Residents urge council to prioritize local services over CDBG grant to out-of-state developer

Multiple members of the public urged Erie City Council to reconsider a proposed allocation of Community Development Block Grant (CDBG) funds that would direct up to 15% of CDBG dollars to renovations at the Renaissance Building overseen by Oz Operator LLC, an out-of-state developer.

Susanna Faulkner, speaking as a citizen, said CDBG and HOME funds are Erie
s largest federal investments in affordable housing and questioned why Oz Operator LLC, which Faulkner said "has already secured $45,000,000 in private equity and bank loans," would receive $600,000 of CDBG funds for luxury apartments and offices. "Why do we need to give them $600,000 from our city CDBG funds?" she asked, and suggested alternative financing such as an ARP-created revolving loan fund or DECD loan fund.

Ruth Suwanee urged council to keep the Blasco Library public and not allow parts of it to be rented to private nonprofit, nontax paying institutions, and asked council to sponsor a resolution to keep the library public. Gretchen Fairley (US Committee for Refugees and Immigrants, Erie field office) and other speakers warned that cuts or reallocations to CDBG could force local nonprofits to reduce services that serve refugees, immigrants and other vulnerable residents.

Speakers framed the choice as one between downtown real-estate redevelopment and preserving funding for local social services, youth programs and supportive housing. Multiple speakers asked council to reconsider a plan that would allocate a large single share of federal funds to a private developer and to preserve CDBG dollars for programs that directly support Erie residents in need.

Council did not adopt a final change to allocations in this meeting; the remarks were delivered during the public comment period and council members acknowledged the concerns for further consideration.