Wed. Apr 24th, 2024
Grants For Disaster Repair Under the Community Facilities Program

What Is the Purpose of This Program?

Grants are awarded under this program to restore vital community facilities damaged in rural areas by disasters declared by the president in 2024. A facility that offers a necessary service to the community for the orderly development of the community in a predominantly rural area is referred to as an essential community facility; private, commercial, or business endeavors are not included in this definition.

Who Is Eligible to Apply?

Public entities, as mentioned above, nonprofit community-based organizations

Tribes recognized by the federal government

What Area Qualifies?

This program is available to rural areas in the states affected by presidentially declared disasters in the calendar year 2024. These areas include cities, villages, townships, and towns, as well as Federally Recognized Tribal Lands, with no more than 20,000 residents based on the most recent U.S. Census data.

Visit the Federal Emergency Management Agency (FEMA) website of the United States Department of Homeland Security (U.S.) to view the most recent list of Presidentially Declared Disasters. This program applies to emergency declarations, fire management declarations, and major disaster declarations.

How Are the Funds To Be Used?

The President may declare disasters in Calendar Year 2024, and grants may be used for the replacement of vehicles or equipment that is damaged, as well as the acquisition of new equipment necessary for the repair of damaged facilities. 

Among the Necessary Community Amenities Are:

Healthcare facilities include assisted living communities, nursing homes, dental offices, and hospitals.

Town halls, courts, streets, and public works vehicles or equipment are examples of public facilities.

Childcare facilities, community centers, fairgrounds, and transitional housing are examples of community support services.

Services related to public safety include fire departments, police stations, jails, police cars, and fire trucks.

Services for education like libraries, museums, and schools

Equipment for distance learning or telemedicine are examples of useful services.

Community gardens, food pantries, food hubs, food banks, and greenhouses are examples of local food systems.

Which Types of Funding Are Offered?

Up to 75% of the cost of repairing a damaged facility may be covered by the Community Facilities Disaster Repair Grant. If all eligibility and feasibility requirements are satisfied, funding for the remaining portion of the project may come from applicant contributions, loans and grants from other sources, or other financial assistance from Community Facilities, such as the Community Facilities Direct Loan and the loan guarantee program.

Which Financial Priorities Exist?

Key Priorities for Rural Development: The following major priorities should be given careful consideration by applicants, according to the Agency:

Rebuilding infrastructure and expanding market opportunities to aid in the economic recovery of rural communities; Ensuring that all rural residents have equal access to RD programs and benefits from RD-funded projects;

lowering climate pollution and strengthening rural communities’ ability to withstand the effects of climate change.

A system of priorities based on household income and population:

tiny towns with fewer than 5,000 residents

communities classified as low-income if their median household income is 90% or less of the state’s nonmetropolitan median household income, or less than the federal poverty line.

There will also be priority points given for one or more of the following:

The project is related to healthcare.

The goal of the project is public safety.

The project aligns with the State Strategic Plan and is represented in it.

Which Terms Apply to the Grant?

Up to 75% of the total project cost may be covered by grants. The amount of the award has no upper or lower bound. Funding will be distributed to the relevant USDA RD State office, and applications will compete for it.

The remaining project funding may come from applicant contributions, grants and loans from other sources, or other forms of financial support. Contributions made in kind are not a suitable source of cost-sharing money. Eligible applicants may also utilize the resources of the Community Facilities Direct Loan Program to fulfill the cost-sharing obligations. In a single application, applicants may request both disaster repair grants and community facilities direct loans.

You Can Also Read It: Guaranteed Loan Program

Grant Approval: 

In compliance with the guidelines of the Community Facilities Program, applications will be examined. A priority ranking scoring system will be utilized to decide which projects are funded based on the funds available in the State allocation if the demand for grant funds exceeds the amount of grant funds available at any point. For further information, please see the Announcement of the Availability of Community Facilities Program Disaster Repair Grants.

Do Any Other Prerequisites?

To borrow funds, obtain security, repay loans, and build, run, and maintain the proposed facilities, applicants must be legally authorized to do so.

  • The project cannot be funded by the applicants using their own funds or commercial credit at fair interest rates and conditions.
  • Facilities serving the rural area where they are or will be located must have suffered damage from a federally declared disaster in the calendar year 2024.
  • The project needs to show strong community support.
  • The environmental review needs to be finished or approved.

How Do We Begin?

To discuss your unique project, get in touch with your local office. Submissions for this program will remain open until all funds have been used. Resources for the program are available online (including necessary forms, guidelines, and certifications), and the local Rural Development Office can point you in the right direction.

If you haven’t already, register your organization with the System for Award Management (SAM). It costs nothing to register, but there are a few steps you must take. Entities will need to get a Unique Entity Identifier (UEI) to register in SAM. The UEI can be obtained by following the instructions on SAM.

By Jack

Jack, a U.S.-based freelance writer with a wealth of experience in the loan and subsidy industry, is more than just a wordsmith. Driven by a passion for financial education and consumer empowerment, he founded cuploanprogram.online. This blog serves as a platform for his expert advice and insights, aiming to demystify loan programs and promote fair and transparent lending practices for all.