Asheville City Council Redirects Federal Funds to Home Repairs Amid Public Debate
Following a significant funding reallocation, Asheville is set to address the pressing needs of homeowners affected by Hurricane Helene. The city has redirected $19.2 million from a substantial $225 million disaster recovery grant, initially earmarked for infrastructure and multifamily housing, to focus on single-family home repairs.
In a decisive 6-1 vote, the Asheville City Council approved the reallocation, with Bridget Herring, the city’s recovery coordinator, estimating that the funds will benefit 55 to 65 additional households. This decision comes after an initial allocation of only $3 million, which was insufficient to meet the needs of over 100 waitlisted homeowners. Currently, the total estimated requirement for eligible households stands at $32 million.
Despite the council’s approval, the decision has not been without controversy. Council member Bo Hess, the lone dissenting voice, expressed reservations about the program’s efficiency, stating, “We have an obligation to make sure we’re using limited disaster dollars where they create the greatest long-term impact.” Hess emphasized the importance of ensuring taxpayer funds deliver maximum community returns.
Community groups and residents have voiced opposition to the fund reallocation, arguing that the money would be more effectively used in building new affordable housing units. Reports indicate that a majority of the 75 public comments received criticized the focus on single-family repairs. Neither the Housing Recovery Board nor the Infrastructure Recovery Board, both advisory bodies set up post-Hurricane Helene, were in favor of the council’s decision.
The reallocation now awaits approval from the federal Department of Housing and Urban Development, with a decision anticipated in July.
Asheville Imposes Temporary Halt on Data Center Developments
In another key decision, Asheville City Council has unanimously voted to impose a one-year moratorium on the construction of new data centers. This pause is intended to allow city planners to establish clear zoning rules and definitions related to these developments.
Chris Collins, assistant director of planning and urban design, likened this move to the 2019 hotel moratorium, during which Asheville crafted regulations to guide future hotel developments. The moratorium reflects similar actions taken by other western North Carolina communities, such as Canton and Swain County, due to concerns over resource consumption and limited economic benefits.
Rob Campbell, an energy policy analyst, noted during the public hearing that data centers contribute to increased utility demands, often resulting in higher costs for local residents. “Data center construction is incentivizing the buildout of additional gas plants in particular,” Campbell warned, highlighting potential environmental and financial repercussions.
City staff plans to initiate public engagement on data center regulations in the coming fall.
Additional Council Decisions
- The council authorized several contracts related to Hurricane Helene recovery, totaling approximately $11 million for landslide-related design and engineering work. The Federal Emergency Management Agency is expected to cover most of these costs.
- A 3.72-acre property was awarded to 29 Oak Hill LLC along with a $1.6 million low-interest loan for the development of 42 affordable townhomes in Emma. The initiative aims to support households earning below 110% of the area median income.
- Sasaki, a landscape architecture firm from Boston, presented a conceptual design for Asheville’s riverfront parks, emphasizing “nature-based strategies” to mitigate flood impacts. Estimated construction costs are around $63.5 million, with federal grants likely defraying a significant portion.
- The council approved a $900,000 budget for installing and maintaining Axon Fleet cameras in Asheville Police Department vehicles. This decision has sparked community concerns over privacy and data security.
- A resolution supporting “Lennie’s Law,” a proposal for “bicycle safety zones” on major cycling routes, was passed. The law is named in honor of a cyclist killed in a collision last year.
Regular Asheville City Council meetings are held on the second and fourth Tuesdays of each month at City Hall. The council will not meet in the second week of July, with the next session scheduled for July 28. For more details, view the full recording and related documents from the June 23 meeting.
