0 icfi.com | Long Term Planning Post- Disaster March 13, 2012 Prepared for: COSCDA Training Conference: Homelessness, Housing, and Community Development Program Manager

1 icfi.com | COSCDA and Disaster Recovery  In the aftermath of Hurricanes Katrina and Rita, COSCDA recognized need for Disaster Recovery Toolkit to assist States with disaster recovery planning and implementation.  Many best practices and lessons learned can be found at:

2 icfi.com | Overview of Presentation Brief overview of CDBG-DR Phases of disaster recovery Phase 1: Disaster Impact and Unmet Needs Assessment Phase 2: Structuring the Disaster Recovery Program and Preparing the Action Plan Phase 3: Implementation and Strategies

3 icfi.com | Post-Disaster Continuum Disaster Immediate Response Short-Term Recovery Long-Term Recovery

4 icfi.com | 4 Brief Overview of CDBG-DR

5 icfi.com | CDBG-DR Overview 1. BRIEF OVERVIEW OF CDBG-DR  Helps cities, counties, and States recover from Presidentially declared disasters, especially in low- income areas  Appropriated by Congress as special CDBG appropriations in response to disaster  CDBG used for disaster recovery because it is flexible and is a good vehicle  CDBG-DR constitutes a substantial amendment to a State’s Action Plan

6 icfi.com | Recent CDBG-DR Allocations 1. BRIEF OVERVIEW OF CDBG-DR  $400 Million in CDBG-DR Funding Recently Appropriated  Allocated to 8 states to help with recovery from 2011 disasters Tornadoes in Southeast and Missouri Hurricanes Irene and Lee in Northeast Severe flooding in North Dakota Destructive wildfires in Texas  States include: New York North Dakota, Alabama, Pennsylvania, Missouri, Texas, Vermont and Missouri

7 icfi.com | CDBG-DR Funding Distribution 1. BRIEF OVERVIEW OF CDBG-DR  For state grantees, grantees generally distribute and administer funding one of two ways: Distributes funding to communities according to damage estimate and communities determine what types of activities to pursue Designs and administers the program directly

8 icfi.com | Eligible Beneficiaries 1. BRIEF OVERVIEW OF CDBG-DR  Residents in and around communities that have experienced a natural disaster  At least 50% of CDBG-DR funds for activities that principally benefit low-and moderate-income persons

9 icfi.com | Eligible Activities 1. BRIEF OVERVIEW OF CDBG-DR  “…necessary expenses related to disaster relief, long-term recovery, and restoration of infrastructure, housing, and economic revitalization…” – Consolidated Security, Disaster Assistance, and Continuing Appropriations Act of 2009  Each activity must: address a disaster-related impact (direct or indirect) in a Presidentially- declared county for the covered disaster; be a CDBG eligible activity; and meet a national objective  Must be connection between effects of the covered disaster and the activity’s contribution to community recovery and connection must be documented

10 icfi.com | Eligible Activities (continued) 1. BRIEF OVERVIEW OF CDBG-DR  Eligible activities generally fall into one of the following three categories: Housing Restoration of infrastructure Economic Revitalization  Examples: Relocation payments Debris removal not covered by FEMA; Rehab of damaged properties  Don’t think of these in isolation!

11 icfi.com | Special CDBG-DR Rules 1. BRIEF OVERVIEW OF CDBG-DR  Overall, CDBG-DR has same rules and regulations as regular CDBG  The grantee may request waivers.  Examples of some common waivers: Use CDBG-DR for the construction of new housing Remove the public services cap

12 icfi.com | Duplication of Benefits 1. BRIEF OVERVIEW OF CDBG-DR  Stafford Act forbids recipient of federal disaster from receiving more disaster assistance than amount of loss or receiving benefits for a loss already covered by other sources Known as “duplication of benefits” (DOB)  Disaster assistance covered under DOB includes private and public sources such as donations, insurance proceeds, volunteer work and grants (FEMA, SBA, etc.) Principal Rule of DOB No one can recover twice from the same loss.

13 icfi.com | Duplication of Benefits (continued) 1. BRIEF OVERVIEW OF CDBG-DR  Assistance is duplicative when two sources exceed need for the same recovery item If beneficiary receives duplicated assistance, grantee providing assistance can recover  Assistance NOT duplicative when two sources contribute to the same need and total assistance did not exceed the total need Can combine different forms of assistance to meet recovery needs

14 icfi.com | Administering State Disaster Recovery Programs 1. BRIEF OVERVIEW OF CDBG-DR  CDBG-DR is typically appropriate directly to State  State grantees generally distribute and administer funding one of two ways: Distributes funding to communities according to damage estimate and communities determine what types of activities to pursue Designs and administers the program directly Can do combination of above for different programs

15 icfi.com | 15 Phases of Long-Term Disaster Recovery Phase 1: Disaster Impact and Unmet Needs Assessment Phase 2: Structuring the Disaster Recovery Program and Preparing the Action Plan Phase 3: Implementation and Strategies

16 icfi.com | Steps to Conducting a Disaster Impact and Unmet Needs Assessment DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I  Part1: Assessing the Current Situation  Part 2: Estimating Unmet Needs  Part 3: Determining Capacity  Part 4: Prioritizing Needs

17 icfi.com | 1.Collecting and Updating Data 2.Analyzing Data Collected 3.Identifying Existing, Anticipated, and Potentially Available Funding Sources Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

18 icfi.com |  Damages v Impact Unique flexibility of CDBG-DR: permits grantee to measure the disaster impact. Impact = direct damages sustained + indirect damages and secondary impacts Rebuild to address pre-existing weaknesses, disaster impacts, and support long-term growth. Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

19 icfi.com | 1.Collecting and Updating Data Pre-Disaster Baseline Data –ConPlan –Comprehensive Economic Development Strategy –Metropolitan Transportation Plan Post-Disaster Market Data –Formal Sources (disaster assessments): FEMA, SBA, Army Corp, Red Cross, Salvation Army, insurance companies –Formal Sources (economic indicators): Dept of Commerce –Informal Sources (small-scale demographic indicators): Religious organizations, schools Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

20 icfi.com | 1.Collecting and Updating Data Data on Assistance Provided –Sources: FEMA, SBA, Army Corps, insurance agencies… –Establish Data Exchanges. How? –Involve leaders –Request data in automated files –Execute MOU/MOA with each entity –Use existing data management system s to collect store data (use the same system to store applications for funding assistance) Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

21 icfi.com | 2.Analyze Data Collected in ligh tof the Impact of zShort- Term Recovery Efforts  Focus on 5 key elements Activities and results of emergency and short-term recovery efforts, Key parties involved in relief and recovery efforts, to date, Duration, or assumed duration, of the of the emergency and short-term recovery efforts, The condition of the most vulnerable populations, and Initial planning initiatives at the neighborhood, city, county or regional level.  Mapping: the essential tool Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

22 icfi.com |  What are the ancillary impacts of the needs that have been met through response and initial recovery efforts? Are their new economic opportunities arising? Is a new type of housing required to meet changing demographic trends (i.e. 3 + bedroom units)? Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

23 icfi.com |  What roles have stakeholders played in emergency and short-term recovery efforts? Is there a role for all of them in long term recovery efforts? stakeholders can be important assets in developing networks and links to the public, building capacity, and creating a foundation for longer term recovery efforts. avoid overtaxing and burn-out of key actors.  What is the engagement of the citizenry? Confirm that the broader public has been engaged in any planning and recovery efforts to date. Are needs being communicated by the public that have not been heard or captured by the current stakeholders? Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

24 icfi.com |  What roles have stakeholders played in emergency and short-term recovery efforts? Is there a role for all of them in long term recovery efforts? stakeholders can be important assets in developing networks and links to the public, building capacity, and creating a foundation for longer term recovery efforts. avoid overtaxing and burn-out of key actors.  Has any planning taken place and has the community established initial priorities? Planning efforts must not exceed the time that the community can sustain its short-term recovery efforts. Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

25 icfi.com | 3.Identify Existing, Anticipated and Potential Funding Sources  CDBG-DR is typically deemed a funding source of “last resort.” critical to identify all other existing, available or potentially available resources first. use CDBG-DR funds to finance the gap that exists between the total costs to recover and the available funding from other sources. Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

26 icfi.com |  Typical Sources of Disaster Recovery Funding Insurance proceeds FEMA individual assistance FEMA public assistance FEMA Hazard mitigation grant program FEMA community disaster loans USDA rural development (special appropriation) EDA competitive grants (special appropriation) HUD Section 108 Loan Guarantee Program State funding: Local funding and capacity (i.e. local bonding) National and regional community foundations (i.e. Rockefeller Foundation and Ford Foundation) Grants, donations of individual or non-profit entities Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

27 icfi.com |  What are the estimates of insurance coverage (including uninsured and underinsured) among homeowners, renters, rental property owners, and commercial businesses?  What public funding sources are available? And for what purpose? (FEMA, SBA, consider eligibility and caps for assistance)  What portion of impacted individuals and businesses are estimated ineligible for FEMA or SBA assistance? Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

28 icfi.com |  What other disaster and non-disaster public funding sources are anticipated or potentially available? Have there been additional special appropriations from other agencies (EDA, USDA)?  What local and state government resources are or may be available (such as local bonding capacity)? Is local bond capacity viable? Is the tax base stable?  What potential nonprofit and private sources of funding may be available? Can you leverage response efforts for long-term recovery funding? Part 1: Assessing the Current Situation DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

29 icfi.com |  Unmet needs = needs that are not covered by other sources and can be covered by CDBG-DR funds. CDBG-DR addresses the wider impact of the disaster and not just specific damages (damages v impacts) CDBG-DR allows the grantee to identify needs that were not recognized by other programs and funding sources. CDBG-DR looks at needs at a community wide and an individual level. Unmet needs are a moving target (Mississippi Housing Recovery Data Project) Part 2: Estimating Unmet Needs DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

30 icfi.com |  Highly complex based on post-disaster environment: Depends on size/scope of disaster Remaining functionality of essential partners Overall health of key industries and businesses (i.e. real estate, tourism…) Ability to ramp up! Hiring, Partnering, Contracting, Training Part 3: Determining Capacity DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

31 icfi.com |  Key Organizations The CDBG-DR grantee itself Other public agencies such as housing authorities, redevelopment authorities, housing finance agencies, health departments, etc. Nonprofit partners such as nonprofit developers (including community housing development organizations known as CHDOs), social service providers, or educational institutions. Business and industry such as local business leaders or firms. Other potential partners such as foundations, neighborhood or civic groups, or Chambers of Commerce. Part 3: Determining Capacity DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

32 icfi.com |  Does the organization have the organizational flexibility to deal with the special demands of disaster recovery?  Does the organization have staff with significant experience in conducting or managing similar tasks or projects, specifically at the size and scope of the disaster- related projects?  Does the organization have a sufficient number of staff to undertake the task at? Do they need to hire? Are they able to ramp up quickly to meet the capacity needs? Part 3: Determining Capacity DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

33 icfi.com |  Does the organization’s staff bring strong and demonstrated technical skills in critical areas such as large-scale relocation, structuring development deals, project selection and underwriting, complex financial analysis, grants management, public relations, etc?  Does the organization have the willingness to assist with the CDBG-DR grantee’s recovery program or are they overwhelmed with other responsibilities? Part 3: Determining Capacity DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

34 icfi.com |  Create system/tool to rank value of needs, based on public engagement, along key sectors Does the project meet a post-disaster unmet need? Is the project sustainable/feasible? Can the project be executed in a timely manner? Does that timeframe further the long-term recovery vision? Does the project/program trigger additional investment by other parties in the project itself (thus decreasing the funding gap that CDBG-DR dollars are filling)? Will the project trigger further reinvestment in the surrounding neighborhood? In the community at large? Does the project/program exacerbate pre-disaster market vulnerabilities? Part 4: Prioritizing Needs DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

35 icfi.com | Part 4: Prioritizing Needs DISASTER IMPACT AND UNMET NEEDS ASSESSMENT: PHASE I

36 icfi.com | 36 Phases of Long-Term Disaster Recovery Phase 1: Disaster Impact and Unmet Needs Assessment Phase 2: Structuring the Disaster Recovery Program and Preparing the Action Plan Phase 3: Implementation and Strategies

37 icfi.com | Disaster Recovery Resources  COSCDA Disaster Recovery Toolkit:  CDBG Disaster Recovery website: rsi/index.cfm rsi/index.cfm  Relevant supplemental appropriations laws  Relevant Federal Register Notices  Peer CDBG-DR grantees  HUD CPD representative

38 icfi.com | Q&A