Mayors Wince as Block Grants Face Cuts

Mayors across the country are facing the possible loss of federal Community Development Block Grants, which could pull many local projects aimed at helping low-income residents to a halt.

1 minute read

January 27, 2011, 9:00 AM PST

By Nate Berg


"Such a move could slow down or even eliminate thousands of local and state projects, according to groups such as the National League of Cities and the U.S. Conference of Mayors, which was hosting its annual winter meeting in Washington last week.

Groups representing local governments say they believe the program may face a 25 percent cut - about $1 billion - in the president's FY 2012 budget, which will be released next month. Meanwhile, some Republicans have proposed cutting the program altogether. Neither bodes well for a program that funds everything from affordable housing to childcare to economic development."

Mayors are calling on congressional leaders to oppose cuts to the program.

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