Senator: Feds Should Cover Out-Of-Pocket Costs
Sen. Charles E. Schumer urged the U.S. Department of Housing and Urban Development (HUD) to quickly approve a reimbursement plan for New York City residents who used out-of-pocket money for Hurricane Sandy-related repairs that are not covered by insurance or other aid programs.
New York City recently submitted its action plan to HUD outlining the way in which Community Development Block Grants (CDBG) will be distributed to Sandy victims in New York City. In its current state, the action plan provides CDBG funding for reimbursement, along with an ongoing rehabilitation and reconstruction program for single and multi-family homes.
Schumer called for HUD to swiftly review the City’s Action Plan and work with City officials to provide the most comprehensive reimbursement plan that will maximize eligibility and benefits to Sandy victims around New York City.
“The government should not punish people for trying to get their lives back to normal,” said Schumer. “Sandy-victims around New York City have already laid out hundreds or thousands of dollars on home-repairs and they deserve to be reimbursed. HUD must quickly approve the City’s plan for this much-needed funding and make sure to maximize the number of qualifying individuals eligible for these reimbursements.”
HUD’s CDBG program provides a flexible way for communities to address their residents’ needs. Before HUD can provide CDBG funding to a community, an action plan must be drafted and then reviewed and approved by the federal agency. On Apr. 22, New York City submitted the final version of its action plan to HUD and outlined its programs to include reimbursement for qualifying homeowners of one- to four-family homes.
The city’s action plan included a reimbursement program, along with an ongoing rehabilitation and reconstruction program for single- and multi-family homes.
Schumer went on to note that a comprehensive reimbursement plan would ensure that those individuals receive the funding they need to move on from the storm based on the expenses they have already incurred that are not covered by insurance or other aid programs.
