Federal Property Suitable as Facilities To Assist the Homeless, 31973 [C1-2014-11695]
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Federal Register / Vol. 79, No. 106 / Tuesday, June 3, 2014 / Notices
inspection data for FEMA’s Individual
Assistance program. For unmet housing
needs, the FEMA data are supplemented by
Small Business Administration data from its
Disaster Loan Program. HUD calculates
‘‘unmet housing needs’’ as the number of
housing units with unmet needs times the
estimated cost to repair those units less
repair funds already provided by FEMA,
where:
• Each of the FEMA inspected owner units
are categorized by HUD into one of five
categories:
Æ Minor-Low: Less than $3,000 of FEMA
inspected real property damage.
Æ Minor-High: $3,000 to $7,999 of FEMA
inspected real property damage.
Æ Major-Low: $8,000 to $14,999 of FEMA
inspected real property damage (if basement
flooding only, damage categorization is
capped at major-low).
Æ Major-High: $15,000 to $28,800 of FEMA
inspected real property damage and/or 4 to
6 feet of flooding on the first floor.
Æ Severe: Greater than $28,800 of FEMA
inspected real property damage or
determined destroyed and/or 6 or more feet
of flooding on the first floor.
To meet the statutory requirement of ‘‘most
impacted’’ in this legislative language, homes
are determined to have a high level of
damage if they have damage of ‘‘major-low’’
or higher. That is, they have a real property
FEMA inspected damage of $8,000 or
flooding over 4 foot. Furthermore, a
homeowner is determined to have unmet
needs if they have received a FEMA grant to
make home repairs. For homeowners with a
FEMA grant and insurance for the covered
event, HUD assumes that the unmet need
‘‘gap’’ is 20 percent of the difference between
total damage and the FEMA grant.
• FEMA does not inspect rental units for
real property damage so personal property
damage is used as a proxy for unit damage.
Each of the FEMA inspected renter units are
categorized by HUD into one of five
categories:
Æ Minor-Low: Less than $1,000 of FEMA
inspected personal property damage.
Æ Minor-High: $1,000 to $1,999 of FEMA
inspected personal property damage.
Æ Major-Low: $2,000 to $3,499 of FEMA
inspected personal property damage (if
basement flooding only, damage
categorization is capped at major-low).
Æ Major-High: $3,500 to $7,499 of FEMA
inspected personal property damage or 4 to
6 feet of flooding on the first floor.
Æ Severe: Greater than $7,500 of FEMA
inspected personal property damage or
determined destroyed and/or 6 or more feet
of flooding on the first floor.
For rental properties, to meet the statutory
requirement of ‘‘most impacted’’ in this
legislative language, homes are determined to
have a high level of damage if they have
damage of ‘‘major-low’’ or higher. That is,
they have a FEMA personal property damage
assessment of $2,000 or greater or flooding
over 4 foot. Furthermore, landlords are
presumed to have adequate insurance
coverage unless the unit is occupied by a
renter with income of $30,000 or less. Units
are occupied by a tenant with income less
than $30,000 are used to calculate likely
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unmet needs for affordable rental housing.
For those units occupied by tenants with
incomes under $30,000, HUD estimates
unmet needs as 75 percent of the estimated
repair cost.
• The median cost to fully repair a home
for a specific disaster to code within each of
the damage categories noted above is
calculated using the average real property
damage repair costs determined by the Small
Business Administration for its disaster loan
program for the subset of homes inspected by
both SBA and FEMA. Because SBA is
inspecting for full repair costs, it is presumed
to reflect the full cost to repair the home,
which is generally more than the FEMA
estimates on the cost to make the home
habitable. If fewer than 100 SBA inspections
are made for homes within a FEMA damage
category, the estimated damage amount in
the category for that disaster has a cap
applied at the 75th percentile of all damaged
units for that category for all disasters and
has a floor applied at the 25th percentile.
pre-process stage because of poor credit or
inability to show repayment ability. Similar
to housing, estimated damage is used to
determine what unmet needs will be counted
as severe unmet needs. Only properties with
total real estate and content loss in excess of
$30,000 are considered severe damage for
purposes of identifying the most impacted
areas.
Æ Category 1: real estate + content loss =
below $12,000.
Æ Category 2: real estate + content loss =
$12,000 to $30,000.
Æ Category 3: real estate + content loss =
$30,000 to $65,000.
Æ Category 4: real estate + content loss =
$65,000 to $150,000.
Æ Category 5: real estate + content loss =
above $150,000.
To obtain unmet business needs, the
amount for approved SBA loans is subtracted
out of the total estimated damage.
Calculating Unmet Infrastructure Needs
• To proxy unmet infrastructure needs,
HUD uses data from FEMA’s Public
Assistance program on the state match
requirement. This allocation uses only a
subset of the Public Assistance damage
estimates reflecting the categories of
activities most likely to require CDBG
funding above the Public Assistance and
state match requirement. Those activities are
categories: C-Roads and Bridges; D-Water
Control Facilities; E-Public Buildings; FPublic Utilities; and G-Recreational-Other.
Categories A (Debris Removal) and B
(Protective Measures) are largely expended
immediately after a disaster and reflect
interim recovery measures rather than the
long-term recovery measures for which CDBG
funds are generally used. Because Public
Assistance damage estimates are available
only statewide (and not county), CDBG
funding allocated by the estimate of unmet
infrastructure needs are sub-allocated to nonstate grantees based on the share of housing
and business unmet needs in each of the
local jurisdictions.
CDBG Disaster Recovery Funds are often
used to not only support rebuilding to prestorm conditions, but also to build back
much stronger. For the disasters covered by
this Notice, HUD has required that grantees
use their funds in a way that results in
rebuilding back stronger so that future
disasters do less damage and recovery can
happen faster. To calculate these resiliency
costs, HUD multiplied it estimates of total
repair costs for seriously damaged homes,
small businesses, and infrastructure by 30
percent. Total repair costs are the repair costs
including costs covered by insurance, SBA,
FEMA, and other federal agencies. The
resiliency estimate at 30 percent of damage
is intended to reflect some of the unmet
needs associated with building to higher
standards such as elevating homes, voluntary
buyouts, hardening, and other costs in excess
of normal repair costs.
Calculating Economic Revitalization Needs
• Based on SBA disaster loans to
businesses, HUD used the sum of real
property and real content loss of small
businesses not receiving an SBA disaster
loan. This is adjusted upward by the
proportion of applications that were received
for a disaster that content and real property
loss were not calculated because the
applicant had inadequate credit or income.
For example, if a state had 160 applications
for assistance, 150 had calculated needs and
10 were denied in the pre-processing stage
for not enough income or poor credit, the
estimated unmet need calculation would be
increased as (1 + 10/160) * calculated unmet
real content loss.
• Because applications denied for poor
credit or income are the most likely measure
of needs requiring the type of assistance
available with CDBG–DR funds, the
calculated unmet business needs for each
state are adjusted upwards by the proportion
of total applications that were denied at the
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Resiliency Needs
[FR Doc. 2014–12709 Filed 6–2–14; 8:45 am]
BILLING CODE 4210–67–P
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–5750–N–21]
Federal Property Suitable as Facilities
To Assist the Homeless
Correction
In Notice document 2014–11695,
appearing on pages 29789–29791 in the
Issue of Friday, May 23, 2014, make the
following correction:
On page 29791, in the first column,
after the seventeenth line and prior to
the word ‘‘California’’, the following
headings were inadvertently omitted:
‘‘Unsuitable Properties
Building’’
[FR Doc. C1–2014–11695 Filed 6–2–14; 8:45 am]
BILLING CODE 1505–01–D
E:\FR\FM\03JNN1.SGM
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]]>Agencies
[Federal Register Volume 79, Number 106 (Tuesday, June 3, 2014)]
[Notices]
[Page 31973]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: C1-2014-11695]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-5750-N-21]
Federal Property Suitable as Facilities To Assist the Homeless
Correction
In Notice document 2014-11695, appearing on pages 29789-29791 in
the Issue of Friday, May 23, 2014, make the following correction:
On page 29791, in the first column, after the seventeenth line and
prior to the word ``California'', the following headings were
inadvertently omitted:
``Unsuitable Properties
Building''
[FR Doc. C1-2014-11695 Filed 6-2-14; 8:45 am]
BILLING CODE 1505-01-D
