New Subfund Proposed to Support Neighborhood Development and Local CDCs

August 2, 2026

Cleveland City Council is considering a proposal to create a dedicated Neighborhood Development Subfund to support local improvements and community-led projects. Introduced as File No. 113-2025 by Council Members McCormack, Kelly, and Hairston, the emergency ordinance seeks to provide a more flexible funding stream for neighborhood development activities that can operate without the specific restrictions often attached to federal grants.

What's in the file

The proposed ordinance would establish a Neighborhood Development Subfund using General Fund appropriations. According to the 113-2025-NDF ordinance, the fund would be used to provide grants to Community Development Corporations (CDCs) through an application process.

The legislation outlines several key operational requirements:

The Director of Finance will create projects for each of the city's wards, with funds distributed in equal amounts to each ward annually.
To qualify for grants, CDCs must be nonprofit organizations (501(c)(3) or 501(c)(4)) governed by residents and local business representatives.
All proposed activities must be approved by the Law Department as serving a proper public purpose.
CDCs must demonstrate they will complete a minimum number of activities across specific categories, including: - Community Engagement: Including organizing/engagement (minimum 3 activities), communications (minimum 1 activity), and events (minimum 2 activities). - Neighborhood Development: Including business technical assistance (minimum 3 activities), home repair (minimum 2 activities), and real estate development (minimum 3 activities).

The 113-2025-A-FILE identifies 20 specific CDCs currently eligible to apply for these grants, including:

Burten, Bell, Carr Development Inc.
Campus District, Inc.
Fairfax Renaissance Development Corporation
Famicos Foundation
Greater Collinwood Development Corporation
Harvard Community Services Center
Jefferson-Puritas West Park CDC
Little Italy Redevelopment Corporation
Metro West CDC
MidTown Cleveland, Inc.
Northwest Neighborhoods CDC
NuPoint CDC
Ohio City Incorporated
Old Brooklyn CDC
Slavic Village CDC
St. Clair Superior CDC
Tremont West Development Corporation
University Circle Incorporated
West Park Kamm's Neighborhood Development
Westown CDC

Who may be affected

City Wards: The seventeen existing wards would receive equal annual distributions of the allocated subfund amounts.
Community Development Corporations (CDCs): Local nonprofit organizations may apply for grants to fund physical, economic, and social neighborhood improvements.
Local Residents and Businesses: The intended beneficiaries of the neighborhood development activities funded by the subfund.
Department of Finance: Tasked with creating ward-specific projects and managing fund distribution.

Status and timeline

January 24, 2025: The emergency ordinance was introduced to City Council.

The legislation is currently listed as "Tabled."

Residents can verify all details and track the progress of this ordinance by reviewing the official record via the Cleveland City Council website.

Key facts

CDC activities required (Communications): 1
CDC activities required (Events): 2

Source record

File: 113-2025
Type: Emergency Ordinance
Status: Tabled
Committee: City Council
Introduced: January 23, 2025

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