Udall, Colorado Delegation Urges HUD to Expedite Flood Recovery Assistance

Community Development Block Grant Funds Would Supplement Other Available Assistance

WASHINGTON, D.C. – September 26, 2013 – (RealEstateRama) — U.S. Senator Mark Udall and the Colorado Congressional delegation urged the U.S. Department of Housing and Urban Development (HUD) today to expedite assistance for rebuilding efforts after the recent floods that devastated communities along Colorado’s Front Range. The lawmakers wrote to HUD Secretary Shaun Donovan asking him to make disaster recovery funds available through the Community Development Block Grant Disaster Recovery (CDBG-DR) program, which would supplement assistance already provided by the Federal Emergency Management Agency (FEMA) and the Small Business Administration (SBA).

“Although FEMA and the Small Business Administration are making assistance available to families whose homes and properties have been destroyed, badly damaged or rendered inaccessible, we know these resources, while critical to the recovery effort, will not completely fill the void,” the lawmakers wrote. “Thousands of Colorado homeowners will need more help. Because so many of the homes impacted by the flooding were not in a high-risk flood area, we anticipate that a large percentage of the homeowners affected will not have flood insurance. Because regular home-insurance policies typically do not cover flood damage, many homeowners will have limited non-governmental options available to finance repair and replacement costs.”

The CDBG Disaster Recovery Program makes federal resources available to rebuild communities affected by disasters, particularly in communities and neighborhoods that may struggle to recover due to limited resources. CDBG funds can be used to aid recovery efforts involving housing, economic development, infrastructure and prevention of further damage to affected areas. Among other uses, the funding could potentially help supplement repair and replacement costs for the thousands of Colorado homeowners impacted by the floods.

Members of the Colorado delegation have worked since the flooding began to ensure Colorado communities and agencies have every federal resource they need to save lives, protect homes and start the recovery process. Yesterday, Colorado’s senators introduced a bill that would lift the cap on emergency funds that can be used for infrastructure-related expenses, ensuring Coloradans had access to crucial resources for recovery efforts. Colorado’s members of the U.S. House of Representatives are expected to introduce bipartisan companion legislation. That bill followed last week’s delegation effort urging the House and Senate Appropriations Committees to lift the cap.

Click HERE to view the letter.