HUD’s Office of Inspector General (OIG) released its conclusions from an audit of the department’s Office of Community Planning and Development (CPD) that revealed the slow delivery of funds distributed through the Community Development Block Grant-Disaster Recovery (CDBG-DR) program. Between 2001 and 2022, CPD’s delivery time for providing disaster program funds to grant recipients trended upward. During the same period, CPD also failed to meet publishing requirements and allocation requirements, according to the audit. To improve program delivery time, OIG recommends the creation of new milestones and enhanced documentation requirements.
HUD OIG’s report observes that the primary factor driving program delays was the lack of permanent authorization of the CDBG-DR program Congress. Currently, HUD is required to issue new regulations every time funding is provided by Congress, slowing the distribution and utilization of funding and complicating program requirements.
The NLIHC-Led Disaster Housing Recovery Coalition (DHRC) continues to advocate for the permanent authorization of the CDBG-DR program through the “Reforming Disaster Recovery Act of 2023.” The bipartisan bill would create a permanent framework for a more efficient and consistent delivery of resources to disaster-impacted communities following a disaster. It would also ensure that the federal government’s long-term disaster assistance can effectively reach those most impacted by disasters in an equitable, transparent, and efficient manner. Letters sent by NLIHC and the NLIHC-led Disaster Housing Recovery Coalition were entered during a hearing held by the U.S. Senate Committee on Appropriations’ Subcommittee on Transportation, Housing and Urban Development by Chair Brian Schatz (D-HI), who is the primary sponsor of the bill.
Congressional and National Updates
The Florida Housing Coalition will host a webinar to discuss its new disaster dashboard created in partnership with Texas Appleseed. Register for the webinar here.
At least 15 tornadoes were reported this week along the Gulf Coast, with additional tornado watches issued from Florida to Virginia. At least four people were killed as powerful storms moved through a large swath of the southern and eastern U.S. In addition to the tornados, severe wind, rain, and snow closed schools, delayed flights, and caused power outages across the country.
Senator Sherrod Brown, chairman of the U.S. Senate’s Committee on Banking, Housing and Urban Affairs, released a statement and memo on the committee’s accomplishments of the past year, as well as priorities for the final year of the 118th Congress. Lowering housing costs and promoting resilience to disasters were included among the priorities for 2024.
HUD is investing $173.9 million in loans and grants under the Green and Resilient Retrofit Program (GRRP) to enhance climate resilience and energy efficiency in 30 HUD-assisted multifamily properties. The initiative aims to improve the quality of life for residents by promoting energy efficiency, reducing climate pollution, generating renewable energy, using green building materials, improving indoor air quality, and enhancing climate resilience. The awards cover the “comprehensive” category, targeting properties with the highest need for upgrades, and are available to all eligible HUD-assisted property owners, with a focus on those serving low-income and older residents, including properties facing climate and natural hazards.
Despite the temporary success of measures like the 2021 American Rescue Plan in curbing homelessness, recent data shows a 12% increase in homelessness from 2022 to 2023, affecting over 653,000 people. The root causes, identified as a shortage of affordable homes and high housing costs, necessitate preventive measures and broader access to affordable housing. Among the actions taken by the Biden-Harris administration to address the situation is the deployment of $1 million in funds to help people in disaster-stricken areas who are experiencing or at risk of homelessness and cannot access all FEMA services through the Rapid Unsheltered Survivor Housing (RUSH) program.
An updated Losing Ground dashboard from the Natural Resources Defense Council (NRDC) shows that the number of U.S. properties subject to repeated flooding continues to rise. At least 44,000 structures have repeatedly sustained damage covered by federal flood insurance. Only 24% of severe repetitive loss properties (SRLPs) have been subject to mitigation efforts – a decline from the 27% that had been subject to such efforts in 2018. In flood-prone states like South Carolina, Michigan, and Rhode Island, less than 10% of SRLPs have been mitigated. The data also reveal a growing number of SRLPs and an increase in flood risk in supposedly low-risk areas. Likewise, newer properties are becoming flood-prone, according to the data.
An article by Bloomberg explores how the shortcomings of federal efforts to protect communities from climate disasters have prompted some experts to consider the need for a new department focused on planning and coordinating managed retreat. Existing buyout programs are unpopular and disconnected, though some communities are exploring innovative approaches, including moving entire towns and transforming abandoned lands into public spaces. The first-ever national climate resilience framework, released by the Biden administration, acknowledges the need for greater coordination between agencies but falls short of proposing a national climate strategy.
A study published in Nature Communications reveals that disadvantaged populations will disproportionately face severe burdens of climate change. When sea levels rise above four feet, minority populations will be disproportionately at risk of isolation as flooding disrupts transportation networks and roads, limiting access to essential locations like emergency services and schools. The research highlights the connection between historical drivers of social inequality, such as race and age, and the groups most at risk of climate change impacts. Kelsea Best, lead author and an assistant professor at Ohio State University, emphasizes the need to re-conceptualize how community risk is measured and develop policies to support vulnerable populations.
State and Local
Arizona
Local housing shortages are increasing vulnerability among outdoor workers to worsening heat extremes, according to an investigation by The Arizona Republic. Dire affordable housing shortages in the Yuma area have forced many Mexican and Mexican American farm laborers to choose between staying nearby in overcrowded, overheated, overpriced lodging and making the long trek back to more restful accommodations across the border. The region has failed to meet the need for sustainable housing. Instead, Arizona legislators, city organizations, utility companies, and private interests work to block zoning and building code changes that would facilitate more equitable home construction in some parts of the state.
California
During 2023, the brunt of flooding was borne by poor rural communities, where inadequate maintenance or lagging improvements by local districts, counties, and the U.S. Army Corps of Engineers made flooding worse. In the aftermath of the year’s storms, numerous unincorporated communities faced challenges in receiving assistance due to a prolonged history of neglect. Many of their residents are undocumented, making them ineligible for federal assistance. Experts say the situation is likely to get worse as levees deteriorate and weather becomes more extreme.
Hawaii
Governor Josh Green and Maui Mayor Richard Bissen announced a $500 million Interim Housing Plan for Maui in response to housing needs arising from the August 2023 wildfires. Partners include the Hawai‘i Community Foundation, Council for Native Hawaiian Advancement, FEMA, and the American Red Cross. The plan aims to create over 3,000 stable housing units with 18-month commitments by July 1, 2024, to transition affected individuals from short-term hotels to long-term stable housing. The plan includes various housing options, such as the return by residents to their original unharmed residences, participation in the Host Housing Support Program, direct leasing, short-term rental transitions to long-term rentals, and new permanent developments.
Senator Angus McKelvey said that the Maui Interim Housing Plan would disrupt the lives of residents and children who work and attend school on the west side of the island. The $500 million plan to provide long-term stable housing to Maui wildfire survivors still lodged in hotels and other short-term accommodations is the outcome of a joint commitment by the state, Maui County, the Hawaii Community Foundation, Council for Native Hawaiian Advancement, FEMA, and the American Red Cross to create more than 3,000 long-term stable housing units. McKelvey said that the proposed alternative – for families to remain in West Maui – will exacerbate inflation by forcing families to pay day rates for short-term rentals. He also took issue with Green’s Ninth Emergency Proclamation on Wildfires, saying that the proclamation should have addressed “rampant” rental price gouging for residential and commercial properties and hyperinflation in the rental market.
In response to the deadly wildfire in Lahaina, Maui, a project called Ohana Hope Village is underway, which involves constructing an off-the-grid town with 88 pop-up houses to accommodate over 300 wildfire survivors. The initiative, managed by the Family Life Center, offers rent-free housing for two years and aims to address the housing crisis exacerbated by the disaster. While the state’s emergency housing proclamation faced criticism for suspending environmental safeguards, advocates are emphasizing the need for innovative and equitable solutions. Proposals include converting short-term rentals to long-term housing, implementing a voluntary perpetual deed-restriction program, and addressing the housing shortage with inclusive, long-term solutions. Some survivors currently reside in a temporary shelter, Pu’uhonua o Nēnē, which plans to transition to a permanent shelter with tiny homes, reflecting an Indigenous land-management model for community-run sustainability.
The Council for Native Hawaiian Advancement (CNHA) has launched HelpingMaui.org, a housing website designed to assist survivors displaced by the Maui wildfires find housing options. It will also serve as a platform for property owners and managers to offer their properties for lease. Additionally, CNHA announced a new leasing program in which property owners can lease directly to CNHA, which will sublet units to survivors and provide guaranteed rent payments to property owners. FEMA also operates a Maui Direct Lease Program, but CNHA is matching FEMA’s rates and works with families that both are and are not eligible for FEMA assistance with the support of the Red Cross. Other plans undertaken by the CNHA involve expanding its Host Housing Support Program and a loan forgiveness program for homeowners who plan to build accessory dwelling units.
Indiana
Indiana Governor Eric J. Holcomb’s 2024 agenda focuses on enhancing the State Disaster Relief Fund (SDRF) to better support disaster preparation and recovery in Indiana. Proposed changes include streamlining SDRF usage for eligible disaster-related expenses, allocating a portion for mitigation programs, simplifying the public assistance grant formula, raising the maximum individual assistance award to $25,000, removing restrictions on assistance application timing, and incentivizing counties to develop hazard mitigation plans.
Louisiana
Louisiana witnessed the most significant decrease in homelessness from 2022 to 2023 among all states, according to HUD This decline is attributed to the aftermath of Hurricane Ida, which severely impacted the state’s housing stock. The previous years saw a surge in homelessness due to the storm, with a notable increase from 2020 to 2022. The latest figures indicate a leveling off in 2022, but homeless advocates highlight the challenges in capturing the full extent of housing instability, especially in rural areas. The upcoming 2024 count is anticipated to reveal ongoing housing challenges, including rising prices, delayed storm damage repairs, and diminishing federal pandemic relief aid.
Missouri
Stronghold Landing, a housing project consisting of 40 units in Jefferson City, has received approval for Low-Income Housing Tax Credits (LIHTC) from the Missouri Housing Development Commission (MHDC). Proposed by Central Missouri Community Action (CMCA), the project aims to provide affordable housing in the aftermath of the 2019 tornado. The MHDC approved the tax credits, matching up to 70% of federal credits, to support housing projects that reserve units for lower-income renters.
New Jersey
New Jersey is implementing measures to protect homebuyers and renters from flood risks following recent widespread flooding. Governor Phil Murphy introduced new regulations, including property disclosure forms and an online tool, to inform prospective buyers and tenants about a property’s flood history and risks. The initiative, effective in March 2024, aims to enhance awareness and enable informed decision-making. Previously, there was no obligation to disclose flood history or FEMA Flood Hazard Zone information.
New York
Residents and businesses in Manhattan, Brooklyn, Queens, and Staten Island affected by flash flooding on September 29, 2023, are eligible to apply for low-interest disaster loans from the U.S. Small Business Administration until February 2, 2024, for physical damage, and September 4, 2024, for economic injury. The available loans include Business Physical Disaster Loans, Economic Injury Disaster Loans, and Home Disaster Loans, with guidelines provided for assessing and repairing flood damage in buildings, outdoor structures, and soil.
The City of Ithaca has secured an $800,000 grant from FEMA for the first phase of its flood mitigation project. The project, anticipated to cost nearly $12 million over three phases, aims to develop flood control measures along Six Mile, Cascadilla, and Fall Creeks. The initial grant will be used for final design and construction documents, as well as obtaining necessary permits. If phase one is completed successfully, FEMA may release approximately $10.1 million for phase two. The project’s overarching goal is to influence FEMA to revise updated flood maps, relieving property owners from mandated flood insurance purchases.
Vermont
Months after summer floods impacted the state, Vermont residents were still rebuilding when another round of flooding came in late December 2023. Vermont Public Radio talked with some of those who were hit hardest over the summer about how local recovery responses are filling the gaps where state and federal aid have fallen short.
Looking ahead to 2024, Vermont is expected to find a solution for unhoused Vermonters still finding shelter through the state’s pandemic-era motel program, which is set to sunset on April 1. Governor Phil Scott’s administration has pitched an ambitious plan to stand up a slate of new emergency shelters by that date to help meet the need. Governor Scott’s administration has proposed an ambitious strategy to establish a series of new emergency shelters by April to address the demand. However, the administration says that this plan is a form of triage, and the state must prioritize building more housing to address the underlying problem.
Manufactured homes in Vermont face disproportionate flood risks, as seen in the wake of disasters like Tropical Storm Irene. State-led measures to mitigate risks have faced scrutiny after recent flooding incidents. Vermont is introducing new programs and legislation to improve aid access for affected communities, including removal assistance and funding for insufficient FEMA payouts. Aging infrastructure issues have prompted a multimillion-dollar plan for Tri-Park, entailing eco-friendly homes at a higher elevation. Resident skepticism remains a challenge, but the state’s emphasis on resident-owned models aims to offer more security and control over housing decisions. Still, concerns persist over lot rent, aid access, and housing affordability, highlighting the ongoing need for support and intervention.
Bi-weekly Good News
Three hundred families have returned to their community and to rebuilt homes after the 2022 Marshall Fire in Colorado. Homes were rebuilt in record time – twice as fast as the national post-disaster average. While many families continue to work to return to their communities in Boulder County, Superior, and Louisville, the number of families moving back to rebuilt homes symbolizes significant community support.