Asheville is taking significant steps to address the lingering damages from Hurricane Helene, which struck in late 2024. The city is contemplating a reallocation of funds to prioritize home repairs, aiming to enhance the living conditions of affected residents.
In control of a $225 million grant issued by the Department of Housing and Urban Development, Asheville City Council is considering directing an extra $19.2 million towards the repair of single-family homes. This grant, known as the Community Development Block Grant for Disaster Recovery (CDBG-DR), was awarded following the extensive damage Hurricane Helene inflicted on local homes, businesses, and infrastructure.
Elma King, the CDBG-DR program manager for the city, presented a proposed funding adjustment at a recent Housing and Community Development Committee meeting. The committee plays a crucial role in shaping recommendations for the City Council.
The discussion arises shortly after a series by BPR News highlighted the scarcity of program funding in Asheville, alongside the potential exclusion of over 100 applicants from the repair program unless financial strategies are revised.
The proposed reallocation involves diverting $10 million from infrastructure and $9.2 million from multifamily housing to boost the home repair program’s budget to $22.2 million. This increase is anticipated to facilitate the restoration of approximately 55-65 homes affected by the hurricane.
King emphasized, “Investment in this program provides impacted residents with the ability to build wealth and equity within their home. And data since December has confirmed that the cost and demand for repair requires a more robust commitment than the $3 million we initially had allocated.”
Initially, $31 million was earmarked for housing when the spending plan was approved last year, with only $3 million dedicated to single-family home repairs. The majority was intended for affordable housing developments.
There was a misunderstanding among some city officials, who wrongly assumed that the state would handle home repairs through its Renew NC program. However, an agreement indicates that Asheville is responsible for covering these costs, with the state only funding administrative expenses.
Modifying the budget, officially termed an action plan, is a lengthy process. It includes a month-long public commentary period, a public hearing, and final approval from HUD. The council is set to further discuss this amendment during its agenda briefing on May 7.
$17 million for multifamily construction moves forward
In the same committee meeting, council members Antanette Mosley, Sheneika Smith, and Sage Turner voted on a $17.89 million allocation for multifamily housing construction. The vote passed 2-1, with Turner dissenting.
Turner expressed her concerns, stating, “I feel it’s really, really important to me to make sure that we fix residents’ homes, damaged and needed infrastructure before we fund new apartment complexes. If I have to prioritize them, I am putting fixing people’s homes at the top, fixing infrastructure at the top and subsidizing affordable apartments below both of those.”
The funds are designated for three developers planning to build 331 affordable units utilizing a combination of CDBG-DR funds and other financial sources. The City Council will cast their final vote on this funding on May 12.
