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Neillsville City Council Approves Resolution Supporting Continued De-Federalization of Regional Consolidated Loan Fund

Friday, May 29th, 2015 -- 9:41 AM

-The Neillsville City Council approved a resolution supporting the continued de-federalization of the Regional Consolidated Loan Fund.

Essentially, the WCWRPC was asked by the Wisconsin Department of Commerce to consolidate the 32 municipal revolving loan funds in the region under the Housing and Community Development Act of 1974.

This would allow the removal of federal requirements from income derived from Community Development Block Grant funded loans, which is known as de-federalization. WCWRPC followed the rules to de-federalize the funds, but now Housing and Community Development has reversed its decision and says that they did not follow the rules, making that money federal money.

The WCWRPC worries that people and businesses will be less inclined to use that money as there is now more red tape to cut through in order to use it. The Clark County Board of Supervisors approved a similar resolution as have many local municipalities.

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