HUD’s update of income data will cut funding in some communities
The Polish Hill Civic Association will shutter its office as of Aug. 15, and neighborhood organizations in several other city neighborhoods will lose funding as a result of a U.S. Department of Housing and Urban Development update of census income data.
Polish Hill, two census tracts in the Central Northside, plus Beltzhoover and the Strip District all have become ineligible to receive organizational Community Development Block Grants as of Sept. 1. A survey last year determined that the median household income in each tract was no longer low enough.
For a census tract to be eligible, at least 51 percent of its population has to earn 80 percent or less than the area median income of about $50,000.
Last year, HUD switched its method of gathering income data for the U.S. Census Bureau’s American Community Survey. Critics say the new way is not thorough or broad and uses mailings to gather small samplings.
In the case of Beltzhoover, its ineligibility comes from having been paired with the more affluent Bon Air in one census tract.
Beltzhoover has a median household income of $37,000 and 30 percent property vacancy.
“Clearly, someone has not done enough research,” said Aaron Sukenik, executive director of the Hilltop Alliance, an umbrella support nonprofit for a dozen neighborhoods. “Every other neighbor
of Beltzhoover, four census tracts, are all CDBG eligible.
The alliance has been funding a housing-stabilization program in its member neighborhoods, but can no longer use its CDBG funds on that program in Beltzhoover.
The alliance could apply for a project-specific block grant for housing stabilization in Beltzhoover, said Mike Petrucci, the city’s assistant planning director for community development.
Two pots of money fund community development block grants. One supports organizational efforts, such as the Hilltop Alliance’s, and the other supports projects designed specifically to help low-income and other vulnerable people — children, the elderly, disabled, homeless or abused — in both eligible and noneligible neighborhoods.
The Central Northside is two census tracts, and it’s surprising that both are no longer CDBG-eligible, said Tom Hardy, a consultant for the Allegheny City Central Association, a volunteer group that advocates for the neighborhood.
“We used to get [CDBG] funds every year for operating support,” he said. In 2013-2014 it was $27,500.
Its remaining support will come from development projects and some foundation grant money.
“We were anticipating this and we will be able to adapt and be fine,” he said, “But eventually my role will change.”
Polish Hill’s loss of about $40,000, or 30 percent of its operating budget, led the Polish Hill Civic Association to eliminate the position of its sole staffer, Leslie Clague, who for six years has been the photographer, reporter, archivist and organizer of the neighborhood of about 1,300 people.
Ms. Clague said that the loss of funding is due to several factors and that the loss of the CDBG money was a complicating factor.
Her last day is Aug. 15 in an office on Brereton Street, in which the board will keep an active phone number.
“We will try to regularly monitor messages,” board president John Rhoades said.
“Leslie has been the consistent voice and face of the organization,” he said. “She has edited our newsletter, managed our arts festival, organized community meetings, and been a trusted bridge between our legacy residents and new folks.
“There are neighborhood groups that exist without paid staff, so we will” continue to exist as a board, he said, “We will hold regular meetings and maintain volunteer-led committees and all our green activities. We’re looking at opportunities to collaborate with groups in other neighborhoods” to possibly share a part-time staffer.