A community service block grant (CSBG) is a federal grant program in the United States that provides funding to local community action agencies to provide a range of services to assist low-income individuals and families. The CSBG program is administered by the Department of Health and Human Services (HHS).
What is the purpose of CSBG grants?
The purpose of CSBG grants is to provide assistance to low-income communities and individuals to alleviate the causes and conditions of poverty. The grants support local community action agencies in providing services and activities addressing employment, education, housing, nutrition, emergency services, health, and better use of available income.
Specifically, CSBG funds can be used to provide services such as:
- Employment services, including job training and placement, and skills development
- Education services, including assistance obtaining GEDs, college preparation, and tutoring
- Housing assistance, including counseling and assistance accessing affordable housing
- Income management services, including tax preparation, financial counseling, and asset building
- Nutrition programs, including food banks, community gardens, and meal delivery
- Emergency response services, including natural disaster preparation and recovery efforts
- Community development efforts, including improving community infrastructure and facilities
- Linkages to other programs and services, including healthcare, transportation, and childcare
The goal is to give local agencies flexibility to address the specific needs of their communities and provide a range of services and opportunities to assist low-income families and individuals.
What are the eligibility requirements for CSBG grants?
There are several requirements to be eligible for CSBG grants:
- Only designated local community action agencies can receive the grants.
- The agencies must be public or private non-profit entities.
- They must have a tripartite board structure with elected public officials, low-income individuals and families, and representatives from private sector groups.
- The agencies must provide services to individuals and families with incomes at or below 125% of the federal poverty level.
- Grant funds must be used to support activities that assist low-income communities, such as employment, education, better use of income, housing, nutrition, emergency services, and/or health.
Community action agencies can use CSBG funds to provide services directly or subcontract with other community organizations that provide services to low-income residents. The agencies have flexibility to assess local needs and design programs accordingly.
What types of organizations receive CSBG grants?
There are over 1,000 local community action agencies across the country that receive CSBG grants. These agencies include:
- Community action programs
- Community action agencies
- Migrant and seasonal farmworker organizations
- Community action councils
- Community action associations
- Rural community action programs
Some examples of organizations that commonly receive CSBG grants include:
- Local government departments, such as a county or city community services department
- Non-profit social service agencies
- Multi-purpose human service agencies
- Migrant worker organizations
- Tribal governments and councils
These local organizations use the CSBG funds to operate programs and deliver services to low-income residents in their service area.
What services are provided through CSBG grants?
CSBG grants support a wide range of services for low-income populations. According to a recent HHS report, the major services provided through CSBG funding include:
| Service | Percentage of Agencies Offering |
|---|---|
| Employment | 92% |
| Education and Cognitive Development | 87% |
| Income, Infrastructure, and Asset Building | 84% |
| Housing | 82% |
| Emergency Services | 82% |
| Nutrition | 69% |
| Linkages | 65% |
| Self-Sufficiency | 65% |
| Health and Social/Behavioral Development | 59% |
| Civic Engagement and Community Involvement | 55% |
As the table shows, employment services, education programs, income and asset building, and housing assistance are among the most commonly provided services through CSBG funds. However, agencies have flexibility to target the specific needs in their communities.
What reporting and oversight is required for CSBG grants?
There are several reporting and accountability measures in place for CSBG grants:
- Community action agencies must submit regular reports to HHS demonstrating how funds are used.
- Agencies must undergo regular “Organizational Standards” assessments of their organizational capacity and governance structure.
- There are limits on administrative costs—agencies can use only 5-15% of funds for admin/overhead costs.
- Agencies are subject to audits and reviews by HHS, state CSBG offices, and independent auditors.
- Public hearings are required to receive input on proposed uses of funds.
- Tripartite boards provide oversight and include local elected officials and low-income community representatives.
These measures are intended to ensure transparency, accountability, and community input on the use of CSBG funds. The agencies do not have unlimited discretion on spending the grant funds.
What results have been achieved by CSBG grants?
According to HHS reports on the CSBG program, in recent years CSBG grants have helped achieve the following results:
- Over 15 million individuals assisted
- Over 8.7 million employment supports provided
- Over 10.8 million emergency services provided
- Over 1.6 million housing services provided
- Over 6.3 million tax preparation services provided
- Over 80,000 low-income participants gained employment after CSBG-supported skills training
In addition, longitudinal studies have found that CSBG services contribute to long-term outcomes such as employment, education, and increased income for low-income populations. So the grants do appear to provide meaningful benefits to low-income communities as intended.
Is CSBG funding a “scam” or ineffective?
There is no factual evidence to suggest CSBG grant funding is a “scam” or ineffective. The GAO and independent program evaluations have found:
- Fraud or misuse of funds is very low in the CSBG program.
- The funds provide tangible benefits to low-income populations as intended.
- The flexibility of the block grant model allows local agencies to tailor services to community needs.
Like any government program, there are ongoing efforts to improve and strengthen CSBG grants. However, characterizing the funding as a “scam” or waste is inaccurate based on available evidence and data.
Possible critiques and responses
While CSBG is a long-running program with demonstrated results, some potential critiques include:
- Inadequate funding levels – CSBG funding has declined over the past few decades after adjusting for inflation. Increased funding could expand services and impacts.
- Variable local quality – Program quality depends on the capacity of local agencies. Some agencies are stronger than others in systems and service delivery.
- Difficult to evaluate – As a flexible block grant, measuring program-wide outcomes is challenging. But local agencies conduct their own program evaluations.
- Eligibility over 125% FPL – Some argue eligibility should be limited to those under 100% FPL. But the modestly higher threshold enables services before crises hit.
While these are valid issues to monitor, they do not indicate CSBG funding is misused or ineffective. The program has maintained bipartisan support for over 50 years. Overall, evidence suggests CSBG grants appropriately help strengthen services for low-income communities.
Conclusion
Community service block grants are federal funds provided to local agencies to support essential services for low-income populations. The evidence shows CSBG grants are allocated as intended to benefit communities in need. While program administration and funding levels can continue to improve, characterizing CSBG as a “scam” or waste is unsubstantiated and inaccurate based on available data and program evaluations.