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Community Development Block Grant (CDBG)

Community Development Block Grants provide funding for projects to encourage the use of additional federal, state, and private resources. Communities receiving CDBG funds use those grants to provide decent housing, a suitable living environment, and expanded economic opportunities.

The federal Community Development Block Grants (CDBG) program provides funding for community and economic development projects to encourage additional federal, state, and private resources. Communities receiving CDBG funds use those grants to provide decent housing, a suitable living environment, and expanded economic opportunities.

The Nebraska Department of Economic Development (DED) administers the CDBG program for most of the state. Due to population size, some cities in Nebraska are the administrators of the CDBG program in their communities.

DED receives federal funds for CDBG from the U.S. Department of Housing and Urban Development (HUD) on an annual basis. Communities can apply to use those funds for the planning and construction of projects that:

  • Benefit low and moderate-income persons.
  • Prevent or eliminate slum or blight conditions.
  • Solve catastrophic health and safety threats.

Is my community eligible?

Every Nebraska county or incorporated municipality not designated as CDBG Entitlement Community is eligible to apply with DED. The CDBG Entitlement Communities, Lincoln, Omaha, Bellevue, and Grand Island, are the administrators of the CDBG program in their areas.

Based on the category of CDBG funding requested, these general rules on eligibility can differ. Refer to the CDBG Application Guidelines for more detailed information regarding eligibility.

How can my community apply?

If an applicant’s project meets both a CDBG national objective and other eligibility requirements, a completed application for the appropriate funding category is submitted to DED by a deadline. Typically, successful applicants complete their project within 24 months of an award. 

CDBG Funding Categories & Application Deadlines

Comprehensive Development

Neighborhood-focused, two-phased project approach – 1st phase involves pre-development, completion of a study, or analyses. The 2nd phase involves implementation of neighborhood-based improvements and activities, specifically addressing the issues identified within the prior phase.
Application Deadlines: September 15

Downtown Revitalization

Involves revitalization efforts located within the downtown business district, including streets, sewer, and water systems, historic restoration, removal of architectural barriers, and/or loans to business for façade improvements, signage, and/or to meet community codes.
Application Deadlines: September 30

Economic Development

Loans to businesses or infrastructure construction projects undertaken for economic development purposes.
Application Deadlines: Open Cycle

Owner Occupied Rehabilitation

Rehabilitation of residential owner occupied homes.
Application Deadlines: Pre-Application, August 4; Full Application, October 6

Planning

Studies, analysis, data gathering, identification of implementation action, and preparation of plans – such as Housing studies, Comprehensive plans, Downtown Revitalization Plans, Historic Preservation studies.
Application Deadlines: Cycle 1 – August 30; Cycle 2 – TBD (if available)

Public Works

Sewer and water systems, streets, sidewalks, fire stations & trucks, non-profit daycare centers, senior centers, community centers, libraries, tornado shelters, removal of architectural barriers, parks, and other public infrastructure.
Application Deadlines: Cycle I – July 30; Cycle 2 – TBD (if available)

Tourism Development

Historic restorations; scientific and educational interpretive sites; cultural and heritage recreational sites/facilities; removal of architectural barriers that restrict mobility and accessibility to sites/facilities. Funding is for tourist attractions expected to draw 2,500 visits annually.
Application Deadlines: Open Cycle, begins May 1

Water / Wastewater

Publicly owned water system improvements, source treatment storage, sanitary sewer collection and/or treatment system. This funding for this program category is invitation only.
Application Deadlines: Open Cycle, begins May 1

In order to be eligible for CDBG funds, the project must meet a national objective. For more information, review Guide to National Objectives and Eligible Activities for State CDBG Programs.

  • Benefit Low and Moderate Income Persons
    • Area Benefit: Benefits are available to all the residents in a particular service area, where at least 51% of the residents are LMI persons. There are two ways to qualify for this:
      1. HUD 2016 Census LMI Information: Estimates based on the most current American Community Survey data. If the listed community/county has a low- and moderate-income percentage over 51%, that community/county is eligible to apply.
      2. If your community/county does not have a percentage over 51%, an income survey may be conducted.
        • CPD-14-013: Guidelines for Conducting Income Surveys to Determine the Percentage of Low- and Moderate-Income (LMI) Persons in the Service Area of a CDBG Funded Activity.
        • See CDBG Application Guidelines – Chapter 10: Exhibits, Exhibit E1 and E2.
    • Limited Clientele: A Limited Clientele activity benefits a specific group of people (rather than all the residents in a particular area), at least 51% of whom are LMI persons.
      • See CDBG Application Guidelines – Chapter 10: Exhibits, Exhibit E3.
    • Housing: Income based, the resident that will benefit from the housing activity must be a LMI person.
    • Jobs: Created/retained jobs, of which 51% or more are provided to LMI persons.
      • See CDBG Application Guidelines – Chapter 10: Exhibits, Exhibit E4.
  • Aid in the Prevention or Elimination of Slums or Blight: Focuses on activities that create a change to the physical environment of a deteriorating area. There are two ways to qualify for this national objective. The applicant community must officially designate the project’s target area.
    • Area Basis – See CDBG Application Guidelines – Chapter 10: Exhibits, Exhibit F1.
    • Spot Basis – See CDBG Application Guidelines – Chapter 10: Exhibits, Exhibit F2.
  • Urgent Need: Use of this national objective category is extremely rare. It is designed only for activities that alleviate emergency conditions. Consult with a program representative.

2017 CDBG Application Guidelines

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Municipal Equalization Fund (MEF) Score

The Municipal Equalization Fund (MEF) was created in 1996 as a needs-based method of providing state aid to cities. The program is administered by the Nebraska Department of Revenue, with data provided by the Department of Revenue’s Property Assessment and Research Divisions, and the Nebraska Auditor of Public Accounts. Final aid calculations for Nebraska communities are posted in June of each year.  This aid formula provides a way of looking at needs and resources while at the same time ensuring that local governments provide a level of local resources. The MEF calculation is included in the scoring criteria for the Nebraska CDBG program.

To help grantees administer their grants, Nebraska Department of Economic Development created the Nebraska Community Development Block Grant Administration Manual. This manual contains all of the guidelines essential for carrying out a successful Nebraska CDBG project and is available for download by chapter. The Department will notify the public of any new requirements through the issuance of a Policy Memo upon receipt of additional clarification.

CDBG Administration Manual

 | Size: 1 MB 16th Jun 2017 Cover  | Size: 285 KB 16th Jun 2017 Chapter 1 - Welcome to CDBG, May 2017  | Size: 540 KB 16th Jun 2017 Chapter 2 - Administrative Overview, May 2017  | Size: 409 KB 16th Jun 2017 Chapter 3 – CDBG National Objectives and Fundability, May 2017  | Size: 301 KB 16th Jun 2017 Chapter 4 – Developing Program Guidelines, May 2017  | Size: 616 KB 16th Jun 2017 Chapter 5 - CDBG Contract, May 2017  | Size: 2 MB 16th Jun 2017 Chapter 6 - Environmental Review, May 2017  | Size: 563 KB 16th Jun 2017 Chapter 7 - Procurement, May 2017  | Size: 582 KB 16th Jun 2017 Chapter 8 - Program Income, July 2015  | Size: 927 KB 16th Jun 2017 Chapter 9 - Construction and Labor Standards, May 2017  | Size: 548 KB 16th Jun 2017 Chapter 10 - Property Acquisition, July 2011  | Size: 763 KB 16th Jun 2017 Chapter 11 - Relocation, July 2011  | Size: 478 KB 16th Jun 2017 Chapter 12 - Financial, May 2017  | Size: 277 KB 16th Jun 2017 Chapter 13 - Reporting Requirements, May 2017  | Size: 769 KB 16th Jun 2017 Chapter 14 - Monitoring, May 2017  | Size: 292 KB 16th Jun 2017 Chapter 15 - Audit, May 2017  | Size: 289 KB 16th Jun 2017 Chapter 16 - Closeout, May 2017  | Size: 96 KB 16th Jun 2017 Appendix - Guidelines for Conducting Income Surveys, CPD-14-013  | Size: 980 KB 16th Jun 2017 Appendix - Income Survey Methodology  | Size: 468 KB 16th Jun 2017 Appendix - Income Survey Sample Form  | Size: 683 KB 16th Jun 2017 Appendix - Environmental, HUD Guide to Compliance  | Size: 581 KB 16th Jun 2017 Appendix - Environmental Review Procedures, 24 CFR Part 58  | Size: 330 KB 16th Jun 2017 Appendix - Environmental, Potential Agency Contact and Distribution List  | Size: 265 KB 16th Jun 2017 Appendix - Procurement Standards, 2 CFR 200.317 -.326  | Size: 293 KB 16th Jun 2017 Glossary - May 2017
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CDBG Policy Memos

 | Size: 425 KB 29th Sep 2017 Policy Memo 17-02: Drawdown Source Documentation for CDBG Grants  | Size: 423 KB 16th Jun 2017 Policy Memo 17-01: Semi-Annual Project Status and Compliance Report  | Size: 439 KB 23rd May 2017 Policy Memo 16-02: Construction Management  | Size: 433 KB 23rd May 2017 Policy Memo 16-01, Revised: Recapture of Net Proceeds from Sale of Homebuyer and Homeowner  | Size: 429 KB 23rd May 2017 Policy Memo 16-01: Recapture of Net Proceeds from Sale of Homebuyer and Homeowner  | Size: 182 KB 23rd May 2017 Policy Memo 15-01: Draw Down Source Documentation for CDBG Projects  | Size: 862 KB 23rd May 2017 Policy Memo 14-02: System for Award Management (SAM) & Community Development Grant Policy Update  | Size: 28 KB 23rd May 2017 Policy Memo 14-01: Sub Recipient Guidance on CDBG Limited English Proficiency Access Requirements  | Size: 31 KB 23rd May 2017 Policy Memo 13-04: CDBG Labor Standards Policy Update - Clarification on Grantee Responsibilities Regarding Contract Work Hours and Safety Standards Act (CWHSSA) Liquidated Damages  | Size: 25 KB 23rd May 2017 Policy Memo 13-03: CDBG Financial Management Policy Change  | Size: 27 KB 23rd May 2017 Policy Memo 13-02: System for Award Management (SAM)  | Size: 52 KB 23rd May 2017 Policy Memo 13-01: CDBG Financial Management Policy Change  | Size: 1 MB 23rd May 2017 Policy Memo 12-02: Local CDBG Economic Development Revolving Loan Funds Policy and Guidance  | Size: 512 KB 23rd May 2017 Policy Memo 12-01: Environmental Review Process for Projects Funded with Local CDBG Economic Development  | Size: 434 KB 23rd May 2017 Policy Memo 11-01: Information Required on Invoices for CDBG General Administration  | Size: 84 KB 23rd May 2017 Policy Memo 10-01: Contract Special Condition: Affirmatively Further Fair Housing Action
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Performance of CDBG Contract Forms & Templates

Reporting Forms & Templates

 | Size: 1 MB 26th Oct 2017 Verification of Lawful Presence for Public Benefits Summary Report  | Size: 743 KB 19th Jun 2017 Application For NDO Designation  | Size: 27 KB 19th Jun 2017 NDO Revolving Loan Fund Report Instructions and Report  | Size: 361 KB 11th Jul 2017 NDO Status Reports  | Size: 76 KB 16th Jun 2017 Performance Review - Risk Analysis Compliance Checklist  | Size: 707 KB 16th Jun 2017 Performance Review - Risk Analysis Compliance Checklist  | Size: 415 KB 29th Jun 2017 Semi-Annual Project Status and Compliance Report Instructions  | Size: 954 KB 13th Jul 2017 Semi-Annual Project Status and Compliance Report  | Size: 89 KB 29th Jun 2017 Semi-Annual Project Status and Compliance Report  | Size: 548 KB 24th May 2017 Job Creation/Retention Report  | Size: 197 KB 24th May 2017 Job Creation/Retention Report  | Size: 125 KB 3rd Oct 2017 Notfication of Annual Audit Notification  | Size: 51 KB 3rd Oct 2017 Notification of Annual Audit Notification  | Size: 55 KB 24th May 2017 Employee Certification Form  | Size: 146 KB 24th May 2017 Employee Certification Form  | Size: 327 KB 21st Jun 2017 Program Income Report, Economic Development Activities  | Size: 136 KB 24th May 2017 Program Income Report, Housing Activities  | Size: 44 KB 24th May 2017 Program Income Report, Housing Activities  | Size: 68 KB 24th May 2017 Final Wage Compliance Report  | Size: 52 KB 24th May 2017 Final Wage Compliance Report  | Size: 548 KB 24th May 2017 Final Job Creation/ Retention Report  | Size: 197 KB 24th May 2017 Final Job Creation/ Retention Report  | Size: 495 KB 24th May 2017 Final Financial Report  | Size: 123 KB 24th May 2017 Final Financial Report
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Environmental Review Record Forms by Level of Review

Exempt

Categorically Excluded Not Subject To (CENST)

Categorically Excluded Subject To (CEST)

Environmental Assessment (EA)

Environmental Impact Statement (EIS)

Contact your Program Representative.

Have questions about CDBG?

Steve Charleston

Director of Housing & Community Development