HUD’s Office of Community Planning and Development (CPD) issued Notice CPD-17-6 encouraging CPD formula grantees to undertake comprehensive pre-disaster planning to be prepared to use CPD funds for immediate disaster response and long-term recovery. The Notice provides guidance to grantees regarding use of CPD formula grant programs to carry out disaster-related activities.
The CPD formula programs are: the Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), Emergency Solutions Grant (ESG), Housing Opportunities for Persons with AIDS (HOPWA), and national Housing Trust Fund (HTF) programs.
The Notice warns against duplicating assistance provided by the two primary sources of federal disaster assistance, the Federal Emergency Management Agency (FEMA) and the Small Business Administration (SBA). The Notice states that FEMA and SBA assistance is intended to meet short-term recovery needs, while the most appropriate use of CPD funds is to address longer-term needs. Before making CPD assistance available, a grantee must verify that a proposed CPD activity will not be funded by FEMA or SBA and that advance payments from these or other sources will not duplicate CPD assistance.
The Notice also warns of duplicating assistance that insurance might provide. Although CPD resources might be used to provide up-front temporary assistance, grantees must structure such assistance so that it can be recovered when a beneficiary receives insurance proceeds.
Notice CPD-17-6 explains how CDBG, HOME, ESG, and HOPWA funds may be used to address post-disaster needs. It also describes which CPD program regulations were most frequently waived during previous disasters. Grantees are encouraged to prepare for future disasters by reviewing and updating their Consolidated Plan, Annual Action Plans, and attendant citizen participation plans.
Notice CPD-17-6 is at: http://bit.ly/2rXYgN3