HUD ALLOCATES $23 MILLION IN DISASTER RECOVERY GRANTS TO TENNESSEE

NASHVILLE - U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan today allocated $23 million in disaster funding slated for Tennessee. The supplemental disaster funding, provided through HUD's Community Development Block Grant (CDBG) Program, will help support the long-term disaster recovery and critical
infrastructure needs in Memphis, Nashville-Davidson, Shelby County and throughout the state.

"Families, businesses and communities in Tennessee are struggling to rebuild following this year's natural disasters," said Donovan. "Today, we are providing much needed assistance to help them get back on their feet."

"Having witnessed 'The Tennessee Volunteer Spirit' in the aftermath of these disasters firsthand I know how
important this assistance is to those working to recover and start their lives anew. This assistance is both timely and critical to the long term recovery of those affected individuals and communities," said Edward Jennings, Jr., U.S. Housing and Urban Development, Southeast Region IV Regional Administrator.

The funding is the result of the Supplemental Appropriations Act, 2010 (Public Law 111-212) which provided $100 million through HUD’s Community Development Block Grant (CDBG) program for necessary expenses related to disaster relief, long-term recovery, and restoration of infrastructure in areas covered by a declaration of major disaster as a result of recent natural disasters. The Act also authorized HUD to make allocations directly to local governments if warranted based on damage and unmet needs. HUD calculated unmet needs for housing, business, and infrastructure recovery based on data provided by the Federal Emergency Management Agency and the Small Business Administration.

As a result of the calculations, the initial allocations are

Today's announcement is meant to comply with Congress' directive that one-half of the $100 million appropriated
in July for disaster recovery be obligated within 90 days. Allocations were also made to Kentucky and Rhode Island. HUD will provide grantees with guidance on preparing plans and applying for their allocations. Further, HUD will continue to review long-term recovery needs to determine how to allocate the remaining $50 million in aid. The agency’s review will include unmet housing, infrastructure and economic revitalization needs.

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HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build inclusive and sustainable communities free from discrimination; and transform the way HUD does business. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov.