CDBG Entitlement FAQ
Q

A grantee expends close to 100% of its CDBG grant on activities that benefit low- and moderate-income persons in a single year. Why would a grantee want to pick a multi-year certification period? Are there advantages to selecting a multi-year certification period?

Date Published: March 2019

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A

The grantee may want to select a multi-year certification period to carry out a large CDBG-assisted activity that will meet either the slum/blight or urgent need national objectives. One advantage is that a two- or three-year certification period will give the grantee a larger dollar amount to expend on activities that do not meet the low/moderate income benefit national objective versus having a one-year certification period. In addition, if the grantee experiences a disaster such as a storm or flood (which does not have to be presidentially declared), it may use CDBG funds to address major threats to public health and safety without having to request a waiver of 24 CFR 91.225(b)(4)(ii). This is because it will already have the flexibility to expend more of its CDBG funds on activities that do not meet the low/moderate income benefit national objective. However, after designating a longer certification period, there is no requirement that the grantee ultimately allocate funds for slums and blight or urgent needs.


Tags: CDBG Entitlement Program Overall Benefit

FAQ ID:

3511