Community Development Block Grant Economic Development Program

Community Development Block Grant Economic Development Program is sponsored by Illinois Department of Commerce and Economic Opportunity. Provides federal funding for community-based projects to assist private businesses in retaining or creating full-time, permanent jobs.

Governor Pritzker Announces $56 Million in Available Grant Funding for Community Development Block Grant Programs Governor Pritzker Announces $56 Million in Available Grant Funding for Community Development Block Grant Programs FOR IMMEDIATE RELEASE: Wednesday, May 06, 2026 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ CONTACT: DCEO. Media@illinois.

gov SPRINGFIELD – Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) today announced $56 million in funding is available for the Community Development Block Grant Program (CDBG) for Public Infrastructure ($25 million), Housing Rehabilitation ($15 million), Community Revitalization ($13 million), and Emergency Assistance ($3 million).

Grantees will be selected through a competitive Notice of Funding Opportunity (NOFO) process. ​ ​ “Here in Illinois, we’re committed to improving our infrastructure, our housing options, and our people’s quality of life,” said Governor JB Pritzker . “From public water systems to homes for our working families, these Community Development Block Grant Program investments will transform lives across the state.

I encourage all eligible entities to apply for this critical grant funding. ” ​ ​ “Every community—no matter its size or zip code—deserves safe infrastructure, stable housing, and the opportunity to thrive,” said Lieutenant Governor Julina Stratton . These investments will help uplift working families, strengthen neighborhoods, and ensure that all of Illinois can share in our state’s growth and opportunity.

By targeting resources where they are needed most, we’re building a stronger, more resilient future for communities across our state. ” Community Development Block Grant for Public Infrastructure Public Infrastructure grants are designed to provide communities with funding to improve public infrastructure, public health and quality of life.

These projects include construction of storm sewer pipes, waterline replacements, and water storage tank construction, and other critical projects that help mitigate flooding and support sewage management, water delivery and other public water necessities.

Community Development Block Grant for Housing Rehabilitation Housing Rehabilitation grants are designed to assist low-to-moderate income homeowners with improvements to ensure safe and sanitary living conditions. Eligible uses of funds include structural work, lead remediation, electrical, plumbing, new appliances, flooring, ADA and accessibility accommodations, and more.

Community Development Block Grant for Community Revitalization Community Revitalization grants are a new addition to the CDBG Grant Program.

Community Revitalization grants are designed to address structures that pose a health and safety hazard, crumbling sidewalks and streetscapes that make pedestrian traffic difficult, commercial facades with deferred maintenance, preservation of historic structures that tell their story, and closed buildings that could be used for new purposes.

​ ​ ​ ​ An additional $3 million is available for Emergency Assistance projects funded by the Community Development Block Grant on an as-needed basis. ​ “The success of the Community Development Block Grant Program has been essential to ensuring all of Illinois’ communities are safe and healthy,” said DCEO Director Kristin Richards.

“This funding opportunity will build upon the State’s commitment to improving the quality of life for all Illinoisans. ” ​ ​ Eligible applicants can apply for Public Infrastructure grants from $300,000 to $1. 5 million, Housing Rehabilitation grants from $300,000 to $800,000, and Community Revitalization grants from $250,000 to $2 million.

Applications for both Public Infrastructure and Housing Rehabilitation grants will be accepted until August 27, 2026, at 5:00 p. m. Applications for Community Revitalization funding will be accepted on a rolling basis once the Notice of Funding Opportunity is posted.

DCEO will be hosting an Application Workshop and Technical Assistance webinar for Public Infrastructure and Housing Rehabilitation grant applicants on May 7, 2026, at 1:00 p. m. Interested applicants can register and find more information on the DCEO website .

​ “A thriving community begins with strong public infrastructure and a safe and secure place to call home,” said U.S. Senator Dick Durbin (D-IL). “These Community Development Block Grants will help stabilize the neighborhoods that need it the most and provide Illinoisans with a better quality of life.

” ​ “This key funding will help strengthen smaller communities across our state by supporting projects that improve the day-to-day lives of Illinois families,” said U.S. Senator Tammy Duckworth (D-IL). “I’m pleased to see this significant investment help improve affordable housing, expand accessibility, repair crumbling sidewalks and mitigate flooding in neighborhoods across Illinois.

I will continue working alongside Governor Pritzker, Senator Durbin and local leaders to ensure Illinois families receive the resources they need to thrive. ” ​ The Community Development Block Grant (CDBG) Program was established by the U.S. Housing and Community Development Act of 1974 ("HCD Act").

These state-administered funds are earmarked exclusively for non-metropolitan communities that do not receive CDBG entitlement funding from the U.S. Department of Housing and Urban Development (HUD). All projects must meet a CDBG National Objective as defined by HUD.

​ ​ ​ Get updates in your mailbox About Illinois Department of Commerce and Economic Opportunity The mission of the Illinois Department of Commerce and Economic Opportunity (DCEO) is to create equitable economic opportunities across the State of Illinois.

By attracting and supporting major job creators, investing in communities, strengthening Illinois’ world-class workforce, fostering innovation, and ushering in the new clean energy economy, DCEO works to fortify Illinois’ reputation as a global economic powerhouse while ensuring Illinois is the best state to live, work and do business.