COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)
Community Development Block Grant Committee
STAFF
Tony Geliche – Community Development Specialist
Sue Smith - Clerical
Introduction
The CDBG 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. The City of Kenosha
receives $1.4 million annually.
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
Requirements
To receive its annual
CDBG entitlement grant, a grantee must develop and submit
to HUD is Consolidated Plan (which is a jurisdiction's
comprehensive planning document and application for funding
under the following Community Planning and Development
formula grant programs: CDBG, HOME Investment Partnerships,
Housing Opportunities for Persons with AIDS (HOPWA),
and Emergency Shelter Grants (ESG)). In its Consolidated
Plan, the jurisdiction must identify its goals for these
programs, as well as for housing programs. The goals
will serve as the criteria against which HUD will evaluate
a jurisdiction's Plan and its performance under the Plan.
Also, the Consolidated Plan must include several required
certifications, including that not less than 70% of the
CDBG funds received, over a one, two or three year period
specified by the grantee, will be used for activities
that benefit low and moderate income persons, and that
the grantee will affirmatively further fair housing.
HUD will approve a Consolidated Plan submission unless
the Plan (or a portion of it) is inconsistent with the
purposes of the National Affordable Housing Act or is
substantially incomplete. Following approval, the Department
will make a full grant award unless the Secretary has
made a determination that the grantee: (1) has failed
to carry out its CDBG-assisted activities in a timely
manner; (2) has failed to carry out those activities
and its certifications on accordance with the requirements
and the primary objectives of Title I of the Housing
and Community Development Act of 1974, as amended,
and with other applicable laws; or (3) lacks a continuing
capacity to carry out its CDBG-assisted activities
in a timely manner.
Any questions about CDBG? E-mail
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