The Community Development Division of Economic Development administers the daily operation of the Community Development Block Grant (CDBG) program. The City of Auburn has been a CDBG entitlement city since 2000 and has utilized the funds for a broad range of capital projects that preserve and develop a viable community, principally to benefit low to moderate income residents.  The CDBG program is a flexible program that provides communities with resources to address a wide range of unique community development needs.  
 
The City utilizes its CDBG allocation to provide decent, safe, and sanitary housing by funding housing rehabilitation, constructing new affordable housing units, reconstructing units, and demolishing abandoned and dilapidated structures in residential areas.  CDBG funds are also used to revitalize low to moderate income residential areas by improving infrastructure and public facilities and resources are allocated to local non-profit organizations to subsidize supportive services.

The City has brought 288 substandard houses up to standard, and built 143 new houses for first-time homeowners through Federal programs such as Community Development Block Grant and Urban Development Action Grants.  The Community Development Division's efforts are directed at aiding low to moderate income citizens through a variety of programs such as the Affordable Housing   Program and mortgage subsidies from the Revolving Loan Fund (RLF).