Haverhill faces the loss of upwards of $1 million in federal Community Development Block Grant money next year under a proposal in Congress that would cut aid the city has relied on annually for 51 years.
Economic Development and Planning Director William Pillsbury Jr. issued his warning at the Haverhill City Council’s regular meeting Tuesday.
“The mayor has been very cognizant of thinking ahead that this program may be cut further. The stark reality, not to be alarmist, but it has been eliminated in the president’s big beautiful bill. CDBG doesn’t exist anymore. So that is something we will face next year at this time if it is not replaced in the budget,” Pillsbury said.
Pillsbury was before the Council for agreement on how the city will spend its fiscal 2026 allotment of $917,780. He noted 15%, or $137,000, was allocated to 18 local nonprofits as previously reported by WHAV and the remaining $780,000 will be used to fund the city’s neighborhood stabilization programs including its low-income housing rehabilitation program.
Unlike some nearby cities, Haverhill is a federally designated “entitlement” community and receives annual aid directly from Washington. It has received block grants since the end of the federal slum clearance and blight removal programs that led to demolition of many downtown city blocks during urban renewal. The money has been used in the past for street and sidewalk replacement and other improvements in low-income neighborhoods.
Ward 3 City Councilor Devan M. Ferreira asked if more money could be allocated to the city’s first-time homebuyers program. Pillsbury noted that while he agrees with the idea, the city has difficulty qualifying residents for the program.
In other business, Ward 4 Councilor Melissa J. Lewandowski said she is interested in learning whether a so-called vacancy tax could work in Haverhill. She explained taxing property owners for keeping units empty serves to discourage landlords from holding out for higher rents. Lewandowski noted that the Legislature is considering the proposal but that Haverhill would not need to wait for state approval. The Council voted to send Lewandowski’s request to its Planning and Development Committee.
Councilors also voted to accept Harbor Drive and Mohawk Trail as city streets and approved a special permit application from Hertz to move across the street from 1184 to 1187 Main St. after the car rental company lost its lease. Members praised Hertz for finding a new location in the city.
Finally, Marlene Stasinos was granted an event permit to hold Haverhill’s Woofstock for dogs and their humans Saturday, Sept. 27, at her 436 Salem St. farm.