[StBernard] LRA Approves Plan to Give Parishes $500 Million in Additional Funding Recovery Plans

[Westley Annis]

LRA Approves Plan to Give Parishes $500 Million in Additional Funding Recovery Plans

Board receives updates in Executive Director's first meeting

BATON ROUGE, La. (Feb. 13, 2008) - The Louisiana Recovery Authority (LRA) board approved reallocating $500 million in federal funding to the state's Long Term Community Recovery Program at its meeting Tuesday, raising the proposed allocation for parishes to implement their visions for the future to $700 million. 

This program provides funds to support implementation of local long-term recovery plans in the most heavily impacted communities in the state. The proposed reallocation of funding brings the total amount of funding that will be available to the parishes for this program to $700 million. Funds from this program will be distributed among parishes in the most heavily impacted areas of the state according to a formula that is based on estimated housing and infrastructure damages inflicted by Hurricanes Katrina and Rita. This is the same formula which was used to distribute the original $200 million to the districts. 

The LRA Board delayed allocating this funding to the parishes for long term recovery plans because of a projected shortfall in the Road Home program in 2007. Because the state received $3 billion at the end of last year and the program is financially solvent, the board is now able to use these funds for their original intent.

"Moving these funds forward today truly is a sign of progress - we have more than doubled the amount of money we're giving to parishes," said John T. Landry, chair of the LRA's Infrastructure Task Force. "The parishes embarked on more than two years of intense planning to identify critical recovery projects and it is gratifying to be able to allocate more funding to make these visions a reality."

The Action Plan now goes to the Governor and the Louisiana Legislature for approval. Once it wins this approval, it must receive final approval from the U.S. Department of Housing and Urban Development (HUD) before funds can flow to the parishes.

*	Click here to view a chart of proposed allocations. <http://www.lra.louisiana.gov/assets/Dec07/APA19LTCRAllocations.pdf> 
*	Click here to view a map of parish allocations. <http://www.lra.louisiana.gov/assets/Feb08/021208LTCRParishMap.pdf> 

The board also approved Action Plans allocating funding for school repairs and Uniform Code enforcement, program guidance for the Louisiana Land Trust and the St. Charles parish recovery plan.

Approval of $47.5 Million for K-12 Schools

The board approved an action plan to allocate $47.5 million in additional CDBG funding to support K-12 school building repairs that are not otherwise covered through the FEMA Public Assistance program.

"The LRA recognizes that we cannot simply rebuild the same schools we had in Louisiana before Hurricanes Katrina and Rita," said Linda Johnson, Chair of the LRA's Education Task Force and President of the Board of Elementary and Secondary Education. "Because the Road Home was fully funded, we were able to take this action today to devote funds to improving schools as we rebuild them, and we hope the Legislature will take quick action to approve this plan to allocate additional funding to schools."

These funds will be distributed according to the same formula which was used to distribute the original $200 million to the districts through this program. 

Costs not covered by FEMA include uninsured or underinsured facilities, rebuilding schools that did not meet building codes prior to the storm and damages that did not directly result from Hurricanes Katrina or Rita. For example, if termite damage is discovered while a previously flooded school facility is being gutted, certain repairs are necessary before reopening the school though the costs will not be eligible for reimbursement from FEMA.

To provide the optimum learning environments for students, the criteria for parishes to access these funds include current school design best practices such as: 

Building schools with flexible facilities to encourage teaching to different styles of learning; developing a small school culture; making schools a vital part of the community; and integrating the public in the school planning process. 

The Action Plan now must receive final approval from the Governor, the Legislature and HUD.

Program Guidance on Disposition of Road Home Properties 

The LRA Board also approved an action plan that provides greater detail on the disposition of properties sold to the state through the Road Home program to the Louisiana Land Trust (LLT). The LLT holds and maintains property sold to the state until these properties are turned over to parishes to be redeveloped in accordance with the parish's property disposition plan.

Parishes must present plans for review and approval by the LRA Board before they are available for redevelopment. So far, the LRA has approved plans for Orleans and Jefferson parishes. All parish plans must be submitted and approved by June 2008, according to this action plan.

The Action Plan approved by the LRA outlines, among other things:

*	Timeline by which parishes must dispose of properties from the LLT;
*	That income from the sale of any of the properties, either has to be returned to the state for use in CDBG programs, or parishes may request of the LRA and Governor to retain this income for eligible CDBG uses.

Approval of St. Charles Recovery Plan

The board approved St. Charles parish's long term recovery plan, meaning the parish is now eligible for $305,968 in aid to implement its plan. Should the additional $500 million allocated to the program win HUD approval, the parish would stand to receive a total of $1,052,948.

Parishes must present long-term recovery plans to the LRA board, whose approval triggers aid for the parish. Aid amounts are granted based on each parish's housing and infrastructure damage. So far, the LRA has approved plans accounting for 99.6% of the original $200 million allocation. 

St. Charles Parish plan projects:

*	Construct new East Bank Water Treatment Plant
*	Construct West Bank Hurricane Protection Facility
*	Establish a Regional Transit System
*	Enhance Community Behavioral Program

Funds for Uniform Code Enforcement

The board also approved an action plan to reallocate $1.7 million from the Technical Assistance Program for ongoing programmatic costs related to the enforcement of the Uniform Construction Code by local governments.

The LRA heard from the Uniform Code Council at a previous meeting about the need for additional dollars for code enforcement activities and training within the most impacted parishes. 

The LRA Board previously approved $11 million for these activities. The Department of Public Safety (DPS) has administered these dollars to add capacity to the parishes through a non-profit contractor with the expertise and staffing resources to the parishes. 

The cost for these services to continue through 2008 will be roughly $4 million, but the original allocation has no remaining funds. 

The Action Plan must now be approved by the Governor, the Joint Legislative Committee on the Budget and HUD. 

Executive Director's First Meeting

Tuesday's LRA meeting was the first meeting for Paul Rainwater as the LRA's new executive director. Rainwater previously had worked for the LRA on intergovernmental and hazard mitigation issues. He returned to the LRA as an appointee of Governor Bobby Jindal in January.

Since Jindal's inauguration, the LRA has been designated as the governor's authorized representative to FEMA on the Public Assistance and Hazard Mitigation Grant programs. The organization has also been charged with streamlining recovery programs, eliminating bureaucracy and cutting through red tape.

"We have spent the last month identifying roadblocks to recovery and solidifying partnerships with state, federal and local agencies to speed the rebuilding process," Rainwater said. "In the coming weeks we will announce plans to increase the flow of federal infrastructure dollars to local governments, improve the Road Home program for applicants waiting for funds and begin putting hazard mitigation dollars in the hands of homeowners. Much remains to be done, but we are hopeful that we can find common sense solutions to move our recovery forward."

To download resolutions and presentations from LRA meetings, visit www.lra.louisiana.gov <http://www.lra.louisiana.gov> .

Hurricanes Katrina and Rita devastated South Louisiana, claiming 1,464 lives, destroying more than 200,000 homes and 18,000 businesses. The Louisiana Recovery Authority (LRA) is the planning and coordinating body that was created in the aftermath of these storms 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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