Eligible Uses

In general, you can use CDBG-CV funds for the same wide range of activities that are eligible under the annual CDBG program. Keep in mind that the CARES Act requires that all activities assisted with CDBG-CV funds must be used to prevent, prepare for, and respond to coronavirus, and grantees must have adequate policies and procedures in place to prevent duplication of benefits.

An example of an eligible Public Facilities activity is constructing a building for infectious disease testing, diagnosis, or treatment. Short-term working capital may be provided to small businesses impacted by the pandemic to prevent closures and enable job retention as a special economic development activity under the authority of 24 CFR 570.203. Additionally, emergency grant payments may be made directly to providers for rent/mortgage and utilities for up to six consecutive months on behalf of an individual or family experiencing a loss or reduction of income as a result of coronavirus under the Public Services category. The logic behind your determination that an activity prevents, prepares for, and responds to the Coronavirus must be documented in the file. Additional guidance and resources related to common CDBG-CV eligible activities are provided below.