HR3131119th CongressWALLET

Community Services Block Grant Improvement Act of 2025

Sponsored By: Representative Thompson (PA)

Introduced

Summary

Reauthorizes and restructures the Community Services Block Grant to expand eligibility and strengthen accountability. This bill would create a consolidated block grant framework to help community action agencies reduce poverty, support low‑income and working families, and fund broadband and training supports.

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  • Families and low‑income households: Would expand eligibility for services to people at up to 200% of the poverty line, increasing access to jobs, training, and digital inclusion help.
  • Community action agencies and local nonprofits: Would require tripartite governing boards, regular needs assessments and agency‑wide strategic plans, new audit and conflict‑of‑interest rules, and dedicated training and technical assistance funds.
  • States and federal funding: Would authorize $1.0 billion per year plus $40 million per year for discretionary activities for FY2026–2032, set State minimum allotments at 0.5% (0.75% if available funds exceed $900 million), and change payment timing, carryover, and reallocation rules.

*Would increase federal spending by about $1.0 billion plus $40 million each year from FY2026–2032, likely increasing the deficit absent offsets.*

Bill Overview

Analyzed Economic Effects

7 provisions identified: 4 benefits, 1 costs, 2 mixed.

CSBG funding levels and payment rules

If enacted, CSBG would be authorized at $1 billion a year for 2026–2032, plus $40 million a year for certain discretionary programs. States would get at least 0.5% of funds, or 0.75% if the remaining pot is over $900 million. The growth factor used in formulas would drop from 1.5% to 1%. The Secretary would pay States at least quarterly, and first allocations would be spendable within 30 days after OMB approval. States would have to make funds available to local entities within 30 days after notice or by the State program year start.

Fill service gaps in unserved areas

If enacted, States could name a new local nonprofit to serve places with no CSBG provider. The group would need to be nearby, nonprofit, and able to manage federal funds. A public agency could serve only as an interim option for up to one year if no nonprofit is available.

Help getting internet and digital skills

If enacted, reserved CSBG funds could go straight to local groups for staff training and better program management. The bill would also let trained navigators help low‑income people get affordable high‑speed internet, devices, and digital skills classes. It would support data and tools for local needs assessments and performance tracking.

Stronger rules for local CSBG agencies

If enacted, local CSBG groups would need a community action plan tied to a recent needs assessment and budget. They would have to post their plan, assessment, and strategic plan online. Boards would follow conflict‑of‑interest and ethics rules, have needed financial and legal expertise, limit board compensation to expenses, and fill board vacancies within six months. States would base their plans mostly on local plans and hold a public hearing with at least 15 days’ notice.

Ends CSBG food and instruction programs

If enacted, the bill would remove the CSBG law sections that authorized Community Food and Nutrition Programs and some instructional programs. The bill does not name a replacement authority.

Tighter audits; funds could be withheld

If enacted, audits would follow Single Audit Act rules. If a serious financial problem is found, the Secretary could order deeper audits. The Secretary could withhold a State’s CSBG funds until improper spending is fixed.

Clarifies HHS leadership for CSBG duties

If enacted, the bill would state that the Secretary acts through the Director of the Office of Community Services for certain CSBG duties. This clarifies who carries out those tasks.

Sponsors & CoSponsors

Sponsor

Thompson (PA)

PA • R

Cosponsors

  • Bonamici

    OR • D

    Sponsored 5/1/2025

  • Rogers (KY)

    KY • R

    Sponsored 5/6/2025

  • DeSaulnier

    CA • D

    Sponsored 5/8/2025

  • Carson

    IN • D

    Sponsored 5/14/2025

  • Messmer

    IN • R

    Sponsored 5/14/2025

  • Gonzalez, V.

    TX • D

    Sponsored 6/3/2025

  • Tran

    CA • D

    Sponsored 6/13/2025

  • Davis (IL)

    IL • D

    Sponsored 6/20/2025

  • Takano

    CA • D

    Sponsored 6/20/2025

  • Johnson (TX)

    TX • D

    Sponsored 6/25/2025

  • Lofgren

    CA • D

    Sponsored 6/25/2025

  • Brownley

    CA • D

    Sponsored 6/26/2025

  • McBride

    DE • D

    Sponsored 7/2/2025

  • Norcross

    NJ • D

    Sponsored 7/2/2025

  • Bacon

    NE • R

    Sponsored 7/21/2025

  • Barragan

    CA • D

    Sponsored 7/21/2025

  • Mrvan

    IN • D

    Sponsored 7/23/2025

  • Budzinski

    IL • D

    Sponsored 8/1/2025

  • Stanton

    AZ • D

    Sponsored 8/5/2025

  • Sorensen

    IL • D

    Sponsored 8/15/2025

  • Min

    CA • D

    Sponsored 8/26/2025

  • Bergman

    MI • R

    Sponsored 9/15/2025

  • De La Cruz

    TX • R

    Sponsored 9/15/2025

  • Vindman

    VA • D

    Sponsored 9/16/2025

  • Ryan

    NY • D

    Sponsored 9/17/2025

  • Mackenzie

    PA • R

    Sponsored 9/26/2025

  • Thompson (CA)

    CA • D

    Sponsored 10/10/2025

  • Craig

    MN • D

    Sponsored 11/4/2025

  • Costa

    CA • D

    Sponsored 11/10/2025

  • Bresnahan

    PA • R

    Sponsored 11/17/2025

  • Miller (WV)

    WV • R

    Sponsored 1/12/2026

Roll Call Votes

No roll call votes available for this bill.

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