A county supervisor who voted against the county receiving $1.6 million in federal housing rehabilitation funds called grants "the narcotic of government."

El Dorado County Board of Supervisors Chairman Ron Briggs also said he had no regrets that the supervisors' 3-2 vote this month blocked the city of South Lake Tahoe from receiving its $126,000 share of the funds.

In an interview with the Tribune, Briggs cited a long list of reasons why he opposed the funding.

For one, he doesn't think the county should be in the foreclosure "flipping" business. The grant funds could be used for the county to buy foreclosed homes, fix them up, and sell them to low- to middle-income buyers.

Briggs is also concerned that income restrictions on future buyers of the homes would hurt property values in those neighborhoods.

And although the program is touted as a way to put local contractors to work, Briggs said there's no guarantee that the workers wouldn't come from outside the county.

In another concern, Briggs said the grant would fund certain administrative positions — and create an expectation that those positions remain even after the money is gone, he said.

"It's a false revenue stream," said the supervisor, adding that he'd rather see the county pursue a "true budget system."

"The grant system is the narcotic of government," Briggs said.

And finally, Briggs said some of the wording tacked onto the funding request has nothing to do with housing. For example, one of the "statement of assurances" the county would have to approve says the county will prohibit the use of excessive force by law enforcement agencies against anyone engaged in non-violent civil rights demonstrations.

South Lake Tahoe City Councilwoman Kathay Lovell called Briggs' views on grant funding "short-sighted."

Although grant applicants need to be wary of any strings attached, Lovell said grant funding is "the lifeblood" of communities — especially at a time when the state is taking money away from local jurisdictions.

"It's very unfortunate for our community," Lovell said of the supervisors' vote on the housing funds. "They really missed an opportunity here to support their constituents."

Nancy Kerry, the city's redevelopment and housing manager, said she told supervisors that the county did not have to use the funds to buy foreclosed homes. Instead, the funds could be used for the county's existing first-time home buyer or housing rehabilitation programs.

Supervisor Norma Santiago, who represents South Lake Tahoe on the Board of Supervisors, said she was "very disappointed" with the vote.

"There were not a lot of strings attached," Santiago said of the funding.

Although some supervisors said fixing up foreclosed homes should be left to the private sector, Santiago said it's traditionally been nonprofits that have done that work.

And the loss of funds to South Lake Tahoe, whose elected officials supported receiving the money, was a "truly, truly unfortunate consequence of the decision," Santiago said.

— Elaine Goodman