“For a further additional amount for ‘Community Development Fund,’ $4,190,000,000, to be used for neighborhood stabilization activities related to emergency assistance for the redevelopment of abandoned and foreclosed homes as authorized under division B, title III of the Housing and Economic Recovery Act of 2008 (Public Law 110–289), of which—
“(1) not less than $3,440,000,000 shall be allocated by a competition for which eligible entities shall be States, units of general local government, and nonprofit entities or consortia of nonprofit entities[.]”
“(2) up to $750,000,000 shall be awarded by competition to nonprofit entities or consortia of nonprofit entities to provide community stabilization assistance […]”
The House Democrats’ trillion dollar spending bill also includes $1 billion for the Community Development Block Grant (CDBG) Program. CDBG funds are given by the federal government to state and local governments which often contract with nonprofits for services related to the purpose of the grant.
ACORN knows how to secure CDBG funds. Audit reports filed by ACORN’s headquarters with the Office of Management and Budget show that ACORN spent $1,588,599 in Community Development Block Grant (CDBG) Program funds from FY 2003 through FY 2007. It is not clear from these records when or from what source the funds were awarded to ACORN. It is also not clear whether ACORN chapters or affiliates have received CDBG grants on their own.
House Republican Leader John Boehner (R-OH) repeatedly urged President George W. Bush and other federal officials to withhold taxpayer funds from ACORN, including $17.2 million in federal grants awarded in December 2008 after numerous allegations of wrongdoing in connection with ACORN’s election activities were reported by the news media.