As you already know, the City is interested in applying to the State of Florida through the Small Cities CDBG Program. In order to receive that funding, the City must hold a public hearing to receive citizen input regarding economic and community development needs.
CDBG Projects must meet one of 3 broad national objectives:
1) To benefit low and moderate income persons.
2) To aid in the prevention or elimination of slum or blight.
3) To meet emergency needs.
To meet those objectives, the state has set four activities that may be applied for to meet those national objectives:
1) Housing rehabilitation/replacement of households under 80% of the median income.
2) Commercial revitalization.
3) Neighborhood revitalization (water, roads, sewer, parks, etc.)
4) Economic Development projects that create infrastructure for businesses that create jobs.
Because of the serious dilapidated condition of many of the city's residential structures, from the perspective of staff, housing would be the category the city should apply.