RALEIGH — The U.S. Department of Housing and Urban Development (HUD) has approved North Carolina’s Hurricane Helene Action Plan for a $1.4 billion Community Development Block Grant Disaster Recovery grant.
“This is great news for western North Carolina,” said N.C. Gov. Josh Stein in a press release. “I thank the Trump Administration for moving quickly to approve this plan so we can get busy rebuilding people’s homes.”
North Carolina submitted its Community Development Block Grant Disaster Recovery (CDBG-DR) Helene Action Plan to HUD in record time compared to other states’ hurricane recovery efforts over the past decade.
The CDBG-DR grant, initially announced in January, will primarily focus on long-term rebuilding efforts. Unlike immediate disaster relief funding, these grants serve as “last resort” resources to address unmet needs after other recovery options, such as private insurance, have been exhausted.
The approved plan prioritizes three core recovery areas: housing, infrastructure and economic revitalization, with most of the funds allocated to housing recovery for low- and moderate-income residents.
Before North Carolina can begin utilizing these funds, HUD must certify the state’s financial controls for the program. Once certified, the state can sign the grant agreement and commence committing resources toward rebuilding efforts.
Stein’s third executive order since taking office in January created the Division of Community Revitalization (DCR) within the N.C. Department of Commerce, which will be tasked with administering the Helene-related HUD CDBG-DR program. Deputy Secretary Stephanie McGarrah leads the new division.
DCR’s work had already started before receiving the HUD approval via a legislative appropriation of $120 million in state funds for home reconstruction and repair.
The N.C. General Assembly has appropriated more than $1.4 billion to Helene recovery so far. The most recent appropriation signed into law this year contains $524 million. The Senate’s proposed budget would add $700 million to the Hurricane Helene Reserve Fund, of which $685.6 million would go toward the repair and replacement of drinking water and wastewater infrastructure.
The approval comes after Republican Sen. Ted Budd led a bipartisan, bicameral effort urging the Trump administration to expedite consideration of North Carolina’s Action Plan.
Following the approval announcement, Budd released a statement acknowledging his continued support for recovery efforts.
“Just last week, Secretary Scott Turner announced North Carolina has been awarded $1.4 billion to jumpstart the rebuilding process. This life-changing investment will provide real relief to the thousands of families who suffered from Helene’s destruction,” said Budd. “I am grateful to the Trump administration for answering our call, acting swiftly, and demonstrating their commitment to our state’s recovery.”
In a statement on X, Budd’s colleague Sen. Thom Tillis also thanked President Donald Trump and Turner, adding he was” proud to advocate for these funds and will work to ensure they are disbursed quickly to bolster Helene recovery efforts.”
