FEMA Grant Coming at Glacial Speed

SEA ISLE CITY – A release from Sens. Robert Menendez and Cory Booker (both D-NJ) may have led some to believe that homes in Ocean City, Sea Isle City, Avalon and Stone Harbor would start being elevated with Federal Emergency Management Agency (FEMA) funds covering the bulk of the cost. 
Not quite yet, said Martin Pagliughi, director of the Cape May County Office of Emergency Management.
The money mentioned in the announcement from the senators has the short name of the Jonas Grant Program. It represents $5.3 million shared by the county’s four municipalities with a five or better Community Rating System (CRS) in the National Flood Insurance Program.
The money is indeed on its way, but the notification process is a bit convoluted.
First Washington makes the form declaration and then the notice moves to FEMA District Two.
From there it moves to the New Jersey State Office of Emergency Management (NJOEM), and finally, the formal information is pushed down to the county level.
A conversation with Pagliughi Jan. 22 made clear that the formal paperwork has not yet made it to the county. The release in Washington was dated Dec. 15.
Grant Details
By its longer name the grant is from the FEMA Hazard Mitigation Grant Program (HMGP) for the elevation of residential properties in the National Flood Insurance Program (NFIP) Special Flood Hazard Areas (SFHA).
NJOEM selected the county’s four participating communities due to the Class 5 or greater CRS level, an indication of significant efforts by the communities to build resiliency into daily actions.
The Jonas Grant’s $5.3 million is intended to cover 75 percent of the costs of elevation for 28 structures across the four communities. The remaining 25 percent for each structure is the responsibility of the property owners.
An involved application process took place in the spring before the application for funding went forward with specific properties identified.
The grant calls for the structures to be elevated at least two feet above the Base Flood Elevation (BFE).
The money is designated for homes that have had repeated loss incidents and are in the SFHA on the new FEMA maps.
The program also carries the requirement that properties using the FEMA mitigation grant are required to maintain NFIP flood insurance in perpetuity. The flood insurance on the property becomes part of the property deed.
The grant reimburses property owners 75 percent of the expense meaning that the owner must be able to cover a significant financial outlay for the upfront costs.
Pagliughi said the county would be reaching out to local lenders to try to encourage a bridge-loan program as soon as official notification of the grant arrives.
Another Grant Announced
In November, Menendez and Booker also announced $7.4 million in federal funding for residential elevations to be spread more broadly across the county’s shore communities. The announcement said that the funds would cover 38 structures in the county.
This funding, part of the 2016 FEMA Flood Mitigation Assistance (FMA) program, is similar in structure to the HMGP discussed above.
It is also a reimbursement program. Yet, the county’s Hazard Mitigation Plan website says that the property owner’s share may be as low as 10 percent. The properties will carry the same deed restrictions.
The release of this funding may have jumped the gun in November. The county website says that no official notification of that grant has been received. It also points out that a state Local Agreement must be developed and signed by all parties before the project can move forward.
County OEM had no real details on this grant program award yet.
Where Are We Today?
Pushing aside all the acronyms and federal grant speak, no official notification has arrived at the county level for either grant program.
Concerning the larger $7.4-million program, the county HMP website states that as of Jan. 3, the awards were being delayed at FEMA District 2. It adds that “NJOEM and Cape May County should hear about the award by the end of March.”
They also still await official word on the $5.3-million Jonas grant.
To contact Vince Conti, email vconti@cmcherald.com.