Main Street America Celebrates National Community Development Week

National Community Development (CD) week is an opportunity to share the success of projects that utilize Community Development Block Grant (CDBG) funding through the U.S. Department of Housing and Community Development.

Across the country, CDBG offers opportunities to communities to create stronger and more resilient communities, particularly for low- and moderate-income people, through grant funds for a broad range of community development projects. This includes projects essential to Main Street revitalization such as downtown housing, façade improvements, public space projects, infrastructure improvements, small business support, and training activities provided through Main Street coordinating programs.

Created through the Housing and Community Development Act of 1974, CDBG funds are appropriated by Congress each year and distributed to communities through a formula process. The majority of funds (70%) are dedicated to larger cities (entitlement communities), while the remaining portion is distributed by states to smaller and rural communities. Nearly 1,250 state and local governments receive annual CDBG allocations to implement projects that address community-level needs based on locally determined priorities. The program has a strong return-on-investment; in 2021, every $1.00 of CDBG leveraged $2.80 in additional resources to further enhance community development. In addition, CDBG projects create jobs and support public health, well-being, and quality of life.  

Main Street and Community Development 

Main Street programs across the country work in partnership with state and local governments to help ensure CDBG dollars impact residents, business owners, and stakeholders in rural downtowns and big city commercial corridors. From housing in rural Iowa to Boston’s 20 neighborhood Main Street districts, CDBG provides essential support to Main Street revitalization.

In Indiana, the PreservINg Main Street program, collaborative effort between Indiana’s Office of Community and Rural Affairs, Indiana Landmarks, and Indiana Humanities, offers a comprehensive downtown revitalization model utilizing $2 million of CDBG funds per participating community to preserve and rehabilitate historic Main Street buildings, create public awareness and community pride, and offer added capacity building and leadership development opportunities for community leaders. Two Indiana Main Street communities, Kendallville and Brookville, were chosen as initial program participants in 2021. Through a combination of building façade improvements and public programs, the PreservINg Main Street program will attract additional investment and business to downtown corridors. Additional capacity building for community organizations and long-term revolving loan funds help to sustain the impact of these initiatives and help the community reach a broader audience.

Despite its success as a tool for community and economic development in both urban and rural areas, funding appropriated to CDBG has been steadily declining, not keeping pace with demand and needs of low- and moderate-income communities. Funding for CDBG has decreased from $4.5 billion in 1995 to $3.3 billion in 2023. Concurrently more communities are eligible as entitlement recipients, meaning less funding is being stretched further to meet community development needs.

Main Street America supports robust funding levels for the Community Development Block Grant program. MSA is a member of the CDBG Coalition, a group dedicated to raising awareness of the CDBG program and the need for more program resources. In partnership with these thirty-one national organizations, Main Street America calls on Congress to provide increased funding to CDBG at $4.2B in FY24 to sustain previous levels of investment and continue support for Main Street programs and essential community projects that increase the vitality of our downtowns and neighborhood districts.

Raise Awareness About CDBG in Your Community 

Sign-on! The CDBG Coalition is calling on national, state and local organizations to express their support for robust funding for CDBG in FY24. You can join in showing support for the program by adding your organization here

Sign On!

If programs and projects in your community are the beneficiaries of CDBG funding, showcase them in your social media. Use the hashtag #CDWeek2023 or #CDBGworks to share the success of these funds in helping you advance community priorities and create quality of life in your commercial district.

Beyond CD Week, remember to feature CDBG funded projects in annual reports, case studies, or other media around downtown success. Showcase successful CDBG projects when you host Members of Congress in your community. Whether during summer recess, a Member’s multi-county tour, or a focused discussion, use the opportunity to uplift CDBG as a vital resource.