HUD determines the amount of each grant by a formula comprised of several measures of community need, which includes the extent of poverty, population, housing overcrowding, age of housing and population growth lag in relationship to other metropolitan areas.
Eligible Activities
Not less than 70% of the CDBG funds must be used for activities that benefit low- and moderate-income persons. All activities must meet one of the following three national objectives of the program:
- Benefit low- and moderate-income persons
- Prevent or eliminate slums or blight
- Address community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community, and for which other funding is not available.
![[Logo: HUD seal]](http://www.hud.gov/images/common/hgv-icn-seal.gif)
