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Navigation: Support the Community Development Block Grant Program | Choice Neighborhoods Provides Critical Investments

Updated July 10, 2025

Support the Community Development Block Grant Program 

The Community Development Block Grant (CDBG) program, currently one of the largest community development programs within HUD, provides flexible funding to states and localities to implement activities and services that benefit low- to moderate-income (LMI) people. The CDBG program is funded through the Community Development Fund (CDF) within the federal appropriations budget. Funding for the program has fluctuated over time, however, it has been funded at relatively level amounts over the past six years.   

A unique aspect of the CDBG program is the broad flexibility grantees have in spending their CDBG funds. The CDBG program provides support for communities through funding for public services, administrative support, and restoration or acquisition of buildings. CDBG funding helps create thriving communities where affordable housing can have a positive impact on the most vulnerable citizens in our state. It is an incredibly important tool to help cities and states bring economic development to their communities and can also help boost housing supply in certain situations. 

Recommendation: Fund and strengthen the CDBG program. 

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Choice Neighborhoods Provides Critical Investments

The Choice Neighborhoods Program is another critical community development tool. The awards are used to build more homes and revitalize neighborhoods with distressed housing. Choice Neighborhoods helps communities redevelop distressed housing with high-quality mixed-income options. Funding can also be used to provide services focused on income, health, and education. Communities across the country have been able to access both Choice Neighborhoods planning and implementation grants and have used them to promote economic development and private investment. 

Unfortunately, funding for the Choice Neighborhoods program has declined over the past few years. During a time where critical investment is needed to preserve units and build strong communities, Choice Neighborhoods is more important than ever. 

Recommendation: Request robust funding for Choice Neighborhoods Implementation and Planning grants. 

Recommendation: Streamline the Choice Neighborhoods Program application process to encourage addition jurisdictions and PHAs to apply.

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