About the ProgramThe Federal Housing and Community Development Act of 1974, as amended, created a new Community Development funding program administered by the U.S. Department of Housing and Urban Development (HUD). The City of Newark, as part of an "Urban County" receives Community Development Block Grant (CDBG) funds annually through New Castle County by an entitlement formula based on population. Under the entitlement program, the City of Newark must submit a yearly application to HUD through New Castle County for Community Development Program activities.
The ObjectiveThe primary objective of the Community Development Block Grant program is "the development of viable urban communities by providing decent housing in a suitable living environment and expanding economic opportunities, principally for persons of low and moderate income" (Housing and Community Development Act of 1974, as amended).
Project & Activity QualificationsIn order to qualify for community development funding, all projects and activities must:
- Principally benefit low and moderate income persons (80% of Area Median Income)
- Aid in the prevention or elimination of slums and blight
- Meet other Community Development needs having particular urgency (flood, disaster, etc)
Activity EligibilityCommunity development rules and regulations specify eligible and ineligible activities. Eligible activities include:
- Acquisition of property
- Clearance, demolition, and removal
- Public facilities and improvements
- Rehabilitation and preservation activities
- Economic development
- Economic opportunities for low and very low income persons
- Removal of architectural barriers
- Public services (Limited funds available)
- Planning and administration (Limited funds available)