Orange County has been awarded Community Development Block Grant (CDBG) funds on an annual formula basis since the inception of CBDG by HUD in 1974 to provide households with low and moderate income (LMI) with viable communities, including decent housing, a suitable living environment and expanded economic opportunities. To continue participation in this program, the County contractually agrees with HUD to implement the Housing and Community Development Act of 1974 and related CDBG program regulations in 24 CFR 570 as well as all cross-cutting regulations.

The primary objective of the CDBG Program is to develop sustainable communities for people of low- and moderate-income (LMI), thereby improving the housing, quality of life, and economic conditions of Orange County. HUD defines LMI as a household with income that is less than 80% of area median income. Priority CDBG funding areas in Orange County currently include census block group areas where the percentage of LMI persons is 44.69% or higher. Eligible activities include community facilities and improvements, public infrastructure, and public services, with 20% of each funding year entitlement reserved for planning and administration.

CDBG funds may be used for activities in municipalities participating in the Orange County CDBG Urban Consortium, which is comprised of 38 Towns and Villages. The Cities of Middletown, Newburgh and Port Jervis, and the Village of Kiryas Joel, and the Town of Palm Tree do not currently participate in the Orange County CDBG Urban Consortium.

The system for establishing the priority for the selection of funded projects in Orange County is predicated upon the following criteria:

• Meeting the statutory requirements of the CDBG program

• Meeting the needs of LMI residents

• Focusing on LMI areas or neighborhoods

• Coordinating and leveraging of resources

• Responding to expressed needs

• Sustainability and/or long-term impact

• The ability to demonstrate measurable progress and success