Cleveland City Hall must change the way it spends federal grants or risk losing millions of dollars in annual funding for community projects and nonprofits, a new report says. A 12-page memo from the law firm Taft outlines how the U.S. Department of Housing and Urban Development, or HUD, has flagged issues with how City Council spends millions in Community Development Block Grants.
Any changes could fundamentally change how local CDCs operate, as many of the nonprofits rely on these dollars.
Cleveland Neighborhood Progress, an organization assisting CDCs across the city, has advocated for City Hall to fund these nonprofits with local tax dollars for less restrictions than CDBG grants. Read more at Ideastream.