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Definition/description of "non-entitlement communities": Non-entitlement communities are all units of general local government that do not meet the definition and qualifications for an entitlement community. This includes all cities, counties, towns, townships, etc. that do not qualify to receive CDBG entitlement funds; and any incorporated units of general local government located in urban counties who have opted not to participate in the urban county's entitlement CDBG program.
Non-entitlement communities are broken down in to two distinct programs, the State Administered CDBG Program, and the HUD Administered Small Cities CDBG Program. Note that U.S. Territories and Federally recognized Indian Tribes are not considered to be units of general local government, and thus do not qualify as non-entitlement communities. Separate CDBG funding programs exist to serve the Insular Areas (U.S. Territories) and Indian Tribes.
The term "nonentitlement community" is sometimes imprecisely used as a synonym for "rural area"; while the vast majority of nonentitlement communities are rural, there are non-entitlement communities in major metropolitan areas; and many Urban County entitlement grantees contain large land areas which are rural.
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