During the council’s review of the 2025 budget, Town Finance Director David Gephart highlighted two new funding sources the town plans to explore this year. The first is the potential for increasing fees on various town activities, which would contribute additional funds to the general fund.
Grant funding sought to supplement capital costs
The second are grant funds to supplement the capital fund. Each month, the town manager releases a report summarizing grant funding progress for fiscal year 2025. As of the latest report, the Town has applied for $19.1 million in grants, with $7.6 million declined, $11.2 million still in process, and around $234,000 accepted so far.
Applications have been submitted to thirteen separate funding sources, with the largest request of $18 million from “Congressionally Directed Spending.” This federal funding is allocated by Congress for local projects, including Oro Valley’s officer safety plan, a police station design, and the Vistoso Trails Nature Preserve restoration. These applications are currently under review.
Big LaCañada bridge repair project request denied
One of the grant applications that was denied was for $7.2 million for the La Cañada Bridge at Cañada del Oro Wash. Interestingly, the Town’s capital improvement budget only lists two La Canada bridge projects totaling $3 million: Bridge deck repair and a mill overlay from the bridge to Lambert Lane.
Possible reasons for grant denial
This grant request was rejected by US Senators Kelly and Senima. (So much for their support of Oro Valley!). No reason was given as to why this grant request was declined. It’s possible that the request didn’t align with federal priorities, as HIP funds typically support high-impact, safety-focused projects on major highways and railway crossings. Large requests often face stiff competition, especially if local matching funds (20%) fall short or the project exceeds program limits.
Two major grant requests are pending
Two major grant requests are still pending: $3 million for a new police station design and $7 million for what the Town Manager describes as “Town of Oro Valley bridge repair.” That grant would cover multiple bridge repair projects in the 2025 budget.
..one a "possibility pending congressional action"
This bridge repair funding was touted as "on target for funding" in September—so much so that Mayor Winfield and Congressman Ciscomani, who is running fore reelection, held a press conference in the median of the LaCanada Bridge on it. Nonetheless, the political landscape in Washington makes getting this grant far from certain. The funding must navigate through the House, the Senate, and finally be signed by the sitting President when it reaches that stage. In this election year, nothing is guaranteed.
Grants are an important source of funding future capital projects. LOVE will continue to monitor these grant requests and report back throughout the year on this potential funding source for the Town.
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Article updated: 10/19/24
