Will I be able to get federal Sandy aid money?

A lot depends on your financial situation, whether you reside in a house or an apartment building, and where you live.

Both the city and state have submitted proposals to the federal government for how they intend to spend about $1.7 billion each in initial grants to help New York recover from superstorm Sandy — the first funds they will see from the $60 billion aid package approved by Congress earlier this year.

But the state and city plans are different from one another in some important ways. (They’re also subject to change before final approval by the U.S. Department of Housing and Urban Development.) By and large, New York City residents will be eligible only for the city’s piece of the aid, not the state’s.

Getting funds to fix up housing is the biggest chunk of both the plans, and both include grants for reconstruction, repairs and protective work for homes and apartment buildings. This money will be available for costs not already covered by other disaster assistance, like insurance or FEMA grants.

 

City Sandy aid plan submitted to HUD

The state’s plan puts much more money into assisting homeowners than it does to repairing apartment buildings: $663 million for one- and two-family homes, versus $124 million for apartments. The fund for homes includes $171 million for voluntary buyouts of houses that were heavily damaged and in a flood zone, which will be available to state residents throughout the region, including the city.

Homeowners in the city are getting a healthy share of money too: $350 million, or nearly half of the city’s housing funds. According to the city’s application, 25 percent of housing units in areas inundated by the storm are in one- and two-family homes, many of them occupied by renters. Owner-occupied buildings with three or four units are also eligible for this pot of funds, known as NYC Houses. The city expects these funds to assist up to 9,300 households.

Public housing projects will be getting a relatively modest $120 million to install emergency generators and bolster infrastructure.Some 80,000 residents live in buildings that were compromised by the storm, with many suffering destroyed boilers and electric systems.

Because the Sandy funds come in the form of federal Community Development Block Grants, they must primarily benefit low- and moderate-income areas: Both the city and state will have to make sure at least 50 percent of the funding they give away fits the description. The city estimates that as much as two-thirds of the $250 million it has designated for repairing 13,000 privately owned apartments will benefit low- and moderate-income people. And home repairs that would benefit people with the greatest financial need will receive priority in applications for funding.

Where you live will have bearing on your chances of getting funding as well. HUD is requiring that the state dedicate at least 80 percent of its initial allocation to the hardest-hit counties outside the city: Nassau, Suffolk and Rockland. Of the $788 million it’s planning to give out in housing recovery funds, for example, $511 million is expected to go to Nassau County alone.

State Sandy aid plan submitted to HUD

Sen. Charles Schumer has taken issue with the fact that the city plan in its current form will not include reimbursements for individuals who have already paid for repairs to their Sandy-damaged property. (The state plan does.) 

At the same time, the city plans to use Community Development Block funds to reimburse itself for nearly $400 million in public services it performed during Sandy and its aftermath. These include the costs of providing emergency services, demolishing damaged buildings, removing debris, inspecting buildings, and safeguarding the city’s water supply. These costs would account for 21 percent of the city’s total Community Development Block Grant allocation — which goes against rules that public service expenditures can only account for 15 percent of the allocation. The city is requesting a waiver.

Both the city and state plans include loans and grants for businesses in need of repairs, renovations and protection against future storms. The state is setting aside money specifically for the hard-hit coastal fishing and seasonal tourism industries. The city is using some of its funds to hold competitions seeking innovative ideas to combat vulnerabilities in its infrastructure and restore economic vitality to devastated areas.

The city is also setting aside $327 million for investments set to be determined after it looks over the Special Initiative for Rebuilding and Resiliency report, expected to be released in May. It will then have to submit a supplemental action plan to HUD, detailing how the money will be used.

Applications for the state’s programs are already available online. The city is not yet accepting applications.

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