Small Cities Development Program supports Minnesota local governments with housing, commercial, and public facility improvements to benefit lower-income households, address blight, and meet urgent needs.
Funder: Minnesota Department of Employment and Economic Development
Due Dates: November 25, 2026, at 4:00 p.m. (Preliminary proposal) | January 13, 2027 (Tentative determination) | April 14, 2027 (Full application)
Funding Amounts: Up to $600,000 (Single Purpose) or $1.4 million (Comprehensive); projects normally take 30 months
Summary: Supports Minnesota local governments with housing rehabilitation, public facilities, and commercial rehabilitation benefiting low-income households or addressing blight or urgent needs.
Key Information: Only eligible non-entitlement local governments can receive awards; full applications require a competitive or marginally competitive preliminary proposal.
The Small Cities Development Program (SCDP) is administered by Minnesota DEED using U.S. Department of Housing and Urban Development Community Development Block Grant funding. It supports non-entitlement communities in developing viable communities, suitable living environments, and economic opportunities principally benefiting low- and moderate-income households.
Eligible work includes owner-occupied and rental housing rehabilitation, commercial building rehabilitation, and public facility improvements such as water, sewer, drainage, community centers, and streetscapes. Assessment abatement is restricted to households at or below 50% of county median income. Acquisition, rehabilitation, demolition, and relocation generally relate to disaster recovery. Each activity must benefit low- and moderate-income people, prevent or eliminate slum and blight, or alleviate an urgent community threat where other financial resources are unavailable.