Disaster Recovery Workshop for

StatesFrom Plan to Implementation: Lessons Learned

Overview of The Road

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Hurricanes Katrina and RitaCity of New Orleans

Primary Program Design Factors

• Designed to:

– Help Louisiana residents get back into their homes

– Compensate for the uncompensated losses due to Hurricanes Katrina and Rita

– Bring residents back to Louisiana

Katrina & Rita Damage Assessment

Program Design Factors

Program Design Factors

Eligibility

• Owner-occupant as of date of storm*• Owners whose homes sustained at least

major damage from Katrina or Rita (as defined by FEMA)

*includes duplexes if owner occupied one of units

Updated Eligibility Policies

• Homeowners on leased land (including Mobile Homes)

• Homeowners who have sold home– (considered once current homeowners are served)

• New homeowners of damaged home– (if original owner assigns Road Home rights at purchase)

• Homeowners who were in rent-to-own situation but now fully own the damaged home

• Over 100 changes since the program began

Road Home Award

Compensation Award

• Up to $150,000– Depends upon:

• the pre-storm value of your home• the cost of damage to the home, and • the insurance and/or FEMA benefits the homeowner

has received

• If the basic compensation grant is less than $150,000, the homeowner may be able to access additional funding options

Road Home Options

OPTION 1

OPTION 2

OPTION 3

OPTION 4

STAY

RELOCATE

SELL

DECLINE ASSISTANCE

Road Home Options

Stay in your home. Keep the damaged home and property you own (rather than selling it) and receive compensation to help rebuild or repair.

OPTION 1 STAY

Award Calculation – Option 1

*30% penalty for no insurance

Pre-storm Value Cost of Damageslesser of

(deduct insurance proceeds & FEMA)

Compensation Award*

Stay to Rebuild/Repair

Not to exceed

$150,000

Road Home Options

Remain a resident of the State of Louisiana, but relocate to another home within the State. The Road Home will purchase your home and property on behalf of the State of Louisiana.

OPTION 2 RELOCATE

Award Calculation – Option 2

Relocate

(deduct insurance proceeds & FEMA

dollars received for structure)

Compensation AwardNot to exceed

$150,000

Home 51% or > damaged per RH:Pre-storm Value

Home less than 51% damaged:Lesser of Pre-storm Value or Cost of Damage

Road Home Options

• Sell your home and choose not to remain a homeowner in the State. The Road Home will purchase your home and property on behalf of the State of Louisiana with no restrictions for homeownership upon relocation.

• Under this option, you may receive less compensation than Option 1 or Option 2 (unless an owner-occupant was 65 years of age or older as of December 31, 2005).

OPTION 3 SELL

Award Calculation – Option 3

Sell Home – Without being a LA homeowner in the future

(deduct insurance proceeds & FEMA

dollars received for structure)

Compensation AwardNot to exceed

$150,000

Home less than 51% damaged:Lesser of 60% of Pre-storm Value

or Cost of Damage

Home 51% or > damaged per RH:60% of Pre-storm Value

Road Home Options

• Decline assistance from The Road Home.

• If you choose to decline assistance, you forfeit the Federal assistance you are eligible to receive from The Road Home.

OPTION 4 DECLINE ASSISTANCE

Application StatusProgram Update

Program Timeline

Program Requirements

Program BeneficiariesFrom over 27 different CDBG

ProgramsProgram

Performance Measures Projected

Total

# of beds created 550

# of homeless households receiving assistance 2,400

# of persons assisted with new access to a service 3,000 total # of units in the activity 8,000 # of affordable units 7,200

Land Assembly Operations # of Households benefiting 1,125 # of Households Assisted (Face to Face Counseling) 2,420 # of Households Served 3,245 # of properties 140,000

CDBG Elevation Incentives # of properties 30,000 # of buildings (non-residential) 1,800 # of Schools Rehabilitated 100 # of School Districts Benefiting 16 # of Public Facilities 10 # of Non-business Organizations benefiting 5 # households benefiting 113,700 # of Persons benefiting 467,013

Long Term Community Recovery # of Non-business Organizations benefiting 40 Fisheries Assistance # of Public Facilities 15 Louisiana Bridge Loan # businesses 547

# people trained by job type and sector 8,162 Small Firm Loan and Grant # of jobs created/retained 15,827

# of permanent jobs created 6,000 # of businesses assisted 500 # of persons benefiting 300 # of Plans Reviewed 2,554 # of Building Inspections 14,447 # of People Trained 92

Primary and Secondary Education

Louisiana Tourism Marketing

Building Code Enforcement

Technical Assistance to Small Firms

Recovery Workforce Training

State Building Infrastructure

Small Rental Property

Local Infrastructure

Homeowner's Assistance

Support to Community Based Programs

Ratepayer Mitigation

Supportive Housing Services

Homelessness Supports and Housing

As of April 17, 2008

Comparisons

• HUD funds 1,200 grantees each year– 1,200 average of 8 staff each = 9,600 staff– Louisiana has less than 60 staff

• Those 1,200 disburse 4.7 billion yearly– The Louisiana Road Home has disbursed nearly 6 billion

in a years time and nearly 2 more billion in their other programs

• Louisiana and Seattle– 780,000 Louisianans' temporarily displaced from home

• Seattle 2006 population = 582,454– 160,000 homes suffered major or severe damage

• Seattle owner occupied housing = 125,151

Top 10 Lessons Learned

1. Complete as much of program design up front prior to launch (make few changes)

2. Develop a tracking and accounting system before you launch program

3. Get as much public support for what you are doing up front4. Develop a compensation model that is easy to calculate5. Develop a program in phases6. Set deadlines and time tables upfront7. Set realistic goals at the beginning and have everyone

support those goals8. Have Policy makers and Implementers at the table together

to better understand each other9. Hire more than you think you need of knowledgably CDBG

staff early in the program design10. Hire HR, IT and Contract staff early to assist in the

recruitment of new employees