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Amends subsection (b) of 42 U.S.C. 9912 (section 678(b) of the Community Services Block Grant Act) by inserting additional material after the existing text; the specific language to be inserted is not included in this section.
Revises subsection (a) to change the decisionmaker reference from the State chief executive officer to the State lead agency, redefine eligible entity categories, require governing boards to meet section 676B requirements, treat service areas as communities, and add provisions authorizing interim designations (for up to one year) with financial-capacity requirements and conditions for permanent designation.
Amends 42 U.S.C. 9918(a)(1) by replacing the exemption phrase "amounts reserved under section 674(b)(3)" with "amounts appropriated under section 674(c)".
Amends 42 U.S.C. 9908 (section 676 of the Community Services Block Grant Act) to revise the duties of the State lead agency, modify State plan contents and assurances (including new requirements for community action plans, public posting, monitoring expertise, payments, board vacancy policies), add a broadband/digital access assistance purpose, change certain program language (e.g., 'fatherhood initiatives' to 'whole family approaches'), require specified notice and distribution procedures for hearings and plan revisions, and update the statutory name reference to the 'Community Services Block Grant Improvement Act of 2025.'
Amends Section 675C of the Community Services Block Grant Act by (1) altering subsection (a)(1) text to change how funds are described as provided to eligible entities; (2) replacing subsection (a)(2) with new obligational requirements (including timing for obligation and availability, an exception when funds are appropriated for less than a full fiscal year, and availability for obligation during the fiscal year and the following fiscal year) and striking paragraph (3); and (3) revising subsection (b) to change activity descriptions, remove and replace certain subparagraphs and thresholds, redesignate paragraph (2) as paragraph (3), and insert a new paragraph (2) authorizing specified training and technical assistance and related activities.
Amends 42 U.S.C. 9906 by (1) revising subsection (a) to remove the prior parenthetical exception language and strike paragraphs (1) and (2); (2) replacing subsection (b) to set new minimum State allotment rules (no State less than 1/2 of 1 percent of remaining appropriations, and if remaining appropriations exceed $900,000,000 then no State less than 3/4 of 1 percent); and (3) revising subsection (c) to require grants subject to section 677, specify payment in accordance with 31 U.S.C. 6503(a), require allocations at least quarterly, require notification to States of allocations, and set timing rules for making allocations available (first allocation within 30 days after OMB-approved apportionment and subsequent allocations within 30 days after the start of the allocation period).
Amends section 675 of the Community Services Block Grant Act (42 U.S.C. 9904) by striking from the word 'through' to the end of the provision and inserting the phrase 'for the purposes described in section 672.'
Amends 42 U.S.C. 9903 by replacing the prior authorization language for specified fiscal years, changing reserved percentage amounts and distribution recipients in subsection (b)(2), removing paragraph (3) of subsection (b), adjusting cross-references in subsection (a), and adding a new subsection (c) that authorizes $40,000,000 per fiscal year for FY2026–FY2032 to carry out section 680(a)(2) and 680(a)(3).
Replaces the existing paragraph (1) purpose statement of 42 U.S.C. 9901 with a new statement emphasizing reducing poverty in the United States by supporting activities of community action agencies and other community services network organizations that improve economic security of low-income and working individuals and families, empower them to become fully sufficient, and create new economic opportunities in their communities.
Amends the Community Services Block Grant Act by striking section 682 and redesignating section 683 as section 681.
And 7 more affected sections...
Strengthens how the federal Community Services Block Grant (CSBG) program is run by tightening governance rules for local boards, clarifying definitions, changing State allocation and payment rules, adding monitoring and audit authority, and authorizing a new discretionary training fund. It requires clearer public notice and board transparency, sets minimum per‑State allotments and quarterly payment timing, creates a $40 million annual discretionary authorization for 2026–2032, and adds stronger audit, withholding, and oversight tools for the Department administering the program. The bill also defines key terms used across the program, updates who may receive funding and how States must use and report on funds, funds workforce and program training through eligible providers, and establishes processes to name or replace community action agencies for unserved areas. These changes aim to improve program accountability, increase training and capacity building, and accelerate timely distribution of funds to local entities that serve low‑income and working families.
Amend Section 676B(a)(1) to require that a private, nonprofit organization be governed by a tripartite board of directors that fully participated in development, planning, implementation, oversight, and evaluation of programs, projects, and services carried out through the subgrant under section 675C(a).
Amend subsection (a) paragraph (2)(A) by striking the word 'except' and all that follows through the indicated text and inserting the word 'requirement' (text of change specific to paragraph (2)(A)).
Add a new requirement that the board of a private, nonprofit organization ensure that activities under the related subgrant comply with the Internal Revenue Code requirements for maintaining tax-exempt status (including sections 501(a) and 501(c)(3)) and with applicable State nonprofit law.
Redesignate certain paragraphs/subparagraphs in subsection (b) and add that references in the subtitle to the board of an eligible entity apply to other designated mechanisms.
Add a requirement that the board of a public entity operate in a manner that complies with State requirements for open meetings, financial transparency, and State open records policy.
Who is affected and how:
Community action agencies and eligible local entities: face stricter board governance rules (conflict‑of‑interest policies, vacancy timelines, public‑meeting standards for public entities), new expectations for strategic planning and community needs assessments, and faster timing for receipt of funds; they may also gain access to new training and technical assistance resources funded by the authorized $40M discretionary program.
State lead agencies: must revise applications and plans to meet new assurances and monitoring requirements, follow new timing rules to obligate and distribute funds (including quarterly minimum allocations), apply new minimum allotment formulas, and face potential withholding of funds if audit problems are found.
Nonprofit training providers, community services network organizations, and institutions of higher education: new opportunities to be funded as eligible providers of professional development and technical assistance if they demonstrate relevant expertise.
Low‑income and working families served by CSBG‑funded programs: intended beneficiaries of improved program quality, increased training for service providers, expanded program coordination, and explicit attention to broadband/digital access services.
Federal administrators (Office of Community Services / Department): gain additional authority to require audits, withhold funds, and enforce compliance; they will need to oversee new discretionary funds and increased monitoring responsibilities.
Benefits and burdens:
Implementation risks and considerations:
Expand sections to see detailed analysis
Referred to the House Committee on Education and Workforce.
Introduced May 1, 2025 by Glenn Thompson · Last progress May 1, 2025
Referred to the House Committee on Education and Workforce.
Introduced in House