Community Development Block Grant

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The City of Palo Alto receives funds annually from the U.S. Department of Housing and Urban Development (HUD) for the Community Development Block Grant (CDBG) program, providing funding to organizations through a competitive application process to implement activities, projects, and programs benefiting low-and moderate-income persons and community development needs. Examples of activities funded through the CDBG program include case management services to secure affordable housing and employment, fair housing services, employment training, senior daycare, and housing rehabilitation.

Current CDBG Program Activities

The City undertakes CDBG program activities throughout the year. If you have comments or questions about the CDBG program, contact the City's CDBG program consultant, Austin Knudsen via email at CDBG.Support@paloalto.gov. Comments or questions may also be mailed to the City at the following address: Planning and Development Services/CDBG, 250 Hamilton Avenue, Palo Alto, CA 94301. 

CDBG Program Year/Fiscal Year 2026-2027 Notice of Funding Availability (NOFA) 

The City of Palo Alto is initiating its CDBG Program Year 2026-2027 Annual Action Plan (AAP) preparation process. As a first step, the City released a Notice of Funding Availability (NOFA). Applicants can apply for funding through January 7, 2026. Applications will be reviewed by the Human Relations Commission (HRC), with recommendations advanced for City Council consideration and selection, prioritizing alignment with the needs and goals outlined in the CDBG 2025-2030 Consolidated Plan. Funded projects, activities, and programs will be incorporated into the final CDBG Program Year 2026-2027 Annual Action Plan.

To submit applications for CDBG Program Year 2026-2027, request an application from Austin Knudsen. The NOFA and a sample application are in the following Application Packet.

CDBG Program Year 2026-2027 Notice of Funding Availability (NOFA) and Application Packet(PDF, 926KB)

Organizations are invited to submit applications for the following categories:  

  • Economic Development  
  • Housing
  • Public Facilities and Improvements 
  • Public Services 

At this time, the City does not have an estimate of the amount of CDBG funds available in 2026-2027. In 2025-2026, the City was awarded $516,233.

Pre-Proposal Conference: A Pre-Proposal Conference is scheduled for 10 a.m. on Friday, November 14, 2025, via Zoom. All proposers intending to submit an application are encouraged to attend this virtual Pre-Proposal Conference. 

Meeting Link: https://cityofpaloalto.zoom.us/j/87870876067

 Meeting ID: 878 7087 6067

Join by Phone: +16699006833,,87870876067#

Application Deadline: The application is due by 5:00 p.m., Wednesday, January 7, 2026, to Austin Knudsen, CDBG Consultant, via email at CDBG.Support@cityofpaloalto.org. For questions or additional information about the pre-proposal conference, application, or application submission process, contact Austin Knudsen, CDBG Consultant, via email or at (916) 231-2231

Americans with Disabilities Act (ADA): Persons with disabilities who require auxiliary aids or services in using City facilities, services, or programs, or who would like information on the City’s compliance with the Americans with Disabilities Act (ADA) of 1990, may contact the ADA Coordinator, City of Palo Alto, at (650) 329-2550 (Voice) or ada@cityofpaloalto.org

CDBG 2024-25 Consolidated Annual Performance and Evaluation Report (CAPER) Preparation

The City of Palo Alto is awaiting HUD approval of its FY 2024-2025 (HUD Program Year 2024) Consolidated Annual Performance and Evaluation Report (CAPER). The City is required to report annually to HUD the accomplishments for the CDBG program. This report reviews the City's CDBG accomplishments from July 1, 2024 to June 30, 2025, and the expenditures for the FY 2024-2025 (Program Year 2024) CDBG funding cycle.

Public Review and Comment Period

A 15-day public review and comment period on the FY 2024-2025 Draft CAPER began September 9, 2025 and ended September 24, 2025. 

Access an electronic copy of the draft CAPER below:

FY 2024-2025 Draft CAPER(PDF, 386KB)

Public Hearing

The Human Relations Commission (HRC) held a public hearing to review and take comments on the draft FY 2024-2025 (Program Year 2024) CAPER on Thursday, September 11, 2025 at 6 p.m. For the meeting agenda, staff report, and meeting information, please visit the Human Relations Commission webpage.

CDBG 2025-2030 Consolidated Plan and 2025-2026 Annual Action Plan

The U.S. Department of Housing and Urban Development (HUD) requires the City to prepare a five-year Consolidated Plan (ConPlan) to guide the use of CDBG funds in addressing housing and community development needs. In partnership with Santa Clara County and other participating jurisdictions, the City of Palo Alto developed its 2025-2030 ConPlan and 2025-2026 Annual Action Plan (AAP). These plans are currently under review by HUD. The AAP identifies the specific projects, programs, and activities the City plans to fund each year using CDBG funds allocated by HUD, consistent with the goals and priorities outlined in the ConPlan. The final 2025-2030 Con Plan and 2025-2026 Annual Action Plan will be posted to this CDBG Program webpage when it is approved by HUD in Fall 2025.

Recent CDBG Program Activities

CDBG 2025-30 Consolidated Plan and 2025-26 Annual Action Plan - Public Hearings and Public Review/Comment Period

An electronic copy of the Draft 2025-2030 ConPlan and 2025-2026 AAP was available for public review and comment from May 5, 2025 through June 4, 2025.

The City received formal notification of the City's Entitlement Grant funding allocation in May 2025. For Program Year 2025–2026, the City will receive a $516,233 CDBG entitlement grant and an estimated $100,000 in program income.

The City held two Public Hearings on the draft 2025-2030 ConPlan and 2025-2026 AAP.

  1. The Human Relations Commission (HRC) held a first Public Hearing on Thursday, May 8, 2025 at 6:00 p.m. The staff report and meeting details are available on the HRC webpage.
  2. The City Council held a second Public Hearing on Monday, June 9, 2025 at 5:30 p.m. The staff report and meeting details are available on the City Council webpage.

Notice of Proposed Activity in a 100-Year Floodplain for HomeKey Play Structure

On May 20, 2025, the City released a notice pursuant to 24 CFR Part 58 that the proposed Project is located within a 100-year floodplain. The full Early Notice and Public Review of a Proposed Activity in a 100-Year Floodplain for the LifeMoves Homekey Palo Alto Housing Play Structure can be viewed here: LifeMoves Playground Notice(PDF, 97KB)

Additional Information

Currently Funded CDBG Activities, Projects, and Services

The City of Palo Alto Community Development Block Grant (CDBG) program is funding the following projects, programs, and activities, as outlined in the City's FY 2024-25 CDBG Annual Action Plan (AAP). 

Agency/Program Name  FY 2024-25 Funded Amount
 CDBG Applicants  
Alta Housing - SRO Resident Supportive Services $11,575
Catholic Charities of Santa Clara County – Long Term Care Ombudsman Program $7,575
LifeMoves – Case Management $28,247
Silicon Valley Independent Living Center (SVILC)– Case Management $14,075
Project Sentinel – Fair Housing Services $15,575
Subtotal $77,047
WeeCare/Upwards $120,000
Subtotal $120,000
Rebuilding Together Peninsula (RTP)– Safe at Home $73,585
Community Work Group/Abode – Alma Garden $404,800
Subtotal $478,385
Fire Station – Sidewalk Improvement Project $62,645.61
Homekey Palo Alto – Recreation Project $185,000
Subtotal $247,645.61
City of Palo Alto Administration $114,730
Subtotal $114,730
GRAND TOTAL for CDBG $1,037,807.61
CDBG-CV Applicants  
MOVE Mountain View - Safe Parking Program $110,000.00
Planning and Administration – CV $9,478.74
GRAND TOTAL for CDBG-CV  $119,478.74

Annual Actions Plans (AAP)

The Annual Action Plan identifies the City’s housing and community development needs and provides a one-year action plan to demonstrate how the City will invest its CDBG funds to address those needs. The funded activities are intended to meet Palo Alto’s affordable housing and community development objectives described in the 2020-2025 Consolidated Plan.  

2020-2021 Annual Action Plan(PDF, 8MB)
2021-2022 Annual Action Plan(PDF, 750KB)
2022-2023 Annual Action Plan(PDF, 1MB)
2023-2024 Annual Action Plan(PDF, 5MB)
2024-2025 Annual Action Plan(PDF, 8MB)

Consolidated Annual Performance and Evaluation Report (CAPER)

The City annually prepares a Consolidated Annual Performance and Evaluation Report (CAPER). The CAPER provides an overview of the major CDBG program initiatives undertaken and accomplished in the previous Program Year. After a public review and comment period on the draft CAPER and a public hearing before the Human Relations Commission, the City submits the final CAPER to the U.S. Department of Housing and Urban Development (HUD) in September of each year. 

2020-2021 CAPER(PDF, 628KB)
2021-2022 CAPER(PDF, 3MB)
2022-2023 CAPER(PDF, 704KB)
2023-2024 CAPER(PDF, 678KB)

Consolidated Plan 2020-2025

The City of Palo Alto is an entitlement City that receives CDBG funding from HUD. HUD requires the City to create a five-year Consolidated Plan to direct and allocate CDBG funds. The 2020-2025 Consolidated Plan (ConPlan) is built on a community-oriented participatory process and will function as an application for federal funds under HUD’s CDBG program. The ConPlan will also outline specific goals and priority needs where CDBG funds will be allocated during the five fiscal years of the plan.  

2020-2025 Consolidated Plan and 2020-2021 Annual Action Plan(PDF, 9MB) - As Amended June 2023

Citizen Participation Plan (CPP)

The Citizen Participation Plan (CPP) outlines the public's participation in the City’s CDBG Program. This plan applies to citizens, nonprofit organizations, and other interested parties.

Adopted Citizen Participation Plan 2022(PDF, 726KB)