1. The commission proposed that funding for the park’s development, which could be open to the public early next year, is obtained through a local bond issue.
(A) that funding for the park’s development, which could be open to the public early next year, is
(B) that funding for development of the park, which could be open to the public early next year, be
(C) funding for the development of the park, perhaps open to the public early next year, to be
(D) funds for the park’s development, perhaps open to the public early next year, be
(E) development funding for the park, which could be open to the public early next year, is to be

2. At Shiprock, New Mexico, a perennially powerful girls’ high school basketball team has become a path to college for some and a source of pride for a community where the household incomes of 49 percent of
them are below the poverty level.
(A) where the household incomes of 49 percent of them are
(B) where they have 49 percent of the household incomes
(C) where 49 percent of the household incomes are
(D) which has 49 percent of the household incomes
(E) in which 49 percent of them have household incomes

OA - B,C
Could someone please clarify

Is Q1 an example of subjunctive?
Why not option D?

In Q2 where/which
Option D - which also rightly points to the community.
Could someone please clarify??