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HUD Awards $28 billion to Help Hard-Hit Areas Recover from Major Disasters

Apr 16, 2018

In a recent announcement, Department of Housing and Urban Development (HUD) announced that they planned to award $28 billion in funds to assist areas hit by recent major disasters across the United States. This is potential work for NECA member contractors who offer recovery and electrical services in these areas.The full text of the April 10 HUD release is below:

HUD AWARDS RECORD $28 BILLION TO HELP HARD-HIT AREAS IN NINE STATES, PUERTO RICO AND U.S. VIRGIN ISLANDS RECOVER FROM MAJOR DISASTERS 
Disaster recovery funds to help repair damaged housing, businesses and infrastructure

PREPApalosecothermalplantWASHINGTON – The U.S. Department of Housing and Urban Development (HUD) today awarded nearly $28 billion to support long-term disaster recovery in hard-hit areas in nine states, Puerto Rico and the U.S. Virgin Islands. These funds are provided through HUD’s Community Development Block Grant – Disaster Recovery (CDBG-DR) Program and will address seriously damaged housing, businesses and infrastructure from major disasters that occurred since 2015.

The grants announced today represent the largest single amount of disaster recovery assistance in HUD’s history and include more than $12 billion for major disasters that occurred in 2017 and nearly $16 billion to support ‘mitigation’ activities in areas that experienced major Presidentially declared disasters since 2015.  Mitigation can broadly be described as actions taken to protect communities from the predictable damage from future events.

“It’s clear that a number of states and local communities are still struggling to recover from a variety of natural disasters that occurred in the past three years,” said HUD Secretary Ben Carson. “These grants will help rebuild communities impacted by past disasters and will also protect them from major disasters in the future.”

DISASTER YEAR GRANTEE CDBG-DR AWARDS BASED ON
REMAINING 2017 UNMET NEEDS
CDBG-DR AWARDS FOR MITIGATION TOTAL
2017 State of California $124,155,000 $88,219,000 $212,374,000
2017 State of Florida $157,676,000 $549,684,000 $707,360,000
2017 State of Georgia $37,943,000 $26,961,000 $64,904,000
2017 State of Missouri $58,535,000 $41,592,000 $100,127,000
2017 Puerto Rico $10,153,130,000 $8,285,284,000 $18,438,414,000
2017 State of Texas $652,175,000 $4,074,456,000 $4,726,631,000
2017 U.S. Virgin Islands $846,870,000 $774,188,000 $1,621,058,000
2016 State of Louisiana $1,213,917,000 $1,213,917,000
2016 State of North Carolina $168,067,000 $168,067,000
2016 State of West Virginia $106,494,000 $106,494,000
2016 State of Texas $169,748,000 $169,748,000
2016 State of South Carolina $67,564,000 $67,564,000
2016 State of Florida $83,801,000 $83,801,000
2015 Columbia, SC $18,585,000 $18,585,000
2015 Houston, TX $61,884,000 $61,884,000
2015 Lexington County SC $15,185,000 $15,185,000
2015 Richland County, SC $21,864,000 $21,864,000
2015 San Marcos, TX $24,012,000 $24,012,000
2015 State of Texas $52,985,000 $52,985,000
2015 State of South Carolina $90,026,000 $90,026,000
TOTAL $12,030,484,000 $15,934,516,000 $27,965,000,000

Background

On February 9, 2018, President Trump signed Public Law 115-123, which provides $28 billion in CDBG-DR funding.  Congress requires that these funds be used for two purposes:

  1. Up to $16 billion to address remaining unmet needs from major disasters in 2017, including Hurricanes Harvey, Irma and Maria as well as California wildfires and subsequent mudslides.  Congress specified that at least $11 billion of this amount be targeted to Puerto Rico and the U.S. Virgin Islands, with $2 billion targeted to repair and upgrade the electrical grid in these jurisdictions.
     
  2. At least $12 billion to support mitigation activities among CDBG-DR grantees that experienced presidentially declared disasters from 2015 through 2017.  After addressing remaining 2017 unmet needs, the Department is able to make an additional $3.9 billion available for mitigation, bringing amount available for mitigation to nearly $16 billion for recent CDBG-DR grantees.

CDBG-DR grants support a variety of disaster recovery activities including housing redevelopment and rebuilding, business assistance, economic revitalization, and infrastructure repair. Grantees are required to spend the majority of these recovery funds in “most impacted” areas as identified by HUD. HUD will issue administrative guidelines shortly for use of the funds to address grantees’ long-term recovery needs, particularly in the area of housing recovery.

HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all.
More information about HUD and its programs is available on the Internet
at www.hud.gov and https://espanol.hud.gov.