CDBG Subrecipient Material

Subrecipient Application for Funding

Please note that the deadline for application to be received is no later than 11:59PM on Wednesday, April 22, 2020. Please review all Rules and Record Keeping Requirements before apply. The application can be found online here: PY2020 Application for Funding.

For any question please contact Teri Fine,, 903-487-5976.

COVID-19 RESPONSE: If your request is directly related to COVID-19 response, please note in this in the activity description. If you are requesting funds for both normal operations and COVID-19 response, you will need to submit separate applications.


The Community Development Block Grant application for funding will be used to determine the eligibility of your proposed project. Please read and follow the instructions carefully.

Any agency or organization submitting an application must provide must provide services to the low income citizens of Sherman. All projects should be completed within a twelve (12) month period from October 1, 2020 to September 30, 2021.

Rules and Record Keeping Requirements

The following will apply to all applicants:

  1. Written records to justify all expenditures and client eligibility must be maintained for a period not less than five years after the full amount of the grant is expended. Your records will be reviewed by the City, and may also be reviewed by HUD.
  2. You will be required to maintain the City’s minimum insurance standards and comply with the bonding and insurance requirements of OMB Circular A-122, "Bonding and Insurance."
  3. You must agree to administer the CDBG program in accordance with OMB Circular A-122, "Cost Principles for Non-Profit Organizations."
  4. You will be required to provide quarterly reports stating the total number of persons served, including their ethnic origin, and whether they are female heads of household. These figures are required to be reported by HUD.
  5. You will be required to obtain written proof of income for each person or household whom you assist, unless your clients are abused children, battered spouses, severely handicapped persons, homeless persons, iliterate persons, or migrant workers.
  6. You must have a written policy in place designed to ensure that your facilities are free from the illegal use, possession, or distribution of drugs or alcohol.
  7. If any income is derived from the activities funded by CDBG, that income must be accounted for and returned to the City, or used according to requirements stated in you contract.
  8. In the event that HUD or the City should determine that CDBG funds were improperly spent, and that money should be reimbursed to the U.S. treasure, your organization will be responsible for this reimbursement.

Community Development Block Grant Eligible Activities

The following activities may be funded by the Community Development Block Grant, so long as they meet one or more of the National Objectives (benefit to low-moderate-income (LMI) persons; Aid in the prevention or elimination of slums or blight; and Meet a need having a particular urgency):    

  • Senior Services - Services that will be provided to elderly persons (e.g., meals-on-wheels, transportation).
  • Services for the Disabled - Services for persons with disabilities, regardless of age.
  • Legal Services - Includes programs that provide legal aid to low and moderate income persons.
  • Youth Services -  Services for youth that include, for example, recreational services or a teen counseling program. If a counseling program is targeted for youth but includes counseling for the family as well, it may still be classified as a youth service if the focus is on counseling the youth.
  • Transportation Services - Services provided to low and moderate income persons.
  • Substance Abuse Services - Services for substance abuse recovery programs as well as prevention / education activities.
  • Services for Battered and Abused - Services for programs serving adults or families.
  • Employment Training -  Services for assistance that increases self-sufficiency. This includes literacy, independent living skills, job training, and employment service activities.
  • Crime Awareness / Prevention - For any program that promotes these goals, including crimes prevention education programs and pay for security guards.
  • Fair Housing Activities (subject to Public Service cap) -For fair housing services (e.g., counseling on housing discrimination)
  • Tenant/Landlord Counseling Child Care Services - For counseling provided to help prevent or settle disputes that occur between tenants and landlords.
  • Health Services - Health services activities include operation of neighborhood clinics, post-rape counseling vermin abatement service (also known as "vector control"), and other activities designed to serve the health needs of residents.
  • Services for Abused and Neglected Children - For daycare or other services exclusively for abused and neglected children.
  • Mental Health Services - For activities designed to address the mental health needs of residents of the community.
  • Screening for Lead Poisoning - For activities designed primarily to provide screening for (not removal of) lead-based paint and other lead poisoning hazards.
  • Subsistence Payment - for activities designed to provide one-time or short-term (no more than three months) emergency grant payments on behalf of an individual or family generally for the purpose of preventing homelessness. 

Public Service Ineligible Activities

The following activities may not be assisted with Community Development Block Grant Funds:

  • The purchase of equipment, fixtures, motor vehicles, furnishings, or other personal property not an integral structural fixture is generally ineligible.
  • The construction of new permanent residential structures is not eligible, unless done by a HUD-qualified non-profit organization. Purchase of land on which to build affordable homes, however, is an eligible activity.
  • CDBG funds may not be used for political purposes or to engage in partisan political activities, or for lobbying of local, state, and federal legislators.
  • Long term subsistence payments (longer than three months) for such needs as rent and utilities.
  • Landscaping and tree trimming are not eligible expenses.