Community Development Block Grant (CDBG)

The Community Development Block Grant (CDBG) Program administered by the North Dakota Department of Commerce provides essential financial support to local governments in North Dakota. This initiative is rooted in the federal Housing and Community Development Act of 1974 and is designed to ensure that community development projects benefit very low- to low-income individuals. The state program allocates funds to cities and counties, which can apply for grants or loans to support public facilities, housing rehabilitation, and economic development efforts. The program's core objective is to deliver tangible benefits to low- and moderate-income residents. Housing projects under CDBG typically involve the rehabilitation of both homeowner and rental units located in target areas, ensuring that low-income individuals live in safe and affordable homes. Public facilities funding includes a range of infrastructure investments such as water and sewer systems, emergency services infrastructure like fire halls and ambulances, and efforts to remove architectural barriers to improve accessibility. Economic development funds are channeled through cities and counties to support businesses that commit to creating jobs for individuals from low-income backgrounds. CDBG eligibility is limited to units of local government, meaning that cities and counties in North Dakota are the primary applicants. These entities must ensure their projects align with the overarching objective of aiding low- and moderate-income populations. Projects are evaluated on the basis of their potential community impact and alignment with program priorities, with regional councils providing guidance and coordination. Regional councils, mapped across North Dakota by county, serve as key intermediaries in both program outreach and administration. The application process involves compliance with various federal and state requirements. The North Dakota Department of Commerce provides several guiding documents to assist applicants, including an Administrative Manual, environmental review training materials, and guidelines on eligible activities. Additionally, a Citizen Participation Plan is in place to ensure that local residents have opportunities to contribute to the planning and preparation of development strategies. Program statements and income limits are updated annually, providing current eligibility thresholds and program expectations. Applicants must also be aware of the technical compliance standards, including Section 504 and ADA requirements, particularly when projects involve the removal of architectural barriers. Environmental reviews are mandatory, and training is provided to ensure compliance with federal expectations. Applicants must submit a thorough request for funds that includes all required documentation, and housing projects are encouraged to align with regional housing strategies and community priorities as identified in the state’s Consolidated Plan. The CDBG Program operates on an annual cycle, with program statements released yearly and funding aligned accordingly. While the exact opening and closing dates vary from year to year, applicants can expect similar timelines annually, with updated program materials and income limits issued to guide submissions. The Department of Commerce also provides contact information and presentations to assist municipalities in preparing effective applications, making it a well-supported, accessible funding opportunity for local governments in North Dakota.