Montana's CDBG Public and Community Facilities grants help local governments fund construction or rehabilitation of infrastructure and facilities that primarily benefit low- to moderate-income (LMI) Montanans, i.e. individuals earning less than 80% of the area median income. These projects can target LMI residents and provide direct benefits by improving or creating access to suitable living environments or necessary services, or these projects can provide an area-wide benefit to the entire community as long as at least 51% of the project’s beneficiaries are determined to be LMI.
Certain projects such as senior centers, food banks, homeless shelters, youth homes, or head start centers are presumed to serve a “Limited Clientele” that is primarily LMI. Therefore, determining exactly what percent of project beneficiaries qualify as LMI is not required. Other projects, such as a wastewater improvements project or water treatment improvements provide benefits to the entire community and are considered to have “area-wide benefit” because both LMI and non-LMI residents are served. Therefore, applicants must document at least 51% of the project’s beneficiaries qualify as LMI for projects considered to have an area-wide benefit.