North Carolina is getting $165.9 million in long-delayed disaster relief aid, with $92 million going to Hurricane Helene recovery. The money is good news for the state that has waited months for reimbursements.
However, the government’s move leaves the federal fund used to respond to disasters dangerously low due to the partial government shutdown.
Hurricane Helene tore through western North Carolina 17 months ago, leaving behind an estimated $60 billion in damage costs. Since then the state has worked to repair roads and infrastructure while local governments spent millions clearing debris from their communities. So far the federal government has obligated about $7 billion to the state for recovery, according to state recovery officials.
The Department of Homeland Security has been shut down for two weeks – prompted by a partisan impasse concerning oversight of federal law enforcement agencies. The shutdown impacts funding for agencies under DHS, including the Federal Emergency Management Agency.
The FEMA money coming to North Carolina is part of a multi-billion dollar tranche the agency’s Disaster Relief Fund is releasing to states across the country. This funding round will nearly deplete the reserve until Congress takes action to replenish it.
“This solution will not last forever, as FEMA’s reserves will run dry without reopening DHS,” Republican U.S. Sen. Ted Budd of North Carolina, wrote in a statement.
The money not going towards Helene recovery – $74 million – will reimburse local governments for costs incurred during the COVID-19 pandemic.
The $92 million of Helene disaster recovery aid announced today was delayed because of a rule implemented by Department of Homeland Security Secretary Kristi Noem nearly a year ago.
Under the rule, any FEMA spending over $100,000 needs her personal approval. That rule has been the bane of recovery officials in the state and has caused a $17 billion bottleneck for recovery funds throughout the nation.
Some of the recipients of the disbursement includes:
- $1,135,211 to Henderson County Hospital Corporation for emergency protective measures at Pardee Hospital during the COVID-19 pandemic.
- $1,916,520 to Madison County to reimburse emergency response efforts, including shelters, infrastructure repairs, and essential services during Hurricane Helene.
- $5,326,298 to Buncombe County to cover repairs to the county’s sewage system and other emergency protective measures following Hurricane Helene.
- $1,239,259 to the Town of Old Fort to restore damage to the Westerman Street Water Line caused by Hurricane Helene.
- $20,358,749 to the North Carolina Department of Transportation for road and highway repairs in Buncombe, Mitchell, and Avery Counties resulting from Hurricane Helene.
- $4,607,775 to the North Carolina Department of Transportation for road repairs to Pearson Falls Road in Polk County.
- $13,275,253 to Mitchell County for debris removal following Hurricane Helene.
- $5,600,601 to the City of Asheville to repair the North Fork Water Treatment Plant after Hurricane Helene.
Some counties in western North Carolina spent more than their annual budget digging out from under the debris left by Hurricane Helene, only to wait months for federal reimbursements.
“Delays in getting this money have real negative consequences for local governments who are constantly having to plan for the future and pay today's bills amid a great deal of uncertainty,” said Matt Calabria, who leads North Carolina’s recovery office.
Calabria was in D.C. this week, pushing for the money as well as pursuing other Congressional allocations. Gov. Josh Stein has also visited the capital multiple times this month to push for the money.
“I continue to urge DHS both to act swiftly to ensure local governments receive quick reimbursements for storm-related expenses and to approve the buyouts of people’s property in the flood zones,” he wrote in a statement to BPR News.
“The people of western North Carolina deserve our level best, and I remain committed to working alongside our federal and state partners to accelerate their recovery.”
Sen. Budd blamed Democratic lawmakers for the shutdown and the delay in funds. He said he worked with President Donald Trump to allow some Helene aid to come to the state despite the shutdown.
This is money FEMA had approved before the shutdown, and was waiting for final DHS sign-offs to be released. The release of the money contradicts a DHS statement from Feb. 22 that stated public assistance grants would not move forward for ongoing or legacy disasters.
“I am proud to announce that these efforts, in conjunction with Secretary Noem, have resulted in tens of millions of additional PA [public assistance] grant funding being approved for Western North Carolina,” Budd wrote in a statement to BPR News.
Budd pointed the finger at Democrats when asked if he would introduce a proposal to partially fund FEMA during the shutdown.
“Democrats in Congress have made it clear they will accept no limited funding proposals for DHS’s subagencies, but I will continue to urge my colleagues to come to the table and negotiate so that FEMA’s important work is not impacted by a prolonged partisan political fight,” he wrote.
Even with money on the horizon, local governments across western North Carolina have felt the impacts of what experts have called a chaotic and less predictable disbursement of funds.
“ There's less money moving out the door, and it's less predictable how that money is moving. It's not clear what the standards are, what the process looks like,” said Sarah Labowitz, a senior fellow in the sustainability, climate, and geopolitics program at the Carnegie Endowment for International Peace.
“ It's sort of like reading tea leaves or like waving a magic wand, what triggers the release of that money.”