State Community Development Block Grant Program

Under the State CDBG Program, states award grants to smaller units of general local government that develop and preserve decent affordable housing, to provide services to the most vulnerable in our communities, and to create and retain jobs. Annually, each State develops funding priorities and criteria for selecting projects.

Since States are in the best position to know, and to respond to, the needs of local governments, Congress amended the Housing and Community Development Act of 1974 (HCD Act) in 1981 to give each State the opportunity to administer CDBG funds for non-entitlement areas. Non-entitlement areas include those units of general local government which do not receive CDBG funds directly from HUD. Non-entitlement areas are cities with populations of less than 50,000 (except cities that are designated principal cities of Metropolitan Statistical Areas), and counties with populations of less than 200,000.

New Explore CDBG

This collection of online technical assistance products will help grantees: create transformative impact in your community, improve the lives of all residents, and especially those with low and moderate income levels; develop strategies that bring partners and resources together, leveraging and building community assets; and implement your program effectively, increasing the likelihood of successful projects.

View Explore CDBG

Grant Based Accounting Requirements

HUD has updated IDIS to phase out the first-in-first-out (FIFO) accounting methodology. These changes specifically tie activity funding and draws to the specific grants in IDIS. The initial changes implement grant-specific accounting beginning with FY 2015 CDBG allocations. Funds from pre-2015 grants will continue to be disbursed using the FIFO method.

Learn about grant based accounting requirements.