The Community Development Block Grant program (CDBG) is a federal program designed to assist with comprehensive community development. The program is divided into two tiers: Entitlement and State program. Entitlement communities (larger cities and counties) receive funding directly from the federal Department of Housing and Urban Development. The State of California program is administered by the CA Department of Housing and Community Development for counties with fewer than 200,000 residents and cities with fewer than 50,000 residents. At least 51% of a CDBG project's beneficiaries must have incomes less than 80% of the area median income.
The State CDBG program has reserved 30% of its annual program funds for Economic Development in three categories:
- Over the Counter (project -specific);
- Enterprise Fund (local revolving loan funds); and
- Planning and Technical Assistance .
