The Texas Department of Agriculture is accepting applications for its Colonia Fund – Construction Fund
Donor Name: Texas Department of Agriculture
State: Texas
County: All Counties
Type of Grant: Grant
Deadline: 01/08/2026
Size of the Grant: More than $1 million
Grant Duration: Grant Duration Not Mentioned
Details:
The Colonia Fund – Construction (CFC) provides eligible applicants with grants to fund water and wastewater improvements, housing rehabilitation for low- to moderate-income households, the payment of assessments levied against properties owned and occupied by persons of low and moderate income to recover the capital cost for a public improvement and other improvements including street paving and drainage
The goal of the Texas Community Development Block Grant (TxCDBG) Program is to develop viable communities by providing decent housing and a suitable living environment, as well as by expanding economic opportunities, principally for persons of low-to-moderate income. In awarding funding pursuant to Texas Government Code, Section 487.351(c), the Texas Department of Agriculture (TDA) shall give priority to eligible activities in the areas of economic development, community development, and rural health to support workforce development.
Objectives
The objectives of the TxCDBG Program are:
- To improve public facilities to meet basic human needs, principally for low- to moderate-income persons;
- To improve housing conditions, principally for persons of low-to-moderate income;
- To expand economic opportunities by creating or retaining jobs, principally for low-to-moderate income persons; and
- To provide assistance and public facilities to eliminate conditions hazardous to the public health and of an emergency nature.
Funding Information
Maximum: $1,000,000.
Eligible Projects Areas
Although the Community Application does not identify a specific project for potential funding, the Applicant should understand the requirements for an eligible project area that will satisfy program requirements. If selected for funding, the Applicant will be invited to submit a Project Application that identifies a project from within the colonia communities identified in the Community Application.
For the CFC Program, an eligible project area must meet the required definition for a colonia. Under the TxCDBG Program, a “colonia”:
- Is an identifiable community;
- Is unincorporated;
- Is located within 150 miles of the Texas-Mexico border;
- Has existed as a colonia prior to the date of enactment of the Cranston-Gonzalez National Affordable Housing Act (November 28, 1990); and
- Is defined by a set of criteria, which includes:
- lack of potable water supply;
- lack of adequate sewage systems; and/or
- lack of decent, safe, and sanitary housing.
Eligibility Criteria
- Qualify as a unit of general local government (UGLG). An UGLG is a city, county, town, township, village, or other general purpose political subdivision of the state, or as otherwise defined in 42 U.S.C. §5302. Special purpose political subdivisions are not eligible as TxCDBG applicants.
- Qualify as a non-entitlement community. Only communities NOT identified as part of the federal CDBG entitlement program may apply for TxCDBG funding. Entitlement communities are listed in Appendix B Community Application Scoring Elements. Municipalities located within an entitlement county may elect to participate with either the county program or the state non-entitlement program, but not both, for each threeyear period; please contact the entitlement county to confirm eligibility for the current year.
- Levy and collect a local property tax or local sales tax option in the current fiscal year.
- Meet Progress Thresholds for existing TxCDBG grant agreements. Applicants must demonstrate current compliance with progress threshold requirements for existing TxCDBG grant awards to be eligible for additional rounds of TxCDBG funding.
- Mid-Point Progress Threshold: Existing Grant Agreements beginning on or before the date identified in the chart below must have satisfied all Group B requirements prior to the Community Application due date.
- Final Progress Threshold: Existing Grant Agreements beginning on or before the date identified in the chart below must be completed and have submitted both the Project Completion Report (PCR) and the final payment request prior to the Community Application due date.
- Where the Community Application due date falls between the date of an existing grant agreement’s original end date and the date the Project Completion Report is due, TDA will initially accept a Community Application and will assess compliance with the Final Progress Threshold on the date the PCR become due.
For more information, visit DOA.
