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Resource Information

Agency:

U.S. Department of Housing and Urban Development

Resource:

(HUD) Community Development Block Grant (CDBG)

Overview:

Flexible program that provides communities with resources to address wide range of unique community development needs. One of the longest, continuously run programs at HUD, CDBG provides annual grants on a formula basis to 1214 general units of local government, states, and four U.S. Territories. Three program areas include:

  • Entitlement Communities - Allocates annual grants to larger cities and urban counties to develop viable communities by providing decent housing and a suitable living environment and expanding economic opportunities, principally for low- and moderate-income persons.
  • State Administered CDBG - States award grants to smaller units of general local government that carry out community development activities. Each state develops annual funding priorities and criteria for selecting projects. Commonwealth of Puerto Rico receives funding as a state. In Hawaii only, HUD distributes funds directly to three eligible counties.
  • Insular Areas CDBG – Allocates grants to four eligible U.S. Territories to carry out community development activities

Funding Information:

  • Annual appropriation is allocated between states and "entitlement" communities (central cities of Metropolitan Statistical Areas, cities with populations of at least 50,000, or qualified urban counties with population of 200,000 or more, excluding population of entitled cities).
  • States distribute funds to non- entitlement localities not qualified as entitlement communities.
  • Grant amounts are determined by a community needs formula that includes poverty extent, population, housing overcrowding, housing age, and population growth lag in relation to other metropolitan areas.
  • The Insular Areas receive a separate annual appropriation, with funds distributed proportionally based on population

Resource Website(s):

https://www.hudexchange.info/programs/cdbg/

Keywords:

Local Government, State Government, Recovering from a Flood, Financial Assistance

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