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Objectives & Eligibility

National Objectives
The Use of CDBG Funds is Restricted to an Activity that Meets one of three Primary National Objectives:

  • To Benefit Low and Moderate-Income Person(s)
  • To Eliminate Slum and Blight - to Directly Address Blighted Conditions
  • To Meet Urgent Needs (Serious and Immediate Threats to the Health and Welfare of the Community)

Eligible Activities
In addition to meeting at least one of the National Objectives, activities must meet Eligibility Criteria
Only the Following Activities are Eligible for Consideration:

  • Acquisition of Real Property 
  • Disposition of Real Property Acquired with CDBG Funds
  • Acquisition, Construction or Renovation of Public or Private Facilities
    e.g. Parks Sewers, Neighborhood Centers, and Street Improvements
  • Demolition and Clearance 
  • Public Services including Human and Social Services Job Training and
  • Placement Activities
  • Interim Assistance in Emergency Conditions
    e.g. Snow Removal, Special Clean-up Campaign, etc.
  • Completion of Urban Renewal Activities (Included in Approved U.R. Plans)
  • Relocation Payments and Assistance
  • Improvements Needed to Remove Architectural Barriers
  • Acquisition, Construction, Installation of Utility Lines and Facilities
  • Assistance with Constructed Housing or Rehabilitated
    Under the Housing Development Grant or Rental Rehabilitation Programs
  • Rehabilitation of Private or Public Residential Units Including:
    a)  Acquisition for the Purpose of Rehabilitation
    b)  Funding Labor or Materials or Both
    c)  Refinancing Existing Debt in Conjunction with Rehabilitation
    d)  Improving Energy and Water Conservation
    e)  Connecting Housing Units to Water or Sewer Lines
    f)  Providing Supportive Services such as:Counseling, Work Write Up, Loan Processing and Inspections
  • New Construction of Residential Rental Property for Low-Income Households
  • Direct Ownership Assistance for Low & Moderate Income Home Buyers in the form of:
    a)  Interest Rate Subsidies Financing Acquisition of Owner Occupied Housing
    b)  Purchase of Guarantees for Mortgage Financing Obtained by Low and Moderate Income Home Buyers
    c)  Payment of 50% of Any Required Down Payments
    d)  Reasonable Closing Cost
  • Code Enforcement
  • Preservation or Restoration of Historic Properties
  • Renovation of Closed School Buildings for Eligible Reuse 
  • Economic Development Activities Which Provide: Commercial or Industrial Improvements Carried out by Grantee or Non-Profit Sub Recipient Including Acquisition, Construction, Reconstruction, or Construction of Commercial or Industrial Buildings, Structures, and other Real Property Equipment and Improvements;or Assistance to Private for-Profit Entities for Any Activity Determined to  be "Appropriate" to Carry out and Economic Development Project that:
    a)  Creates or Retains Jobs for Low and Moderate-Income Persons
    b)  Creates or Retains Businesses Owned by Community Residents
    c)  Assist Businesses that Provide Goods or Services Needed by and Affordable to Low and Moderate Income Residents or 
    d)  Provides Technical Assistance to Promote such Activities
  • Neighborhood Revitalization, Community Economic Development, or Energy Conservation Activities Carried out by the Following Types of Organizations:
    a)  Neighborhood-Based Non-Profit Organizations
    b)  Section 301
    c)  Small Business Investment Companies
    d)  Local Development Corporations
  • Planning Management Program Administration Activities
    Including Fair Housing Counseling
  • Capacity Building - Community Based Development Organizations (CBDO)
    Eligible to Undertake Affordable Housing Activities