Community Development Block Grant (CDBG)

The Community Development Block Grant Program administered by the North Dakota Division of Community Services is a federally funded initiative designed to support community development activities in non-metropolitan areas of the state. The program originates from the Housing and Community Development Act of 1974 and is funded through allocations from the U.S. Department of Housing and Urban Development. The Division of Community Services manages the distribution of these funds to eligible units of general local government, specifically cities under 50,000 population and counties under 200,000 population. Entitlement jurisdictions receive funds directly from HUD and are therefore excluded from this state-administered program. The primary purpose of the program is to develop viable communities by providing decent housing, a suitable living environment, and expanded economic opportunities, particularly for low- and moderate-income persons. The program prioritizes activities that meet national objectives established by federal law, including benefiting low- and moderate-income individuals, addressing urgent community needs, and supporting job creation or retention. For the 2026 funding cycle, North Dakota has identified three major priority areas: economic development, public facilities, and housing. Each category has specific objectives, such as job creation, addressing health and safety concerns in infrastructure, and increasing access to affordable housing. Funding can be used for a wide range of eligible activities, including construction and rehabilitation of public facilities, housing improvements, and economic development projects that create jobs. However, there are clear restrictions on ineligible uses such as general government expenses, political activities, religious facility improvements, and routine maintenance costs. Economic development funding is particularly focused on primary sector businesses that generate new wealth within the state and must demonstrate job creation for low- and moderate-income individuals. Eligibility for the program is limited to counties and incorporated cities within North Dakota that meet population requirements and are not entitlement jurisdictions. Applicants may submit individual or joint applications, and only one activity per application is allowed. Projects must meet at least one national objective and comply with program-specific requirements such as engineering reports, income verification, and environmental reviews. Economic development projects require additional documentation, including a detailed business plan and financial projections. The application process involves a pre-application phase followed by a full application for selected projects. Public Facilities and Housing projects are submitted during designated funding rounds, while Economic Development applications are accepted year-round. Pre-applications must include required documentation such as engineering reports and income surveys, and projects are evaluated based on criteria including project need, financial need, readiness, and benefit to low- and moderate-income populations. A minimum score threshold must be met for consideration. Deadlines for the 2026 program include submission of surveys by May 7, 2026, and final applications by June 13, 2027. The program operates on an annual cycle and requires that all funds be obligated within 15 months of the state’s agreement with HUD. Award decisions are made by a review committee or Division staff depending on the category, and projects must begin incurring costs within specified timeframes or risk termination. Administration of awarded funds must comply with federal and state regulations, including reporting through HUD’s Integrated Disbursement and Information System. Applicants are encouraged to coordinate with the Division of Community Services throughout the process for guidance and compliance. Contact information for the administering agency includes a mailing address in Bismarck, North Dakota, and a general phone number for inquiries. The program is recurring annually, with updates issued through the state’s consolidated planning process, ensuring alignment with long-term community development goals.

Ensure strong documentation of need and readiness; maximize LMI benefit percentage; secure matching funds early; complete engineering reports before submission