CDR Overview. The Texas General Land Office Community Development and Revitalization Division (GLO-CDR)

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1 Overview The Texas General Land Office Community Development and Revitalization Division (GLO-) We work to rebuild communities, to put Texans back in their homes, and to help businesses recover after the trauma of disaster. George P. Bush Texas General Land Office Commissioner

2 GLO and Long-Term Disaster Recovery

3 Response vs. Recovery Disaster Response - performed by the Federal Emergency Management Agency (FEMA) and Texas Department of Emergency Management (TDEM) during and immediately following a disaster under the Stafford Act for FEMA and Governor Disaster Declaration for TDEM Disaster Recovery* Following Hurricane Harvey, the GLO partnered with FEMA to administer short-term housing recovery solutions to eligible applicants. Additionally, the GLO administers Community Development Block Grant for Disaster Recovery (CDBG-DR) funds as appropriated by Congress and allocated by the U.S. Department of Housing and Urban Development (HUD). *In 2016, Commissioner Bush changed the name of the program from Disaster Recovery to Community Development and Revitalization, alleviating the confusion with TDEMs response mission and highlighting the GLOs enduring mission, long-term disaster recovery, and community revitalization

4 Short-term Housing vs. Long-Term Recovery SHORT-TERM HOUSING FEMA/GLO-: Temporary Housing Provided during initial 18 months following event Programs funded by FEMA Programs administered by GLO Provides partial repairs or temporary housing Minimal environmental review Limited window of time to submit housing application Direct Housing Solutions and Partial Repairs and Essential Power for Sheltering (PREPS) LONG-TERM RECOVERY HUD/GLO-: Provided only after federal appropriation Funds granted directly to States, Units of General Local Government (UGLG), Indian tribes or insular areas for distribution State and local governments reconstruct homes Full construction to local code Expanded environmental review Can improve and harden beyond pre-event conditions Can be used for FEMA match Grant remains open until all activities are completed Must spend 70% on low-to-moderate income individuals Grants focus on Housing, Infrastructure and Planning

5 History of GLO and Recovery On September 14, 2017, Governor Greg Abbott designated the Texas General Land Office as the state lead for short-term housing recovery in partnership in FEMA. FEMA short-term housing programs: Direct Assistance Limited Home Repair (DAHLR) Multi-Family Lease and Repair Direct Lease Manufactured Housing Units (MHUs) Travel Trailers/Recreational Vehicles (TT/RV) Partial Repair Essential Power for Sheltering (PREPS) Sec 403 Public Assistance Sheltering Program Required local match 10% for Harvey DR-4332-TX

6 History of GLO and Recovery (cont.) In 2011, Governor Perry designated the Texas General Land Office as the lead state agency for long-term disaster recovery for the State of Texas, through the administration of all U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant for Disaster Recovery (CDBG-DR) funds. CDBG DR funds are a special appropriation from Congress, associated with a Presidentially Declared Disaster. (Approx. 15% of all Presidential Declarations receive Congressional Appropriations) CDBG DR funds must meet one of the following HUD designated National Objectives to be eligible for award: Benefiting Low-to-Moderate Income Persons Preventing or Eliminating Slum or Blight Meeting Urgent Needs

7 Community Development & Revitalization Since 2011, GLO has successfully implemented projects and programs across Texas, utilizing more than $9 billion in HUD CDBG-DR funds. These funds are helping Texans to recover from: Hurricanes Rita, Ike, and Dolly; 2011 Wildfires; and The 2015/2016 Flood Events Hurricane Harvey

8 CDBG-DR Grant Funds HOUSING INFRASTRUCTURE ECONOMIC DEVELOPMENT PLANNING

9 Eligible Activities CDBG DR funds must meet one of the following HUD designated National Objectives to be eligible for award: Benefiting Low-to-Moderate Income Persons (70% of Funds for Hurricane Harvey) Preventing or Eliminating Slum or Blight Meeting Urgent Needs Funding cannot duplicate activities paid from the Federal Emergency Management Agency (FEMA), Small Business Administration (SBA) and the U.S. Army Corps of Engineers (USACE). Funds may not be spent on general conduct of government activities. A maximum of 5% may be spent on State Administrative costs. The Federal Register will define any specific regulations pertaining to each appropriation to include split between housing and infrastructure activities. Ineligible costs must be repaid from nonfederal funding sources (General Revenue).

10 Eligible Activities CDBG-DR funds may be used for recovery efforts involving HOUSING, INFRASTRUCTURE, PLANNING AND ECONOMIC DEVELOPMENT. Examples of these activities include: Buying damaged properties in a floodplain and relocating residents to safer areas Relocation payments for people and businesses displaced by the disaster Debris removal not covered by FEMA Code enforcement Homeowner down payment assistance, interest rate subsidies, and loan guarantees for disaster victims Public services Helping businesses retain or create jobs in disaster impacted areas The prevention of further damage to affected areas Planning (15%) and Administration costs (5%), limited by the Federal Register

11 Eligible Activities - Housing Public Housing Rehabilitation Reconstruction Single Family Housing Rehabilitation Reconstruction Down Payment Assistance Buyouts Multi-Family Housing Rehabilitation Reconstruction

12 Eligible Activities Infrastructure Water Facilities Sewer Facilities Street Improvements Neighborhood Facilities Flood & Drainage Fire Protection Public Utilities Senior Centers Clearance Demolition FEMA Match

13 Eligible Activities Planning Studies Storm Surge Suppression Study Gulf Coast Community Protection and Recovery District (GCCPRD) investigates the options to reduce the vulnerability from hurricane surge and flood damages in accordance with the standards of the U.S. Army Corps of Engineers. Total Cost: $7.1 Million Colonia Drainage Study Texas Water Development Board (TWDB) Lower Rio Grande Valley (LRGV) is working to develop the necessary drainage planning required to correct flooding problems in the wake of Hurricane Dolly for those in need in Colonias. Total Cost: $3.9 Million Coastal Resiliency Study Identifies physical elements including infrastructure and natural resources to determine the effectiveness of past recovery projects along the Texas coast. Total Cost: $2.1 Million Current Studies Hurricane Impact Study Texas A&M-Galveston Disaster Impact Visualization Study University of Texas Center for Space Research Disaster Economic Impact Study University of Texas McCombs School of Business Total Cost: $5.5 Million

14 CDBG-DR Funding Process President declares disaster IAW 1998 Stafford Act PL Congress appropriates funds to HUD for long-term disaster recovery. HUD publishes Federal Register, allocating funds to impacted disaster States and outlining Congressional and HUD requirements and CDBG regulations. The Governor designates GLO as the lead agency for CDBG-DR funds management. GLO develops the State Action Plan and program design based on the published Federal Register and other applicable laws and regulations. The Action Plan allocates funds through the COGs. COGs develop regional distribution plans based on needs, straight allocation or competitive scoring application methodology.

15 Disaster Funding Timeline 0 12 Disaster Declaration FEMA/TDEM 0 12 Months SBA Loans & Private Insurance 3 24 Months Congressional Appropriation/ HUD Publishes Federal Register Months GLO Publishes Action Plan Months 24 Method of Distribution & Fund Allocation Months

16 Hurricane Harvey Fast Facts: Hurricane Harvey DR-4332 First major hurricane in the US since 2005 (Wilma) 49 Counties Impacted Wind gusts up to 150 mph As much as 60 inches of rain 34 trillion gallons of rainfall Gas prices increased by an average of $.33 a gallon nation-wide Over 1 million homes impacted

17 Hurricane Harvey Recovery Overview

18 Hurricane Harvey Long-Term Recovery The GLO s strategy for administration of the program is to allow for as much local control as possible: The GLO does not add any additional regulations beyond HUD mandates. Infrastructure projects are selected at the local level. The GLO partners with communities to efficiently and effectively facilitate the use of available funds. The GLO works with local communities to ensure funds are spent in accordance with HUD regulations to avoid penalties, which can include repayment of federal funds if used improperly. The GLO has developed new, innovative programs to expedite the recovery process.

19 Hurricane Harvey Long-Term Recovery

20 Hurricane Harvey Programs Single Family Homeowner Assistance: Provides funding for rehabilitation and reconstruction of owner-occupied single family homes damaged by Hurricane Harvey. Buyouts and Acquisitions: Eligible homeowners are able to sell their home to a local government at a pre-storm or post-storm fair market value and move out of harm s way by relocating outside of a floodplain to a lower-risk area. Homeowner Reimbursement: Allows homeowners to be reimbursed for certain out-ofpocket expenses incurred for repairs to their home including reconstruction, rehabilitation or mitigation up to $50,000. Homelessness Prevention: Provides programs such as short-term mortgage, utility payment and tenant-based rental assistance in an effort to prevent homelessness in the region following Hurricane Harvey.

21 CDBG-DR Funded Programs (Cont.) Affordable Rental: Provides funding for rehabilitation, reconstruction and new construction of affordable multi-family housing projects in areas impacted by Hurricane Harvey. Local Infrastructure: Repairs, enhances and restores infrastructure for local communities impacted by Hurricane Harvey as part of a comprehensive long-term recovery program. Economic Revitalization: Allows for interim assistance to businesses impacted by Hurricane Harvey through deferred forgivable loans and loans in exchange for job creation or retention. Local, Regional and State Planning: In coordination with Texas public universities, and / or vendors, the GLO will conduct planning studies in the impacted areas with the purpose of promoting sound long term recovery.

22 $5.024 Billion Most Impacted Designation by HUD HUD REQUIREMENT: 80% of allocation must benefit HUD-identified most-impacted counties and zip codes. Most Impacted Counties: Harris, Jefferson, Orange, Galveston, Fort Bend, Brazoria, Montgomery, Liberty, Hardin, Chambers, Aransas, Wharton, San Patricio, San Jacinto, Nueces & Victoria Zip Codes: 78945, 77423, 77612, 78934, 75956, 77632, 75979, 7414, 77335, & 77979

23 Issues & Challenges New Mission (Short-Term Housing) First time FEMA/State Partnership New Housing Options Lack of Documentation IGSA vs. Grant 100% Federally Funded Staff (HUD) Procurement (2 CFR Part 200) Legal Authorities 1972 Privacy Act Background Checks (Federal/State) IT Systems Federal/State

24 Questions?

25 Thank you! CONTACT: Community Development & Revitalization - GLO cdr@glo.texas.gov

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