Community Development Block Grant Public Infrastructure Program
Can you apply?
This grant is for local governments in non-metropolitan areas of Illinois seeking federal funding for public infrastructure improvements. Applicants must be municipalities or designated local entities serving communities where infrastructure projects address health and safety threats. Eligible projects focus on water systems, sanitary sewers, and storm drainage improvements that benefit low-to-moderate income residents. Engineering, government buildings, debt service, and routine maintenance are not eligible.
Program description
The program provides federal funding for a variety of community-based projects. Communities in non-metropolitan areas can apply for grant funding to improve public infrastructure and eliminate conditions detrimental to public health, safety and public welfare. Local governments may request grant funds that allow public facilities to undertake projects designed to alleviate these conditions. Priority is given for water, sanitary and storm sewer projects. Improvement of public infrastructure and elimination of conditions which are detrimental to health, safety and public welfare. The funding priority for the PI component is for water and sanitary systems
and storm sewer construction projects. Activity Delivery for administrative
activities up to $40,000 is eligible for funding. All grant funds must relate to
one of the following HUD-defined activity codes:
03I Flood and Drainage Improvements to be used for the acquisition,
construction, or rehabilitation of flood drainage facilities, such as retention
ponds or catch basins. Do not use
03I for construction/ rehabilitation of storm sewers, street drains, or storm
drains.
03Jw Water Improvements to be used for the installation or replacement of
water lines and fire hydrants (when part of a larger project). Costs of street
repairs (usually repaving) made necessary by water improvement activities
are included.
03Js Sewer Improvements to be used for the installation or replacement of
sanitary sewers and storm sewers. Costs of street repairs (usually
repaving) made necessary by sewer improvement activities are included.
In addition, activities must be germane, connected in purpose, address the
same threat to health and safety, and have the same LMI benefit (project
outcome). The Department will not accept applications for projects that
have both a community-wide and a service-area benefit (water tower/water
line replacement). For infrastructure projects involving alterations of
streets, roads or highways which have pedestrian walkways, grantees
must factor in the costs of adding and/or replacing curb ramps at all
intersections having curbs or other barriers to entry from a street level or
pedestrian walkway. Funds may be used to finance costs associated with
the connection of residential structures to public facility improvements.
Residential structures which are “”occupied”” by eligible low-to-moderate
income persons must be connected. A Connection is a privately-owned
and maintained line on privately owned
property between a service lead/connection and a structure. The limit that
CDBG will pay for each individual water or sewer LMI household
connection is $6,000 per household. If
the Connection cost exceeds $6,000 per household, the difference must
be paid by other sources, but cannot be assessed against the low to moderate
income occupant. Applications for the sole purpose of
connecting low-to-moderate income persons to public facility
improvements will not be accepted.
The following are specifically identified as
ineligible. 1. All Engineering costs associated with the planning, design or
management of construction activities.
2. Construction of buildings, or portions thereof, used predominantly for
the general conduct of government (e.g., city halls, courthouses, jails,
police stations).
3.General government expenses. Costs of operating and maintaining
public infrastructure and services (e.g., mowing parks, replacing street
light bulbs). 4. Servicing or refinancing of existing debt.
5. Activities that do not address the threat to health & safety, including but
not limited to: a. projects designed for the sole purpose of replacing water
meters; b. projects designed for the sole purpose of addressing water loss;
c. portable generators; d. permanently-affixed generators that are not part
of a larger project; e. telemetry systems and similar equipment that are not
part of a larger project.
6. Projects needed as a result of deferred maintenance Beneficiaries: Persons residing within the project area, of which a minimum of 51% must be low-to-moderate income qualified. Federal Assistance Listing: 14.228 — Community Development Block Grants/State’s program and Non-Entitlement Grants in Hawaii. Administered by the Illinois Department of Commerce and Economic Opportunity via the Illinois GATA Catalog of State Financial Assistance (CSFA 420-75-1632).
Who can apply
Eligible applicants
Demographic focus
How to apply
Application links
Key dates & requirements
Required documents
- Standard federal application forms (SF-424 or equivalent)
- Project narrative describing infrastructure need and health/safety threat
- Detailed cost estimate and line-item budget
- Low-to-moderate income benefit analysis and demographics
- Engineering report or needs assessment justifying the project
- Evidence of local government authority to implement the project
Program contact
- 👤 Wendy Bell
- 📧 ceo.ocd@illinois.gov
Funding track record
Recent awards under CFDA 14.228 from the last 3 years — real organizations that won funding through this same program.
Top 10 Largest Recent Awards
-
$1,932,347,000
-
$1,639,381,000
-
$1,428,120,000
-
$1,107,881,000
-
$925,394,000
-
$910,624,000
-
$831,502,000
-
$813,783,000
-
$709,324,000
-
$585,704,000
Top States by Funding
- FL 16 awards $6,650.5M
- PR 3 awards $2,282.6M
- NC 5 awards $1,791.9M
- HI 1 awards $1,639.4M
- IL 8 awards $973.9M
Source: USAspending.gov — federal spending transparency. Data covers last 3 years.
Funding history
Annual funding for this program — Illinois state appropriations. How funding has trended year over year.
| 2019 | $15,000,000 | |
| 2022 | $18,000,000 | |
| 2023 | $17,500,000 | |
| 2024 | $19,500,000 | |
| 2025 | $25,000,000 |
FAQ
Who can apply for this grant?
Local governments in non-metropolitan Illinois areas. Must be able to manage federal funds and demonstrate need for infrastructure improvements.
What types of projects are eligible?
Water line installation, sewer improvements, flood drainage facilities, and pedestrian accessibility work. Projects must address documented health and safety threats.
Are engineering and design costs covered?
No. Planning, design, and construction management costs are ineligible. Budget only for actual construction and connection work.
How much can we request?
Awards range from $300,000 to $1,500,000. Total program funding is $25 million across the award period.
Is cost-sharing required?
No cost-sharing is required. However, if household connection costs exceed $6,000, additional funding must come from other sources.
💡 Tips for applicants
- Focus applications on projects addressing documented public health or safety threats, not routine maintenance or system upgrades.
- Include low-to-moderate income benefit analysis. Projects must clearly show how residents benefit and meet equity requirements.
- Calculate household connection costs carefully. The $6,000 per-household limit for LMI connections requires precise budgeting.
- Avoid multi-benefit projects. Applications combining community-wide and service-area benefits (like water tower plus line replacement) will be rejected.
- Plan for accessibility requirements. Budget includes costs for curb ramps and pedestrian walkway improvements at all intersections.
⚠️ Common mistakes
Applications proposing ineligible activities like engineering design costs, meter replacement alone, or general maintenance lose funding automatically. Projects without clear health and safety justification or LMI benefit documentation are rejected. Underestimating or overestimating household connection costs creates budget problems and barriers to approval.
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