If Funding Approved, Could Aid in Housing Repair and Replacement
On December 7, 2012, President Obama made his request to Congress for $60.4 billion to aide in the recovery of Super storm Sandy in all of the affected states, which includes New Jersey.
The request included $15 billion for funding for the Community Development Block Grant (CDBG.) These flexible funds can be used for a variety of needs including housing repair or replacement costs not met by insurance, other federal programs and public infrastructure investments.
The Presidential request states:
HUD allocates funds based on estimates of unmet need, and should be authorized to do so either at the discretion of the Secretary or in phases. Phasing allocation would allow for quick distribution of some funds (e.g., 33 percent within 60 days), but also allow HUD to use the best available data on unmet need so that final funding allocations are fair.
The normal CDBG income targeting requirement should be reduced to require that at least 50 percent of funds benefit low-and moderate-income households. In addition, housing repair funds should be directed to primary residences only, business repair funds should be directed to unmet small business damage only, and except for small businesses that face long-term business disruption, funds should not be used to restore lost revenue.
Governor Christie and New Jersey’s congressional delegation hope that this funding request will be funded within the next month.
On the same day, the President issued the Executive Order establishing the Hurricane Sandy Rebuilding Task Force to be chaired by U.S. Dept. of Housing and Urban Development Secretary Shaun Donovan.
Click here to read the full Executive Order from the President, which includes the other funding requests.
Click here to read Roll Call’s coverage of the request.
Click here to read the Task Force Executive Order.