City staff reported the USDA underwriting is in process and said Yreka is near securing $3.3 million of a potential $5 million CDBG grant for the planned fire station; staff also said they will pursue a lower USDA interest rate and consider a staff-appreciation/volunteer recognition program.

After a public informational presentation, the council adopted Resolution 2026-25 authorizing submission of an application to USDA Rural Development to seek a low-interest loan for a proposed roughly 20,000‑sq‑ft new fire station; the project cost is estimated up to $35 million and staff cited multiple potential funding sources including a federal request for $8.25M and a $3.3M CDBG application.