[StBernard] Public Invited to Comment on Plans to Fund Projects Including Private School Repairs, Medical Center

[Westley Annis]

Public Invited to Comment on Plans to Fund Projects Including Private School Repairs, Medical Center of Louisiana - New Orleans

Two Action Plan Amendments Published for Review

BATON ROUGE, La. (December 31, 2006) - The Louisiana Recovery Authority (LRA) and Office of Community Development (OCD) published two action plan amendments for public comment Friday including plans to fund repairs to private schools and construction of Medical Center of Louisiana - New Orleans (MCLNO). The public comment period will conclude at 5:00 p.m. CT on Monday, January 8, 2007. 

At its December meeting, the LRA Board of Directors approved resolutions recommending the allocation of the following funds for recovery projects: 

*	$40 million in CDBG funds to address costly damages incurred by many private, non-profit schools, colleges and universities. The LRA previously approved the plan which would cover the schools', colleges' and universities' 10 percent non-federal match of the Federal Emergency Management Agency (FEMA) Public Assistance grants. It is estimated that private, non-profit schools and universities sustained nearly $500 million in damage, following Hurricanes Katrina and Rita. The board will consider final approval of the action plan amendment at a subsequent meeting, before the plan is considered by Governor Kathleen Babineaux Blanco, the Louisiana Legislature and the US Department of Housing and Urban Development (HUD). 
*	$74 million in Community Development Block Grants (CDBG) funds allowing the state's Division of Administration to acquire land and commission architecture and engineering design work for the new MCLNO. The vote also cemented the LRA's commitment to support an additional allocation of $226 million for the hospital's construction. At the LRA's request, Louisiana State University (LSU) Health Care Services Division and the state's Division of Administration committed to submitting to the LRA revised strategic plans and financial analysis for the hospital that take into account the possibility of future reforms of the state's health care financing system. After public comment is submitted, the plan will come before Governor Blanco, the Louisiana Legislature and HUD for final approval. 
*	$200 million in CDBG funds for the implementation of long-term community recovery planning efforts including public infrastructure investments. This work may include public infrastructure, economic, environmental, housing and/or public safety projects. The funding was recommended for approval under the agreement that communities will select and submit projects to the LRA that address their strategic local recovery needs. Local project prioritization must include broad-based community participation and approval, and must be consistent with the LRA's priorities and with regional plans. After public comment is submitted, the amendment will be considered by the LRA Board for final approval, then approval by Governor Blanco, the Louisiana Legislature and HUD.
*	$135 million of CDBG funds to cover FEMA ineligible repairs to state buildings damaged by the storms. The plan would increase the funding for this program from $142.5 million to $277.5 million. It is estimated that state-owned buildings suffered approximately $1.71 billion in damage from Hurricane Katrina and $43 million in damage from Hurricane Rita. FEMA-ineligible repairs are expected to cost almost $220 million. After public comment is submitted, the amendment will be considered by the LRA Board for final approval, then approval by Governor Blanco, the Louisiana Legislature and HUD. 

At Governor Blanco's request, the LRA and OCD also published an action plan amendment which would allocate $100 million in CDBG funds to cover the non-federal match requirements for FEMA Public Assistance in Categories A and B for Local Government Emergency Infrastructure Activity. Because the Bush Administration has stopped covering these costs with 100 percent federal funds and because most local governments do not have the financial ability to pay these match costs, Governor Blanco has asked the LRA to temporarily allow CDBG funds to be used to cover these match costs until the Louisiana Legislature has the opportunity this spring to appropriate funds for this purpose. After public comment is submitted, this plan will be considered by the LRA and if approved will be forwarded for approval to Governor Blanco, the Louisiana Legislature and HUD. 

Citizens, community leaders and elected officials can access the plan online by visi! ting http://www.doa.louisiana.gov/cdbg/dractionplans.htm <http://www.doa.louisiana.gov/cdbg/dractionplans.htm>  and opening Proposed Action Plan Amendment No. 10 and Proposed Action Plan Amendment No. 1 for Disaster Recovery Funds Allocated by P.L. 109-234, or request a copy by phone by calling (225) 342-7412. 

Hurricanes Katrina and Rita devastated South Louisiana, claiming 1,464 lives, destroying more than 200,000 homes and 18,000 businesses and inflicting about $25 billion in insured losses. The Louisiana Recovery Authority (LRA) is the planning and coordinating body that was created in the aftermath of these storms by Governor Kathleen Babineaux Blanco to lead one of the most extensive rebuilding efforts in the world. The LRA is a 33-member body which is coordinating across jurisdictions, supporting community recovery and resurgence, ensuring integrity and effectiveness, and planning for the recovery and rebuilding of Louisiana.


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