Community Development Block Grant – Disaster Recovery (HUD)

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These grants are used to rebuild disaster-impacted areas, and can be used to enhance flood resilience through structural improvements, green infrastructure, updated planning and codes, and community preparedness efforts. 

 Supports nature-based solutions  Encourages public-private partnerships
 Requires a Major Disaster Declaration  Does not require matching funds

Application cycle: Contact your local HUD Community Planning and Development field office for application information.

Summary: Community Development Block Grant – Disaster Recovery (CDBG-DR) funding is particularly useful for small municipalities because of its broad list of eligible projects. Small municipalities needing funds to recover from a debilitating disaster may benefit from HUD Disaster Recovery grants. A subset of the Community Development Block Grant Program, these grants provide crucial seed money and address the long-term recovery and restoration of infrastructure, housing, and economic activity, including mitigation and planning activities intended to reduce or eliminate damage from future disasters. The CDBG-Mitigation program is a set-aside under the CDBG-DR Program, which is required to allocate 15 percent of disaster recovery grants for disaster mitigation activities. 

Eligible applicants: States and insular areas, principal cities of Metropolitan Statistical Areas, other metropolitan cities with populations of at least 50,000, and Qualified Urban Counties with populations of at least 200,000 (excluding the population of entitled cities) that are made eligible in a Presidential Disaster Declaration.

Eligible activities:

  • For CDBG-DR: There are 27 eligible activities. Flood-related activities include open space acquisition; construction, repair, replacement, or relocation of public facilities; and improvements, such as dams or levees.
  • For CDBG-MIT: Examples of activities include rehabilitating stormwater and essential infrastructure, enhancing public facilities, supporting housing relocations, and offering limited public services (e.g., counseling, health). Funding can also cover disaster resilience for businesses, including hardening commercial areas and elevating or flood-proofing non-residential structures.


Funding: Varies. In response to a natural disaster, Congress appropriates funds to HUD, which then allocates funds to eligible states and municipalities based on unmet recovery needs. The City of San Marcos, Texas, received a $33 million CDBG-DR grant following significant flooding in May and October 2015 to fund public housing and housing reconstruction, infrastructure projects, planning, and administrative expenses.

Cost share: This program has no cost-share requirements.

Application process: 

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Help Me Choose

Which characteristics is your community looking for in funding opportunities?

Disaster declaration
A Presidential Disaster Declaration unlocks a suite of federal programs that assist local governments with disaster recovery. This is a good filter for communities included in recent Disaster Declarations related to flooding.
Nature-based solutions
The program has a strong focus on providing assistance to promote a healthy ecosystem as a critical defense against flooding impacts. Eligible activities may include floodplain restoration, environmental stewardship, projects that use natural features to mitigate erosion, and living shorelines.
Encourages public-private partnerships
The program encourages or requires collaboration between government entities and stakeholders, including the private sector, to fund, develop, or implement projects.
Offers rolling deadlines
The program accepts applications on an ongoing basis with no fixed deadline.

Is your project in the planning, design, or construction phase?

Planning
The gathering of data and information regarding the extent and impacts of flooding. Eligible activities may include data acquisition, risk assessment, and environmental analysis.
Design & scoping
Covers pre-construction activities, such as defining project scope, developing technical designs, and securing funding to prepare for implementation.
Construction & implementation
Involves carrying out flood resilience projects, including building infrastructure and deploying solutions to reduce flood risks.

Are you looking for grants, loans, or technical assistance for your project?

Funding (grants)
A monetary award that does not need to be repaid. Many federal grants are reimbursable, meaning recipients must cover project costs upfront and then request reimbursement from the government.
Financing (loans)
A government-issued loan that must be repaid. These loans typically provide funding upfront, helping communities cover project costs before repayment begins.
Technical assistance
Assistance from the government in the form of services — such as project planning, engineering and design support, data analysis, training, capacity building, or collaboration through a cooperative agreement — instead of direct funding.

Some programs provide extra support for specific project types or communities. Do any of these apply to your project?

Small or rural communities
Programs that set aside funding, offer loan forgiveness, or adjust cost share requirements for communities with smaller populations.
Small or low-cost projects
Programs that offer reduced requirements for smaller projects, such as waived cost-sharing or exemptions from benefit-cost analysis.
Regional or watershed focus
Programs that support projects that take a watershed management approach or address flooding at a regional scale, requiring coordination beyond a single town or community.
Tribal communities
Programs that dedicate resources or adjust cost share requirements specifically for tribal governments or organizations.
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