In response to state and federal funding reductions reflected in the Governor’s 2017-18 proposed Budget, the California Department of Housing and Community Development (HCD) announced it would be undergoing efforts to redesign the Community Development Block Grant (CDBG) program.  HCD stated ”historic reductions in the CDBG annual allocations, combined with significant programmatic concerns from the U.S. Department of Housing and Urban Development, such as California’s low expenditure rate, require HCD to reconsider how the CDBG program is designed and operated.”  

While the details have yet to be released, HCD plans to host public meetings to collect feedback on how to restructure the program, which will likely include a review of other HCD programs that can be leveraged to continue to advance state and federal policy goals.  Additionally, the program restructuring will require both statutory and regulatory changes.  

RCRC staff will work with the Legislature, State Agency, and local government partners to advocate in support of rural and small county community and economic development programs throughout the CDBG restructuring process.