What can CDBG money be used for?

CDBG funds can be used for a wide range of activities such as housing rehabilitation, code enforcement, acquisition of real property, demolition, infrastructure and public facility improvements, economic development, and social services.

What is CDBG in housing?

The Community Development Block Grant (CDBG) Program provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons.

Do you have to pay back a CDBG grant?

Under federal program guidelines, CDBG and HOME loan repayments and interest are acceptable and these funds are considered “program income.” Under CDBG guidelines, however, program income is counted along with current-year entitlement dollars when determining if a recipient community is spending funds in a timely …

What is CDBG and Llebg?

Large block grants include Community Development Block Grant (CDBG)* and Local Law Enforcement Block Grant (LLEBG). Formula grants are allocated based on a decision rule, such as x dollars per public school pupil. The purpose is to allocate funding based on quantifiable variables.

How does CDBG work with the private sector?

CDBG’s flexibility empowers people and communities to design and implement strategies tailored to their own needs and priorities. CDBG’s emphasis on consolidated planning expands and strengthens partnerships among all levels of government and the private sector in enhancing community development.

What is the proportion of CDBG in a city?

A city’s proportion of the overall CDBG allocation is either the average of the area’s fractions of the US’s total population, total poverty and total amount of housing overcrowding, or the average of the area’s fractions of the country’s total growth lag, total poverty, and total age of housing.

When did the CDBG program come into effect?

The CDBG program was enacted in 1974 by President Gerald Ford through the Housing and Community Development Act of 1974 and took effect in January 1975. Most directly, the law was a response to the Nixon administration’s 1973 funding moratorium on many Department of Housing and Urban Development (HUD) programs.

What are the categories of eligible activities for CDBG?

Community Development Block Grant Program Categories of Eligible Activities v 2- 3 Acquisition of Real Property Eligible Activities The statute and regulations authorize the use of CDBG funds by a grantee or a public or private nonprofit entity to acquire real property in whole or in part by purchase, long-term lease, donation, or otherwise.