Community Development Block Grant – Disaster Recovery

The Community Development Block Grant – Disaster Recovery (CDBG-DR) program, administered by the Commonwealth of Virginia’s Department of Housing and Community Development (DHCD), is designed to allocate over $46.67 million in federal disaster recovery funding from HUD. This funding is in response to the damages caused by Tropical Storm Helene, which struck Virginia on September 27, 2024, resulting in over $340 million in damages. The primary purpose of the grant is to address unmet needs in housing, infrastructure, economic revitalization, public services, and mitigation efforts after other forms of assistance have been exhausted. Eligible jurisdictions for the CDBG-DR funds are divided into two categories: HUD-identified Most Impacted and Distressed (MID) localities, which receive 80% of the funds, and DHCD-identified MID areas, which receive the remaining 20%. HUD-MID localities include areas in Washington and Giles counties, while DHCD-MID areas cover several counties and cities such as Bedford, Buchanan, Carroll, and cities like Bristol and Danville. The funding is allocated across various program categories, including Housing Recovery, Infrastructure Recovery, Economic Revitalization, Public Services Recovery, Planning, and Administrative expenses. The Mitigation Set-Aside is a specific allocation that can be used to reduce future risks even without a direct connection to Tropical Storm Helene. Maximum award amounts vary by area and program, with specific limits set for HUD-MID and DHCD-MID areas. Eligible applicants include local government units in the MID-eligible areas that are in good standing with DHCD. Applications must be submitted through DHCD’s Centralized Application and Management System (CAMS). The application process requires public hearings, environmental reviews, and a check for duplication of benefits to ensure no overlap with other assistance programs. The scoring criteria for applications include need, project feasibility, and organizational capacity, with a minimum score required for eligibility. Compliance with federal regulations is mandatory, including procurement processes and environmental requirements such as radon testing and lead hazard reduction. Post-award administration involves contract negotiation, financial controls, and monitoring to prevent fraud and ensure proper use of funds. The timeline for application submission and award is not explicitly provided in the source text, but the process includes pre-contract actions and performance-based contracts. For further information, applicants can visit the DHCD CDBG-DR website or contact the technical assistance team via email. The application must include several required attachments, such as a declaration of emergency, public hearing documentation, and project management plans, among others.

The application process requires public hearings, environmental reviews, and a check for duplication of benefits to ensure no overlap with other assistance programs.