Through the U.S. Department of Housing and Urban Development (HUD), the City of Columbus receives annual grants on a formula basis. The City of Columbus receives annual grant amounts from the Community Development Block Grant (CDBG) and Home Investment Partnership (HOME) programs.
The Community Development Block Grant (CDBG) program is the primary source of funding used to provide decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons. The CDBG program is authorized under Title 1 of the Housing and Community Development Act of 1974, Public Law 93-383, as amended 42 U.S.C. -530.1 et seq.
CDBG funds may be used for activities which include, but are not limited to:
- Acquisition of real property
- Relocation and demolition
- Rehabilitation of residential and non-residential structures
- Construction of public facilities and improvements, such as water and sewer facilities, streets, neighborhood centers, and the conversion of school buildings for eligible purposes
- Public services, within limits
- Activities relating to energy conservation and renewable energy resources
- Provision of assistance to nonprofit and profit-motivated businesses to carry out economic development and job creation/retention activities
Each activity must meet one of the following national objectives for the program: 1.) benefit low- and moderate-income persons, 2.) prevention or elimination of slums or blight, or 3.) address community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community for which other funding is not available. A need is considered urgent if it poses a serious and immediate threat to the health or welfare of the community and has arisen in the past 18 months.
Generally, the following types of activities are ineligible:
- Acquisition, construction, or reconstruction of buildings for the general conduct of government;
- Political activities
- Certain income payments
- Construction of new housing (with some exceptions)
For more information regarding the CDBG program, visit the HUD Exchange - CDBG Program website.
The Home Investment Partnership (HOME) program is a grant provided annually to the City of Columbus to implement local housing strategies designed to increase homeownership and affordable housing opportunities for low and very low-income Americans. The HOME program was created from Title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12701 et seq.). Regulations are at 24 CFR part 92.
Common eligible uses of HOME funds include tenant-based rental assistance; housing rehabilitation; assistance to homebuyers; and new construction of housing. HOME funding may also be used for site acquisition, site improvements, demolition, relocation, and other necessary and reasonable activities related to the development of non-luxury housing. Funds may not be used for public housing development, public housing operating costs, or for Section 8 tenant-based assistance, nor may they be used to provide non-federal matching contributions for other federal programs, for operating subsidies for rental housing, or for activities under the Low-Income Housing Preservation Act.
All housing developed with HOME funds must serve low- and very low-income families. HOME-assisted rental units must have rents that do not exceed the applicable HOME rent limits. Each year, HUD publishes the applicable HOME rent limits by area, adjusted for bedroom size. For projects with five or more HOME-assisted rental units, 20 percent of the units must be rented to very low-income families.
HOME-assisted homebuyer and rental housing must remain affordable for a long-term affordability period, determined by the amount of per-unit HOME assistance or the nature of the activity. HOME-assisted homebuyer housing is also subject to resale or recapture requirements.
Participating jurisdictions must provide a 25 percent match of their HOME funds. Participating jurisdictions must also set aside at least 15 percent of their allocations for housing to be owned, developed, or sponsored by community housing development organizations.
Each year, HUD publishes the applicable HOME income limits by area, adjusted for family size. To see income limits for the City of Columbus, visit HUD User website, and use the query tool to access individual median family income areas.