HUD gives $5 billion for Hurricane Harvey recovery efforts in Texas

Money to be used to repair damaged homes, business, etc.

Department of Housing and Urban Development Deputy Secretary Pam Patenaude and Texas Gov. Greg Abbott announced Friday that HUD is providing more than $5 billion to the state of Texas to be used for the recovery efforts from Hurricane Harvey.

Specifically, HUD awarded $5.024 billion to help “hard-hit” areas in Texas recover from the damage caused by Harvey.

Hurricane Harvey hit the Texas coast at the end of August into the beginning of October, wreaking havoc on South Texas and destroying thousands of homes.

The money from HUD comes in the form of a grant from HUD’s Community Development Block Grant – Disaster Recovery Program and will be used to support the repair of damaged homes, businesses and critical infrastructure in the state.

In determining how to allocate the money to Texas, HUD used information from the Federal Emergency Management Agency and the Small Business Administration on the number of seriously damaged homes that lack adequate insurance, as well as businesses that failed to qualify for SBA’s disaster loan program.

According to HUD, more than 230,000 homes suffered damage from Harvey, including approximately 65,000 with serious damage that is not covered by other sources. 

Additionally, there are More than 4,000 businesses that also suffered serious damage from flooding, which is not covered by insurance or other resources. 

HUD’s grant is designed to meet needs not being met by private insurance or other sources of federal assistance.

“As President Trump has said from the beginning, the whole federal family is with the people of Texas to help them recover from this devastating storm as quickly as possible,” HUD Secretary Ben Carson said in a statement. “HUD will work with Governor Abbott and his staff to do whatever is needed to rebuild damaged homes and to restore shuttered businesses in some of the hardest-hit areas of the State.”

The money HUD is providing to Texas comes via the Continuing Appropriations Act, 2018 and the Additional Supplemental Appropriations for Disaster Relief Requirements Act, 2017, which President Donald Trump signed into law on September 8.

The bill provides $7.4 billion in CDBG-DR funding for major disasters declared in calendar year 2017, including Harvey and other storms.

“The urgency with which our federal partners are addressing the needs of Texans following Harvey is exactly what is needed to help them rebuild their lives,” Abbott said in a statement.

“I thank Secretary Carson, Deputy Secretary Patenaude, and the Trump Administration for working on behalf of Texans who have been hardest hit and in need of immediate aid,” Abbott continued. “Our goal from the start has been work in conjunction with federal and local leaders to help Texans repair and rebuild as quickly as possible, and this funding is a good start that brings us one step closer to achieving that goal.”

Sen. John Cornyn, R-Texas, also attended the announcement and thanked HUD for its efforts.

“Texans hit hardest by Hurricane Harvey face unprecedented hurdles as they rebuild their homes and businesses, and these funds will help them move forward after the storm,” Cornyn said. “I’m grateful for the support Texas has received from Secretary Carson, and I look forward to continuing my work with Senator Cruz, the Texas delegation, and Governor Abbott to ensure Texans aren’t left behind.”

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