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Community
Development Block Grant
The
program provides annual grants
on a formula basis to entitled
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.
Nature
of Program
HUD
awards grants to entitlement
community grantees to carry
out a wide range of community
development activities directed
toward revitalizing neighborhoods,
economic development, and providing
improved community facilities
and services.
Entitlement
communities develop their own
programs and funding priorities.
However, grantees must give
maximum feasible priority to
activities which benefit low-
and moderate-income persons.
A grantee may also carry out
activities which aid in the
prevention or elimination of
slums or blight. Additionally,
grantees may fund activities
when the grantee certifies that
the activities meet other community
development needs having a particular
urgency because existing conditions
pose a serious and immediate
threat to the health or welfare
of the community where other
financial resources are not
available to meet such needs.
CDBG funds may not be used for
activities which do not meet
these broad national objectives.
CDBG
funds may be used for activities
which include, but are not limited
to:
- acquisition
of real property;
- relocation
and demolition;
- rehabilitation
of residential and non-residential
structures;
- construction
of public facilities and improvements,
such as water and sewer facilities,
streets, neighborhood centers,
and the conversion of school
buildings for eligible purposes;
- public
services, within certain limits;
- activities
relating to energy conservation
and renewable energy resources;
and
- provision
of assistance to profit-motivated
businesses to carry out economic
development and job creation/retention
activities.
Generally,
the following types of activities
are ineligible: acquisition,
construction, or reconstruction
of buildings for the general conduct
of government; political activities;
certain income payments; and construction
of new housing by units of general
local government. |
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