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HUD Disaster Recovery Overview IRWA FAU - 2013. U.S. Department of Housing and Urban Development. CPD Program Funding. CDBG HOME CDBG-DR Supplemental funding Flexibility of CDBG program Waivers & alternative requirements. The Process.
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HUD Disaster Recovery Overview IRWA FAU - 2013 U.S. Department of Housing and Urban Development
CPD Program Funding • CDBG • HOME • CDBG-DR • Supplemental funding • Flexibility of CDBG program • Waivers & alternative requirements
After a disaster is Presidentially-Declared… Congress Local Gov’t Local Agency HUD Approves Appropriation State State Agency Calculates & announces allocations Publishes a Notice in the Federal Register Awards funds Administers Directly and/or Distributes
Congressional Appropriations $46+ billion CDBG-DR since FY2001 • FY 2013 – $16 billion - Hurricane Sandy • FY 2008 - $6.1 billion - Hurricanes Ike, Gustav and Dolly • FY 2006 - $16.7 billion - Hurricanes Katrina, Rita, and Wilma • FY 2002 - $2.783 billion – post 9/11 recovery efforts • FY 2001 - $700 million – post 9/11 recovery efforts
The Appropriation Laws Funds must be used for: “…necessary expenses related to disaster relief, long-term recovery, and restoration of infrastructure, housing, and economic revitalization…”
What does this mean? For CDBG disaster recovery, 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 regs and waivers) • meet a national objective
“Recovery” Activities Disaster-related activities are those that are able to demonstrate a logical connection between the impacts of the covered disaster and the activity’s contribution to community recovery. Examples: • rebuilding homes and infrastructure damaged by the disaster • providing assistance to affected business owners
Housing Activities that lead to restoring and improving the housing stock Examples: • new construction • rehabilitation/reconstruction • single family or multifamily • owner or rental
Restoration of Infrastructure Activities that rebuild or replace impacted public infrastructure Examples: • May obtain waiver for “buildings for the general conduct of government” • Schools • Health care facilities • Water & wastewater facilities
Economic Revitalization Activities that serve to address job losses, impacts to tax revenues, and impacts to businesses Examples: • Job training and workforce development • Loans and grants to businesses • Improvements to commercial/retail districts
Waivers Per the appropriation laws: • the Secretary of HUD maywaive, or specify alternative requirements for, any provision of any statute or regulation that the Secretary administers in connection with the obligation by the Secretary or the use by the recipient of these funds or guarantees (except for requirements related to fair housing, nondiscrimination, labor standards, and the environment)…
Waivers (cont.) • …upon a request by the grantee explaining why such waiver is required to facilitate the use of such funds or guarantees, if the Secretary finds that such waiver would not be inconsistent with the overall purpose of Title I of the Housing and Community Development Act of 1974
Common Waivers and Suspensions of Acquisition and Relocation Requirements URA • 49 CFR 24.2(a)(6)(viii) and 24.402(b)(2) and 24.404 (30% of income) • 49 CFR 24.2(a)(6)(ix) and 24.402(b) (comparable replacement dwelling and rental assistance payment) • May offer tenant-based rental assistance • 49 CFR 24.101(B)(2)(i)-(ii) (arm’s length voluntary purchase) • 49 CFR 24.302 (fixed payment for moving expense)
Common Waivers and Suspensions of Acquisition and Relocation Requirements Section 104(d) • 24 CFR 42.350 (Relocation Assistance for Displaced Persons) • 60 months of assistance v. 42 months • 24 CFR 42.375 (One-for-One Replacement of Housing Requirements) • Exemption for certain disaster-damaged units
Common Waivers and Suspensions of Acquisition and Relocation Requirements Optional Relocation Assistance* • 24 CFR 92.353(d) and • 24 CFR 570.606(d) (requirements to establish optional relocation policies at the Grantee or State level) *HUD program regulations for the HOME Program and the Community Development Block Grant Program permit relocation assistance: • to displaced persons at levels in excess of URA requirements; and • where persons are displaced as a result of HUD-assisted activities not covered by the Uniform Act.
Resources • HUD Real Estate and Relocation website: http://www.hud.gov/relocation • CDBG Disaster Recovery website: http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/communitydevelopment/programs/drsi • Sandy Notice / CDBG-DR: FR/Vol. 78, No. 43 – March 5, 2013