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Community Development Block Grants/Entitlement Grants

Community Development Block Grant program for Entitlement Communities
Number: 14.218
Agency: Department of Housing and Urban Development
Office: Office of Community Planning and Development

Program Information 

Program Number/Title (010):
14.218 Community Development Block Grants/Entitlement Grants
Federal Agency (030):
Office of Community Planning and Development, Department of Housing and Urban Development
Authorization (040):
Housing and Community Developmennt Act of 1974, Title I, Part 24, Section 570, Public Law 93-383, 88 Stat. 633, 42 U.S.C 5301-5321.
Objectives (050):
To develop viable urban communities by providing decent housing, a suitable living environment, and expanding economic opportunities, principally for persons of low and moderate income.
Types of Assistance (060):
Formula Grants
Uses and Use Restrictions (070):
Recipient communities may undertake a wide range of community-based activities directed toward neighborhood revitalization, economic development, and community services, facilities, and improvements. Entitlement communities develop their programs and set their funding priorities in conformance with the statutory standards, program regulations, and other federal requirements. Specific activities that can be carried out with Community Development Block Grant (CDBG) funds include acquisition of real property; relocation; clearance and demolition; rehabilitation of residential and nonresidential structures; provision of public facilities and improvements, such as water and sewer facilities (which require reviews by the State single point of contact or a Regional Planning Agency in accordance with Executive Order 12372), streets, and neighborhood centers. Within program limitations, CDBG funds can also pay for public services. Recipients may provide assistance to microenterprises or other for-profit entities when the recipient determines that such assistance is appropriate to carry out an economic development project. Community-based development organizations may carry out neighborhood revitalization, community economic development, or energy conservation activities. Each CDBG eligible activity must meet one of three national objectives: benefit low- and moderate-income persons, aid in the prevention or elimination of slums or blight, or meet other community development needs having a particular urgency that the grantee is unable to finance on its own. Recipients may only carry out eligible activities as listed in 24 CFR 570.201-207 or the statute.
Eligibility Requirements (080)
Applicant Eligibility (081):
Recipients are states; cities in Metropolitan Areas designated by OMB as a central city of the Metropolitan Area; other cities over 50,000 in Metropolitan Areas; and qualified urban counties of at least 200,000 (excluding the population in entitlement cities located within the boundaries of such counties) are eligible to receive CDBG entitlement grants determined by a statutory formula.
Beneficiary Eligibility (082):
The principal beneficiaries of CDBG funds are low- and moderate-income persons (generally defined as a member of a family having an income equal to or less than the Section 8 low income limit established by HUD). The recipient must certify that at least 70 percent of the grant funds received during a 1, 2, or 3-year period, that it designates, are expended for activities that will principally benefit low- and moderate-income persons.
Credentials/Documentation (083):
Receipents must certify they will meet program requirements and applicable federal requirements. OMB Circular No. A-87 applies to this program.
Application and Award Process (090)
Preapplication Coordination (091):
Executive Order 12372 is applicable only where a recipient proposes to use funds for the planning or construction (reconstruction or installation) of water or sewer facilities. Environmental impact information is not required for this program. This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.
Application Procedures (092):
OMB Circular No. A-102 applies to this program. OMB Circular No. A-110 applies to this program. Recipients submit a 5-year Consolidated Plan, an annual action plan, SF Form 424, and certifications to HUD. The Consolidated Plan and annual action plan cover four major formula-distribution HUD Community development programs, including CDBG. The annual action plan must include the local community development objectives and show the proposed use of the funds. If the grantee makes a complete submission within the established deadlines, the Department will make a grant award unless a determination is made by HUD that the grantee's performance is unsatisfactory. HUD will approve the submission generally within 45 days of receipt of the annual action plan and required certifications unless a determination has been made that the grantee has failed to carry out its CDBG program in a timely manner or has failed to conform to the requirements of the statute or other applicable laws. Under such circumstances, HUD may take appropriate actions, including a reduction in the amount of the original formula-allocated grant.
Award Procedure (093):
None.
Deadlines (094):
Nov 15, 2012 to Aug 15, 2013: See below. For formula grants, action plans associated with the Consolidated Plan must be submitted based on the grantee's program year, but no earlier than November 15 or no later than August 15 of the fiscal year for which the funds are allocated.
Range of Approval/Disapproval Time (095):
From 60 to 90 days. Generally within 45 days.
Appeals (096):
Administrative appeals process followed if entitlement grant funds are withheld or reduced, or repayment proposed for non-compliance or non-performance.
Renewals (097):
From 15 to 30 days. Every 3 to 5 years, localities submit a new Consolidated Plan. Each year in between, localities submit an annual action plan and program certifications.
Assistance Consideration (100)
Formula and Matching Requirements (101):
Statutory Formula: Title 24, Part 570.
This program has no matching requirements.
This program does not have MOE requirements.
Length and Time Phasing of Assistance (102):
Program of assistance is for an annual activities, but activities generally may be continued beyond one year until they are deemed completed. Method of awarding/releasing assistance: by letter of credit.
Post Assistance Requirements (110)
Reports (111):
The Consolidated Annual Performance and Evaluation Report (CAPER). The CAPER reports the recipient's program accomplishments for each program year. For 272. The recipient's efficient expenditure of grant funds is evaluated annually (through information provided in the IDIS (see below)) 60-days prior to the end of its program year. Through the program management's information system, known as the Inter-Disbersement and Information System (IDIS). Monitoring is "risk-assessment based" with high-risked grantees receiving priority status for monitoring and review.
Audits (112):
In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133. The auditee may elect to have a program-specific audit conducted under certain limited circumstances.
Records (113):
The recipient must maintain records with regard to eligibility, national objectives, financial management, citizen participation, relocation, other resources, acquisition, housing assistance to dwelling units and households, equal opportunity, environmental impact, labor standards and other requirements set forth in the program regulations. Records shall be retained for a period of four years after submission of the report in which the activity is reported as completed, except as otherwise prescribed in the regulations.
Financial Information (120)
Obligations (122):
(Formula Grants) FY 12 $2,157,950,475; FY 13 est $2,149,836,783; and FY 14 est $1,948,870,000 - Allocations made to entitled metropolitan cities and urban counties.
Range and Average of Financial Assistance (123):
From low of $72,231 to a high of $178,008,585 for New York City; average grant $2,956,494.
Program Accomplishments (130):
Not Applicable.
Regulations, Guidelines, and Literature (140):
Administrative Regulations for Community Development Block Grants, 24 CFR 570.
Information Contacts (150)
Regional or Local Office (151) :
None. Contact appropriate HUD Field Office listed in Appendix IV of the Catalog.
Headquarters Office (152):
Otis D.Collins, 451 7th Street S.W. Room 7282
, Washington,, District of Columbia 20410 Email: otis.d.collins@hud.gov Phone: 202-402-3416 Fax: 202-401-2044
Website Address (153):
http://www.hud.gov/offices/cpd/index.cfm.
Examples of Funded Projects (170):
Not Applicable.
Criteria for Selecting Proposals (180):
Not Applicable.