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HUD approves GLO state action plans for 2018 and 2019 disaster funding allocations

AUSTIN – Today Texas Land Commissioner George P. Bush announced the U.S. Department of Housing and Urban Development (HUD) approved two state action plans detailing the distribution and eligible uses of more than $285 million in Community Development Block Grant Disaster Recovery (CDBG-DR) funds to assist in long-term recovery efforts following severe flooding in 2018 and 2019 in South Texas and the Lower Rio Grande Valley and Tropical Storm Imelda in Southeast Texas. To view the action plans, please visit recovery.texas.gov/action-plans.

“In 2018 and 2019, the State of Texas was once again hit with storms that brought significant flooding and damage to several coastal areas,” said Commissioner Bush. “This repetitive flooding highlights how important long-term recovery dollars are to rebuilding communities and increasing resiliency against future storms. Using strategic housing and infrastructure recovery programs, the GLO is positioning Texas for a more comprehensive recovery that will truly help communities rebuild.”

In accordance with the CDBG-DR requirements, and to expedite the recovery process funding, the GLO will directly administer and oversee the following programs.

 2018 South Texas Floods

  • $72.913 million allocation
  • At least 80 percent of the allocation must address unmet needs in the HUD-designated Most Impacted and Distressed (HUD MID) county.
  • At least 70 percent of CDBG-DR funds must benefit low- and moderate-income (LMI) persons.
  • Three CDBG-DR Eligible Counties:
  • HUD MID: Hidalgo
  • State MID: Cameron, Jim Wells
  • The total allocation must be expended in six years.

Programs details:

 Homeowner Assistance Program ($31.7 million): Provides funding for rehabilitation and reconstruction of owner-occupied single-family homes damaged by the 2018 South Texas Floods.

 Homeowner Reimbursement Program ($3.47 million): Provides funding for eligible expenses and Small Business Administration (SBA) disaster home loans incurred by homeowners for repairs to a primary residence prior to application for these funds. Up to $50,000 per household may be reimbursed.

 Affordable Rental Program ($10.11 million): Provides funding for rehabilitation, reconstruction, and new construction of affordable multifamily housing projects. The GLO allocated program funds to address unmet rental needs in counties impacted by the 2018 South Texas Floods. Maximum award is $10 million per development.

Infrastructure Competition ($19.69 million): The Infrastructure Competition will provide disaster relief, long-term recovery, and restoration of infrastructure for local communities. Each applicant may submit a total of two applications, whether applying as the lone applicant or jointly with another jurisdiction(s). Each application must consist of one project. Minimum award is $250,000 and maximum award is $1,000,000.

 Local, Regional, and State Planning ($3.64 million): Provides funding for regional and statewide planning studies and tools that work to reduce risks and impacts of future disasters.

 2019 Disasters

  • $212.74 million allocation
  • At least 80 percent of the allocation must address unmet needs in the HUD-designated Most Impacted and Distressed (HUD MID) counties.
  • At least 70% of total funds must be used for activities benefiting low- and moderate-income (LMI) persons.
  • Ten CDBG-DR Eligible Counties:
  • HUD MID: Cameron, Chambers, Harris, Hidalgo, Jefferson, Liberty, Montgomery, and Orange
  • State MID: San Jacinto, and Willacy
  • The total allocation must be expended in six years.