Flood Mitigation Funding - HMGP - FMA - Shore Up CT Emmeline - - PowerPoint PPT Presentation

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Flood Mitigation Funding

• HMGP
• FMA
• Shore Up CT

Emmeline Harrigan, AICP, CFM

Federal FEMA Funding: Hazard Mitigation Grant Program Flood Mitigation Assistance

HMGP and FMA Contact: Emily Pysh, CFM State Hazard Mitigation Officer CT Division of Emergency Management and Homeland Security Department of Emergency Services and Public Protection

Hazard Mitigation Grant Program (HMGP) Application

• Elevation, Acquisition, Relocation
• Reimburses 75% project cost
• 25% Non-Federal cost share
• State is Applicant to FEMA
• Grant Type determined by town as sub-

applicant – limited interest in acquisitions

Hazard Mitigation Grant Program (HMGP) Elevation Applications

3 disasters – Irene, Lee, Sandy 156 elevation applications 21 withdrawn 4 denied 22 still in active review

Current HMGP Costs

Active HMGP Elevations: $13,597,243 – 3 disasters – 156 homes Completed Elevations: $691,645 – 6 projects Rejected/Withdrawn Projects: $2,257,418

HMGP Acquisitions

$2,167,581 under Sandy Riverine communities: Plainville and Southbury

Flood Mitigation Assistance (FMA) Applications

• Elevation, Acquisition, Relocation
• Severe Repetitive Loss Properties (100% cost

reimbursement)

• Repetitive Loss Properties (90%)
• NFIP insured (75%)
• State is the Applicant
• Town is sub-applicant and selects grant type available –

few acquisitions

Non-Federal Share

• Increased Cost of Compliance (ICC) – NFIP $30K

coverage for elevation, floodproofing, relocation, or demolition (or combination).

• Property Owner
• Town (Not likely)
• CT acquisitions - $2 million in bond funds for 25%

share for HMGP

• Shore Up CT bridge & gap financing

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Connecticut’s Shoreline Resiliency Fund

Emmeline Harrigan, AICP, CFM

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Shoreline Resiliency Fund aka Shore Up CT

• October 2013 – Governor Malloy

Announced Shoreline Resiliency Fund CT

• January 2014 - Legislature

approved $25 million in funding to be administered by Department of Housing (DOH).

• March 2014 –DOH selected

Housing Development Fund as Fund Manager and awarded $2 million start up funds.

• July 28, 2014 – Shore Up CT

Program Launch

• August 2014 -$3 million released

by the Bond Commission

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Program Partners

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Shore Up CT Loan Overview

• 15 Year Term
• 2.75% interest rate (2.895%

APR*)

• 1% origination fee
• Minimum $10,000 to maximum

$300,000

• No monthly principal or interest

payments for the first 12 months

*APR is based on Loan Amount of $125,000 - 168 payments of $897.29

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Location Eligibility:

VE or AE Flood Zone Properties

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Flood Map (FIRMette)

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Elevation & Flood-proofing for Eligible Properties

• Primary and secondary single family

homes, 1-4 unit owner-occupied rentals, businesses

• Single family homeowners must live in

property at least 14 days per year.

• Businesses must have 100 or less

employees and must be in good standing with all state agencies

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Eligible Costs

• Surveying and Engineering Design
• Local & State Approvals/Permitting Costs
• Site Preparation & Excavation
• Lifting & Foundation Costs
• Utility disconnection & reconnection
• Stairs, railings, & Code required landings
• Existing decks/porches only
• H/C ramp, lift , or elevator with documentation
• Gutters & leaders
• Soil stabilization (grass) & Final site clean up

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Project Requirements

• Residential Elevation to the 500 year flood

risk height plus at least 1 ft. free board

Existing AE-11

Example: AE-11 x 1.25 = 13.75 Plus 1 ft = FFE 14.75

• Commercial Projects: 100 yr +1

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500-yr + Freeboard Benefits

• Higher is safer.
• Accommodates future sea level rise.
• Today’s 500-year flood = tomorrow’s

100-year flood.

• Lower flood insurance premiums

Required for State funds spent in the flood zone.

Rating Examples: Impact of Loss of Subsidies

Non-Actuarial

$2,235/yr $2,235/yr $2,235/yr $819/yr 25,000+/yr $5,623/yr

Actuarial

Building $200,000 and Contents $80,000 (2012 rates) Example of how NFIP rates may increase when the Biggert-Waters Flood Insurance Reform Act of 2012 is implemented

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Insurance Increase Example

• Primary Residence: Base Insurance

Cost $1,200

• Actuarial Risk Rate $9,500

Renewal Term Cost Subsidy Percent Increase Base $1,200 18% per year Year 1 $1,441 $216 + $25 surcharge Year 2 $1,725 $259 + $25 Year 3 $2,060 $310 + $25 Year 4 $2,400 $370 + $25 Year 5 $2,857 $432 + $25

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Insurance Increase Example

• Second Home, Rentals, Severe Repetitive Loss,

Substantially Improved/Damaged: Base Insurance Cost $1,200

• Actuarial Risk Rate - $9,500

Renewal Term Cost Subsidy Percent Increase Base $1,200 25% per year Year 1 $1,750 $300 + $250 surcharge Year 2 $2,438 $437 + $250 Year 3 $3,298 $609 + $250 Year 4 $4,373 $825 + $250 Year 5 $5,716 $1,093 + $250

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Foundation Types

VE & Coastal AE (LIMWA)

AE

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Where to start: www.shoreupct.org

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Two-Part Application Process

• 1. Project

Information Form

• Plans and Specs
• Local Permits
• Costs & Contracts
• Construction

Schedule

• State Reviews
• 2. Uniform Residential

Loan Application

• 2 yrs pay stubs
• 2 yrs W-2s
• 2 yrs tx returns
• Social Security and Pension

Award Letter

• 2 year Business Tax Return
• 2 Months Bank Statements
• Complete Copy of Trust (if

property is owned by Trust)

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Positive Demand

• 260+ inquiries/16

months

• 90+ Pre-

qualifications

• 5 Refinance Loans

closed

• $700K

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Inquiry Distribution

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Loans in Progress

• 1 construction loan

finished ($200K)

• 1 construction loan

approved ($165K)

• 9 Project applications

pending ($145K average)

• Approximately $1.2

million pending

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Paired Programs

• 2 CDBG-DR gap funding applications

submitted

• 2 HMGP-paired construction loan. More

expected as local permits granted.

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Visit www.ShoreUpCT.org today for more information