approved Ord. 2024-268 authorized the issuance of a grant to Rady St LLC for $4,964,725.90 for the financing and construction of the Rady Street Apartment project, which will support the reduction in regional homelessness and was selected as a part of regional application with Henrico County and Chesterfield County for HOME-ARP funding.
This ordinance would allow the CAO to accept the additional $8,719.00 in HOME-ARP funds from HUD and award the funds to Rady St LLC to increase the amount of funds awarded for the project.
COMMUNITY ENGAGEMENT: NA
STRATEGIC INITATIVES AND OTHER GOVERNMENTAL: Reduction in Homelessness regionally, Implementation of one of the strategies in the “Strategy to End Homelessness Plan 2030”, Implementation strategy of the “Equitable Affordable Housing Plan” (EAHP).
FISCAL IMPACT: No impact. The funds would be appropriated after the grant agreement amendment is returned to HUD.
REVENUE TO CITY: There will be additional revenue to the City as it relates to property taxes for any newly created housing units.
DESIRED EFFECTIVE DATE: Upon adoption
REQUESTED INTRODUCTION DATE: September 8, 2025
CITY COUNCIL PUBLIC HEARING DATE: September 22, 2025
REQUESTED AGENDA: Consent Agenda
RECOMMENDED COUNCIL COMMITTEE: Finance and Economic Development
AFFECTED AGENCIES: Department of Housing and Community Development
RELATIONSHIP TO EXISTING ORD. OR RES.:
ATTACHMENTS: Award Letter, US HUD Letter to City of Richmond
STAFF: Merrick Malone, Acting Director, HCD
Amanda Wrinkle, Senior Project Development Manager, HCD