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Commerce updates committee on federal Community Development Block Grant program and awards to 40 communities
Summary
The Department of Commerce told the House Committee on Agriculture and Natural Resources Budget that Kansas receives about $14.5 million annually in Community Development Block Grant funds and that Commerce awarded just over $13 million to 40 communities in 2024, with an average award of roughly $334,000.
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The Kansas Department of Commerce updated the House Committee on Agriculture and Natural Resources Budget about the state's Community Development Block Grant (CDBG) program, a federally funded program that supports local infrastructure, economic development, childcare and youth workforce training projects in non‑entitlement communities.
Rachel Willis, director of legislative affairs at the Department of Commerce, said the state’s CDBG allocation is about $14.5 million annually and that Commerce awarded just over $13 million in 2024 to 40 communities, with an average award near $334,000 per project. Willis said the program requires a local match (commonly 25%; certain economic development and community center projects require 50%) and that only cities and counties — not private neighborhood groups — are eligible to apply.
Willis described recent program changes made after an internal assessment: Commerce will end an underused revolving loan fund (RLF) after several years of low utilization and repurpose those federal funds into other buckets that serve community needs, such as childcare facility renovations, building‑trade workforce programs and water/sewer infrastructure. Commerce staff emphasized they provide technical assistance, run monthly virtual office hours and work with regional planning commissions and the Office of Rural Prosperity to increase outreach to smaller and rural jurisdictions.
Members asked about administrative fees and application complexity. Willis said administrative fees are limited (Commerce staff indicated about a 3% administrative share of the federal allocation) and that application assistance is available; Assistant Secretary Matt Godinez urged municipalities to work with regional planning commissions, which may provide grant‑writing support at no charge.
Why it matters: CDBG funds are a significant federal resource for non‑entitlement cities and counties in Kansas; changes to program structure and outreach will affect how rural and smaller jurisdictions access funds for local community projects.
What’s next: Commerce said it will roll out new program opportunities to replace the RLF and continue technical assistance to increase participation in underserved regions.

