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Sources of Program Income

All Program Income generated by CDBG, HOME, and HDG funds is subject to the applicable requirements and regulations. DOH may adopt policies and procedures that are more restrictive than HUD’s policies.

CDBG Program Income

CDBG Program Income is defined as gross income received by a Subrecipient that was generated from the use of CDBG funds. Program Income, as defined by 24 CFR 570.489(e), includes but is not limited to:

  • Payments of principal and interest on loans made using CDBG funds;
  • Proceeds from the disposition by sale or long term lease of real property purchased or improved with CDBG funds;
  • Gross income from the use or rental of real or personal property acquired by the unit of general local government or Subrecipient of the unit of general local government with CDBG funds, less costs incidental to generation of the income;
  • Gross income from the use or rental of real property, owned by the unit of general local government or other entity carrying out a CDBG activity that was constructed or improved with CDBG funds, less the costs incidental to the generation of the income;
  • Proceeds from the sale of loans made with CDBG funds, less reasonable legal and other costs incurred in the course of such sale that are not otherwise eligible costs;
  • Proceeds from the sale of obligations secured by loans made with CDBG funds, less reasonable legal and other costs incurred in the course of such sale that are not otherwise eligible costs;
  • Interest earned on funds held in a revolving fund account;
  • Interest earned on program income pending disposition of the income; and
  • Gross income paid to a unit of general local government or subgrantee of the unit of general local government from the ownership interest in a for- profit entity acquired in return for the provision of CDBG assistance.

HOME Program Income

HOME Program Income is defined as gross income received by a Subrecipient that is directly generated from the use of HOME funds. When Program Income is generated by housing that is only partially assisted with HOME funds, the income shall be prorated to reflect the percentage of HOME funds used. Program Income, as defined by 24 CFR 92.2, includes but is not limited to:

  • Payments of principal and interest on loans made using HOME funds or matching contributions;
  • Proceeds from the disposition by sale or long-term lease of real property acquired, rehabilitated, or constructed with HOME funds or matching contributions;
  • Gross income from the use or rental of real property, owned by Subrecipient that was acquired, rehabilitated, or constructed, with HOME funds or matching contributions, less costs incidental to generation of the income;
  • Proceeds from the sale of loans made with HOME funds or matching contributions; and
  • Interest earned on program income pending its disposition.

HDG Program Income

The requirements of HDG funding awards for Revolving Loan Fund (RLF) Programs typically mimic those of either CDBG or HOME, as specified in the written agreement for the award. Program Income generated by HDG funds is treated as CDBG or HOME Program Income as indicated.

This form should be used to report problems or issues with this website. Questions pertaining to a program or service provided by DOH should be addressed to contact information located on the specific program pages.

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