Community Development Block Grant
The Community Development Block Grant (CDBG) Program is a federally funded grant program designed to help communities with their greatest community development needs. All projects must be designed to principally benefit low and moderate-income families. The program was established by the Federal Housing and Community Development Act of 1974 (42 USC 5301) and is administered nationally by the U.S. Department of Housing and Urban Development (HUD).
The CDBG Program is divided into two major categories:
- The Entitlement CDBG Program assists communities with 50,000 or larger populations. In Montana, only Billings, Great Falls, and Missoula are Entitlement communities. They receive CDBG funds on a formula basis and are directly under HUD administration.
- The State CDBG Program assists communities with populations under 50,000. Allocations are established for each state on the basis of a statutory formula.
In 1981, Congress amended the Federal Housing and Community Development Act to make the Non-entitlement or "Small Cities" portion of the CDBG Program available as an optional State-administered program. The Legislature authorized the Montana Department of Commerce (MDOC) to administer the program beginning in 1982. Since 1982, Montana has received over $121 million in CDBG funds. Overall, the public and private funds invested in local CDBG projects has matched the federal funds awarded at almost a two to one ratio, making possible millions of dollars of construction activity and creating jobs for Montana communities across the state.
Contact: Gus Byrom, 841-2777
