Skip to content

SENATOR COLLINS URGES FUNDING FOR COMMUNITY DEVELOPMENT GRANTS

Washington, D.C. - Senator Susan Collins today expressed her support for the Community Development Block Grant (CDBG) and the Community Services Block Grant (CSBG) programs in the Fiscal Year (FY) 2006 budget. In a letter to Senate Budget Committee leaders, Senator Collins outlined the importance of these grants to communities throughout Maine.

"CDBG and CSBG funding benefits communities across Maine," Senator Collins said. "From Maine's largest, urban communities, to our many small, rural towns, the CDBG funds awarded each year allow communities to pursue infrastructure improvement projects and community and economic development initiatives that would otherwise be unaffordable."

Senator Collins added, "If the Administration's proposed cuts to CDBG are enacted, I am concerned that communities in Maine will no longer have access to this critical stream of funding. Further, the elimination of CSBG funding will place current projects in Maine at risk and will also make it difficult for Maine's Community Action Agencies to mobilize new initiatives. I urge funding for the CDBG and CSBG programs that is at least equal to those of the current fiscal year." Since 1998, more than $77 million in CDBG funding has been invested in Maine communities. The Maine Department of Economic Development reports that, during this time period, CDBG funding helped create or retain nearly 4,000 jobs in the state. In FY 2005, this program provided Maine with more than $22 million. Of this funding, the State itself received approximately $15.7 million and entitlement communities in Maine were awarded nearly $6.6 million. At a time when many state and local governments are facing budget shortfalls of their own, CDBG provides essential funds to help fill financing gaps in community development programs and infrastructure enhancement projects. The Community Services Block Grant (CSBG) provides essential core funding to Maine's Community Action Agencies (CAAs), which provide important services designed to fight poverty and promote self-sufficiency for low-income individuals and families in virtually every county in the state. Maine's CAAs use CSBG funding to bring together the private sector, local officials, and low-income individuals to design new initiatives and mobilize a range of resources in order to respond to the challenges posed by poverty in their local communities.

###