Sponsors (2)
Introduced February 7, 2025 by Tom McClintock · Last progress February 7, 2025
The bill saves federal spending and reduces local grant compliance by eliminating Title I community development grants, but it removes housing, neighborhood revitalization, and community supports that many low‑income households, renters, local governments, and nonprofits rely on.
Taxpayers: Federal outlays will be reduced starting FY2026 because the bill eliminates Title I community development grant funding.
Local governments: Removes federal administrative requirements tied to Title I grants, potentially freeing local staff from grant compliance duties.
Low-income individuals and renters: Lose federal Title I–funded housing and community development assistance after Oct 1, 2025, reducing support for affordable housing and community programs.
Renters, local governments, and nonprofits: Funding for neighborhood revitalization, infrastructure, and local economic development projects will be reduced, slowing or cancelling planned investments.
Local governments, nonprofits, and service recipients: Increased risk of service gaps and program closures if replacement funding isn't provided, putting pressure on local budgets and providers.
Based on analysis of 2 sections of legislative text.
Repeals the statutory authority for Community Development Block Grant programs under the 1974 Act, ending those federal grant authorities effective Oct 1, 2025.
Repeals the federal statutory authority for the Community Development Block Grant (CDBG) program in the Housing and Community Development Act of 1974, effectively ending those grant programs. The repeal takes effect October 1, 2025, which would stop future statutory CDBG grants and require wind-down of the existing statutory program structure.