HUD Submits CDBG Partnership Report to Congress

Last week HUD submitted its report on Community Development Block Grant (CDBG) Partnership Challenges and Opportunities at the Local, State, and Federal Level to the House and Senate Appropriations committees. The report identifies the following challenges and opportunities to building partnerships with local organizations:

  • Challenges:
    • The impact of “the Silver Tsunami” on succession planning as a record number of senior nonprofit organization leaders meet retirement age by 2030;
    • CDBG funding not keeping pace with inflation, resulting in CDBG grantees receiving smaller grant amounts as the purchasing power of those grant funds is reduced;
    • The unique needs of rural jurisdictions and other geographically isolated small towns for more robust capacity and infrastructure upgrades requiring an unprecedented level of regional-based partnership; and
    • Differing state laws and enabling legislation that present unique challenges to partnership.

 

  •  Opportunities
    • HUD continuing to encourage partnerships between CDBG grantees and public and private sector entities at the state and local levels. This includes using innovative funding strategies, such as Opportunity Zones, New Markets Tax Credits, and Section 108 loan guarantees;
    • Increased coordination and partnership between federal agencies to solicit feedback and leverage expertise in developing policies and procedures for CDBG;
    • Political and community leaders working together to minimize the regulatory and administrative costs and burdens that discourage public and private investment in low- and moderate-income communities; and
    • HUD partnering with and educating other federal agencies on how CDBG can be used as a strategic lever to catalyze community and economic development.