HUD ALLOCATES $50 MILLION IN DISASTER RECOVERY GRANTS TO THREE STATES SEVERELY IMPACTED BY STORMS AND FLOODING
Rhode Island, Kentucky and Tennessee receive supplemental disaster recovery funding

WASHINGTON - U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan today allocated $50 million in disaster funding slated for Kentucky, Rhode Island, and 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 each state and local government receiving funds.

"Families, businesses and communities in these states and communities 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."

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. 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.

###

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.