Community Investment Financing (CIF) Program

Funding Sources:

• Community Development Block Grant (CDBG): The Community Development Block Grant (CDBG) Program supports community development activities (identified through an ongoing process) to build stronger and more resilient communities. This program provides annual grants on a formula basis to states, cities and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons.
• HOME Investment Partnerships Program: The HOME Investment Partnerships Program (HOME) provides formula grants to states and localities that communities use—often in partnership with local nonprofit groups—to fund activities like building, buying and/or rehabilitating affordable housing for rent or homeownership or providing direct rental assistance to low-income people. It is the largest federal block grant available to state and local governments designed exclusively to create affordable housing for low-income households.
• Private Activity Bonds (PAB): The Private Activity Bond (PAB) program funds privately developed projects. The bonds are tax-exempt, and the amount of the bonds issued are limited by the IRS. Underwriters use investor money called “bond proceeds” to make a loan to a project. The project then pays back the loan, and the investors are repaid including interest.