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HUD   >   Program Offices   >   Community Planning and Development   >   Community Development   >   Community Development Block Grant Program - CDBG   >   Community Development Block Grant Program Insular Areas Grants

Community Development Block Grant Program Insular Areas Grants

The CDBG Program Insular Areas Grants site provides information regarding financing options for the economic development, housing rehabilitation, public facilities rehab, construction or installation for the benefit of low- to moderate-income persons, or to aid in the prevention of slums.


Introduction

The program provides annual grants to four designated Insular Areas to address the housing, community and economic development needs and priorities of their communities and residents.

HUD's Roles Responsibilities

HUD annually allocates seven million dollars of CDBG funds to the Insular Areas in proportion to the populations of the eligible Territories. The program is administered by HUD's Field Offices in Puerto Rico and Hawaii.

The Department monitors grantees' performance to ensure that they have continuing capacity to carry out funded activities in accordance with the primary CDBG objectives and applicable laws. HUD's monitoring goals are to: identify grantee deficiencies, provide technical assistance, and strengthen grantee performance.

Eligible Participants

The Insular Areas CDBG program provides grants to four designated areas: American Samoa; Guam; Northern Mariana Islands; and the Virgin Islands.

Eligible Activities

Activities funded must be eligible and meet one of the three national objectives:

  1. benefit to low- and moderate-income persons,
  2. aid in the prevention or elimination of slums and blight, or
  3. meet other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community.

Typically activities funded include: construction of public facilities and improvements, such as water systems, streets, and community centers; rehabilitation of houses and landmark structures; assistance to private, for profit entities to carry out economic development activities (including assistance to micro enterprises); and the provision of public services.

Requirements

In order to receive CDBG funds, insular areas must submit a consolidated plan or an abbreviated consolidated plan to a HUD field office:

  • Virgin Islands: San Juan (Caribbean) Field Office;
  • all others: Honolulu Field Office.

The consolidated plan is submitted to obtain funding for the HOME and ESG programs as well as for CDBG. The CDBG portion of the annual action plan must contain the required certifications, description of CDBG eligible activities to be funded, and timetables for completing the projects. Regulations relating to this program may be found at 24 CFR Sections 570.440, 570.441 and 570.442 for grants after FY 2004, and at 570.405 for grants prior to FY 2005.

For More Information

More information is available from the Honolulu Field Office* and San Juan (Caribbean) Field Office.*

* Hearing impaired users may call the Federal Information Relay Service at 1-800-877-8339.

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