The City of Iowa City is now accepting grant applications from nonprofit organizations for projects supporting affordable housing, public services, and public facility improvements for low- to moderate-income residents in Fiscal Year 2027. Funding is available through the Community Development Block Grant (CDBG) and Non-Legacy Aid to Agencies programs.
The CDBG program provides funding to develop viable urban communities by expanding economic opportunities, providing affordable housing and creating suitable living environments, primarily for households that meet income eligibility guidelines set by the U.S. Department of Housing and Urban Development.
According to a release, the city expects about $440,000 in CDBG funds to be available for the following purposes:
- $150,000 will support public facility improvements. Facilities must be open to the public during normal business hours and primarily serve households that meet HUD income guidelines.
- $290,000 will fund acquisition of housing to be used as affordable rental units for income-eligible households.
The Non-Legacy Aid to Agencies program provides flexible operational funding for nonprofits delivering public services to Iowa City residents with low- to moderate-income. About $30,000 will be available to agencies not currently receiving Legacy Aid to Agencies funding.
Proposals must address one of the following community-identified priorities: homeless and shelter services, food insecurity, health care (including mental and behavioral health), childcare and youth services, housing stability services, or transportation.
Agencies serving populations facing high barriers to accessing services will receive additional prioritization. Applicants may request up to $15,000 per agency, with a minimum grant of $5,000 if awarded.
Applications are due by noon Friday, Jan. 30, 2026. Late submissions will not be considered. The Housing and Community Development Commission will review applications and make funding recommendations at its March 23 meeting. Funds are expected to be available after July 1, according to the release.
Application forms, guides, and additional information are available at www.icgov.org/grants. Applicants are encouraged to review the full guide before submitting.
