Funding Recovery: Strengthening Community Recovery by Integrating FEMA and HUD funds

Transcription

1 NY Governor s Office of Storm Recovery Planning for FEMA Match Funding Recovery: Strengthening Community Recovery by Integrating FEMA and HUD funds July 14, 2015 Kris VanOrsdel Managing Director, Infrastructure & Local Government Programs 1

2 Planning for FEMA Match What are the benefits from implementing and running Match Programs using CDBG-DR funds? 2

3 FEMA Match 101 What programs do FEMA operate that CDBG can match? Who is eligible to participate in these FEMA Programs? What areas does FEMA run the Public Assistance program in and how complicated is it? Where does FEMA run its HMGP program and is it the same as Public Assistance? 3

4 HMGP Global Match Why did New York Pursue it? Recognized budget shortfall to cover match Challenges in regulations to cover match from older disaster obligations Major buyout/acquisition program that appeared to meet both FEMA and HUD requirements Coalition of interested and proactive Federal, State and Local partners

5 HMGP Global Match is an opportunity to benefit and maximize from multiple funding sources Creates an arbitrage within your state s disaster resources to efficiently leverage funds Uses widespread federal funds for programs that all require a state match to meet criteria for each project Permits applicant to meet local match by receiving credit for state funds already being used towards similar projects Decreases burden on storm-damaged localities Allows applicant to potentially receive up to 100% Federal or Local Share 5

6 HMGP Global Match Four projects, three receive 100% FEMA funding, one receives 100% local share Both scenarios require equal FEMA and local share dollars Four projects, each receives 75% FEMA funding, 25% local share Size of disaster does not matter strategy can follow disaster recovery at any scale 6

7 How NYS is Using Global Match for HMGP State primarily using large CDBG-DR-funded home buyout program as Global Match for HMGP infrastructure and home acquisitions Identified projects where eligibility lines up between funding sources Especially useful when match funds (i.e. CDBG-DR) may not be eligible/viable for a committed project Global Match reduces NYS s new money match burden and allows approximately $240 million to be used for other recovery programs and budget shortfalls

8 Integrating Federal Resources is Not Necessarily Easy... Demand for funds always exceeds supply of dollars Traditional rules for funding can be restrictive Tension and uncertainty between Federal, state and local agencies leads to cautious and reserved decision making environment The current framework is complicated, resulting in overlapping mandates, conflicting rules, and redundant administrative requirements for each agency, creating roadblocks in disaster recovery. CDBG-DR s flexibility and ability to match projects can bridge many challenges 8

9 ...and the Need to Develop Creative Combinations is Apparent State, County and Local budgets are tight and the appetite for borrowing is extremely limited Disaster events usually weaken revenues which are needed to pay local match, which slows community recovery Thinking creatively to maximize disaster resources and minimize the burdens of using them on already damaged localities is key to long term recovery Non-Federal Share program local match programs can help with recovery if your are creative and don t take no for an answer! 9

10 Increasing dialogue between Federal, State, and Local partners, leads to success Constantly communicate and do outreach with local government Using the correct language with each partner is essential Carefully and frequently budget Global Match math is easy to botch and PA match obligations can increase very quickly State budget department buy-in is critical Federal agencies are increasingly open to new ideas, interpretations, and programs up to States and Locals to keep guiding them forward 10