First HUD Recovery Allocations
The Department of Housing and Urban Development has now allocated nearly $1.8 billion in Community Development Block Grant (CDBG) Disaster Recovery funding to New York City. This represents the first round of CDBG grants from the Disaster Relief Appropriations Act of 2013 signed into law by President Obama on January 29th.
According to a media release, this is the fastest HUD has allocated CDBG funding following the passage of a funding bill, and is in addition to approximately $1.7 billion allocated directly to the State of New York.
“It is critical for HUD to make this funding available as quickly as possible so families can begin rebuilding and repairing their homes and small businesses can get back on their feet,” said HUD Secretary Shaun Donovan He also chairs the Hurricane Sandy Rebuilding Task Force established by President Obama in December.
Said Donovan, HUD continues to “ focus on providing funding and resources to those in the most immediate need, while laying the groundwork for the region to rebuild in ways that make communities stronger, more economically sustainable and more resilient.”
“These funds will help New Yorkers who were the hardest hit by Sandy get back on their feet,” said Mayor Michael Bloomberg. “This allocation is evidence of the great cooperation we’ve had since day one from every branch and arm of the Federal government.”
The CDBG Disaster Recovery funding gives grantees significant flexibility in determining how best to use their funds to meet the greatest unmet needs. In general, the funds are for the restoration of housing and infrastructure as well as economic revitalization in disaster impacted areas.
These funds are to meet recovery needs that are not otherwise covered by insurance, FEMA, SBA, or other sources. HUD expects the first round of allocations to focus largely on housing and small business needs.