Community Development and Facilities Fund

The Community Development and Facilities Fund is administered by the Iowa Economic Development Authority and supported through the federal Community Development Block Grant program provided by the U.S. Department of Housing and Urban Development. This funding structure reflects a partnership between federal and state agencies to support viable communities by improving infrastructure, expanding access to essential services, and enhancing the quality of life for low- and moderate-income residents. The program aligns with federal objectives that include benefiting low- and moderate-income populations, addressing urgent community needs, and improving public environments. This fund consolidates two primary initiatives: the Community Facilities program and the Pocket Parks program. Both are competitive funding opportunities designed to support public infrastructure and community amenities. Community Facilities funding focuses on larger-scale infrastructure such as daycare centers, senior centers, health facilities, food pantries, and homeless shelters. Pocket Parks funding is intended for smaller-scale recreational green spaces on city-owned lots, typically no larger than a quarter acre, to increase access to outdoor and recreational environments in underserved areas. Funding can be used for construction-related costs, including new builds, rehabilitation, or expansions of existing facilities, as well as architectural and administrative expenses. However, funds cannot be used for general government operations, furnishings, or ongoing operational costs. All funded activities must meet one of the HUD national objectives, most commonly demonstrating a primary benefit to low- and moderate-income individuals. For Community Facilities projects, this may involve demonstrating that at least 51 percent of beneficiaries meet income thresholds or fall within presumed qualifying populations such as seniors or individuals experiencing homelessness. Pocket Parks projects must similarly demonstrate area-based income eligibility using census data or local surveys. Eligibility is limited to units of local government, specifically cities and counties in Iowa that are not designated as HUD entitlement communities. While nonprofit organizations may benefit from funded projects, they cannot apply directly and must work through an eligible local government applicant. Applicants must demonstrate site control, provide documentation of nonprofit partnerships when applicable, and ensure compliance with federal requirements such as environmental review, procurement standards, and labor regulations including Davis-Bacon provisions. The application process is competitive and requires submission through the IowaGrants.gov portal. Applicants must complete a public hearing process prior to submission, conduct a community needs assessment, and provide required documentation including budget estimates, proof of matching funds where applicable, and project design materials. Applications must be complete at submission, as incomplete applications may not be reviewed. Evaluation criteria include demonstrated community need, project feasibility, level of community support, readiness to proceed, and the extent to which additional funding sources are leveraged. For the 2026 funding cycle, the Community Facilities program application window opens May 26, 2026 and closes August 17, 2026. The Pocket Parks program application window runs from March 18, 2026 to May 22, 2026. Awards are typically determined within 45 to 60 days following submission. Both programs are offered annually, providing recurring opportunities for eligible communities to apply for funding to support infrastructure and community development initiatives. Questions and application support are available through the Iowa Economic Development Authority via email and phone.

Emphasize strong documentation of community need and low income benefit; secure matching funds early; ensure all required attachments are complete at submission; demonstrate project readiness with design and site control documentation