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Community Development Block Grant (CDBG) Program and Section 3
Community Development Block Grant (CDBG)
The City of Bloomington is a Community Development Block Grant (CDBG) entitlement community. Each year, the City of Bloomington receives a CDBG allocation from the U.S. Department of Housing and Urban Development (HUD). The City administers this grant through its HRA. The annual CDBG Action Plan details the activities and budget for the next program year. The program operates on a fiscal year that begins on July 1 and ends on June 30.
What is Section 3?
Section 3 of the Housing and Urban Development Act of 1968, as amended requires that all programs receiving direct financial assistance administered by HUD provide, to the greatest extent feasible, opportunities for jobs, training and economic opportunities to low and very low income residents and contracting opportunities to businesses owned by or employing low and very low income residents. This requires that Public Housing Authorities must make a good faith effort in hiring or training Section 3 residents or section businesses.
Each year, the City of Bloomington receives a Community Development Block Grant (CDBG) from the U.S. Department of Housing and Urban Development (HUD). The City administers this grant through its HRA. The grant is used for a variety of activities each year. The activities are selected by the HRA Board and City Council through an annual budget process for the program. The City of Bloomington will carry out activities that will provide for the preservation of the City's housing stock, provide affordable housing options, provide essential services to seniors, families, and individuals, and support Fair Housing activities.
The annual CDBG Action Plan details the activities and budget that the City/HRA will undertake in the next program year. The program operates on a fiscal year that begins on July 1 and ends on June 30. The Action Plan for the most current fiscal year is linked below. The City is soliciting public comments on its 2023 draft Community Development Block Grant (CDBG) 2023 Annual Action Plan (Action Plan) to be submitted to the U.S. Department of Housing and Urban Development (HUD) in May 2023. The City Council will, at a regular meeting of the City Council to be held on Monday, April 17, 2023, at 6:30 p.m.
Using the Citizen Participation Process, the draft plan is available for a 30-day public review and comment period from March 23, 2023, thru April 22, 2023. Written comments can be submitted by email or mail through April 22, 2023, and will be included in the documents submitted to HUD.
1800 W. Old Shakopee Rd
Bloomington, MN 55431
Please see below the 2023 Action Plan Summary and 2023 Action Plan Document.
Notice is hereby given that the public comment period on a Substantial Amendment to the 2022-2023 Community Development Block Grant (CDBG) Annual Action Plan will be March 23, 2023, thru April 22, 2023.
The City of Bloomington is an entitlement city for the receipt of federal Community Development Block Grant (CDBG) funds administered and distributed by the U.S. Department of Housing and Community Development (HUD).
In accordance with 24 CFR 91.05(c)(2) and subpart B of the federal regulations relative to citizen participation for Community Planning and Development Programs the City of Bloomington is making a substantial amendment to the 2022-2023 Annual Action Plan.
Public comment period and process
Using the Citizen Participation Process, a substantial amendment includes adding a new project or increasing the amount of funding; these proposed amendments are available for a 30-day public comment period from March 23, 2023, thru April 22, 2023. Written comments can be submitted by email or mail through April 22.
City of Bloomington
Housing and Redevelopment Authority
1800 West Old Shakopee Road
Bloomington, MN 55431
Substantial amendment
The City of Bloomington will amend the following eligible activities and potential projects, subject to change based on needs and priorities of the community:
- Develop or Rehabilitate Affordable Rental Housing - rehabilitation of HRA owned single family property for long-term affordable rental programs - approximately $213,658
- Acquisition and/or Demolition of Structures - HRA purchase of single family structures on land for affordable homeownership - approximately $400,000
- Reprogramming Revolving Loan Fund to General Program Income
The City of Bloomington is soliciting public comments on the Bloomington Draft 2021 Consolidated Annual Performance and Evaluation Report (CAPER), which will be submitted to the U.S. Department of Housing and Urban Development (HUD) in September 2022. The CAPER provides details on the accomplishments that the City of Bloomington achieved through the CDBG program during the program year that started July 1, 2021 and ended on June 30, 2022.
The Draft 2020 Regional Analysis of Impediments to Fair Housing specifically addresses the housing discrimination, gentrification and displacement, barriers to housing choice, and the conditions of segregation and integration in the seven-county area that includes Anoka, Carver, Dakota, Hennepin, Ramsey, Scott and Washington Counties in Minnesota. This fair housing planning is required of communities that receive certain funds from the U.S. Department of Housing and Urban Development.
The analysis was undertaken by the Fair Housing Implementation Council (FHIC). The members of the FHIC, including the City of Bloomington, administer the federal Community Development Block Grant (CDBG) and/or HOME Investment Partnerships (HOME) programs, as well as other Fair Housing programs which require them to certify to HUD that they will affirmatively further fair housing through the operation of their housing and community development programs as well as fair housing activities to overcome impediments.
The 2020 Draft Analysis of Impendiments is available for public comment. Written comments can be submitted until 4:30 p.m., September 18, 2020 and addressed to Julia Welle Ayres, Manager, Hennepin County Housing and Economic Development, 701 Fourth Ave S, Suite 400, Minneapolis, MN 55415 or sent by email to Julia.WelleAyres@hennepin.us.
A Section 3 resident must fall under one of the two categories:
- A public housing resident.
- A low or very-low income person.
Section 3 business concerns are businesses that can provide evidence that they meet one of the following:
- 51 percent or more owned by Section 3 residents; or
- At least 30 percent of its full time employees include persons that are currently Section 3 residents, or within three years of the date of first employment with the business concern were Section 3 residents; or
- Provides evidence, as required, of a commitment to subcontract in excess of 25 percent of the dollar award of all subcontracts to be awarded to business concerns that meet the qualifications in the above two paragraphs.
The term “low-income” is used in the Section 3 regulation to include both low- and very low-income individuals. Local income levels can be obtained online at:
- Income Limits information on the HUD website
Section 3 FAQs on the HUD website
Becoming certified can help you learn about employment opportunities or contracting projects in the metro area. If you think you fulfill the Section 3 resident or business requirements please contact Bryan Hartman using the contact information below.