CDBG Interior Page

Purpose

The Community Facilities: Large Grants Program allows cities and counties to propose any CDBG-eligible facility project—such as libraries, childcare centers, large parks, and public infrastructure—without being limited to a specific subcategory to support impactful, long-term improvements to community services and quality of life. Eligible uses include large-scale projects that enhance community engagement, safety, and health, such as renovations to public facilities, construction of nonprofit childcare centers, park and infrastructure upgrades, public safety enhancements, educational facilities, and associated professional services.

Qualifying Projects

A total of $10.7 million has been designated for Community Facilities Grants (both Large and Small) in 2025. This program funds projects to increase community engagement, health, connectedness and vibrancy in communities. Eligible expenses include:

• Community and Public Centers: Major renovation or expansion of existing community centers, senior centers, homeless shelters, and storm shelters, including energy efficiency and ADA upgrades.
• Libraries and Educational Facilities: Construction or renovation of public libraries with modern amenities and meeting spaces.
• Parks and Recreation: Development or improvement of parks, playgrounds, sports fields, trails, water amenities, and public restrooms with ADA upgrades.
• Non-profit Childcare Centers: Construction or renovation of new childcare or early education centers, including energy-efficiency and ADA upgrades.
• Sidewalks and Streets: Construction or upgrades to sidewalks, curbs, gutters, streets, lighting, and pedestrian safety infrastructure, including ADA improvements.
• Fire and Emergency Services: Construction or renovation of fire stations, emergency response hubs, and fire truck purchases.

CDBG National Objective

All CDBG projects must meet a national objective and involve an eligible activity under the Housing and Community Development Act of 1974. National objectives are 1) benefiting Low- and Moderate-Income persons (LMI), 2) aid in the prevention or elimination of slums and blight, and 3) meet a need having a particular urgency (urgent need).

All activities proposed in applications for the Community Facilities: Large Grants Program must meet the national objective of benefiting low- and moderate-income persons with a minimum of 51 percent LMI beneficiaries. This can be accomplished either by using HUD census data or by completing an income-based survey. Applicants must receive CDBG approval before starting a survey and follow the approved income-based survey methodology.

Selection Criteria

Grant applications are evaluated for funding based on project need, readiness, impact, sustainability, and matching funds source and availability. Download the 2025 Community Facilities: Large Grants Guidelines for more information on program requirements. Key considerations include:

• Demonstrating that alternative solutions were examined to address the facility need
• Projects that leverage local match amounts of 50% of the CDBG grant request will score higher
• At least 51% of all program participants must meet LMI (low-to-moderate income) requirements – which is at or below 80% of the Average Median Income for the county in which the family resigns
• Communities that have not received a CDBG grant for Community Facilities, Water and Sewer, or Youth Job Training in the past five years will be awarded five bonus points
• Five bonus points will be awarded if at least 10% of local match comes from other private sources such as foundations (not bonds or state and federal agencies)

Matching Funds

Local funding is required for all CDBG projects, and no project can be funded entirely by grants. Matching funds can originate from private or public sources, but the application must document that these funds are firmly committed (e.g., a letter of commitment from a bank or other funding source). Examples of matching funds include bank loans, industrial revenue bonds, owners’ equity, contributions from local governments, or grants and loans from economic development entities.

Applicants are allowed to match CDBG funds with other grant funds if that funding is secured in a city/county account by the time the contract is signed. At least 10% of the matching funds must be cash from a local source (i.e., owner funds, city/county cash). Any expenses incurred prior to the grant award are ineligible for reimbursement with CDBG funds. This includes grant writing, engineering, and architecture.

Pre-Application

Applicants must submit a pre-application to confirm eligibility before applying for CDBG funding. This process allows us to provide early feedback and address any eligibility concerns before applicants complete the full application, and ensures projects align with program goals and are prepared for funding. The form requires a brief project description, estimated budget, eligibility status, and readiness to proceed.

Commerce will review submissions within ten days and provide further instructions. Only those with an approved pre-application may submit a full application, but pre-approval does not ensure grant funding. If you are new to the CDBG program, please reach out to us to schedule an initial discussion first. The deadline to submit a pre-application is Oct. 14, 2025.

• Submit Pre-Application Form
• Review Pre-Application Questions