The week of April 11 through April 15 is National Community Development Week, a time to highlight the importance of the U.S. Department of Housing and Urban Development’s (HUD) Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) programs to building strong, resilient, and vibrant communities across America.
CDBG and HOME provide grants to states and local governments to strengthen communities by delivering equitable access to decent housing and living environments and expanding economic opportunities. These programs are unique in that they focus primarily on people with low and moderate incomes. CDBG and HOME also play a critical role in empowering residents by giving them a voice in the future of their neighborhoods.
HUD and the Biden-Harris Administration remain committed to building stronger and more resilient communities across America through CDBG and HOME.
CDBG and HOME Have a Record of Success in Lifting Up Underserved Communities
CDBG and HOME increase the availability of safe, high quality, and affordable homes and communities, ensuring equitable access to opportunities and benefiting families and communities.
CDBG and HOME have:
Provided grants to state and local governments. In 2021, the CDBG program provided grants to 1,235 state and local governments.
Rehabilitated housing and strengthened access to public services. Since 2005, the CDBG program has rehabilitated 1,300,027 units of housing, funded public infrastructure projects that have assisted over 16 million people, and assisted over 161 million people with public services.
Expanded affordable housing. Since 1992, the HOME program has created over 1.3 million affordable homes and provided direct rental assistance to more than 363 thousand low-income families.
Provided Sources of Low-Cost, Long-Term Financing for Economic and Community Development Projects. In 2021, HUD marked over 2 thousand commitments through the CDBG Section 108 Loan Guarantee program. The program allows local governments to leverage five times their current CDBG grant into federally-guaranteed loans large enough to pursue physical and economic revitalization projects capable of redeveloping entire neighborhoods. The Section 108 program primarily benefits low- and moderate-income communities.
Advanced equitable disaster recovery to build resilience to climate change. In March 2022, HUD announced $3 billion in CDBG-Disaster Recovery funds, which include mitigation, to help communities recover from and build resilience to natural disasters, including climate disasters, with a specific focus on low-and moderate-income populations. In November 2021, HUD allocated $2 billion in CDBG-Disaster Recovery funds. The first such awards of the Biden-Harris Administration, reflecting an increased focus on building resilience in the most underserved communities.
Additional investments in CDBG and HOME are critical to building on these successes and enabling even more stronger and resilient communities.
President’s FY23 HUD Budget Bolsters CDBG and HOME
The President’s FY23 Budget request for HUD reflects the Administration’s commitment to fortifying support for underserved communities and equitable community development for all people, with robust investments in CDBG and HOME.
If passed, the Budget would provide $3.8 billion for CDBG, including $195 million in targeted resources to remove barriers and revitalize 100 of the most historically underserved neighborhoods in the United States.
The Budget would also provide $2 billion for HOME – $450 million more than the FY22 enacted level.
Additionally, the Budget supports authorizing the Community Development Block Grant—Disaster Recovery (CDBG-DR) program. For more than twenty years, Congress has appropriated emergency supplemental funds to HUD in response to major disasters to address the unmet long term disaster recovery needs of States, territories, local governments, and Tribes. Authorization would improve the transparency and predictability of CDBG-DR funds for impacted communities.
Read more about HUD’s budget here.
HUD will continue to expand access to these critical programs, providing resources to support communities and ensure that they are equipped with the necessary services to thrive.