Community Development Block Grants Economic Development | Department of Economic Development

The CDBG Downtown Revitalization application cycle has now opened, effective Sept. 6, 2023 at 8 a.m.

The Industrial Infrastructure cycle has now opened, effective October 4, 2023 at 8 a.m.

Description

This category allows communities to improve their local economies through revitalization of downtowns, including façade improvements and code violation corrections for privately-owned commercial buildings and by investing in publicly-owned infrastructure that will support private job creation. Applications are accepted year-round and reviewed at the first of every month, until funds have been exhausted.

Programs included:

Downtown Revitalization

This program offers opportunity for eligible Missouri communities to engage in revitalization efforts to renew downtown areas and restore them to their former prominence as a center of community activity.

These projects eliminate slum and blight conditions on the front and selected side facades of eligible buildings in core downtown areas, and address code violations for commercial structures.

The Downtown Revitalization Program operates under an open cycle, meaning that applications will be accepted year-round and will be funded, if meeting the minimum criteria of the guidelines, until funding is no longer available.

Industrial Infrastructure

This program helps communities develop public infrastructure that allows industries to locate new facilities, expand existing facilities, prevent the closing of a facility or the relocation of a facility outside the state. Grant funds may be used for public streets, water or sewer lines, engineering and other public facilities necessary to support the private sector project. A public entity must own the facilities to be funded.

Do I Qualify?

Downtown Revitalization

Eligible applicants include non-entitlement cities and counties. Counties may apply on behalf of no more than one target area within their boundaries, if applying under one application.
Cities may apply for no more than two applications, with one being on behalf of a sub-applicant. Counties may apply for no more than three applications, with two being on behalf of sub-applicants.
All applicants must include at least 25% of structures in the downtown area if utilizing the target area approach.
The applicant is required to provide a match of no less than 20% of the proposed total project cost that is considered eligible for CDBG funding in the form of local public cash or in-kind, private cash, leveraged funding from other state or federal sources, or combination thereof.
All projects under the Downtown Revitalization Program must meet HUD’s slum and blight national objective. For most projects, activities will meet the national objective on an area basis.

CDBG will not waive match requirements for the Downtown Revitalization Program.

Funding Limits

Maximum amount per building: $75,000

Maximum amount allowed: $750,000

Matching fund requirement: 20% local public cash and/or private-for-profit investment

Eligible Activities

Exterior work on private facades with a public easement;
Public facades, excluding facilities intended for the operation of government;
Activities necessary to address code violations of private commercial structures, or mixed-use structures so long as CDBG funds are not used for residential portions of the building(s);
Interior/Exterior work on non-profit community and neighborhood facilities; and
Infrastructure activities directly related to downtown revitalization

Industrial Infrastructure

Eligible Beneficiary Businesses.
More than one business must potentially benefit from the facilities to be funded.
For-profit manufacturing, processing and assembly companies that will have wages above the county average and provide medical benefits are prioritized.

Funding Limits:

The least amount needed for the project to occur.

The grants shall be determined in accordance with the following schedule:

Grant Amount: Up to $2,000,000
Max Per Job: $20,000
Capital Investment: A minimum of one dollar of capital investment must be pledged for every dollar of grant funds requested.

Use of Funds:

Grant funds may be used for public streets, water or sewer lines, engineering and other public facilities necessary to support the project. A public entity must own the facilities to be funded.

Facilities owned by the company are not eligible for funding.

Application/Approval Procedure:

Applications are reviewed on a case-by-case basis, subject to fund availability.

Special Program Requirements:

The local government applicant must provide as much unrestricted resources (cash, in-kind resources) as they have available.

LMI Employees: At least 51% of the new jobs to be created must be filled by persons considered “low to moderate income” (LMI).

Prevailing Wage Requirement: Because grant proceeds are used for the construction of public works, prevailing wages must be paid to the employees of the contractors.