Nonprofit CAAs that receive certain housing-related grants now have more flexibility related to board composition as a result of an update to the federal rules governing Community Housing Development Organizations (CHDOs). For many years, CAAs that wished to become or were CHDOs had to comply with a governance structure requirement restricting the number of public officials that could serve on its board. In February 2025, HUD revised the CHDO regulations so that the board composition requirements on public officials no longer apply to most nonprofit CAAs.
From Community to Boardroom: FAQ on Democratic Selection and the Low-Income Sector
Low-income individuals in the community have an important voice in the administration of poverty alleviating programs. The federal Community Services Block Grant (CSBG) Act recognizes this and requires each Community Action Agency (CAA) to have a tripartite board of...


