Every project must be considered an eligible activity and meet one of the following national objectives:
Principal benefit to low and moderate income persons - at least 51% of the population served by the activity must be low and moderate income according to HUD’s income guidelines.
Prevention or elimination of slums and blight - an activity must be located in an area designated as blighted by the municipality or address a specific condition of blight or decay outside a designated area.
Examples of eligible activities include:
Certain economic development activities
Demolition, clearance, and environmental remediation of deteriorated structures and blighted areas
Public services including materials and supplies, salaries, and other such services