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Needs Assessment Lower Rio Grande Valley Hurricane Dolly Recovery Program

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Needs Assessment Lower Rio Grande Valley Hurricane Dolly Recovery Program Needs Assessment Lower Rio Grande Valley Hurricane Dolly Recovery Program November 2011 U LOWER RIO GRANDE VALLEY DEVELOPMENT COUNCIL HURRICANE DOLLY ROUND 2.2 DRAFT NEEDS ASSESSMENT Lower Rio Grande Valley Needs Assessment HOUSING ADVISORY COMMITTEE MISSION STATEMENT “To facilitate a Regional Housing Program that assures Quality, Affordable, Sustainable, and Resilient housing in accordance with fair housing standards and maximizes assistance for current and future funding while utilizing local involvement.” Lower Rio Grande Valley Needs Assessment Table of Contents Executive Summary ......................................................................................................................... ii Purpose ........................................................................................................................................... 1 Scope ............................................................................................................................................... 1 Background and Demographics ...................................................................................................... 1 Overview of the Needs Assessment ................................................................................................ 8 Methodology ................................................................................................................................. 10 Mapping Analysis .......................................................................................................................... 14 Needs Assessment Findings .......................................................................................................... 16 Appendices Appendix One: Planning Team Participants............................................................................ A-1 Appendix Two: Data Sources ................................................................................................... A-2 Appendix Three: Abbreviated Meeting Minutes ........................................................................ A-5 Appendix Four: Public Hearings Comments ........................................................................... A-10 Appendix Five: Site Visit Data ............................................................................................... A-20 Appendix Six: Target Outreach Area Maps ......................................................................... A-21 i Lower Rio Grande Valley Needs Assessment EXECUTIVE SUMMARY The Needs Assessment Planning Team, which included members of the Lower Rio Grande Valley Development Council organized into a Housing Advisory Committee, undertook the preparation this Needs Assessment in anticipation of being awarded $122,034,387 in Community Development Block Grant (CDBG) Disaster Recovery Housing funding by the Texas General Land Office. This Needs Assessment will be used to complete the Round 2.2 General Housing Activities Application and will facilitate the outreach, intake, and application phase of the Lower Rio Grande Valley’s disaster recovery housing program. The Needs Assessment Planning Team utilized quantitative data provided by the United States Census Bureau and the United States Department of Housing and Urban Development together with data provided by local government officials and non-profit housing organizations and qualitative data collected during public hearings and site visits to prepare this document. Utilizing the data provided, Geographic Information System (GIS) maps were created to identify areas of need which will be targeted during the outreach phase of the housing program. It should be noted that these targeted outreach areas were developed to provide a starting point for the outreach effort. The Planning Team recognizes that they are not an exclusive list of areas that are in need of assistance with Hurricane Dolly housing recovery. Using the aforementioned data sources, together with information obtained over the course of four committee meetings and three public hearings, the Needs Assessment Planning Team analyzed the post- Hurricane Dolly housing needs in Cameron, Hidalgo, and Willacy Counties and made the following findings: The estimated Very Low Income population of the three county area is 192,423 persons which constitutes 36% of the low to moderate income population. It is estimated that this population experienced approximately $83,340,432 in Hurricane Dolly losses to housing. The Planning team finds that $37,772,923 of the housing funds should be set aside for this population. The estimated Low Income population of the three county area is 157,882 persons which constitutes 30% of the low to moderate income population. It is estimated that this population experienced approximately $69,450,360 in Hurricane Dolly losses to housing. The Planning team finds that $31,477,736 of the housing funds should be set aside for this population. The estimated Moderate population of the three county area is 180,890 persons which constitutes 34% of the low to moderate income population. It is estimated that this population experienced approximately $78,710,408 in Hurricane Dolly losses to housing. The Planning team finds that $35,674,768 of the housing funds should be set aside for this population. ii Lower Rio Grande Valley Needs Assessment Percentage of Set Aside per Income Bracket Population/Damage Income Category Very Low Income 36% $37,772,923 Low Income 30% $31,477,736 Moderate Income 34% $35,674,768 Total Available Funding 100% $104,925,787 After reviewing the qualitative and quantitative housing data and the needs of the population, the Needs Assessment Planning Team determined that the following housing disaster recovery programs and activities will be offered in Cameron, Hidalgo and Willacy counties and it allocated the following funding amounts to these programs and activities: Homeowner Assistance Program Acquisition $ 4,983,975 Rehabilitation $ 9,967,950 Reconstruction $74,759,624 New construction $ 4,983,975 Demolition Only $ 0 Elevation Only $ 4,983,974 Total Homeowner Assistance Program $99,679,498 Homebuyer Assistance Program Down Payment Assistance $2,623,145 Principal Reduction $ 0 All Reasonable closing costs $2,623,144 Total Homebuyer Assistance Program $5,246,289 Total Rental Program $15,108,600 Total Rapid Recovery Housing Program $2,000,000 Total Housing Allocation $122,034,387 iii Lower Rio Grande Valley Needs Assessment 1. PURPOSE This Needs Assessment was developed to provide the framework and justification for the design of the Hurricane Dolly CDBG Disaster Recovery program in the Lower Rio Grande Valley as required by the Round 2.2 Guidelines and Conciliation Agreement. The Needs Assessment will assist the Lower Rio Grande Development Council in overcoming impediments to fair housing by ensuring that recovery efforts are focused upon those persons and locations with the greatest need. 2. SCOPE This Needs Assessment is intended to provide guidance to the Lower Rio Grande Valley Development Council in the creation and implementation of its CDBG funded disaster recovery program for Cameron, Hidalgo and Willacy Counties. The Needs Assessment provided the data needed to determine the following: 1. The funding set asides allocated to very low, low and moderate income populations; 2. The types of programs and activities that will be offered; 3. The funding allocations for each program and activity; and, 4. The areas which will be targeted for outreach. 3. BACKGROUND AND DEMOGRAPHICS Hurricane Dolly came ashore in the Lower Rio Grande Valley on the morning of July 23, 2008. Although Dolly was downgraded to a Category 1 storm before landfall, National Oceanic and Atmospheric Adminsitration records indicate that damaging winds of up to 100 miles per hour were experienced in coastal areas and significantly damaging winds of 50-60 miles per hour were recorded far inland. (See NOAA Windspeed Map, Figure 1.a). Figure 1.a: NOAA Hurricane Dolly Windspeed Estimates 1 Lower Rio Grande Valley Needs Assessment Perhaps more significant than the wind was the extensive rainfall which Dolly left in her wake. The geography Lower Rio Grande Valley is marked by numerous streams, riverine tributaries, irrigation canals, dry lake beds and other low areas that experience significant flooding following even small storm events. Due to the lack of elevation differential, rainfall has a tendency to pool in these areas for weeks without draining. (See NWS Rainfall Map, Figure 1.b). Figure 1.b: NWS Hurricane Dolly Rainfall Map The Lower Rio Grande Valley is a prime agricultural area thanks in large part to the frequent flooding which brings vital nutrients to the farms and fields of the area. Unfortunately, the agricultural economy also created an early pattern of settlement in many low lying areas. This was exacerbated by the landowners who sold agriculturally poor and flood prone land to low income individuals and migrant laborers starting in the 1950s. These areas, known as “colonias”, largely lacked basic physical infrastructure such as water and sewer services. Colonias are also marked by a lack of decent, safe and sanitary housing. Another characteristic of housing in colonias is that it is often constructed by residents over time rather than by professional builders. Residents frequently started with tents or other temporary structures and then began to improve their homes by adding wood, cardboard and other salvaged materials.1 Because of the potentially serious consequences for public health and its
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