Commerce Secretary Gutierrez Invites Applications for Disaster Assistance to States Impacted by 2008 Storms

Thursday, January 8, 2009

FOR IMMEDIATE RELEASE
Thursday, January 8, 2009
Contact: Ann Marie Hauser (202) 482-4883

Commerce Secretary Gutierrez Invites Applications for Disaster Assistance to States Impacted by 2008 Storms
Second EDA Supplemental Appropriation of $400 Million

WASHINGTON – In response to hurricanes, floods and other natural disasters occurring during 2008, U.S. Secretary of Commerce Carlos M. Gutierrez today announced that the Department of Commerce’s Economic Development Administration (EDA) is now accepting applications to support long-term post-disaster economic recovery through an additional $400 million in emergency funding provided through a Second Supplemental under the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act, signed into law on September 30, 2008. This announcement follows EDA’s August, 2008 announcement of the availability of $100 million through the First Supplemental Appropriations Disaster Relief Opportunity pursuant to Act of June 30, 2008, Pub. L. No. 110-252, 122 Stat. 2323 (2008).

Federal Funding Opportunity (FFO) notices for both of these Supplemental Appropriations, totaling $500 million, may be viewed at www.eda.gov/InvestmentsGrants/FFON.xml.

“As our nation faces unique economic challenges, I am confident that making these grant funds available will help the affected communities achieve long term economic vitality,” said Gutierrez. “At the same time, we are committed to the most effective and efficient distribution of funds to our nation’s most disaster-affected areas. The additional $400 million in federal funding being made available today through the Economic Development Administration will help affected communities fortify their economic development planning efforts immediately and provide the business development assistance and infrastructure improvements needed to build stronger, more disaster resilient economies.”

As with the First Supplemental, funding for the Second Supplemental Appropriations Disaster Relief Opportunity will be allocated entirely to EDA’s six Regional Offices for competitive awards.

The $400 million will be allocated to the Regional Offices according to a formula designed to maximize funding to those regions most severely affected by 2008 natural disasters, as follows:

• Atlanta Regional Office: 14.38% or $57,500,000

(covering Ala., Fla., Ga., Ky., Miss., N.C., and Tenn.)

• Austin Regional Office: 33.58% or $134,300,000

(covering Ark., La., N.M., Okla., and Texas)

• Chicago Regional Office: 15% or $60,000,000

(covering Ill., Ind., Mich., Minn., Ohio, and Wis.)

• Denver Regional Office: 26.14% or $104,600,000

(covering Iowa, Kan., Mo., Mont., Neb., and S.D.)

• Philadelphia Regional Office: 6.93% or $27,700,000

(covering Maine, Mass., N.H., P.R., Vt., W.Va., and Virgin Islands)

• Seattle Regional Office: 3.96% or $15,800,000

(covering Alaska, Calif., Hawaii, Idaho, and Nev.).

The EDA notice also encourages the submission of several types of innovative projects for funding under the $400 million Second Supplemental Appropriations Disaster Relief Opportunity, such as “mother grants” obligated to a State for redistribution to individual projects; regional, multi-State strategy development grants; and grants to universities and research institutions to undertake multi-disciplinary activities to develop disaster-rresilient economies.

EDA played a similar and effective role in previous disasters such as the Midwest Floods of 1993 and 1997, the 1994 California Northridge Earthquake, Hurricane Floyd in 2000, the Florida hurricanes of 2004, and the 2005 Gulf Coast hurricanes.

EDA is the primary Department of Commerce bureau to assist with post-disaster economic recovery – although it does not have “first responder” duties or capabilities. EDA’s mission is to lead the federal economic development agenda by promoting innovation and competitiveness, preparing American regions for growth and success in the worldwide economy.

Additional information on how EDA investments are helping distressed communities create a positive and sustainable economic future can be accessed at: http://www.eda.gov.

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