Assistant HUD Secretary Mercedes Marquez rejected the state’s application for the second round of funding for Hurricanes Ike and Dolly recovery. Texas received $1.3 billion in Round
One funding and was slated to receive $1.7 billion in Round Two. In rejecting the state’s application for a second allotment of hurricane recovery funds, HUD faulted the state plan for not specifying how it would distribute funding to units of local government. Texas did submit a 67-page plan’s detailed description of the formula used for allocating funds to Councils of Government (COGs) but HUD has specific revisions they are requesting.
HUD faults the state plan because COGs have not yet held public hearings. HUD also raised concerns about the state’s proposal to use some funds for projects that focus on mitigation of future disasters rather than “core recovery needs.”
However, Governor Rick Perry issued a press release stating these concerns were never relayed to the state when HUD approved Round One funding for Texas in March 2009, or when it approved funding for Hurricane Rita recovery. Perry said federal officials are playing politics with the funding decision because the letter from Marquez attempts to impose new policies and requirements that were never specified in guidelines on the Ike funding published in the Federal Register.
HUD’s letter requires Texas to submit a revised plan within 45 days, but imposes additional public hearing requirements and the development of new fair housing plans that HUD admits will take months to complete.
“The request that Texas update its fair housing plan would delay recovery, especially since the federal guidance that Texas will use to update its fair housing practices is not expected to be published before February 2010,” Gov. Perry said. “Unless this is resolved soon, it will be Texans who will ultimately bear the brunt of the costs for recovery. Therefore, I also urge our Congressional delegation to make it clear to HUD that we will not stand for weeks and months of further delay. ”
To view Gov. Perry’s entire press release: http://governor.state.tx.us/news/press-release/13933/
Gov. Rick Perry sent a letter on November 16th to U.S. Department of Housing and Urban Development (HUD) Secretary Shaun Donovan urging the expedited approval of Texas’ disaster recovery funding. To view the letter: http://governor.state.tx.us/files/press-office/O-DonovanShaun20091116.pdf
