Through the Community Development Block Grant (CDBG) program, HUD provides funds to local governments for a range of community development activities that benefit lower-income households. The Orange County Housing & Community Services (OCHCS) Department is responsible for distributing CDBG funds to the smaller cities in Orange County under the Urban County program. The City of La Palma has not applied for CDBG funds since the 1990s. However, the City Council has approved an extension to the Cooperative Agreement with the County of Orange to participate in the annual CDBG and HOME fund Urban County competitive process. The City intends to continue the agreement in order to ensure that local affordable housing opportunities remain.