In 1974, the Federal Government created the Community Development Block Grant Program (CDBG) that replaced a variety of federal urban renewal, housing and neighborhood development programs. The Community Development Block Grant Program was the first substantial federal ‘block grant’ program. For thirty years plus, its purpose is to provide eligible units of governments with funds to help meet the needs of low-to-moderate (Low/Mod) income areas and persons. The City of Palm Springs receives an annual CDBG entitlement allocation established by a formula from the U.S. Department of Housing and Urban Development (HUD) for local use, as an entitlement city established on population, poverty and overcrowded housing.
The City of Palm Springs uses Community Development Block Grant funds to benefit low and moderate-income citizens through the development of a viable community by providing decent housing and suitable living environment, and by expanding economic opportunities. The City distributes approximately $2.5 million from the federal government in CDBG funds during its five-year Consolidated Plan period, and since 1987 when designated an Entitlement City, the City has received $13.5 million to target our own community development priorities.
The CDBG Program has three national objectives:
- Benefiting low and moderate-income persons
- Eliminating slums or blight
- Meeting a particularly urgent local community development need.
An explanation of basic eligible activities, technical assistance, and other CDBG information are available at HUD's website.