Title
Approval of Recommended Human Services Funding for FY 2026-2027
PURPOSE: Approve human services funding recommendations for FY 2026-2027.
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Department
DEPARTMENT: Housing and Community Services
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Council Direction
COUNCIL DIRECTION:
__ Race/Equity ____ Climate ____ Comprehensive Plan _X Other
Council Direction Statement
The Town’s adopted Strategic Results Framework for human services funding: To improve the health, education, and livelihood security outcomes for all residents, particularly those who are low-income or otherwise disenfranchised.
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Information
INFORMATION: The Town of Carrboro’s Adopted Budget for FY 2026-2027 includes an appropriation of $457,536 to be distributed to nonprofit agencies providing human services to the residents of Carrboro.
The FY 2026-2027 Outside Agency/Human Services application cycle received 48 applications in January from nonprofit agencies, requesting a total of $950,621. Staff and the Town’s Housing and Human Services Advisory Commission reviewed the applications, and a total of 7 hearings in March and April were held. During the hearings, applicants were asked questions related to past performance, financial and organizational information, current services, and the impact of potential federal funding reductions.
On June 8, 2026, the Housing and Human Services Advisory Commission recommended funding for 30 agencies totaling $457,536. In their deliberations, the Commission acknowledged the further strain residents will feel with additional federal cuts to social safety-net programs and prioritized funding for basic and critical needs. The Commission’s recommendation can be found as Attachment C, and recommended allocations are provided in Attachment D.
Conflict of Interest Statute for Public Officials in G.S. § 14-234.3
On April 29, 2022, Town Attorneys presented a memorandum to the Mayor and Town Council regarding the conflict-of-interest statute in G.S. § 14-234.3 for public officials holding leadership positions with nonprofit entities. This statute, which took effect on January 1, 2022, prohibits public officials who also serve as directors, officers, or governing board members for nonprofits from participating “in making or administering a contract, including the award of money in the form of a grant, loan, or other appropriation” with those nonprofits that the public official is associated with.
As required per this statute, Town Council members who hold leadership positions with any of the Human Services nonprofit applicants must recuse themselves from deliberation and voting on Human Services funding FY 2026-2027.
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Fiscal and Staff Impact
FISCAL IMPACT: The FY 2026-2027 Town Budget includes an appropriation of $457,536 for Human Services agencies.
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Recommendation
RECOMMENDATION: Staff recommend the Council approve the Human Services funding recommendations. A resolution is provided as Attachment A.
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