elect to administer the nonentitlement funds, HUD awards competitive grants to units of general local government under the CDBG/Small Cities Program (14.219). Each State may use $100,000 plus up to two percent of its grant to administer the program and must match each Federal dollar in excess of $100,000 used for administration with a dollar of its own. Each State may use up to one percent of its grant to provide technical assistance to local governments and nonprofit program recipients. Units of general local government funded by the State may undertake a wide range of activities directed toward neighborhood vitalization, economic development, or provision of improved community facilities and services. Specific activities that can be carried out with block grant funds include acquisition of real property, relocation and demolition, rehabilitation of residential and nonresidential structures, direct assistance to facilitate and expand homeownership among persons of low and moderate income, and provision of public facilities and improvements, such as water and sewer facilities, streets, and neighborhood centers. In addition, block grant funds may be used to pay for certain public services within certain limits. Neighborhood- based nonprofit organizations, local development corporations, Small Business Investment Companies, or other nonprofit organizations serving the development needs on nonentitlement areas may act as subgrantees to carry
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