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Slide Presentation Corrective Action, Termination or Reduction of Funding for CSBG Eligible Entities

Published: July 13, 2012
Audience:
Community Services Block Grants (CSBG)

 

Slide Presentation
Corrective Action, Termination or Reduction of Funding for CSBG Eligible Entities

 

1. Community Services Block Grant (CSBG)

Corrective Action, Termination or Reduction of Funding for CSBG Eligible Entities

2. CSBG Information Memorandum 116 Corrective Action, Termination, or Reduction of Funding of CSBG-Eligible Entities

  • Issued December 4, 2009
  • Step-by-step description of necessary procedures for corrective actions, quality improvement plans, termination or reductions in funding for cause
  • Emphasis on corrective actions and quality improvement
  • No new deadlines or program requirements

3. CSBG Distribution Essentials

  • States, U.S. Territories, and Tribes receive CSBG allocation based on statutory formula
  • States may retain up to 10% of allocation for discretionary projects (5% administrative cap)
  • Eligible entities must receive 90% of funding
  • Recovery Act appropriation specified that 99% of CSBG supplemental appropriation must go to eligible entities

4. What Are Eligible Entities?

  • Nonprofit or public organizations
  • Tripartite board representing low-income community, public officials, and community representatives
  • State established lists of eligible entities are typically consistent from year-to-year
  • Changes to the distribution of funds to eligible entities must follow procedures outlined in the CSBG Act

 

5. Proportional Share

  • The “proportional share” of CSBG funds is the amount of non-discretionary grant funds allocated to an eligible entity compared to the amount allocated to other eligible entities
  • If an entity received 1/10th of the funds distributed to all eligible entities in a prior year, that entity would receive 1/10th of funds in the following year.
  • Changes to proportional share may take place only in compliance with the CSBG Act

6. Cause for Changes to Proportional Share

  • Statewide Redistribution of Funds – Changes due to census data, other appropriate data (e.g. poverty data), designation of new eligible entity, or severe economic dislocation – CSBG Act, Section 676(c)(1)(A)
  • Failure to Comply with State Plan, Standard, or Requirement – CSBG Act Section 676(c)(1)(B) and Section 676(c)(2)