FAQs

Duplication of Benefits

Program Eligibility and Overview

Account Management

Program Deadlines

Environmental Reviews and Lead-Based Paint Assessments

Construction

Program Awards and Benefits

Duplication of Benefits

Q: What does “Duplication of Benefits” mean?

Duplication of benefits is the receipt of funding from multiple sources for the same purpose. The Robert T. Stafford Disaster Assistance and Emergency Relief Act (Stafford Act) prohibits any person, business concern or other entity from receiving financial assistance from CDBG Disaster Recovery funding with respect to any part of the loss resulting from a major disaster as to which he/she has already received financial assistance under any other program or from insurance or any other sources. It is an amount determined by the program that may result in the reduction of an award value.

Duplication of benefits includes assistance from FEMA, the US Dept. of Housing and Urban Development (HUD), private and NFIP flood insurance, or any other source for which funds are designated toward the rehabilitation or reconstruction of an applicant’s structure.

Q: What does HUD’s guidance mean for me?

On Friday, June 14, 2019, the U.S. Department of Housing and Urban Development (HUD) issued new updated guidance regarding Small Business Administration (SBA) loans being considered a Duplication of Benefits (DOB) for federal grant dollars available through Restore Louisiana. This new guidance only applies to SBA loans.

The guidance includes various stipulations for how Restore Louisiana may update the grant DOB calculation, depending on whether a homeowner declined, canceled, or drew down in whole or part SBA loan funds, as well as whether a homeowner’s total household income is below or above 120 percent of the Area Median Income (AMI). AMI is a federal metric that defines the midpoint of a region’s income distribution while also taking into account an individual’s parish and household size.

HUD’s guidance stated:

  • For homeowners who declined or canceled the SBA loans they were approved for, the SBA loan amount they did not draw down will no longer be counted as a Duplication of Benefits for their Restore grant, regardless of income (AMI percent).
  • The State was required to submit a substantial action plan amendment (APA 12) to HUD to be able to provide funds for repayment of SBA loan funds disbursed to homeowners.
  • With HUD’s approval of APA 12 on October 11, households at or below 120 percent AMI can expect to be notified of their updated grant award and next steps in the next few weeks.
  • Households with income above 120 percent AMI may also be able to receive funds for SBA loan repayment if they can demonstrate a “hardship.” The LA Office of Community Development submitted criteria for financial hardships with APA 12, but HUD has requested additional information. Once OCD receives approval and further clarification, the Program will contact homeowners regarding the required next steps for applying for a hardship. HUD will then need to approve homeowners’ financial hardship justification on a case-by-case basis.
  • In addition, HUD’s guidance stipulates that the Program must ensure that at least 55 percent of all grant funds benefit low to moderate income (LMI) households. Therefore HUD-approved hardship exceptions will be capped at 50 percent repayment for the amount of drawn SBA funds.

For more information, click here.

Q: I declined or canceled my SBA loan without drawing down any SBA funds. How does HUD guidance impact me?

If you entirely declined or canceled your SBA loan, meaning you did not draw down any SBA funds, the Program is no longer required to include the approved SBA loan amount as part of your DOB, regardless of your income level. For more information, please click here.

Q: I signed my SBA loan authorization agreement, and I drew down some or all of the loan amount I was approved for. How does HUD guidance impact me?

On Friday, October 11, the U.S. Department of Housing and Urban Development provided a partial approval to the state’s action plan amendment (APA 12) for Small Business Administration loans being counted as a Duplication of Benefits. You may access the Program statement regarding this matter at this link.

Details about what this means for you are listed below:

If your household income is at or below 120 percent AMI and you have already closed on your grant agreement:

  • The Program will send out an Adjustment Acknowledgment Form in the coming weeks to highlight the changes in your grant award.
  • You will need to sign and submit this form back to the Program. Once the signed form has been received by the Program, a check for the amount indicated as the SBA Disbursed Adjustment will be issued to SBA on your behalf as payment towards the SBA loan amount that you drew down.

If your household income is at or below 120 percent AMI and you have not yet closed on your grant agreement or you were previously in “zero award” status:

  • The Program will send notice of your recalculated grant award in the coming weeks. Restore Louisiana will work with you to collect required documentation to finalize your updated grant award so that you can accept and close on your grant and payment can be issued to SBA on your behalf.

If your household income is above 120 percent AMI:

  • The State continues to work with HUD to develop hardship exception criteria that meets HUD approval for RLHP applicants.
  • Once the State receives approval from HUD for the hardship criteria and the steps to submit a hardship exception request, Restore Louisiana will contact you with detailed information about your status within the Program and the required next steps.

All SBA Disbursed Adjustments require income documentation in file for all applicants and household members 18 years of age and older. Restore Louisiana is working as quickly as possible to review and update homeowner income and AMI information. To submit income documentation to the Program, please email to RelaDocs@restore-la.org.

Q: Where can I find information about my AMI?

You can log in to your account to see the Area Median Income (AMI) the program used to calculate your grant award. (AMI is a federal metric that defines the midpoint of a region’s income distribution while also taking into account an individual’s parish and household size.)

To identify the 120% AMI threshold for your parish and household size, please click here to view HUD’s CDBG Income Limits.

The Program is working to review accounts with regard to income. If your circumstance has recently changed, please reach out to your case manager.

Q: I sold my home. How will this impact me?

Homeowners who sold their home after closing on their Program grant award, had a Program inspection, finished all repairs, completed their participation in the Program and received a certificate of occupancy where applicable, may be eligible to receive additional grant funds.

Solution 3 homeowners with SBA DOB that sold their damaged residence while in Zero Award status may be eligible for grant funds if they:

  1. Had a Program inspection confirming all work was completed.
  2. Provide a certificate of occupancy, where applicable.
  3. Notified transferees in writing of the continuing obligation to maintain flood insurance on the property if the damaged residence was located in a flood zone.

If a Solution 3 homeowner with SBA DOB sells their home after moving out of Zero Award status and into a positive award status before completing their participation in the Program, they are no longer eligible to receive grant funds.

If you have any questions concerning your sold home, please call 866-735-2001 to speak with a Program representative.

Q: I received a zero dollar grant award determination, but Restore Louisiana has let me know that I may be eligible for an SBA adjustment because my AMI is under 120%. Am I also eligible to receive funding for items such as home elevation or disability accommodations?

No, Restore Louisiana is unable to issue grant funds for home elevation or disability accommodations in this situation. However, you may be eligible to receive reimbursement for your SBA loan if you are able to demonstrate completed work from your home construction project up to the disbursed SBA payment amount in addition to complying with other requirements of the program (i.e. provide flood insurance if located in an SFHA, currently own the property, etc.).

Program Eligibility and Overview

Q: Who is funding the Restore Louisiana Homeowner Assistance Program?

In 2016, after Gov. John Bel Edwards sought federal flood recovery funding for Louisiana, Congress provided three appropriations of Community Development Block Grant-Disaster Recovery funds for nationwide recovery from several disasters. These funds were allocated by the U.S. Department of Housing and Urban Development to various states. HUD allocated $437.8 million from the first appropriation, $1.2 billion from the second appropriation and $51 million from the third appropriation to Louisiana. The Restore Louisiana Homeowner Assistance Program is administered by the state Office of Community Development, Disaster Recovery Unit.

Q: Where can I find eligibility requirements?

For more information on eligibility, please visit restore.la.gov/recovery-assistance/homeowner-assistance/do-i-qualify/

Q: Does having flood insurance prevent me from taking part in the homeowner assistance program?

No, it does not. The Restore Louisiana Task Force approved an expansion to include all homeowners with structural flood insurance on August 18, 2017. For more information please visit our “Do I Qualify?” page.

Q: I lost the contents of my home in the flood. Will the Restore Louisiana Homeowner Assistance Program be able to help with these expenses?

The Program is not able to cover the costs to replace the contents of a home.

Q: Does the Restore Louisiana Homeowner Assistance Program provide assistance to homeowners who need to elevate their homes?

Elevations will be evaluated on a case-by-case basis. Elevations will be considered in the following circumstances:

  • Properties located within the floodplain that are required to be elevated by local ordinance and the local code enforcement officials’ determination that a property is substantially damaged or will be substantially improved; or
  • Properties outside of the floodplain which are required to be elevated by local ordinance as part of a reconstruction.

If local code, ordinance or code enforcement official requires elevation of a home and that home has a slab-on-grade foundation, the only option for assistance under the Program will be reconstruction with elevation. The Program will not elevate slab-on-grade structures.

Q: What is the Homeowner Assistance Program process?

The Homeowner Assistance Program process consists of six steps for eligible homeowners (determined after submission of the program survey). While the timeline for this process may vary from homeowner to homeowner based on a number of factors, Restore Louisiana is committed to working as quickly and efficiently as possible to meet all program requirements and provide recovery assistance to homeowners.

To view the full process, please click here.

Q: Can I switch my chosen program solution for repairs?

Yes, homeowners may switch between Solution 1 (Program-Managed construction) and Solution 2 (Homeowner-Managed construction) anytime prior to closing on their grant agreement. More information on switching solutions can be found here.

Q: I sold my home after the 2016 floods, am I still eligible for assistance through the Restore Louisiana Homeowner Assistance Program?

No, program policy requires homeowners to self-certify that they still own the damaged property and have not transferred it or received notices of default or seizure related to taxes, mortgage, or title prior to receiving a grant award. Additionally, the program requires that homeowners maintain ownership throughout the entirety of their participation in the program.

Online Account Management

Q: I am unable to access my eGrants account. What should I do?

You may want to reset your password, which can be done here or by clicking the key icon in the top right corner of the eGrants Plus page.

If you continue to experience technical difficulties, please reach out to us at 866-735-2001 (M-F, 8 a.m. – 5 p.m.) for additional assistance.

Q: How do I request a copy of my file?

At any time during their participation in the Restore Louisiana program, applicants may request a copy of their file from their case manager (pursuant to Louisiana Public Access Law La. R.S. 44:1). If an applicant wants to print out any portion of their file available through their eGrants account, they may do so.

Also, requests can be made by submitting this form using one of the following options:

  • Via email: Completed forms may be emailed to RelaDocs@restore-la.org or to the applicant’s case manager
  • In-Person: Completed forms may be dropped off at a Restore Louisiana Housing Assistance Center (locations and hours are available on the Program Overview page.)

The applicant file will only be forwarded or mailed to the mailing address on file. A file will never be mailed to a third party (communication designee, advocate, attorney, or other person) without the express written authorization from the applicant and the State. Please reach out to your case manager if you have any questions regarding this process.

Program Deadlines

Q: What are the program deadlines I need to be aware of?

The following deadlines apply to the Homeowner Assistance Program. If you have any questions about the deadlines below and how they may impact you, please contact your case manager or call 866-735-2001.

  • Survey deadline: October 19, 2018
  • Application deadline: November 16, 2018
  • Final deadline to execute grant agreement: Wednesday, January 15, 2020*
  • Final deadline to complete construction under Solution 2: 360 days from the date of grant execution

* This deadline may not apply if you have SBA DOB. Please reach out to your assigned case manager with any questions.

Environmental Reviews and Lead-Based Paint Assessments

Q: What is an environmental review?

The environmental review is the process of reviewing a project and its potential environmental impact to determine whether it meets federal, state, and local environmental standards. This process is required by federal regulation to ensure that the proposed project does not negatively impact the environment and our citizens.

An environmental review must be completed prior to home construction. The process starts with an inspection of the flood damaged property where an inspector observes the exterior of the home and the surrounding environment. Using photographs, aerial maps, and public databases to assess each property, our inspectors may also consult with state and federal agencies such as the State Historic Preservation Office or the Environmental Protection Agency. Each property is evaluated for characteristics such as whether the property is impacted by or impacts floodplains, historical districts, aquifers, natural and scenic state and federal streams, toxic sites such as landfills, etc. While passing the environmental review is not a guarantee of a grant award, its successful completion is a critical first step.

The environmental review is separate and distinct from the damage assessment inspection. The environmental review is conducted without an appointment and from the road or right-of-way. Inspectors do not need to enter onto the property, unless the property is secluded on a private road or is not viewable from the right-of-way. The damage assessment inspection, will occur later in the process and will require an appointment and access to the interior of your property.

Q: When does an environmental review occur?

The program conducts an environmental review after the survey completion and prior to homeowner application to the program. Environmental inspectors do not enter the inside of a property. These reviews are conducted from the right of way and no appointment is scheduled with the homeowner. A program inspector will take photographs of the property and note any visible environmental conditions. All inspectors will wear a collared shirt with the Restore Louisiana Homeowner Assistance Program logo and carry an identification badge.

Q: What is a lead-based paint assessment?

For more information on lead-based paint assessments, view our guidance document here.

Construction

Q: How do I find a Louisiana licensed contractor?

Any homeowner that is looking for a Louisiana licensed contractor should refer to the Louisiana State Licensing Board for Contractors website at www.lslbc.louisiana.gov, which contains valuable information for consumers on how to hire a licensed contractor, along with an online contractor search to confirm Louisiana contractor license status. The Restore Louisiana Homeowner Assistance Program does require all homebuilding contractors to be Louisiana licensed and insured. Please see our “10 Tips to Remember When Hiring a Contractor” flyer for additional information.

Construction Technical Advisors (CTAs) are available to provide Solution 2 homeowners with the information and assistance necessary to support compliance with Program rules. At any point during the construction process, the homeowner can request a joint meeting with the program CTA and their contractor, particularly prior to start of their project. Also homeowners may request a Communications Designee form from their case manager if they would like their contractor to be able to contact the CTA directly regarding details of construction.

Q: I hired a contractor, but he/she never did the work. What should I do?

If you haven’t already done so, please contact the Louisiana State Licensing Board for Contractors about the issue; you can file a complaint online here. The Licensing Board also has a number of helpful resources for consumers, which you can find on their “for consumers” page. To take legal action against the contractor, you will need to contact a private attorney or legal aid organization.

As it relates to the Restore Louisiana Homeowner Assistance Program, you are encouraged to have the following documents in your records for future reference:

  1. Police report
  2. Filed complaint with Louisiana State Licensing Board for Contractors
  3. Filed fraud report with attorney general’s office (more information here)
Q: What are Green Building Standards and how do I make sure I comply?

Green Building Standards aim to ensure construction is completed in an environmentally-responsible and resource-efficient way. The Program has developed the Green Building Guidance Document to educate applicants on how they can ensure compliance.

For more information on the Program’s Green Building Standards, and to view specific checklists listed in the Guidance Document, visit the overview page here.

Q: I am a contractor working with a Solution 2 homeowner and have some questions regarding the Restore program?

If you are a contractor working with a Solution 2 homeowner, you must work with the homeowner who is required to submit the following documents to the Program:

  • A copy of the contractor’s residential building license or registered home improvement contractor registration certificate issued from the Louisiana State Licensing Board for Contractors.
  • A current copy of the contractor’s certificate of liability insurance with the homeowner’s name as the certificate holder.
  • The executed contract with the contractor, which includes all of the scope of work identified by the Program in the ECR, and a payment schedule referencing how payments will be required by the contractor.
  • A W-9 form completed by the contractor.
  • For reconstruction, a certificate of occupancy will be required. Additionally, a certificate of elevation must be provided for homes located in the 100-year flood zone.

Construction Technical Advisors (CTAs) are available to provide homeowners with the information and assistance necessary to support compliance with Program rules. If the contractor would like to directly contact the CTA, they must have a communication designee form on file with the Program that is submitted by the homeowner in order to discuss project specific questions.

Construction progress will be monitored, and payment of each progress draw is contingent upon satisfactory inspection of the home by the Program. The homeowner is solely responsible for paying for any contracted work directly to the contractor.

The Program will not pay any advance payment on behalf of a homeowner, regardless of the terms of the homeowner’s contract between the homeowner and their homebuilding/home improvement contractor. The Program will issue no more than five construction draws during the project, regardless of the terms of the homeowner’s contract.

Further, these procedures do not create a contractual relationship between the Program and the homeowner’s homebuilding/home improvement contractor. Finally, the homeowner’s homebuilding/home improvement contractor is not a third-party beneficiary of the homeowner’s grant agreement between the homeowner and the Program.

For more helpful information, please see the Solution 2 Guidance Document.

To review Program Guidelines, click here.

Q: I am ready to select my new MHU replacement unit. What do I need to know about the installation process?

Restore Louisiana funding can cover the cost for transport, set-up, and site work necessary to install the new replacement MHU unit. If the homeowner is relocating the MHU to a new location, they must advise their dealer and their Construction Technical Advisor (CTA), as the address will need to be approved by the Program before delivery of the new MHU. If the location is in a Special Flood Hazard Area (SFHA), Program funding may be available to cover the cost of elevation.

Prior to accepting your Program award and prior to requesting a final inspection, please see the MHU Checklist for helpful information about the installation and site prep requirements.

Program Awards and Benefits

Q: How is the award calculated for site-built homes?

During the damage assessment, a program representative will perform a detailed inspection of the home to determine a dollar amount (based on economy/standard-grade materials) for the work already completed on the home and the work that remains. The Program will then review any other benefits received from other sources, such as FEMA Individual Assistance or SBA loans. Federal law requires the accounting of other benefits in calculating the grant award. From there, the formula for calculating a homeowner’s grant award is as follows:

All qualifying homeowners are eligible for 100% of the maximum reimbursement and remaining repair award.

This video provides additional information on how the Program calculates grant awards.

Q: My grant award has been calculated, but I have new information and/or documentation that may affect my grant award calculation. Can I still submit this information?

If a homeowner feels that the program incorrectly calculated their grant award based on existing policy and has new documentation that was not submitted with the homeowner’s application, he or she may file an appeal.
Appeals must be filed prior to signing your grant award or within thirty days of the date you received your grant award determination letter, whichever occurs first.

The appeal request can be submitted in one of the following ways:

eGrants: You should access the Appeal Form by selecting the Appeal radio button on the Award Acknowledgement screen within eGrants. The Request for Appeal form will display with Save and Submit buttons. Once you have completed the form, and all documents to support your Appeal have been provided, then Submit the form. If additional time is needed to gather documents and information to support the Appeal, then you can choose Save to save the entry to submit at a later time. Note: It is the homeowners’ responsibility to provide all documents necessary to support their appeal at the time of submission.

In Person: If you are unable to file an appeal online, you will need to schedule an in-person meeting with your Case Manager.

Regardless of the reason(s) you have filed an appeal, your entire file will undergo a full review. You must be aware that this full file review may result in positive or negative changes to your eligibility status or an increase or decrease in your previous award amount. Such variations in your final award are necessary to ensure that your home is properly repaired and that the Program only pays for work that is necessary and reasonable within Program guidelines. In any instance of a decrease in the actual cost of your repair or reconstruction, the grant award and disbursements will be reduced to reflect the reduction in repair or construction costs.

Q: What are the options for making repairs to site-built homes?

You can choose one of three solutions based on your progress in the rebuilding process and your capacity to complete the work. Program staff will provide guidance to homeowners on the requirements for each solution.

Solution 1: Program-Managed. The Program manages and completes the construction process on behalf of homeowners. The Program’s contractors will repair or reconstruct damaged properties. Homeowners enter into grant agreements with the state. They do not select contractors and do not do business directly with the contractor

Solution 2: Homeowner-Managed. Homeowners may choose to manage their own repair or reconstruction work. Under this option, a homeowner chooses to hire a licensed residential contractor or registered home improvement contractor, or they can self-manage repairs. While the Program provides funding based on economy-grade materials and finishes, under this option, the homeowner may select higher grade materials and finishes and pay the difference in price. Homeowners also enter into a grant agreement with the state in order to receive assistance through the federal Community Development Block Grant funding, and the state monitors the work. For more information, view the “Preparing for Homeowner-Managed Construction (Solution 2)” guidance document here.

Solution 3: Reimbursement. Homeowners who have completed partial or full repairs before applying to the Program may qualify for reimbursement of eligible expenses incurred before the application process or before December 31, 2018, whichever is sooner.

Q: Once I close and sign my grant agreement, when will I receive a check?

Solution 3 – Reimbursement
If you are eligible for reimbursement for work already completed, the Program will request funds in the amount of your approved reimbursement award once your grant agreement is signed. Processing will take approximately 3-4 weeks. Once funds are ready for disbursement, your check will be mailed to your preferred address.

Solution 2 – Homeowner-Managed Construction
If you have chosen Solution 2 (Homeowner-Managed Construction), you will work with a Construction Technical Advisor (CTA) during the contractor selection phase of the Program to determine the number of progress inspections and requests for payment that will be required for rebuilding. Once a progress inspection is performed, payment will be provided consistent with work completed. Please note that the estimated timeline for each payment is 3-4 weeks following the completion and approval of the progress inspection.

Solution 2 – Manufactured Home/Mobile Home Replacement Assistance
For homeowners who are eligible for manufactured/mobile home replacement under Solution 2, payment will be requested once you have signed the grant agreement, provided a purchase agreement to the Program, and a final inspection is performed. Once these steps are complete, it will take approximately 3-4 weeks for the check to be issued to either the MHU dealer (if purchase not completed) or the finance company (if purchase is complete).

Solution 1 – Program-Managed Construction
Payments are provided directly to the contractor under Solution 1.

If you chose Solution 1 and are also eligible for reimbursement (Solution 3), the estimated timeline for disbursement of reimbursement funds is approximately 3-4 weeks from the date you sign your grant award.

Q: Once I sign my grant agreement, what are the next steps with respect to starting construction or requesting a progress inspection?

Solution 1 – Program-Managed Construction
For homeowners who choose Solution 1 (Program-Managed Construction), the Program will issue a Notice to Proceed (NTP) to the contractor (the same company that has already conducted your pre-construction walk-through) after you sign your grant award. The contractor will contact you within 2-3 business days after they receive the NTP to discuss a construction start date and plans for relocation during construction (if required). The contractor will also submit all required building permits and schedule all program and permit required inspections.

Solution 2 – Homeowner-Managed Construction
For homeowners who choose Solution 2 (Homeowner-Managed Construction), a Construction Technical Advisor will contact you either by email (if an email address is on file with the Program) or by phone within 3-5 business days after you sign your grant award to issue a Notice to Proceed in reference to prospective repairs. If repairs to the home are underway or have been completed since the damage assessment was conducted, please notify your Construction Technical Advisor by responding via email or during the introductory phone call so that a progress or final inspection may be scheduled. These inspections will be required to approve the disbursement of funds for work completed.

Q: Why does the Homeowner Assistance Program policy only allow for replacement of mobile homes and not for repair of damaged units?

Restore Louisiana’s policy is to replace, not rehabilitate/repair, flood-damaged mobile home units to best serve the long-term housing needs of flood-affected citizens and protect homeowners from potential future environmental health hazards. Water damage to manufactured housing often results in serious structural and environmental health hazards for occupants of manufactured housing units that may not be effectively remediated with repair activities. Newer manufactured housing units are built to higher construction standards and offer more energy-efficient options that result in better utility efficiency and lower utility charges.

The Homeowner Assistance Program will provide funds for the replacement of single-wide or double-wide damaged units and the homeowner has complete control over the choice of the unit they select. The maximum Program allowance is $45,000 for single-wide units and $65,000 for double-wide units. The maximum Program allowance will be reduced by any duplication of benefits. Once the maximum allowance has been determined, the Program will compare this amount with the actual cost of the replacement MHU and adjust the applicant’s award to the lesser of the two. The funding can cover the cost, transport, set-up, and site work necessary to install the unit.

Additionally, applicants are able to provide receipts to document repairs made to mobile home units using funds received for structural repairs from federal funding sources. The receipts will be reviewed, and all eligible expenditures will be used to offset Duplication of Benefits (DOB).

For more information, view the “Manufactured Housing Replacement Assistance (Solution 2)” guidance document here.

Q: Does my grant award calculation include the cost of demolition?

Demolition costs are handled by the program in the following ways:

Reconstruction: If your home qualifies for reconstruction with the program, demolition of the flood-damaged structure will be included. The $78 per square foot allowance includes the cost of demolition of the previous structure.

Structure replaced with MHU or Demolished Prior to Damage Assessment: If a homeowner has previously replaced a flood-damaged MHU or stick-built home with a new MHU, demolition of the previous structure will NOT be included in the reimbursement calculation.

Any demolition costs associated with a stick-built property, if applicable, are included within the replacement manufactured housing unit Program allowance and are not considered additional costs.

Q: Does the Restore Louisiana Homeowner Assistance Program provide assistance to homeowners who need to demolish and reconstruct their flood-damaged home?

The program does provide a reconstruction option for homeowners to demolish their flood-damaged home and construct a new residential structure if any of the following are true:

  • The flood-damaged home was demolished or unsafe to enter at the time of the damage assessment
  • They received a condemnation letter or substantial damage letter from their local jurisdiction
  • The relative percentage of the program repair estimate was greater than or equal to 80% of the reconstruction estimate

Homeowners who are eligible for reconstruction may also choose between Solution 1: Program-Managed reconstruction or Solution 2: Homeowner-Managed reconstruction.

More information on reconstruction can be found here.

Q: Does the program pay for me to relocate if I am required to vacate my home during construction or reconstruction?

Please speak to your case manager about temporary housing options that may be available for homeowners who are required to move out of their home during the construction process.

Q: Why am I being asked to provide “escrow” or meet my “homeowner responsibility”?

In cases where a homeowner received or was approved for funding from other sources (such as FEMA or SBA) to repair his/her storm-damaged home, federal law requires those funds to be invested by the homeowner into home repair before the Program may provide additional dollars.

  • Solution 1, Program Managed Construction – The “required escrow” funds referenced by your previously accepted Award Acknowledgment must be submitted to the Program during your closing appointment in the form of a cashier’s check. These funds are matched with your grant funds from the Restore program to ensure your repair/reconstruction project is fully funded and complete.
  • Solution 2, Homeowner Managed Construction – The “Homeowner Responsibility” amount referenced in your Grant Agreement is the amount of money you will need to spend on home repairs listed in your Estimated Cost of Repairs (ECR) prior to receiving Program grant funds. Once the Program inspects and confirms completion of items in your ECR totaling more than your Homeowner Responsibility, you will be able to receive grant funds. If you have completed repairs since the time of your damage assessment, the cost of those items may be reduced from your Homeowner Responsibility amount.

Applicants who cannot fulfill their escrow or homeowner responsibility obligations at the time of grant execution may be eligible for Scope Deferment to the extent that their eligible repair scope includes items that are non-essential for occupancy or habitability. Scope deferment is not intended to remove the cost of the scope item from the responsibility of the homeowner, but rather to defer the work to the end of the construction project. For more information about Scope Deferment, reach out to your case manager or click here.

Q: Are there resources available to assist me with my “homeowner responsibility”?

In cases where a homeowner received or was approved for funding from other sources (such as FEMA or SBA) to repair his/her storm-damaged home, federal law requires those funds to be invested by the homeowner into home repair before the Program may provide additional dollars.

Solution 2 – If you are a Solution 2 (Homeowner-Managed) homeowner, you may be eligible for rebuilding assistance in order to meet your required “homeowner responsibility” from SBP or Vital Resource Solutions.

SBP
To learn more, call (225) 478-1499 or visit: http://sbpusa.org/

SBP is focused on rebuilding homes quickly after disasters by mobilizing private sector innovations and assigning a single point of contact to make the home rebuilding process faster and more predictable.

Vital Resource Solutions
To learn more, call (225) 443-1418 or visit http://www.vitalrsi.com/

Vital Resource Solutions connects qualifying individuals & families to financial assistance. They also connect residents with tangible and financial resources within the community to aid in disaster recovery.

Q: Am I required to maintain flood insurance as a participant in the Homeowner Assistance Program?

If your structure is located in a Special Flood Hazard Area (SFHA), you will be required to maintain adequate structural flood insurance at ALL times for your home.

  • You must submit proof of flood insurance or a letter of declination (if home is uninsurable because of disrepair or the MHU is not on site) before signing your Grant Agreement. The policy amount should be the lesser of either: a) The full insurable value of the structure as determined by the applicable property insurer, or b) The maximum amount available for the structure under the National Flood Insurance Program, or a successor program. The full insurable value of the structure will be based upon the Program’s total project cost for the Applicant.
  • In addition, you will be required to submit proof that you obtained flood insurance after your construction has been completed or your MHU has been installed. Final payment will not be released until this proof of flood insurance is provided to the Program.
  • Homeowners who fail to provide proof of flood insurance will be ineligible to receive grant funds and/or in the event funds have already been provided, can be subject to recapture.
  • Failure to maintain insurance in the future will result in ineligibility for future disaster relief per federal guidelines.

For more information on flood insurance requirements, see our Flood Insurance Requirements Guidance Document. We encourage you to check with your local floodplain manager if you have questions about your flood zone determination.