Community Development Block Grant Program 2025

The Community Development Block Grant (CDBG) program, established in 1975 under Title I of the Housing and Community Development Act of 1974, is administered by the U.S. Department of Housing and Urban Development (HUD). The program's core mission is to enhance the quality of life for low- and moderate-income individuals by supporting efforts to create decent housing, foster suitable living environments, and promote economic growth. CDBG aims to help states and local governments implement innovative strategies to address the physical, economic, and social challenges faced by their communities. As a principal federal grant initiative, CDBG provides flexible funding that allows communities to devise their own tailored solutions for improvement. The program's broad scope enables grantees to direct funds towards a variety of activities that meet locally identified needs, such as rehabilitating affordable housing, improving public facilities, expanding job opportunities, and supporting public services. These initiatives are expected to primarily benefit low- and moderate-income individuals, contributing to equitable community development. CDBG funding is distributed to states and local governments, which then allocate resources to projects that align with the program’s objectives. Eligible activities often include housing rehabilitation, infrastructure improvements, economic development efforts, and public service programs that serve disadvantaged populations. The flexibility of CDBG funds allows local jurisdictions to prioritize the most pressing needs within their communities, ensuring that resources are used efficiently to achieve the greatest impact. The program emphasizes community engagement, requiring that funded projects are developed with input from local residents, particularly those from the targeted low- and moderate-income groups. This participatory approach helps ensure that the funded initiatives reflect the community's priorities and result in meaningful improvements in residents' lives. In sum, the CDBG program plays a vital role in driving local development efforts across the United States, fostering environments where individuals can thrive economically and socially. Its longstanding focus on supporting low- and moderate-income communities ensures that federal resources contribute to reducing disparities and enhancing the quality of life in underserved areas.