Western North Carolina set to benefit from $1.4 billion federal recovery grant

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North Carolina Construction News staff writer

A new action plan aimed at revitalizing western North Carolina communities damaged by Hurricane Helene has been submitted to the U.S. Department of Housing and Urban Development (HUD) for approval. The proposed plan, which focuses on housing, infrastructure, and economic recovery, seeks to address the region’s unmet needs following devastating storms.

If approved, $1.4 billion in federal funding will be allocated through the Community Development Block Grant – Disaster Recovery (CDBG-DR) program. Funds will primarily support long-term rebuilding efforts for homes, infrastructure, and businesses in western North Carolina.

A significant portion of the grant is set aside for housing recovery, with particular emphasis on helping low and moderate-income residents rebuild their homes. In addition, the plan aims to boost infrastructure restoration and provide financial support for small businesses and commercial areas, especially in areas severely impacted by the disaster.

“Moving forward with urgency is critical to ensuring that western North Carolina receives the support it desperately needs,” said Lee Lilley, Secretary of North Carolina’s Department of Commerce. “We are committed to rebuilding and revitalizing the region, and this action plan marks an important step in making that vision a reality.”

North Carolina becoming the fastest state in the past decade to submit a CDBG-DR plan following a major hurricane. This quick response is seen as a sign of the state’s dedication to providing swift recovery and relief to its residents.

While awaiting HUD’s approval of the grant, housing recovery efforts are already underway, thanks to a recent $120 million appropriation from the North Carolina General Assembly for home reconstruction and repairs. However, local officials have acknowledged that the initial federal allocation will still fall short of addressing the full extent of the damage in the region.

The City of Asheville, one of the hardest-hit areas, has also received a separate $225 million HUD CDBG-DR grant, which will be administered locally to support specific recovery projects within the city.

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