Community Development Block Grant

The City of Gilroy’s Housing and Community Services Division is opening its annual Notice of Funding Availability (NOFA) for Program Year 2026–2027 under the Community Development Block Grant (CDBG) program. This funding opportunity aligns with the City’s commitment to enhancing the quality of life for low- and moderate-income (LMI) residents. The program provides financial support to local nonprofit organizations for eligible activities that promote community development, infrastructure improvements, affordable housing, and economic opportunities within Gilroy's city limits. The CDBG program is a federally funded initiative authorized under Title 1 of the Housing and Community Development Act of 1974. The program's overarching goal is to develop viable urban communities by supporting decent housing, a suitable living environment, and expanded economic opportunities. Gilroy is designated as an entitlement city by the U.S. Department of Housing and Urban Development (HUD), receiving an annual allocation of funds based on a formula. These funds are distributed to subrecipients through a competitive grant process managed by the City’s Housing and Community Services Division. Applicants must be nonprofit organizations capable of delivering services or implementing projects that address at least one of the priority goals identified in the City’s 2025–2030 Consolidated Plan. Projects must take place within Gilroy city limits and must align with CDBG and local funding requirements. The grant performance period for this cycle is from July 1, 2026, through June 30, 2027. Eligible activities typically include public services, housing rehabilitation, accessibility improvements, and other infrastructure upgrades targeted at supporting low- and moderate-income individuals and neighborhoods. To support transparency and encourage participation, the City of Gilroy will host a virtual public hearing on Tuesday, February 17, 2026, at 6:00 PM. This event will provide an overview of the CDBG NOFA, guidance on the application process, and a review of the Consolidated Annual Performance and Evaluation Report (CAPER) for the 2024–2025 program year. The public is encouraged to attend and provide input, ensuring community voices shape funding decisions. The application submission deadline is March 2, 2026, by 5:00 PM. Applications and the full application packet will be made available starting February 6, 2026. The submission process, including required forms and documentation, is outlined in the forthcoming packet. Applicants should ensure that proposed projects are feasible within the performance period and compliant with all applicable federal and local regulations. Funding is awarded competitively, with previous subrecipients including organizations such as Child Advocates of Silicon Valley, Live Oak Adult Day Services, Project Sentinel, and Rebuilding Together Silicon Valley. These organizations implemented projects ranging from youth advocacy and adult day care to housing accessibility and home repair for low-income homeowners. The City also invests in critical public infrastructure, such as sidewalk and curb ramp improvements, through these funds. Questions can be directed to the Housing & Community Services Division by phone at 408-846-0451 or in person at 7351 Rosanna St., Gilroy, CA 95020. Applicants are encouraged to attend the public hearing, review all requirements carefully, and ensure timely submission.