Miami Leaders Unite To Join National Effort Fighting Potential CDBG Budget Cuts

 

CDBG Cuts Will Have Devastating Impact On Miami’s Elderly

 

February 10, 2005 - (Miami, FL) - In a press conference held today at Miami City Hall, Mayor Manny Diaz, Commission Chairman Joe Sanchez and Vice-Chairman Angel Gonzalez and a coalition of local officials, community organizations and business leaders denounced the proposed elimination of the Community Development Block Grant (CDBG) in the President’s Fiscal Year 2006 Budget.

 

Cuts to CDBG could have a devastating economic impact on cities, counties, and local communities. On Tuesday, leaders from three national organizations - the US Conference of Mayors, the National League of Cities, and the National Association of Counties - denounced the elimination of CDBG. As the national debate on budget priorities unfold, Miami’s leaders from the City of Miami, Miami-Dade County and the Dade League of Cities echoed these sentiments locally, as potential cuts would gut existing social services that help Miami’s neediest.

 

Joining the Mayor and City Commissioners was a delegation from the Dade League of Cities, including Board member and Mayor of Sweetwater Manuel L. Marono and Director Richard Kuper. Business leaders and representatives from various community based organizations also joined the effort.

 

“Our city has made great use of CDBG funding. These funds have allowed us to create jobs, increase economic development opportunities and expand homeownership. Most importantly, these funds have allowed us to provide assistance to our neediest residents, our senior citizens,” said Mayor Diaz. “Thousands of our seniors rely on our daily elderly meals program for their survival. As such, further cuts to the CDBG program will have a devastating impact.”

 

The program is currently funded at $4.7 billion (FY 2005) and provides grants to cities through the Department of Housing and Urban Development (HUD). Under the proposed budget, a reduced level of CDBG funds would be transferred to the Department of Commerce along with 17 other programs and consolidated into the Strengthening America’s Communities Grant Program, which has yet to be fully defined.

 

A total of $3.71 billion would be available to set up the new grant program in 2006, about $2 billion less than the 18 programs together receive now. It is unclear what the funding levels will be for the 18 individual programs in the proposed budget.  Because federal regulations require that no more than 15% of CDBG funds can be used for public services in the community, the population most hurt by this funding cut and public service cap is the fixed-income senior citizens who rely on meals and transportation from the City of Miami’s CDBG-funded agencies.

 

“Deficit cutting and fiscal conservancy should not be done at the expense of our elders and the most vulnerable in society,” said Chairman Joe Sanchez. “Especially when such actions place them at risk of losing food and other benefits on which they rely for their livelihood and sustenance.”

 

“Continued federal budgetary contraction in funding areas that are dedicated to serving urban cities does not really solve fiscal problems,” said Vice-Chairman Angel Gonzalez. “This is not a solution, but merely a shift in burden from the federal government to municipalities.”

 

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