SKIP TO PAGE CONTENT

Mitigation Funding

State of Texas CDBG Mitigation Action Plan 

CDBG-MIT State Action Plan submitted to HUD

The U.S. Department of Housing and Urban Development (HUD) released mandatory rules for the use of more than $4.3 billion in Community Development Block Grant Mitigation funds (CDBG-MIT).

These funds were appropriated by Congress on February 9, 2018, for mitigation projects in the areas affected by Hurricane Harvey as well as 2015 and 2016 Floods. Since 2015, 140 Texas counties have received a Presidential disaster declaration.

Publication of rules in the Federal Register will now enable the Texas General Land Office (GLO) to move forward in drafting and getting approval for a state action plan, a process expected to take approximately nine months or more to complete.

The allocation amounts for each disaster are provided below. 

mitigation funds

State Action Plan Timeline

February 9, 2018 – Congress appropriated nearly $28 billion to help disaster affected states rebuild  through Community Development Block Grants for Disaster Recovery (CDBG-DR).

April 10, 2018HUD announces allocation of $4.383 billion to Texas. HUD also states it “will issue administrative guidelines shortly for use of the funds to address grantees’ long-term recovery needs.”

December 13, 2018 - The GLO participated in a mitigation discussion with HUD and other grantees at the CDBG-DR problem-solving clinic.

December 21, 2018Commissioner Bush calls on HUD Secretary Ben Carson to ensure uninterrupted process of ongoing Hurricane Harvey rebuilding funds due to federal government shutdown.

January 2, 2019 – Commissioner Bush sends letter to Director Mick Mulvaney calling for Office of Management & Budget (OMB) approval of rules for $4.383 billion in mitigation funding appropriated to Texas by Congress in February of 2018.

January 29, 2019 – Commissioner Bush sends a letter to President Donald J. Trump requesting help getting rules for Texas' Community Development Block Grants for Disaster Recovery (CDBG-DR) mitigation funding approved by HUD and the Office of Management and Budget (OMB).

February 4, 2019 - Governor Greg Abbott, Senators John Cornyn and Ted Cruz, and members of the Houston Congressional Delegation, joint author a letter urging OMB to approve rules from HUD.

Feb. 9, 2019 – One-year anniversary of the Congressional Appropriation of mitigation funding. The required Federal Register outlining rules governing the use of Congress appropriated recovery dollars has yet to be published.

May 10, 2019 - Cmr. Bush applauded the filing of the Bipartisan Disaster Recovery Funding Act by U.S. Senators Joe Manchin (D-WV), John Cornyn (R-TX), Dianne Feinstein (D-CA), Ted Cruz (R-TX), Thom Tillis (R-NC), and Kamala Harris (D-CA) filed requiring OMB to release $16 billion in disaster relief funding to include the $4.383 billion in mitigation funds for major declared disaster events in Texas during 2015, 2016, and 2017.

May 16, 2019 - Reps. Lizzie Fletcher (TX-07), Randy Weber (TX-14), Brian Babin (TX-36), Kevin Brady (TX-08), G.K. Butterfield (NC-01), John Carter (TX-31), Dan Crenshaw (TX-02), Joe Cunningham (SC-01), Bill Flores (TX-17), Sylvia Garcia (TX-29), Jenniffer Gonzalez-Colon (PR-AL), Garret Graves (LA-06), Al Green, (TX-09), Sheila Jackson Lee (TX-18), Michael McCaul (TX-10), Pete Olson (TX-22), Tom Rice (SC-07), David Rouzer (NC-07), and Ted Yoho (FL-03) introduce the House version of the Bipartisan Disaster Recovery Funding Act, to include the $4.383 billion in mitigation funds for major declared disaster events in Texas during 2015, 2016, and 2017. 

June 1, 2019 - Hurricane season begins

August 30, 2019 - Publication of Federal Register notice providing for the use of the $4.383 billion in CDBG-MIT funds

September 6, 2019 - The GLO hosted a stakeholder webinar to provide an overview of the CDBG-MIT Federal Register outlining the rules and regulations tied to the State of Texas allocation for eligible 2015, 2016, and 2017 counties.

Webinar Presentation and Resources

September 16, 2019 - Beaumont and Austin Public Hearing Notice posted.

September 25, 2019 - Revised Public Hearing Notice posted to include Beaumont, Austin and Corpus Christi. Beaumont date revised due to Tropical Storm Imelda. 

September 26, 2019 - Regional Public Hearing for mitigation funds in Austin, Texas.  

October 1, 2019 - Regional Public Hearing for mitigation funds in Beaumont, Texas (meeting was previously scheduled for September 25, 2019, but moved due to Tropical Storm Imelda). 

October 2, 2019 - Regional Public Hearing for mitigation funds in Corpus Christi, Texas.

November 21, 2019 - The GLO releases Draft State of Texas CDBG-MIT Action Plan for Public Comment 

December 2, 2019 - Mitigation Public Hearing in Rockport, Texas

December 9, 2019 - Mitigation Public Hearing in Dallas, Texas

December 10, 2019 - Mitigation Public Hearing in Weslaco, Texas

December 11, 2019 - Mitigation Public Hearing in Houston, Texas

January 9, 2020 - Mitigation Public Hearing in Jasper, Texas

January 10, 2020 - Mitigation Action Plan Public Comment Period Closes at 5 p.m.

February 3, 2020 – Per the Federal Register notice, CDBG-MIT state action plan submitted to HUD. Components of the action plan development process include:

  • Per the federal register HUD requires at least four (4) public hearings — two (2) prior to the public comment period.
    • The GLO hosted eight (8) public hearings - three (3) prior to the public comment period and (5) during public comment period.
  • Consultation with stakeholders, including impacted local governments, Indian tribes, and public housing authorities. 
  • Translation of action plan into languages required by HUD (Spanish, Chinese, Arabic, Vietnamese, Korean).  
  • 50-day public comment period - GLO exceeded the HUD required 45 day comment period. At the completion, the GLO must then respond to all public comments, and include both comments and responses in the state action plan submitted to HUD for approval.
  • 60 days – Once submitted, HUD has 60 days to review the action plan and approve or reject plan with comments. 

GLO RESOURCES

GLO Public Hearing Resources


GLO CDBG-MIT Project Caps

Project Delivery may include, but is not limited to, grant administrator fees, costs associated with environmental clearance, and eligible costs for in-house efforts. For instance, applicants may choose to utilize a portion of their project delivery grant funds to supplement costs for their single audit, pay for document staff administration efforts.

Project Delivery costs should be estimated according to the total grant request for the application and included in the application budget. The maximum allowable project delivery cost per grant shall be less than or equal to the caps as outlined here. 

Project delivery (PD) fees are capped between 6% and 13% dependent upon the CDBG-MIT award amount and the type of project. Project Delivery fees are capped at maximum rates based on the fixed rate pricing limits as follows:

Total CDBG-MIT Award

(Non-Housing Activities)

Percentage Cap

$249,999.99 or less

13%

$250,000-$749,999.99

11%

$750,000-$999,999.99

10%

$1 million-$24,999,999.99

8%

$25 million or over

6%

Applicants may choose to self-administer for eligible local in-house grant administration services and/or costs, procure a third-party grant administrator, or a combination of the two.

Each application must clearly establish the portion of CDBG-MIT funds to be used to pay for third-party vendor grant administration services, and the portion retained to reimburse the applicant.

Housing-related mitigation activities are allowable up to 12 percent of program amounts for costs directly related to implementation.

Engineering and design activities will be capped at 15 percent of the total project award unless special services are necessary; in such cases, the GLO must review and approve the request.


HUD RESOURCES