DHCD receives Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD). The CDBG program is the District’s most flexible funding resource and can be used for both housing and non-housing activities, including those that revitalize neighborhoods, promote economic development, and improve community facilities, infrastructure and services in low- and moderate-income low income communities. Examples of CDBG-funded activities include housing rehabilitation and homebuyer loans, housing development financing, small business technical assistance, and neighborhood revitalization projects.

State and local grantees must have a current and approved Consolidated Plan, which will include an action plan that describes how the jurisdiction will use its CDBG  funds. A grantee also must develop and follow a detailed plan that provides for and encourages citizen participation.