Neighborhood Grant Program

Eligible projects must:

• Support neighborhood goals
• Be highly visible and accessible to the public
• Provide a community benefit
• Enlist community participation and/or community support
• Result in an enhancement of the neighborhood
• Be feasibly completable within the given timeframe
• Have a plan and dedicated funding source for maintenance of the project (if applicable)
• Involve the benefiting neighborhood in project identification, planning, execution
• Be within Waco city limits

Projects not eligible for funding include:

• Duplication or expansion of an existing private or public program or service
• Ongoing services or requests that support service organizations’ operating budgets
• Projects that conflict with existing city policy
• Projects that conflict with the neighborhood association’s goals
• Projects that could negatively affect the neighborhood or other neighborhoods
• Projects exceeding the duration of six months to complete
• Maintenance of projects built with previous grants

Project Ideas

Neighborhood Events

Events and gatherings for the community, such as a food truck event or movie night, to bring the neighborhood together and increase the membership and involvement with the association’s efforts.

Neighborhood Organizing/Organizational Development/Capacity Building

Activities, services, and materials that generate new neighborhood connections and activities, expand the neighborhood association, educate neighborhood leaders, and/or promote involvement.

Neighborhood Preservation

Materials, programs, or services that sustain or improve the health, public safety, and/or welfare of the neighborhood, such as:

• Park amenities, community gardens, trash cans or benches in public locations,
• Neighborhood markers, or
• Metal neighborhood identity signs installed by city staff.

Neighborhood associations must:

• Be in the City of Waco and included in the list of neighborhood associations
• Have by-laws governing the organization
• Have Certificate of Formation or Articles of Incorporation filed with the Texas Secretary of State and be in good standing (Check your status on the Texas Comptroller Website.)
• Have membership open to all those living within their boundaries (as per the bylaws)
• Have a Federal Tax Identification Number to complete IRS Form W-9
• Have a bank account in the name of the neighborhood association
• Submit the application by the deadline
• Agree to submit the required project progress reports and final report

• Neighborhood associations that abandon a project will not be eligible to apply for two years.
• Neighborhood associations that do not complete a grant project as planned, or on-time, will not be eligible to apply for one year.
• Projects must be for public use, and any project that only benefits an individual or group will not be eligible.

Grant payments will not be made directly to the neighborhood association in advance of the incurred expense. Funds will be distributed on a reimbursement basis or through direct payment to vendors. Neighborhood associations can access funds in the following ways:

• Payment Direct to Vendor: The City can directly pay the approved company or vendor upon the receipt of an invoice from the neighborhood association. Credit card (purchase card) payments to vendors can typically be made within 10 days of receipt of the invoice from the neighborhood. However, if the vendor is not already a vendor with the City, they must allow additional time to submit the required forms to become a vendor.
• Purchase Order: The City can issue a purchase order to vendors on the City’s approved vendors list or vendors willing to be added to the list.
• Reimbursement: The neighborhood association may purchase the items themselves and submit the original itemized receipts to Neighborhood Engagement for reimbursement.
• • The reimbursement will not occur until the contract is complete and the final report is submitted and approved.
  • Please note that the City of Waco does not reimburse tax, and the neighborhood association will be required to provide their bank account information and submit a W-9 with their federal tax identification number.
  • As of October 1, 2025, payments will no longer be made by check. Each neighborhood must have an EFT (electronic funds transfer) authorization form on file with the City.

The City must follow the City’s Purchasing Policies and Competitive Bid Requirements and any applicable Purchasing Laws. All vendors or companies must be a vendor with the City of Waco or be eligible to become a vendor in order for the City to pay any invoices.

Funding Limits

Neighborhood associations must use grant funds by December 31 of the award year. If the project is completed under budget, the neighborhood association will only receive the amount required for the project and not the full requested funding amount.

Neighborhoods should not make any purchases or begin any stage of the project until the contract is signed and a Notice to Proceed is provided. Any expenses incurred prior to the official start of the project as determined by the City will not be reimbursed or considered part of the grant.

Funding availability from the City may vary each fiscal year, neighborhood associations may typically apply for:

• No more than one grant in their first grant year.
• No more than two* grants in any year thereafter. *depending on funding availability

Future project requests will be evaluated on the neighborhood association’s ability to successfully complete previous projects according to the expectations in the project request and contract.

If the neighborhood association is using an outside contractor or vendor, the neighborhood must request written bids or estimates from two different contractors or vendors for that same item or service to include in their application. Bids can be provided as a formal document, email, or text message (documented by screen shot).

• If an individual item costs more than $3,000, please consult with Neighborhood Engagement staff on bidding requirements and payment procedures.
• If several small items will be purchased from a single vendor (such as grocery, retailer, online vendor), please create an online order with all needed items and provide that “cart” or list and total amount as a bid for those items. (Do not purchase, just get current prices.)

In order to ensure the proposed grant funded projects are in the best interest of the neighborhood, the City requires written support from neighbors to demonstrate significant support for the proposed project. As part of the application, please include a Private Property Approval Form from any individuals or businesses that are most affected by the proposed project, especially if the project will be on their property. The application also requires a Neighborhood Support Petition with at least five signatures from neighbors in support of the project.

The Private Property Approval Form and the Neighborhood Support Petition Form are available in the Resources & Documents section.

1. The application is open each year in the Fall, as determined by staff, and is available online.
2. Once the application is submitted, staff will review for completeness and prepare the applications for the grant review committee.
3. The grant review committee will independently and collectively review the grant applications and prepare a list of recommended projects.
4. The recommended projects will be presented to the City Manager or designee for final approval. During the review and approval stages, neighborhood associations may be asked to provide additional information or documentation related to the proposed project.
5. Upon a decision, Neighborhood Engagement will provide the neighborhood association with notification of the decision. If approved, the notification will provide instructions on how to complete the contract with the City of Waco. The contract will include the amount of funds awarded, purpose of the funds, payment terms, funding time limits, reporting requirements, and other expectations.
6. Once the contract is signed by both the neighborhood association and the City, Neighborhood Engagement will issue a notice to proceed, and your neighborhood association can begin their approved project.
7. Neighborhood associations are expected to provide reports on the progress of the project. If the project is less than one month from contract execution to project completion, only a final report will be required. Neighborhood associations are also expected to take pictures throughout the grant funding process to record progress and completion, verify volunteer work (if applicable), and for the City to use as marketing material.
8. The grant project must be completed by December 31 of the award year. Completion includes finishing the neighborhood project, submitting invoices or reimbursement requests, and completing the final project report.

Grants will not be awarded until the following attachments are provided:

• Neighborhood association bylaws (current version)
• Proof of good standing with the Secretary of State. (Check your status on the Texas Comptroller Website.)
• Certificate of Formation or Articles of Incorporation
• Project budget (using the budget guidelines in the provided and preferred Excel format)
• Neighborhood Support Petition Form (with at least five signatures, preferably more)
• Recent bank statement (if you are providing a cash match from neighborhood funds)
• Proof of bank account (if you are not providing a cash match from neighborhood funds)
• Completed Form W-9.
• If your neighborhood association does not have an Employer Identification Number (EIN), visit the IRS website to get one.
• Landscaping or building plans of the proposed project site (if applicable)
• Bids or estimates (if applicable)
• Proof of commitment from partner or sponsor on company letterhead.
• Private Property Approval Form (if applicable)
• Any additional attachments relevant to the project.

Budget Requirements

The budget must include the following information:

• Line items for each major component for the project
• A short description of each line item
• Total cost of each line item
• Funding source (volunteer match, donation match, neighborhood cash match, or grant)
• Total cash match provided by the neighborhood association
• Total donated match of services, materials, or supplies
• Total volunteer match
• Total project match
• Total project cost
• Total grant funding requested (Cannot exceed grant maximum for the fiscal year or 75% of the total project cost)
• Percentages that show the neighborhood match is at least 25% of the total project cost

A sample project budget is available in the Resources & Documents section. The sample budget is not representative of accurate or reasonable costs for a specific project, and it is only a suggested budget format. You may use your own budget format as long as it includes the requested information above.

Project Evaluation

The Neighborhood Grant Committee is comprised of representatives from the following departments: Neighborhood Engagement, Housing & Community Development, Code Compliance, Parks & Recreation, Public Works, Solid Waste, and Police. The Committee evaluates applications in accordance with the evaluation sheet and selects successful applications for final approval by the City Manager. The Committee will evaluate each application based on the following criteria:

Should the number and value of requests for eligible projects exceed available grant funds, grants will be awarded to the highest scoring project first, then in descending order until all funds are distributed.