$1 Billion for Community Development Block Grant-Recovery (CDBG-R)

The "American Recovery and Reinvestment Act of 2009" appropriates additional funds to the existing CDBG program, calling it CDBG-R. The CDBG-R program is a new, one-time program with approximately $1 billion in nationwide funding. Funds have been distributed to cities and counties with more than 50,000 residents as formula allocations, while cities and counties with fewer residents will have to competitively apply for funds through designated state agencies.

What can we use these funds for?

CDBG-R funds can be used for all the eligible activities under the CDBG program, as long as the city/county can demonstrate the benefit to low- and moderate-income households. However, HUD is urging these funds be used for infrastructure improvements that provide basic services to residents and activities that promote energy efficiency and conservation by rehabilitating or retrofitting existing buildings

These funds are in addition to the Energy Efficiency and Conservation Block Grant (EECBG) funds and the Neighborhood Stabilization Program (NSP) funds. Each program has its own respective funding allocations, application process, and eligible activities. Funds from these programs can be comingled and leveraged with other funds to support a project. 

How can my City obtain these funds?

Willdan can help you prepare an application. If you have a population under 50,000, you will be part of a competitive process after June 29, 2009. The designated state agencies are expected to release a Notice of Funding Availability (NOFA) during summer 2009. Willdan can work with you to have your application ready to go as soon as the NOFA is released. Jurisdictions over 50,000 population needed to submit an amended Annual Action Plan to HUD by June 5, 2009 to secure their funds.

Up to 10 percent of the awarded allocation can be used for administration, and reimbursement of pre-award costs is an eligible expenditure.