The federal CDBG program consists of two components: an entitlement program, in which larger jurisdictions receive a direct allocation of CDBG funds from the U.S. Department of Housing and Urban Development (U.S. HUD), and a non-entitlement program, in which small and rural jurisdiction can apply for CDBG funds allocated to states for purposes of the CDBG program.
Grants are awarded for a variety of activity areas, including public infrastructure. Up to $5 million can be requested for construction, reconstruction, rehabilitation, or installation of a public improvement project, including street improvements (e.g., sidewalks, curbs, gutters, and other improvements), water, sewer, flood and drainage facilities.
Non-entitlement jurisdictions include: (1) cities with populations under 50,000 and counties with populations under 200,000 in unincorporated areas that do not participate in the U.S. Department of Housing and Urban Development (U.S. HUD) CDBG entitlement program; (2) non-entitlement jurisdictions that apply to assist non-federally-recognized Native American communities; (3) distressed jurisdictions within 150 miles of the California-Mexico border that contain Colonia as defined by the National Affordable Housing Act of 1990.
Grants must address one of three National Objectives as follows: (1) benefit to low- and moderate-income persons; (2) aid in the prevention or elimination of slums and blight; and/or (3) to meet an urgent need.
About $30 million total was awarded to 26 jurisdictions in 2016.