Sponsors (32)
The bill strengthens and expands CSBG funding, eligibility, and accountability—potentially improving services for many low-income Americans—while imposing new governance, reporting, and targeting rules that increase administrative burdens, could reduce local flexibility, and risk stretching resources without commensurate funding increases.
Low-income individuals and families will get substantially more federal support from a new $1.0 billion annual CSBG authorization (FY2026–FY2032) plus $40 million/year for discretionary programs, expanding resources for anti-poverty services and targeted innovation.
People with incomes up to 200% of the federal poverty line will be explicitly eligible and eligibility will be updated annually for inflation, expanding program access and maintaining benefits' purchasing power over time.
States, local agencies, and community providers will receive more timely and predictable payments (minimum-percentage allotments, quarterly allocations, funds available within 30 days of OMB apportionment, and carryover rules), improving cash flow and reducing service interruptions.
Small and local nonprofits and community-action agencies will face significant new administrative, governance, planning, monitoring, and reporting burdens (board requirements, audits, strategic/community action plans, public postings, hearings) that can divert staff time and resources from direct services.
Expanding eligibility to 200% of the poverty line and broadening program goals without equivalent new funding risks increasing demand and stretching resources, which could reduce services per person or create waiting lists.
Formula changes (e.g., reducing an automatic set-aside percentage from 1.5% to 1% and other distribution tweaks) could shrink guaranteed funding for some states or programs and redistribute funds away from certain high-need recipients.
Based on analysis of 18 sections of legislative text.
Revises governance, accountability, funding authorizations, distribution timelines, and oversight rules for the Community Services Block Grant program; adds training set‑asides and transparency requirements.
Introduced May 1, 2025 by Glenn Thompson · Last progress May 1, 2025
Revises how the Community Services Block Grant (CSBG) program is governed, funded, and administered. The bill tightens board governance and conflict-of-interest rules for eligible entities, requires new board and state monitoring practices, updates definitions and program purposes, changes how states receive and distribute funds and timelines for obligating grants, and authorizes specific annual funding levels for the program and discretionary grants. The measure increases federal oversight tools (audits, withholding, advance payments), creates set-asides for training and program-improvement activities, and adds requirements for public posting, statewide hearings, and designation procedures for areas that lose coverage. These changes aim to strengthen accountability and program quality but will impose new compliance duties on states and community organizations.