By Murray Wennerlund published 5-30-2019 updated 1-15-2022
Resource Email Attachment FOIA May 5, 2017:
(Third Appropriation Scenarios 05052017final.pdf)
Context: It is possible the State of Louisiana will receive an allocation from the Department of Housing and Urban Development (HUD) out of the $400 million in disaster assistance appropriated by Congress. At this time, it is unknown how much will be allocated to Louisiana. The following information provides some funding considerations, should Louisiana receive additional disaster assistance.
Additional Funding Needs Considerations:
Current program budgets:
| State of Louisiana CDBG-DR Total Allocation | ||
| Restore Louisiana Housing Programs | $1,423,693,120 | 85.92% |
| Homeowner Program*(relative % within housing programs = 90.87%) | $1,293,693,120 | 78.08% |
| Rental Housing Programs* (relative % within housing programs = 9.13%) |
$ 130,000,000 | 7.85% |
| Restore Louisiana Economic Recovery and Revitalization Programs |
$62,000,000 | 3.74% |
| Infrastructure Program (FEMA Public Assistance Match) |
$105,000,000 | 6.34% |
| Administration and Planning | $ 66,278,880 | 4.00% |
| Total Allocation | $1,656,972,000 | 100% |
1) Homeowners and Renters: Unmet need is at least $1.3 billion for major/severe damages, after accounting for the first two appropriations.
Per requirements established by the Department of Housing and Urban Development, the state must consider the proportion of assistance provided to homeowner and renter programs, based on the unmet needs assessment presented to HUD in the Action Plan Amendment 1. The table below breaks out the relative unmet needs by program area:
| Housing Unmet Need Summary | ||
| Category | Amount | Relative Percentage of Unmet Housing Need |
| Owner-Occupied | $2,448,293,435 | 90.4% |
| Renter | $254,798,970 | 9.4% |
| Homeless Assistance and Prevention | $5,250,232 | 0.2% |
| Total M/S Housing Recovery Need | $2,708,342,637 | 100% |
| First and Second CDBG-DR Allocations | $1,423,693,120 | |
| Total M/S Housing Recovery Unmet Need |
$1,284,649,517 | |
For example, if Louisiana is awarded $200 million, the state must consider the percentages of unmet needs (listed above) when distributing the funding. See the scenarios below for a few examples:
A) If the state decided to dedicate the entire allocation toward housing programs, then a minimum of $18 million-$19 million would be allocated toward rental/homelessness programs, while $181 million $182 million would be available for homeowner programs.
B) If the state were to decide to dedicate a portion of the funds toward infrastructure activities, leaving $125 million for housing activities, a minimum of $11.75 million-$13 million would be allocated toward rental/homelessness programs and $112 million-$113.25 million would be available for homeowner programs.
Impacted Homeowner Populations and Homeowner Budget scenarios
Budget and Population Assumptions:
Note &ndash The budgets in the table below account for the program delivery costs necessary to process all applicant files, including homeowner files where homeowners drop out of the program.
| # Households | Assume 100% Participation | Assume 90% Participation (10% drop out rate) |
|
| POPULATION CURRENTLY ELIGIBLE WITH FIRST AND SECOND APPROPRIATIONS: | |||
| Group A) No NFIP | 36,510 | $1,298,847,954 | $1,192,728,501 |
| ADDITIONAL IMPACTED POPULATIONS: | |||
| Group B) NFIP - LMI - Inside 100 yr Floodplain | 4,770 | $143,588,002 | $131,942,543 |
| Group C) NFIP - LMI - Outside 100 yr Floodplain | 1,199 | $29,318,799 | $26,967,344 |
| Group D) NFIP - Non-LMI - Inside 100 yr Floodplain | 11,568 | $135,426,946 | $125,272,582 |
| Group E) NFIP - Non-LMI - Outside 100 yr Floodplain | 3,584 | $32,112,379 | $29,803,229 |
| Need for all NFIP Policy Holders |
21,121 | $340,446,126 | $313,985,699 |
| Add LMI Households who declined SBA Loans | 108 | $5,152,000 | $5,152,000 |
| Total NEED FOR TOTAL POPULATION | 57,631 | $1,644,446,080 | $1,511,866,200 |
| Less Current Program Allocation | ($1,293,693,120) | ($1,293,693,120) | |
| Total Additional Need to Serve all NFIP Holders and Non-NFIP Holders | $350,752,960 | $218,173,080 | |
2) Hazard Mitigation Grant Program (FEMA Match): $94 million
Approximate Unmet Need: $94 million
3) Comite River Diversion Canal Project: $190 million
Approximate Unmet Need: $190 million
4) Resilient Infrastructure Projects: $600 million
| Allocation of CDBG-DR Resilient Infrastructure Funds | |
| Category | Amount |
| Planning and Flood Risk Modeling | $60,000,000 |
| Structural Investments &ndash Regional Watershed Protection | $303,000,000 |
| Resilience Add-Ons to Planned Public Infrastructure Projects | $150,000,000 |
| Community Stormwater Retention | $51,000,000 |
| Project Delivery Costs | $36,000,000 |
| Total | $600,000,000 |
Resources: