Eligibility
Eligible Projects
State program rules subdivide grant funds into three general categories:
Housing Grants
Funds are granted to local units of government, which, in turn, lend funds for the purpose of rehabilitating local housing stock. Loans may be used for owner-occupied, rental, single-family or multiple-family housing rehabilitation. Loan agreements may allow for deferred payments or immediate monthly payments. Interest rates may vary, and loan repayments are retained by grantees for the purpose of making additional rehabilitation loans. In all cases, housing funds must benefit low- and moderate-income persons.
Public Facility Grants
Funds are granted for wastewater treatment projects, including collection systems and treatment plants; wells, water towers and distribution systems.
Comprehensive Grants
Comprehensive projects frequently include housing and public facility activities described above. In addition, comprehensive projects may include an economic development activity, which consists of loans from the grant recipient to businesses for building, rehabilitation related to facade improvements, code violations, and health and safety issues. The most common economic development activity is rehabilitation of local commercial districts.
Maximum Available
The maximum grant award for a Single Purpose project is $600,000. The maximum grant award for a Comprehensive project is $1.4 million.
Other Funds Required
The amount of other funds required varies and is contingent upon the project type. However, the amount of leveraged resources plays a significant role in determining whether the project is funded.
Terms
The timeline to complete projects is normally 30 months, depending on project size and scope.
2024 Grant Awards
2023 Grant Awards
2022 Grant Awards
Consolidated Plans
Notice of Public Hearings
2025 Housing and Community Development Annual Action Plan & Citizen Participation Plan Availability
The State of Minnesota is developing its Annual Action Plan for 2025 and Citizen Participation Plan and is encouraging citizen and community participation.
This plan reflects year four of the State's 2022 – 2026 Consolidated Plan. The State submits an Action Plan to the United States Department of Housing and Urban Development (HUD) to receive federal housing and community development funding through the Community Development Block Grant, HOME Investment Partnerships, Emergency Solutions Grants, Housing Opportunities for Persons with acquired immunodeficiency syndrome (AIDS) programs, and the National Housing Trust Fund.
The State is also requesting comments on its Citizen Participation Plan. This plan establishes the processes by which citizens and local governments may be involved in the development of the State's Consolidated Plan.
Public Hearings
The first public hearing will gather citizen input on housing and community development needs, as well as how federal funding should be allocated in the State. This was held on March 26, 2025.
The second public hearing will gather comments on the draft Action Plan.
Wednesday, May 28, 2025, at 3:45 p.m.
- In person at: Department of Employment and Economic Development, Great Northern Building, 12th floor, Brainerd Conference room, 180 E 5th Street, St. Paul, MN 55101
- Virtually at: Microsoft Teams Meeting Link or via-phone at 1-651-395-7448, Conference ID: 455908275#
Draft Plans
The Draft Citizen Participation Plan and the 2025 Draft Annual Action Plan is currently available for review and comment through May 28, 2025.
The State will consider any comments received in writing or at public hearings.
Written public comments should be submitted to Natasha Kukowski by 4:30 p.m. on Wednesday, May 28, 2025. Comments can be submitted by:
- Email: natasha.kukowski@state.mn.us
- Mail: Minnesota Department of Employment and Economic Development, Great Northern Building, 180 E 5th Street, Suite 1200, Attn: Small Cities Unit, St. Paul, MN 55101-1351
Please contact Natasha Kukowski for the following, if applicable:
- A copy of the draft Citizen Participation Plan and draft Action Plan (once available).
- Submission of written comments and/or input on the Action Plan and the Citizen Participation Plan available beginning April 28, 2025.
- Accommodation(s) due to a disability or required interpretation services at least three (3) business days prior to the public hearings.
Reports and Plans
State of Minnesota Annual Action Plan for Housing and Community Development
State of Minnesota Consolidated Annual Performance & Evaluation Report (CAPER)
State of Minnesota Citizen Participation Plan
Analysis of Impediments to Fair Housing Report
The Analysis of Impediments to Fair Housing (AI) is completed in cooperation with Minnesota Housing and Department of Human Services. The 2018 Analysis of Impediments to Fair Housing was adopted in September 2018
Contact a Regional SCDP Representative

Region 1 Representative
Counties: Kittson, Marshall, Norman, Pennington, Polk, Red Lake, Roseau
Contact: Christian Nordeng
651-259-7455 or 800-657-3858
Region 2 Representative
Counties: Beltrami, Clearwater, Hubbard, Lake of the Woods, Mahnomen
Contact: Christian Nordeng
651-259-7455 or 800-657-3858
Region 3 Representative
Counties: Aitkin, Carlton, Cook, Itasca, Koochiching, Lake
(St. Louis County is not eligible for the Small Cities Development Program.)
Contact: Christian Nordeng
651-259-7455 or 800-657-3858
Region 4 Representative
Counties: Becker, Clay, Douglas, Grant, Otter Tail, Pope, Stevens, Traverse, Wilkin
Contact: Christian Nordeng
651-259-7455 or 800-657-3858
Region 5 Representative
Counties: Cass, Crow Wing, Morrison, Todd, Wadena
Contact: Zachary Klehr
651-259-7460 or 800-657-3858
Region 6E Representative
Counties: Kandiyohi, McLeod, Meeker, Renville
Contact: Christine Hartert
651-259-7461 or 800-657-3858
Region 6W Representative
Counties: Big Stone, Chippewa, Lac Qui Parle, Swift, Yellow Medicine
Contact: Christine Hartert
651-259-7461 or 800-657-3858
Region 7E Representative
Counties: Chisago, Isanti, Kanabec, Mille Lacs, Pine
Contact: Christine Hartert
651-259-7461 or 800-657-3858
Region 7W Representative
Counties: Benton, Sherburne, Stearns, Wright
Contact: Christian Nordeng
651-259-7455 or 800-657-3858
Region 8 Representative
Counties: Cottonwood, Jackson, Lincoln, Lyon, Murray, Nobles, Pipestone, Redwood, Rock
Contact: Christine Hartert
651-259-7461 or 800-657-3858
Region 9 Representative
Counties: Blue Earth, Brown, Faribault, Le Sueur, Martin, Nicollet, Sibley, Waseca, Watonwan
Contact: Zachary Klehr
651-259-7460 or 800-657-3858
Region 10 Representative
Counties: Dodge, Fillmore, Freeborn, Goodhue, Houston, Mower, Olmsted, Rice, Steele, Wabasha, Winona
Contact: Zachary Klehr
651-259-7460 or 800-657-3858
Region 11 Representative
Counties: Carver, Scott
(Anoka Dakota, Hennepin, Ramsey, Washington Counties are not eligible for the Small Cities Development Program.)
Contact: Zachary Klehr
651-259-7460 or 800-657-3858