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Through a formula allocation process, funds from the U.S. Department of Housing and Urban Development (HUD) are distributed annually to local governments in Alameda County participating in the CDBG Entitlement Program.
Block grants are federal funds earmarked for specific state or local programs. A block grant is supported by federal funds but administered by state or local governments, the thought being local authorities are better suited to handle local issues. Such programs are often meant to improve social welfare programs.
The 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.
Under 24 CFR 570.201(g), CDBG funds can be used as the required match as long as the homebuyer qualifies as a low- and moderate-income household at the time CDBG assistance is provided.
A block grant is an annual sum of money that is awarded by the federal government to a state or local government body to help fund a specific project or program. These became official in the U.S. beginning in 1966.
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Copy link. Block grants funding levels tend to fall short of meeting need, requiring benefit cuts, eligibility restrictions, or waiting lists. Funding levels are often inadequate initially and typically erode over time.
Examples of block grants include the Community Development Block Grant (CDBG) and the Local Law Enforcement Block Grant (LLEBG). The majority of block grant funds are awarded to state governments, to allocate as they see fit.
Categorical grants can be used only for a specifically aided program and usually are limited to narrowly defined activities. Block grants can be used only for a specifically aided set of programs and usually are not limited to narrowly defined activities.

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