Grant Funding

Community Development Block Grant

HUD awards grants to entitlement community grantees to carry out a wide range of community development activities directed toward revitalizing neighborhoods, economic development and providing improved community facilities and services.  Entitlement communities develop their own programs and funding priorities.  However, grantees must give maximum feasible priority to activities which benefit low- and moderate-income persons.  A grantee may also carry out activities which aid in the prevention or elimination of slums or blight. 

CDBG eligible activities include:
• Child care
• Health care
• Job training
• Recreation programs
• Education programs
• Public safety services
• Fair housing activities
• Services for senior citizens
• Homeless services
• Drug abuse counseling and treatment

CDBG ineligible activities include:
• Political activities
• Acquisition, construction or reconstruction of buildings for the general conduct of government
• Ongoing grants or non-emergency payments   
(more than three consecutive months) to individuals for their food, clothing, rent, utilities or other income payments
• Using CDBG to supplant state or local funding

HOME Investment Partnership

HOME funds are awarded annually as formula grants to participating jurisdictions.  The program is designed exclusively to create affordable housing for low-income households.  Monies are used to provide direct rental assistance to low-income households or to fund a wide range of activities that build, buy, and/or rehabilitate affordable housing that is then made available to low-income households to rent or buy.   

Emergency Solutions Grants

The Emergency Solutions Grants (ESG) program provides homeless persons with basic shelter and essential supportive services.  It can assist with the operational costs of the shelter facility and for the administration of the grant.  The City of Modesto provides grants to carry out ESG activities.  ESG funds are available for the rehabilitation or remodeling of a building used as a new shelter, operation and maintenance of the facility, essential supportive services (i.e., case management, physical and mental health treatment, substance abuse counseling, childcare, etc.), homeless prevention, and grant administration.

ESG Eligible Activities Include:

• Rehabilitation of emergency shelters
    1. Renovation: Cost is 75% or less of property value
                        3 year commitment
    2. Major rehabilitation: Cost is more than 75% of property value
                        10 year commitment
    3. Conversion: Cost is more than 75% AND change in use to emergency shelter
                        10 year commitment
• Essential services
• Operational costs
• Homeless prevention activities
• Administrative costs


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