A Review of Federal Funding Disaster Relief for those affected by Super Storm Sandy

1. A Review of Federal Funding Disaster Relief for those affected by Super Storm Sandy Monmouth County Division of Planning

2. Overlap in Funding Eligibility

3. Disaster Relief Matrix - Individual

4. Example of Available Assistance for a Homeowner Same funding

5. Temporary Housing • Debris Removal • Emergency Protective Measures • Roads & Bridges • Water Control Facilities • Buildings & Equipment • Utilities • Parks, Rec. Fac, & Other Fac. Economic Revitalization Repairs/ Replacement/ Rehabilitation Can be used as non-Federal match funds Hazard Mitigation Projects • House Elevation • House Relocation • House Demolition • Floodproofing (non-residential or approved resident. exception) Administrative/ Management Costs Acquisitions Hazard Mitigation Planning Personal Property Coverage • Home & Personal Property • Business Physical Disaster • Economic Injury • Mil. Res. E.I. Connections between Federal Funding Options

6. Eligible Participant You are located in a federally declared disaster area. You have filed your insurance claim or your property is not covered by insurance It is your primary residence, where you live most of the year You are not able to live in your home Your or someone you live with is a US citizen, non-citizen national or qualified alien Ineligible Participant The home is not a primary residence (i.e. it is a second home or vacation home) You have refused assistance from your insurance provider Your losses are business–related Your expense resulted from precautionary evacuation activities – you were able to return home immediately after the incident You have adequate rent-free housing that you can use The damaged home is located in a community that does not participate in the NFIP – in this case the flood damage would not be covered, however you may qualify for rental assistance or other needs not covered by flood insurance (all Monmouth Co. towns participate except for Shrewsbury Twp.) Eligible Costs/Uses – to help with critical expenses that cannot be covered in other ways Temporary Housing (e.g. rental assistance or government provided housing unit) Repair damages not covered by insurance & to make the damaged home safe, sanitary & functional. To help homeowner with the cost of replacing their destroyed home Other Need for necessary & serious expenses (e.g. medical, dental, funeral, personal property, transportation, moving/storage) Limitations IHP will not cover all of your losses from damage to your property. IHP is not intended to restore your damaged property to pre-disaster condition – it is to return to a functional structure. By law, IHP cannot provide you for losses that are covered by your insurance. IHP does not cover business-related losses Appeals You may appeal any decision (e.g. eligibility, amount or type of aid provided late applications, request to return money or questions regarding continuing help) postmarked within 60 days of FEMA decision letter date. 1-Individual & Household Assistance Program Eligibility

7. Key Notes If you do not use the money as explained by FEMA, you may not be eligible for any additional help & may have to give the money back Disaster help is usually limited to up to 18 months from the date of the Presidentially-declared disaster This is a grant which does not have to be repaid pending proper use of funds The funds are tax-free The funds are not counted as income or a resource for determining eligibility for welfare, income assistance or income-tested benefit programs funded by the Federal government The funds may not be reassigned or transferred to another person You must keep receipts or bills for 3 years to demonstrate how all of the money was used in meeting your disaster-related need IHP and Flood Insurance If your insurance claim is delayed 30+ days from the time you filed, FEMA may find you eligible to award you funds as an advance which would be paid back upon receiving your insurance settlement If your maximum insurance settlement is insufficient to meet your disaster-related needs & you still have unmet disaster-related needs – you may write FEMA and request additional assistance If you have exhausted your insurance settlement’s maximum Additional Living Expenses (ALE) & you still have unmet disaster-related needs – you may write to FEMA and request additional assistance The FEMA Helpline is available to help you locate an available rental resources in the disaster area. 1-800-621-FEMA Online housing resources: FEMA Housing Portal New Jersey Housing Resource Center Socialserve.com 1-Individual & Household Assistance Program Eligibility

8. Eligible Participants All owners of eligible property (a building and/or its contents) located in a community participating in the NFIP Standard Dwelling (Single Family House) General Property (5 or more family residential building & non-residential buildings) Residential Condominium Building Association Owners and Renters Standard Flood Insurance Policies (SFIP) 1-year term 2 types of Coverage Building Property Personal Property Ten percent of a dwelling’s building coverage may be applied to a detached garage. Residential detached garages used, or held in use, for residential business or farming are not covered under the dwelling policy. These detached garages and other accessory structures must be insured under a separate policy. Key Notes The National Flood Insurance Reform act of 1994 requires individual in Special Flood Hazard Zones (SFHZ) who receive disaster assistance for losses to real or personal property to purchase & maintain flood insurance coverage for as long as the live in the dwelling Identify the flood zone the structure is located in using Flood Rate Insurance Maps (FIRM) Find out if your community participates in the NFIP To determine if your property is in a SFHZ visit your local community planning or building permit department. Digital maps can be views on FEMA’s Region 2 website or FEMA’s Map Information Exchange. 2 - National Flood Insurance Program (NFIP)

9. Coverage Limitations of Standard Flood Insurance Policies (SFIP) Insurable Any building with 2 or more outside rigid walls & fully secured roof affixed to a permanent site. Must resist flotation, collapse & lateral movement. Must be located in a community that participates in the NFIP Items such as artwork, collectibles, jewelry & similar articles are limited to $2,500 of the total coverage limits Uninsurable Buildings entirely over water or principally below ground, gas & liquid storage tanks, animals, birds, fish, aircraft, wharves, piers, bulkheads, growing corps, shrubbery, land, livestock, roads, machinery or equipment in the open & most motor vehicles Basements – coverage is available for certain mechanical equipment necessary for the habitability of a building. Finished elements are not covered. Important Facts about Standard Flood Insurance Policies (SFIP) Contents coverage must be purchased separately It is not a valued policy – flood insurance plays the actual cash value (ACV) or replacement cost of actual damages up to the policy limit It is not a guaranteed replacement cost policy – it does not pay more than the policy limit regardless of the limit or liability For a complete list of coverages refer to any SFIP form, Section 3, Property Covered, Part A. Building Property – 8.a. (1) - (17) and b., for building items covered. For Personal Property, refer to Section 3,. Property Covered, Part B. Personal Property – 4. a., b., & c. 2 - National Flood Insurance Program (NFIP)

10. Eligible Participants SFIP Policyholders who’s insured building meets 1 of 2 conditions: 1) Determined to be substantially damaged (damage exceeds more than 50% of the value of the building prior to damage occurring); 2) Meets the criteria of a repetitive loss structure Eligible Costs/Uses ICC coverage only applies to flood-related damage Helps pay toward the cost to elevate, floodproof (non-residential only), demolish or relocate the building Basements can be floodproofed using ICC payments ONLY if the building is located in a community approved for residential basement exceptions by FEMA FEMA allows NFIP policyholders to assign their ICC claim benefits to the community when they are participating in a FEMA-funded mitigation program. Coordination must be done through the community and the property owner. The ICC payment can be used to match a FEMA mitigation grant to cover the remaining costs. Limitations The $30,000 maximum amount collected through ICC is in addition to the amount the policy holder receive for physical damages by flood. The total amount the policyholder receives for combined structural damage & ICC is always capped by the maximum limit of coverage established by Congress Key Notes Helps pay for the cost to comply with state or community floodplain management laws or ordinances from a flood even in which a building has been declared substantially damaged or repetitively damaged ICC coverage is included in all Standard Flood Insurance Policies, however not all buildings are eligible (i.e. substantially damaged declaration). ICC is Coverage D in every SFIP. ICC is only available for accessory buildings only when a separate flood insurance policy is written on that building (i.e. detached garage) ICC does not extend to other remodeling or construction improvements that are not required to meet minimum floodplain management requirements 3 - Increased Cost of Compliance (ICC)

11. 2 & 3 - Maximum Limits of Coverage for Flood Insurance Direct Loss Payments and ICC

12. Eligible Participants SBA LOANS ARE NOT JUST FOR BUSINESSES or BUSINESS OWNERS SBA provides loans to homeowners, renters, businesses and most private, non-profit organizations to repair or replace real estate, personal property, equipment and business assets that have been damaged in a disaster. Individuals with reasonable assurance that he or she can repay the loan out of personal or business cash flow, and must have satisfactory credit & character Immediate Disaster Assistance Program (IDAP) Available for small business that have suffered physical damage or economic injury due to a declared disaster. This is an interim loan not to exceed $25,000 to meet immediate business needs while long-term financing is from a disaster loan is pending with SBA Other eligibility requirements apply per SBA policies Types of Disaster Loans Home & Personal Property Loans Up to $40,000 for personal items Up to $200,000 for repair/replacement of primary residence Business Physical Disaster Loans Up to $2Million to repair or replace damaged real estate, equipment, inventory & fixtures Economic Injury Disaster Loans Up to $2Million to meet necessary financial obligations Military Reservists Economic Injury Loan Up to $2Million to provide needed working capital to a small business if an essential employee is called up to active duty Homeowner Association Unit Owner Up to $40,000 for personal items Up to $200,000 for repair/replacement of primary residence HOAs, PUD, Co-ops, condominium & other common interest developments Up to $2Million to repair or replace disaster-damaged common elements not fully covered by insurance or other disaster recoveries 4 - Small Business Administration (SBA) Loans

13. MOST DISASTER AID FROM THE FEDERAL GOVERNMENT IS IN THE FORM OF LOANS FROM THE SMALL BUSINESS ADMINISTRATION (SBA) ELIGIBILITY FOR OTHER DISASTER RELIEF FUNDS MAY BE AFFECTED IF YOU DO NOT FILL OUT AN APPLICATION FOR AN SBA LOAN SBA loans can be used as non-federal matching cost share for hazard mitigation projects that individuals collaborate with local community on Applying for a SBA loan does not require you to accept the funds, however not accepting the funds that you are eligible for may have an affect on other disaster relief funding DO NOT miss the filing deadline by waiting for an insurance settlement Key Points Under the Flood Disaster Protection Act of 1973 – a loan recipient must obtain flood insurance if the proceeds of SBA financial assistance are used for property located in a special flood hazard area. This also applies to the business loan program regarding inventory, etc. contained in the building located in the special flood hazard zone. In general SBA will not require collateral to secure a disaster home loan or physical disaster business loan of less than $14,000 or an economic injury loan of $5,000 or less. Even if you do not have the collateral, you will not be declined as long as the SBA is reasonably sure you can repay your loan Misuse of SBA funds may result in criminal, civil or administrative action. Loan Use Restrictions Restore or replace your primary home & your personal or business property as nearly as possible to their pre-disaster condition, & within certain limits, to protect damaged or destroyed real property from possible future similar disasters Secondary homes or vacation properties are not eligible for these loans SBA cannot cover agriculture losses – contact USDA for recovery assistance 4 - Small Business Administration (SBA) Loans

15. Eligible Applicant (Grantee) Emergency management agency or a similar office Eligible Subapplicant (Subgrantee) State Agencies Local government/communities Private Non-Profit organizations (PNPs) – only eligible for HMGP funds Programs Hazard Mitigation Grant Program (HMGP) Pre-Disaster Mitigation (PDM) Flood Mitigation (FMA) Repetitive Flood Claim (RFC) Severe Repetitive Loss (SRL) Eligible Costs/Uses Used to provide protection to the undamaged parts of a facility (Section 404) Cost Sharing program Generally a 75% Federal funds/ 25% non-federal matching funds 3 Major Categories Mitigation Projects Hazard Mitigation Planning Management Costs Limitations Individuals may not apply on directly to FEMA for this type of funding, however individuals may partner up with their local government to participate in a hazard mitigation program, if available. There are certain activities that are NOT eligible for HMA funds as stand along projects but are eligible when included as a functional component of eligible mitigation activities such as: Real property or easement purchase required for completion of a project; Studies integral to the development & implementation of a mitigation project (e.g. hydrologic, hydraulic, engineering, drainage). Cost Sharing There are federal funds that ARE allowed to be used as non-federal cost share which include: 1) ICC payments 2) SBA loans 3) CDBG-DR grants 4) USDA farm service agency loan 5 – Hazard Mitigation Assistance Programs(Stafford Act Section 404 mitigation projects)

16. 5- Hazard Mitigation Assistance Repairs/ Replacement Temporary Housing *Although individual homeowners and businesses may not apply directly to the Hazard Mitigation Grant Program, a community may apply on their behalf. Check with your municipality about sponsoring an application. Can be used as non-Federal match funds State/Local Government Home & Personal Property Hazard Mitigation Grant Program CDBG-DR Business Physical Disaster Personal Property Economic Injury * In addition to the approved loan, assistance can be increased by the lesser of the cost of the mitigation measure or up to 20% of the total amount of disaster damage up to $200,000.

17. Flood Mitigation Assistance Repetitive Flood Claims Severe Repetitive Loss Hazard Mitigation Grant Program Pre-Disaster Mitigation 5 - Hazard Mitigation Funding available to help homeowners implement flood retrofitting projects Projects fall into 3 basic categories: 1) Mitigation Projects, 2)Hazard Mitigation Planning & 3) Administrative Costs

19. 5 - FEMA Hazard Mitigation Cost Share Requirements

20. Eligible Grantee States/local governments located in Presidentially-declared disaster areas. These communities must have significant unmet recovery needs and the capacity to carry out a disaster recovery program Activities Funds must be used for: “…necessary expenses related to disaster relief, long-term recovery & restoration of infrastructure, housing & economic revitalization…” Each Activity must: Address a disaster-related impact (direct or indirect) in a Presidentially-declared county for the covered disaster Be a CDBG eligible activity (according to regulations and waivers) Meet a National Objective 1. Benefit persons of low & moderate income, 2. aid in the prevention or elimination of slums or blight 3. or meet other urgent community development needs because existing conditions pose a serious & immediate threat to the health & welfare of the community where other financial resources are not available. Funds can be used as the non-federal match for FEMA Public Assistance Projects, FEMA Hazard Mitigation Grant Program & USACE projects where not all funding has been fully appropriated to USACE or requires USACE to pay for the entire project. Limitations Funds must supplement, NOT REPLACE, other sources of federal disaster recovery assistance. Non-competitive, non-recurring Disaster Recover grants that consider unmet needs by other Federal Disaster assistance programs Examples of Eligible Costs/Uses Rebuild homes & infrastructure (i.e. [emergency] reconstruction of essential water, sewer, electrical and telephone facilities) damaged by the disaster Provide assistance to affected business owners (i.e. retain/create jobs) Residential or commercial property buyouts/Buying damaged properties in a flood plain & relocating residents to safer areas Floodplain mapping & landuse planning Elevating, floodproofing, outfitting with roof straps, storm shutters, stronger materials Debris removal not covered by FEMA Code enforcement homeownership activities such as down payment assistance, interest rate subsidies & loan guarantees for disaster victims; Public services (generally limited to no more than 15 percent of the grant); Planning & administration costs (limited to no more than 20 percent of the grant) 6 – Community Development Block Grant – Disaster Relief (CDBG-DR)

21. Visit DisasterAssistance.gov to take the Questionnaire and get a personalized list of possible assistance, apply for assistance or check your application status Prepare. Plan. Stay Informed. Visit Ready.gov (FEMA) or ready.nj.gov (NJ Office of Emergency Management) Visit the CDC for tips on Emergency Preparedness and Response At DisasterAssistance.gov, there are over 70 forms of disaster assistance from 17 Federal Agencies available. Click the hyperlinks to certain relief programs: US Dept of Agriculture USDA Food and Nutrition Service USDA Farm Service Agency USDA NRCS Emergency Watershed Protection Program US Dept of Labor - Disaster Unemployment Assistance US Dept of Health & Human Services Disaster Assistance for Older Americans Disaster Distress US Treasury Disaster Assistance & Emergency Relief Program (tax counseling & assistance) Savings Bond Redemption & Replacement 7 – Other Federal Disaster Relief Assistance Program and Preparedness Information

22. 4 Building Blocks of Eligibility - Applicant, Facility, Work, & Cost Applicants Grantee is typically the State Subgrantees: State agency, local government, American/Native American Indian Tribes, Certain Private Nonprofit organizations or other legal entity to which public assistance funds are awarded. Facilities Public : Roads (non Federal), Sewage Treatment Plants, Airports, Irrigation Channels, Schools Buildings Bridges & Culverts Utilities Private non-profit Facilities: Educational facilities, Gas, water & power systems, Emergency facilities, Medical facilities, Custodial car facilities, Other essential government services Work must fit into 1 of the 7 categories defined as Public Assistance Emergency Work Category A: Debris Removal Category B: Emergency Protective Measures Permanent Work Category C: Roads & Bridges Category D: Water Control Facilities Category E: Buildings & Equipment Category F: Utilities Category G: Parks, Recreational Facilities & Other Facilities Cost Reasonable costs can be established through historical documentation of similar work, average costs of similar work in the area, published unit costs from national cost estimating database or FEMA cost codes 50% Rule: If the repair cost divided by the replacement cost is less than0.5, then only the repair cost is eligible. If the repair cost divided by the replacement cost is more than or equal to 0.5, then the replacement cost is eligible. Limitations This is a grant program and not simply a reimbursement of funds Individual Private Property is not generally included in this type of assistance. Debris on private property rarely meets the public interest standard because it does not affect the public-at-large & often is not the legal responsibility of a State or local government. Debris removal from private property is usually the responsibility of the individual property owner. Demolition and removal of a private building or structure may qualify if it poses an immediate threat to the safety of the general public Damage that results from a cause other than the designated event, such as a pre-disaster damaging event, post-disaster damaging event, or work to correct inadequacies that existed prior to the disaster, is not eligible. Damage caused during the performance of eligible work may be eligible Restrictions Alternate use – restoration only to the extent necessary to restore the immediate pre-disaster alternative purpose Inactive – any facility not in active use at time of disaster is in eligible unless applicant to demonstrate otherwise. Negligence Special consideration (i.e. insurance claims, Hazard Mitigation, Historic Preservation, Environmental Compliance) 8 – Public Assistance Programs(Stafford Act Section 406 mitigation projects)

23. Sandy Affected Residents April 1, 2013 APPLICATION DEADLINE!!! For FEMA and SBA Assistance Not filling out an SBA loan application may affect your eligibility for other Federal disaster relief programs • Register with FEMA – call 1-800-621-FEMA (3362) *REMEMBER TO UPDATE YOUR CONTACT INFORMATION WITH FEMA AS NEEDED* • Register with SBA (Small Business Administration) in person @ a Disaster Recovery Centerhttp://asd.fema.gov/inter/locator/home.htm or online https://disasterloan.sba.gov/ela/ IF YOU QUALIFY, YOU DO NOT HAVE TO ACCEPT THE LOAN Some Federal Agencies use SBA information to determine your Community’s Disaster Needs

24. Sandy Affected Residents • FEMA’s New Jersey Hurricane Sandy Website http://www.fema.gov/disaster/4086 • Wide Array Of Disaster Help Available http://www.fema.gov/disaster/4086/updates/wide-array-disaster-help-available • Hurricane Sandy Recovery Resource List http://www.fema.gov/disaster/4086/updates/hurricane-sandy-recovery-resource-list • Hurricane Sandy Mitigation Resources http://www.fema.gov/region-vi/hurricane-sandy-mitigation-resources • NJ Office of Emergency Management Sandy Recovery http://www.ready.nj.gov/programs/sandy_recovery.html • Hurricane Sandy Advisory Base Flood Elevations (ABFEs) in New Jersey and New York   http://www.region2coastal.com/sandy/abfe • “What is my Advisory Base Flood Elevation (ABFE)?” Interactive Mapping Tool http://www.region2coastal.com/sandy/table

25. Presentation Sources • Robert T. Stafford Disaster Relief & Emergency Act as amended, and Related Authorities, FEMA 592, June 2007 • Biggert-Waters Flood Insurance Reform Act of 2012, HR 4348-512 • Code of Federal Regulations • Title 44: Emergency Management & Assistance, Part 206 – Federal Disaster Assistance • Title 44: Emergency Management & Assistance, Part 61 – Insurance Coverages & Assistance • Title 13: Business Credit & Assistance, Parts 120 – Business Loans & 123 - Disaster Loan Program • FEMA Public Assistance Guide, FEMA 322, June 2007, http://www.fema.gov/public-assistance-policy-and-guidance/public-assistance-guide • Public Assistance Applicant Handbook, FEMA P-323, 2010 • 9500 Series Policy Publications, http://www.fema.gov/9500-series-policy-publications • National Flood Insurance Program (NFIP) – Answers to Questions About the NFIP, FEMA F-084, March 2011 • NFIP, Increased Cost of Compliance Coverage – Guidance for State & Local Officials, FEMA 301, September 2003 • Hazard Mitigation Assistance Unified Guidance (HMGP, PDM, FMA, RFC, SRL), FEMA, June 1, 2010 • Engineering Principles & Practices for Retrofitting Flood-Prone Residential Structures (3rd Edition), FEMA P-259, January 2012 • Hazard Mitigation Assistance (HMA) Tool for Identifying Duplication of Benefits, FEMA, October 2012