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HUD Eliminates Three Year Expenditure Requirement for CDBG-CV Funds

In a notice published April 18 in the Federal Register, HUD is formally removing the requirement that CDBG-CV grantees expend 80 percent of their awarded funds within 3 years. CDBG-CV grants are supplemental funds awarded to CDBG recipients via the March 2020 CARES Act, and includes significant flexibilities for use in housing.

The notice states that nearly a third of the 1,200+ grantees need more time to “…adjust to remote or hybrid work while implementing a spate of other fast-moving and often overlapping CARES, FEMA, and American Rescue Plan (enacted March 3, 2021) funding from multiple agencies while considering the best uses for each funding source and preventing duplications of benefit.”

The CDBG-CV grant performance period of 6 years remains unchanged. 

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