- Executive Summary
- Evaluation of Past Performance
- Goals for Program Year 2026
- Consultation and Coordination
- Citizen Participation
- Expected Resources
- County General Funds for Housing Services
- FY27 CDBG/HOME Projects and Programs
- Promoting Housing Stability
- Create New Affordable Housing Opportunities
- Expand Homeless and Special Needs Resources
- Expand Public Services for Low-Moderate Income Residents
- Invest in Neighborhood Improvements
- Geographic Distribution
- Affordable Housing
- Barriers to Affordable Housing
- Homeless and Other Special Needs Activities
- Conclusion
- Project and programs funded with CDBG and HOME
Executive Summary
The Department of Community Enhancement manages the Community Development Block Grant (CDBG) and Home Investment Partnerships (HOME) programs, which are funded by the U.S. Department of Housing and Urban Development (HUD). Through the nonprofit partners that serve as subrecipients of the grant funding, programs address community needs such as public services, including financial literacy and youth support services, and new housing and home repair for low-income families. The Annual Action Plan outlines the goals of administering the CDBG and HOME funded activities the upcoming year. This report details the intended use of funds for the program year 2026 (PY26), fiscal year 2027 (FY27).
Evaluation of Past Performance
The FY26/ PY25 Consolidated Annual Performance Report (CAPER) outlines the performance in administering the CDBG and HOME funded activities from July 1, 2024 - June 30, 2025. Several factors from the Program Year 2025 influenced funding decisions for PY26. County general funds were made available for housing-focused programs and services, which allowed eviction and prevention efforts to be supported with CDBG funds in PY26. Although CDBG and HOME funding has successfully supported new affordable multifamily housing development in previous year, no new proposals were submitted for projects in Chesterfield for PY26. As a result, more resources can be allocated to homeowner rehabilitation and public facilities. In addition, the county is prioritizing health, safety and welfare improvements in the Shady Hill Mobile Home Park as a targeted CDBG investment for PY26.
Goals for Program Year 2026
Chesterfield County developed five goals for its 2025-2029 Consolidated Plan based on a needs assessment, market analysis, stakeholder consultation and community input. For PY26 Annual Action Plan, the county will prioritize the first three goals: promoting housing stability; creating new affordable housing opportunities; and expanding resources for people experiencing homelessness and residents with special needs. Consolidated Plan Goals 1. Promote Housing Stability 2. Create New Affordable Housing Opportunities 3. Expand Homeless and Special Needs Resources 4. Expand Public Services for Low-Moderate Income Residents 5. Invest in Neighborhood Improvements
Consultation and Coordination
Staff who manage the CDBG and HOME programs meet regularly throughout the year with organizations and county departments that provide or maintain housing for low- and moderate-income residents. They also engage with agencies that offer public services ranging from financial literacy education to homelessness support. These discussions help identify community needs and guide strategies for program delivery. Chesterfield participates in the regional Continuum of Care (CoC) with the City of Richmond, Henrico County, Powhatan County, New Kent County, Goochland County, Charles City County, and Hanover County. Homeward, the lead agency for the CoC, conducts at least two point-in-time surveys each year. Chesterfield County provides Homeward with CDBG funds annually to support CoC's work.
Citizen Participation
A public meeting was held on September 16, 2025, to gather public feedback on community development and housing needs following review of the draft CAPER. Input from this meeting informed preparation of the FY27 CDG/HOME funding application and Annual Action Plan. Another public meeting took place on Tuesday, March 3, 2026, to collect comments from residents, public agencies, community organizations and other stakeholders on the county's housing and community development needs and the proposed PY26 project allocations. The public meetings and hearings were advertised in the Richmond Times-Dispatch, on the county's website and on the county’s social media platforms in accordance with the Citizen Participation Plan. Feedback from both meetings was incorporated into the development of the Annual Action Plan.
A 30-day public comment period on the draft was advertised on March 8, 2026, opened Monday, March 9 and closes on Tuesday, April 7, 2026, to allow for additional public input before the Board of Supervisors' budget adoption meeting on Wednesday, April 8. The draft plan was available on Community Enhancement's website throughout the comment period. A public hearing will also be held at the Board of Supervisors (BOS) meeting on Tuesday, March 25, 2026, giving residents an opportunity to comment on the proposed CDBG and HOME budget before the final adoption.
Expected Resources
Chesterfield County's Annual Action Plan outlines the anticipated resources from HUD's CDBG and HOME programs expected to be available in FY27/PY26. The projected allocations are based on the county's program year 2025 awards and will be updated once the official program year 2026 amounts are released. The county also plans to use $309,131.25 in unexpended funds from prior years.
Federal funds will be leveraged in several ways. Public services programs that receive CDBG funding typically operate within larger organizations or broader funding streams, using CDBG dollars to expand services for more Chesterfield residents. Housing repair and rehabilitation programs supported by CDBG often rely on donations and volunteer labor to complete home repairs. The activities listed below will use program year 2026 federal funds to leverage additional resources needed to complete each project. Federal Resources
- Community Development Block Grant
- Home Investment Partnerships Funds
- Section 8 Voucher Program, administered in Chesterfield by the Chesterfield County Department of Social Services, the Richmond Redevelopment Housing Authority and Virginia Housing.
- Program income
Other Resources and Match
- Low Income Housing Tax Credits (LIHTC): The federal 4% and 9% credits provide significant financing for the construction and rehabilitation of affordable rental housing and offer a dollar-for-dollar credit against federal tax liability.
- Private Mortgage Funds: Private lenders provide match contributions to HOME-eligible households through homebuyer assistance.
- Virginia Housing loans and grants
- Fee Waivers (Match): The Chesterfield County Circuit Court waives land recording fees for homeowner rehabilitation and down-payment assistance programs.
- Private In-Kind Services (Match): Match contributions for HOME-eligible households are supported in part by project:HOMES volunteers through donated labor and materials.
- General Funds: Chesterfield County allocates non-departmental funds to non-profit organizations that provide public services benefiting primarily low-and moderate-income residents.
County General Funds for Housing Services
Chesterfield County's Budget Department oversees development and financial management of the county's annual budget, including the community contracts for nonprofit organizations that serves Chesterfield residents. This year, the county designated approximately $600,000 to support nonprofit partners that provide housing services. Community Enhancement staff worked with the Budget Department to align general funds and federal funding, allowing additional housing services to be made available to Chesterfield residents.
FY27 CDBG/HOME Projects and Programs
Allocation priorities were determined based on community needs identified through data analysis, consultations, public hearings and public input. Funding decisions are made through a competitive grant application process, with a review committee composed of county staff from Community Enhancement, Mental Health Support Services, Social Services and Community Engagement and Resources. Because public service requests exceeded available funding under the 15% cap, recommendations focus on projects that leverage additional resources, demonstrate strong administrative capacity, and support key priorities, including housing needs and homelessness prevention. $220,657.25 in CDBG is set aside for CDBG and HOME Program administration and planning.
Promoting Housing Stability
CDBG: $1,482,650 HOME: $400,000
To meet the housing stability goal for PY26, the county will continue to provide significant funding to home repair programs, including increased support for manufactured housing repair. The county expects to rehabilitate about 80 homeowner housing units. CDBG resources will also prioritize financial assistance designed to prevent evictions and homelessness. Through this assistance the county expects to help 435 residents maintain stable housing.
- Area Congregations Together in Services (ACTS) is recommended to receive $90,000 CDBG funding to provide rental assistance and eviction diversion services for 45 households, serving an estimated 135 individuals.
- Chesterfield Colonial Heights Alliance for Social Ministry (CCHASM) is recommended to receive $55,000 CDBG funding to provide financial assistance for rent or utilities to help prevent eviction for 93 households, serving an estimated 270 individuals.
- Commonwealth Catholic Charities is recommended to receive $50,000 in CDBG funding to provide relocation assistance for residents of Shady Hill Mobile Home Community.
- Homeward is the regional homeless resource coordinator for the area and coordinates and tracks homeless services. Homeward is recommended to receive $17,500 CDBG funding to continue being data source for homelessness and share best practices and programs to support those experiencing homelessness.
- project:HOMES is recommended to receive $398,000 in CDBG funding to continue providing critical home repair services, including home repair services to manufactured housing, to 20 households.
- project:HOMES is recommended to receive $472,150 in CDBG funding to provide home repair services for residents of Shady Hill Mobile Home Community following its recent rezoning. The rezoning requires improvements to the park that enhance the health, safety and welfare of residents.
- project:HOMES is recommended to receive $400,000 in HOME funding to provide comprehensive home repair services for eight eligible homeowners.
- Richmond Metropolitan Habitat for Humanity is recommended to receive $400,000 CDBG funding to provide home repair services, including home repair services to manufactured housing, for 20 households.
Create New Affordable Housing Opportunities
HOME: $171,998.64
To expand affordable housing opportunities, the county will fund Richmond Metropolitan Habitat for Humanity's CHDO program to construct one new single-family home for sale to a low- to moderate-income household. The county will also support HOMES Inc.'s downpayment assistance program to help approximately four households achieve homeownership.
- Housing Opportunities Made Equal of Virginia is recommended to receive $85,000 HOME funding for their Downpayment and Closing Cost Assistance program for four first-time homebuyers.
- Richmond Metropolitan Habitat for Humanity is recommended to receive $89,998.64 HOME CHDO funding to construct a new affordable single-family home.
Expand Homeless and Special Needs Resources
CDBG: $40,000.00
To expand resources for people experiencing homelessness and individuals with special needs, the county will provide funding to Camp Baker for HVAC upgrades. These public facility improvements will enable SOAR365 to enhance service delivery and increase the number of Chesterfield residents with disabilities who can participate in its programs. In is expected that about 120 Chesterfield residents will be served at Camp Baker in PY26.
- SOAR365 is recommended to receive $40,000 in CDBG funding to enhance their Camp Baker facilities to better serve participants with disabilities.
Expand Public Services for Low-Moderate Income Residents
CDBG: $78,000.00
Chesterfield County expects to assist about 1,250 residents through public service activities. These efforts aim to support the well-being of county residents and expand economic opportunities by increasing access to public services, including programs for at-risk youth and students, as well as workforce development and financial literacy training.
- Communities in Schools of Chesterfield is recommended to receive $23,000 CDBG public service funding to support their dropout prevention program aimed to improve academics, school attendance and behaviors.
- HumanKind is recommended $55,000 CDBG public service funding to promote economic opportunities for residents through their Ways to Work program.
Invest in Neighborhood Improvements
CDBG: $100,000.00
In PY26, the county will invest in neighborhood improvements by providing CDBG funding to support construction of the Colbrook Community Center. The new public facility will offer programming and resources for 300 residents of the Colbrook apartment community as well as the broader Route 1 community.
- Better Housing Coalition (BHC) is recommended to receive $100,000 in CDBG funding for their community center at Colbrook Apartments located on Route 1 corridor.
Geographic Distribution
The target areas where the county plans to prioritize housing and community development investments for program years 2025-2029 will include four commercial corridors and the surrounding neighborhoods: Northern Route 1 Corridor, Eastern Route 60 Corridor, Eastern Route 360 Corridor, and Route 10 Corridor. Additionally, the Ettrick community in the southern part of the county will be a target area with a focus on community-based planning efforts and revitalization. In PY26, the county anticipates a significant emphasis on manufactured home repairs within the Shady Hill Mobile Home Community and the surrounding neighborhoods along the Northern Route 1 Corridor, with approximately 29% of total funding projected for this target area. The county's home repair programs also prioritize the Ettrick neighborhood, where an estimated 5% of funds will be directed, along with 3% designated for home repairs in the neighborhoods surrounding the other corridors. The remaining 57% of funding is expected to support countywide projects and programs. Targeting investments to specific geographic areas enables the county to have a more distinct and sustained impact on neighborhoods and communities. The goal is to target strategic investments in these areas, especially along the commercial corridors with high potential for infill development and/or redevelopment, in efforts to encourage additional investment and revitalization. In addition to prioritizing CDBG and HOME investment in these target areas, the county plans for these areas to be subject to exemption to the road cash proffers policy; fee waivers that are aimed to reduce some costs associated with development to incentivize development in the areas. Sections of the target areas also fall under the Technology Zone Program where incentives are designed to encourage business expansion and recruitment.
Affordable Housing
In the 2026-2027 Program Year, CDBG and HOME funds will be used to address affordable housing needs in Chesterfield County in multiple ways. It is anticipated that Habitat for Humanity will utilize CHDO funds to produce one new homeownership unit. Project:HOMES and Habitat for Humanity will collectively provide approximately 80 households with home repair services. Housing Opportunities Made Equal will provide approximately four first-time homebuyers with down-payment assistance to acquire existing units. Lastly, CCHASM and ACTS will provide financial assistance to prevent eviction for approximately 135 households.
Barriers to Affordable Housing
The county is pursuing several strategies to reduce barriers to affordable housing. These include prioritizing HOME funds for downpayment assistance and housing counseling to increase affordable homeownership opportunities for low-and moderate-income households and continuing county partnership for the Maggie Walker Community Land Trust. The county also plans to use blight removal, where appropriate, as a tool to encourage a property owner to sell to a nonprofit that can rehabilitate or redevelop a home as affordable housing. In addition, as of March 2026, the county continues to offer a partial tax exemption for the rehabilitation, renovation, or replacement of qualifying residential structures. In PY25, Chesterfield County adopted a thoroughly updated Zoning Ordinance through Zoning Ordinance Modernization (“ZOMod”) project, effective January 1, 2026. The revised ordinance now aligns with modern development patterns and reduces the time and resources required for projects to secure zoning approval. It allows for a wider range of housing types and lot sizes to better meet the community’s diverse needs across all stages of life and includes new provisions permitting accessory dwelling units. A significant change is the removal of the density cap in multifamily housing, allowing developments to reach maximum densities recommended in the county’s Comprehensive Plan. These updates collectively support the development of a wider variety of housing products that have the potential to be accessible and affordable to more residents. By allowing greater density, developments can spread fixed costs over more units, increasing housing affordability
Homeless and Other Special Needs Activities
Chesterfield County supports a regional network of outreach, prevention and housing programs to address homelessness and special needs population. The county work with the Greater Richmond Continuum of Care (GRCoC), which provides access to services through the Homeless Connection Line and coordinated street outreach teams. County agencies and Chesterfield County Public Schools also identify and assist families qualifying under the McKinney-Vento Act. Chesterfield staff participate in GRCoC's point-in-time counts and are working to improve internal coordination for housing navigation for Chesterfield residents. Because the county does not operate its own shelter, residents rely on the regional emergency shelters and transitional housing programs, including GRCoC's 380 year-round shelter beds and inclement weather shelter. Chesterfield partners with the Domestic and Sexual Violence Resource Center, the YWCA of Richmond and The James House to support survivors of intimate partner violence. The county is also exploring development of a local shelter facility and recommending the use of CDBG and county general funds to support emergency sheltering and rapid rehousing. To help residents transition to permanent housing, the county supports regional Rapid Rehousing and Permanent Support Housing programs, which served more than 1,300 people combined in the past year. Chesterfield is contributing $1.8 million in HOME-ARP funding to SupportWorks Housing's planned Greenview Apartments project, which will include about 60 supportive housing units. Prevention efforts include eviction diversion programs, utility assistance and extensive home repair initiatives to help homeowners remain safely housed. The county partners closely with nonprofits such as ACTS and CCHASM and continues to explore dedicated funding for additional homelessness prevention and rehousing services. Mental Health Support Services also provides supportive housing and case management to help individuals with behavioral health needs transition from institutional settings to stable housing.
Conclusion
Chesterfield County's FY27/PY26 Annual Action Plan reflects the county's ongoing commitment to strengthening housing stability, expanding affordable housing options and improving the well-being of Chesterfield residents. Through strategic investments in home repair, eviction prevention, public services and neighborhood improvements, the county aims to address priority needs identified by residents, partners and local data. The county will continue to engage the public, work closely with community organizations and evaluate progress to ensure meaningful impact for Chesterfield County. The proposed use of funds for the Program Year 2026 (PY26), and Fiscal Year 2027 (FY27) is subject to change based on the official allocation from the U.S. Department of Housing and Urban Development. A PDF version of the draft FY27 Annual Action Plan is available for review. Contact Community Enhancement staff to request a copy.