LOCK HAVEN — With the possibility it could no longer receive Community Development Block Grant funding for future projects after 2025, Lock Haven City Council talked at length about what it would use its over $250,000 allocation for in the coming years.

With the passage of the “Big Beautiful Bill” on Capitol Hill, the city could stand to lose CDBG funds — which is distributed through the US Department of Housing and Urban Development (HUD) and administered by the Department of Community and Economic Development (DCED).

City Manager Gregory Wilson told council earlier in its meeting on Monday night that the passage of the federal budget included cuts to programs such as CDBG, meaning the future of that funding source was uncertain at this time.

Angie Hunselman, senior program analyst in the Community Services District Division at SEDA-COG — the entity that oversees the CDBG process for the city — told council the city has $257,438 in allocated funds for 2025 to utilize.

The initial allocation is $307,438, though there were administration costs from both SEDA-COG and the city to be subtracted from the amount.

Council considered the following projects during its meeting on Monday:

— Hanna Park improvements, $159,500, which would serve as a match to a DCNR application which was submitted earlier in the year. The improvements would include constructing new pickleball and basketball courts, to enhance court play for residents; upgrades to park restrooms to meet ADA requirements; each amenity in the park will be connected by an ADA compliant crushed stone walking path.

— 4th Street improvements, $152,444, that includes repaving the roadway from Railroad Street to Railroad Row; Railroad Row to West Church Street and West Church Street to West Water Street.

— Citizens Hose Company No. 5, $27,740, for bay floor repairs. The upgrades would be to the apparatus bay floor constructed in 1992 that’s beginning to deteriorate and sunken drains that are no longer even with the floor.

— Lock Haven EMS, generator project, $39,310, for the purchase and installation of a generator to be connected to the existing natural gas or LP fuel supply and activate within seconds of a power failure. This will ensure that the EMS will be able to operate during times of power outages.

— North Third Street improvements, $116,113, for street reconstruction on North Third Street from Mary’s Alley to West Water Street.

— Race Street improvements, $60,075, for the repavement from East Main Street to East Water Street.

Hunselman told council she needed council to choose which projects it would like to fund so she could prepare paperwork for a final public hearing on Aug. 4. From there, a resolution to submit an application to DCED would be considered on Aug. 18 and later submitted by Oct. 31.

Council’s discussion surrounding which projects to choose took up the majority of its meeting.

Councilmember Steve Stevenson asked representatives of Lock Haven EMS and the fire company if the requested amounts were going to be matched in some way.

“Are you putting any money into this,” he asked.

Both representatives said funding was being put into each project from the entities.

Councilmember Rick Conklin initially suggested the Hanna Park improvements be put on the backburner.

“I feel bad for the fact that we’re looking forward to seeing Hanna Park done, but I just don’t see how we can get it done,” he said.

City Planner Abbey Roberts said the CDBG funds requested would be the 50 percent match required in the DCNR application the city submitted earlier this year.

Conklin and other members of council were concerned about the suggested paving projects being pushed further down the road, when they’re necessary.

In the case of the request from Lock Haven EMS and the fire company, Wilson told council it could choose to allocate funding from its capital projects fund towards both projects in 2026. He noted this would speed up the ability to get the funding to the entities as well.

“That would also make those projects come to fruition quicker,” he said.

He further told council it could choose to allocate the city’s 2026 liquid fuels funding toward paving streets rather than continued work in Sunset Pines on its stormwater infrastructure.

“To take a year off of Sunset Pines you would be able to use liquid fuel allocation to do Fourth and Third streets,” he said.

The cost for these projects would be lower, given CDBG requirements cause an increase in overall project costs. If council chooses to go that route, the cost for North Third Street paving would be $108,213 and Race Street improvements would be $52,975.

Councilmember Barbara Masorti asked how much of the Sunset Pines project is nearing completion.

Wilson said the project is finishing phase 3A, and noted most of the remaining work involves paving — with the stormwater infrastructure already in place.

“The majority of the stormwater infrastructure has been put in,” he said.

Mayor Joel Long noted that stormwater infrastructure was the biggest part of that project.

“The main goal of the project was to get the storm water drainage to stop the damage that was occurring on a regular basis. So that, for the most part, is taken care of,” he said. “It’s not the emergency feeling we had when we started the project.”

Wilson emphasized that, with the potential elimination of the CDBG program, council will have limited options in park improvement projects while it will have other avenues — such as liquid fuels and capital projects allocations — to improve various infrastructure.

“If CDBG is eliminated you will not get to do, ever again, this kind of substantial park improvement,” he said, noting Hanna Park is the last major site to see improvements within the city.

“There are options for each of the items that are in there. You wouldn’t have an option, for example, to find any other funding source for Hanna Park except for DCNR,” he said.

With these options in mind, Stevenson motioned to allocate $60,075 to Race Street improvements and the balance into Hanna Park improvements. The motion was seconded by Councilmember Tami Brannan and approved unanimously.