The Community Development Block Grant (CDBG) is a flexible program that provides communities with resources to address community development needs, including affordable housing development and preservation, child care, job training, community infrastructure, and economic development.
The CDBG program's goals include ensuring decent affordable housing and services and creating jobs through the business expansion and retention.
Provides grants by formula to 1,225 units of local government and states.
ACDBG also received American Recovery and Reinvestment Act (ARRA) stimulus funds to spur economic investment, energy efficiency, or job retention/ creation.
Federal:
- Obama has proposed $4.38 billion in CDBG funding in his 2011 budget, including funding for the University Communities Fund, which was unfunded in FY 2010.
- Funding for CDBG was increased in FY2010 to $4.5 billion from $3.6 billion in 2009, with set-asides for the newly created Sustainable Communities Initiative and the Rural Innovation Fund.
- The Minnesota Federal Housing Action Coalition (MnFHAC) supports holding harmless communities that would lose funding under a formula proposed by HUD, which would lessen relative levels of funding to Minnesota and other states with high levels of older housing.
Funding:
- Total annual appropriation for 2010 is $4.5 billion. MN received $62 million. In 2010, Mankato, North Mankato, and Woodbury received CDBG funding for the first time.
- Total annual appropriation for 2009 was $3.64 billion. MN received $57 million ($21 million for state program).
- Under the 2009 American Recovery and Reinvestment Act (ARRA), CDBG-R (Recovery) received $1 billion. MN received $15 million of this amount.
Administration:
- HUD administers the program federally.
- DEED administers in MN.
- 17 entitlement communities in MN.
Kristen Fitzpatrick, Metropolitan Consortium of Community Developers, is a contributor to MHP's coverage of this issue.
Updated March 15, 2010.