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HUD Issues CPD Memo: Restarting the Corrective Actions Process for Untimely Expenditure

On October 21, 2021, HUD issued a memorandum explaining a temporary change in the process for the application of corrective actions for untimely expenditure in the Community Development Block Grant (CDBG) Entitlement Program. HUD’s goal, through the implementation of this process, is to address the expenditure challenges that many grantees are facing right now and to lessen the administrative burdens on HUD personnel in headquarters and the field.

The Department expects that this more progressive corrective action process will not only provide relief to grantees struggling to spend extra dollars but also lessen the burden on its field office personnel monitoring the expenditure of these extra dollars. Nevertheless, HUD does want to remind grantees of certain obligations regarding funds under their control and implications for the management of those funds.

Grantees may direct questions about how this policy specifically affects their community to their assigned local HUD field office. HUD field office staff may direct general questions about this policy to C. Duncan Yetman, Deputy Director, Entitlement Communities Division, at c.duncan.yetman@hud.gov.
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