Housing and Community Development Act of 1974
Congress folded several separate urban programs—urban renewal, Model Cities, and water and sewer grants—into one formula-based block grant. President Gerald Ford signed the act on August 22, 1974, establishing the Community Development Block Grant program.
Cities gained flexibility to spend federal dollars on local priorities instead of applying for specific categorical grants. The first CDBG allocations reached jurisdictions in 1975.
The program became one of the longest-running federal community development streams, surviving multiple administrations and budget cycles with a formula that still distributes funds annually.
The September 2026 Virginia Beach award flows through the same 1974 statutory framework. The structure—formula grants to entitlement cities—has not changed in five decades.
