Funding Database: Community Development

The NC Department of Environmental Quality (NC DEQ) Division of Water Infrastructure (DWI) administers the Housing and Urban Development (HUD) Community Development Block Grant-Infrastructure (CDBG-I) program to provide funding for the construction of public drinking water and wastewater infrastructure in low- to moderate-income communities. Eligible projects install, repair or replace infrastructure to ensure drinking water availability, reduce water source contamination and mitigate public and environmental health problems.

Eligible Applicants

Eligible applicants include non-entitlement units of general local government. Entitlement communities are municipalities and counties that receive funds directly from HUD; they are not eligible applicants under this program.

Eligible Projects

Eligible projects include drinking water and wastewater infrastructure projects in areas that meet the HUD low- and moderate-income (LMI) threshold. LMI persons should represent at least 51% of the population being served. Local governments may submit multiple project applications, but DWI will fund only one project per applicant each cycle.

Funding Amount

DWI can reward up to $3 million over a three-year period. There is no minimum amount.

Match Requirements

None

Application Schedule

The CDBG-I program typically has one funding cycle per year in September. DWI may open a second funding cycle within a fiscal year as needed. Funding deadlines are announced on the DWI News page.

Application Process

DWI requires completion of several forms and compliance measures before application, including conducting a LMI household survey. All applications are submitted through the NC DEQ portal on the Application Forms page. 

All awarded applicants are held to a 36–40-month grant period to start and complete the project. The deadline is determined by the date the award is received. DWI will announce the funded projects in early spring. DWI allows for limited reimbursement of pre-award preparation expenses.

Application Assistance

Application forms and additional resources are located at the bottom of the CDBG-I grant webpage. DWI uploads a CDBG-I Program Priority Rating System and Guidance document each funding cycle, which details the application requirements. Contact Colleen Simmons with further application questions.

Funding Source

HUD provides this funding through congressional appropriations. The NC General Assembly then allocates these funds to NC DEQ to administer on behalf of the state.