CDBG-DR

Community Development Block Grant – Disaster Recovery

On this page, you will find resources to participate in a variety of recovery programs, as well as information on tracking and reporting the responsible use of these funds.

Hurricanes Irma and Maria had a devastating impact on the United States Virgin Islands. The two back-to-back Category 5 storms in September 2017 caused significant destruction to housing, infrastructure, and the economy. HUD’s Community Development Block Grant Disaster Recovery (CDBG-DR) provides funding for unmet needs after Federal Emergency Management Agency (FEMA) funds, insurance, and other federal or private sources are accounted for, with a focus on the needs of low- and moderate-income residents and businesses.

This money is managed by the U.S. Virgin Islands Housing Finance Authority (VIHFA) and spending is prioritized in programs designed through the U.S Virgin Islands Community Development Block Grant Disaster Recovery Action Plan. This plan proposes a portfolio of programs to address unmet housing, public service, infrastructure, and economic needs.

Allocation Status

• HUD has awarded a total of $1.86 billion to be allocated to the Territory in three phases (“tranches”). These funds must be spent within six years of the signed grant agreement, which occurred on September 27, 2018.
• The plan for Tranche 1 was approved by HUD on July 10, 2018, for $242,684,000. The plan for Tranche 2 was approved on March 1, 2019, for $779,217,000.
• The third allocation for mitigation-specific funding is anticipated in 2019.

CDBG-DR funds are intended by HUD to address:

1. Unmet needs in housing, infrastructure, and economic revitalization from 2017 hurricanes.
2. Mitigation activities to protect the Territory from the damage of future events.