CDBG Entitlement FAQ

We are currently reviewing an application for an owner-occupied rehabilitation program that plans to offer loans of approximately $20,000 or less to home owners for necessary repairs. The organization plans to do 10 owner occupied rehabs of single family, one-unit properties. What I have read so far is that the minimum threshold for Davis-Bacon to apply is if it is a building of 8 units or more, and therefore would not apply to a program that intends to rehab multiple (possibly over 8) 1-unit properties. Is this a correct interpretation?

Date Published: May 2015

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Davis-Bacon in CDBG is driven by the number of units on a property or on contiguous lots, owned and operated as a single project. Separately owned single-family homes of separate parcels are exempt, regardless of how many units are in the same contract.

Tags: CDBG Entitlement Program Davis-Bacon