Senate File 2265 is a RIO bill creating a permanent 31 member comprehensive planning task force. The bill also codifies “SMART” comprehensive planning principles for state, regional, county and city planning.

The “SMART” planning is a project management tool developed by psychologists as a tool to help set and reach goals. This model features goal setting that is specific, measurable, attainable, relevant and time-bound.

Concerns about this RIO bill are mounting. Is now the time to create a 31 member permanent task force? Also the language in the bill creates an obligation for local governments to consider SMART planning principles that happen to include a good deal of code words tossed around by environmentalists. The local governments may choose not to follow the principles in the Code but they must consider them.

The need for the legislation is being called into question given the planning already underway in many communities and through the existing regional COGs.

Consider for yourself the merits of the bill. SF 2265 does four things:

1. Puts in Iowa law 10 “SMART” planning principles that the state, local governments and other public entities “shall consider and may apply” when deliberating planning, zoning, development and resource management decisions.
2. Puts in Iowa law planning guidelines that cities and counties “shall consider and may apply”
3. Puts in Iowa’s zoning laws for cities, counties and airports language saying that their planning “shall be made with consideration of the SMART planning principles
4. Creates a new 31 member task force staffed by the RIO office and the department of management. The task force members are not compensated or reimbursed for expenses. The task force “develops recommendations for administration of a state comprehensive plan.” The task force also:
• Develops a model regional comprehensive plan;
• Creates a centralized electronic storage location for all city and county comprehensive plan
• Provides and administers technical and financial assistance for state a local comprehensive planning.

Task Force recommendations are due to the Governor and General Assembly by November 15, 2010.

The report identifies one of the key problems the State faces in recovering from such a large disaster. While many sources of funding for relief have been made available from the federal government, very few of the funding sources were designed with disaster relief in mind.

This results in difficulties and inefficiencies for state and local agencies attempting to administer funds that are not tailored specifically for the needs of disaster victims. Businesses and individuals seeking relief are often subject to duplicative reviews and benefits checking. In fact, the report identifies 30 different programs providing disaster recovery support from state and federal agencies.

The numerous programs increase the work required to prevent fraud and abuse. According to the report “while these checks are critical, they often delay funding and sometimes prevent unmet needs from being fulfilled.” The report finds that better coordination, especially at the federal level could increase efficiency in the process. RIO actively provides feedback and makes recommendations to federal agencies to improve their programs for more efficient relief in this and future disasters.

The report also details what it identifies as the top priority in Iowa’s recovery, getting people back into their homes or another permanent home. Most of the funds available to homes capable of being repaired have gone out, but the same can not be said for the acquisition of properties that will not be repaired. The report identifies these acquisitions as a phase that will remain a challenge for the state for years to come.

FEMA’s Hazard Mitigation Grant Program is used to purchase properties that pass their cost-benefit analysis and requires that the property not be redeveloped and instead turned into green space. It is anticipated over $100 million in acquisitions will occur under this program. To date, FEMA has approved 23 property acquisitions at more than $43 million.

The other mechanism for property acquisitions are the Community Development Block Grants (CDBG) funds. These are more flexible than the hazard mitigation acquisitions, in that they allow for redevelopment of the property in some cases. $255 million have been budgeted for CDBG acquisitions, applications for the funds are due July 31, 2009.

The report estimates that more than 1,000 homes could be demolished following property acquisitions. In fact, many of these demolitions are underway and are creating a housing gap for impacted communities. Nearly $18 million in funds are being utilized from the CDBG program to build roughly 350 new single-family houses. An additional $400 million has been made available for low-income tax credits to spur development of multi-family housing.

As of July 1, 2009, there were still 262 Iowans living in FEMA mobile homes. That is down from a high of 595 Iowans a year earlier. The RIO report maintains “we expect to meet our goal of having all of these households into permanent housing by the end of 2009.” To meet this goal over the remaining 5 months of the year, RIO will have to increase their rate of placements by over 33% as compared to the previous 5 months of 2009.

The full report covers additional topic areas and can be found on the RIO website. The next report is due by October 10, 2009.

The IDED Board decided yesterday how to allocate the department’s portion of the Fiscal Year 2010 Values Fund allotment. New guidelines governing the Values Fund, passed by the legislature last session, provide the IDED Board with more flexibility on how it designates the dollars it receives from the legislature. The new law that went into effect July 1st also provides them with the authority to shift funding for disaster assistance if necessary.

For more information, contact the the Rebuild Iowa Office at 866.849.0323.

2009 End of Session Wrap-up

For more information on Republican thoughts on SF44, take a look at this document.

The House will take up this bill for debate at noon today.

House Passes Disaster Relief Bill

On Tuesday evening the legislature passed HF 64 by a vote of 98-0. The bill appropriated $56 million to the flood relief victims and codified the establishment of the Rebuild Iowa Office. Some of the specifics of the bill are below.

Jumpstart Plus The legislature appropriated $24 million to the Jumpstart program while at the same time expanding the eligibillity of the program. The current program is designed to assist home owners making 100% of the area median average and landlords. The bill assists those individuals making up to 150% of the area median average however it then limits the grant size to $24,999.

The legislature also established a priority process for distribution of the funds.

Unmet Needs Disaster Grant Program The legislature established and appropriated $10 million to a new Unmet Needs Disaster Grant Program which will be administered by DHS. The purpose of the program is to help pay for unmet needs for persons located in an area which was declared a disaster between May 24, 2008 and August 14, 2008.

The eligibility for the program is 300% of the federal poverty level. The long term disaster recovery committees and the disaster recovery case management program will be used to determine if it is truly an unmet need. The grant shall not exceeds $2,500. The funding is handed out in the form of grants or vouchers for specific purposes.

Local Assistance The legislature appropriated $22.0 million in the form of local assistance to counties and cities that were affected by the flood and tornado. The money is disbursed on a formula schedule with counties and cities affected by the disaster receiving a minimum of $2,000.

Money awarded under this program are to be used by the counties and cities for any of the following purposes:
• Small business assistance.
• Nonprofit organizations assistance.
• Assistance for local buyouts.
• Assistance for the replacement or rehabilitation of housing.
• Assistance for the repair or replacement of public infrastructure.
• Assistance for increased costs associated with the revaluation and assessment of property due to a natural disaster occurring in 2008.

Rebuild Iowa Office HF 64 also authorized the Rebuild Iowa Office. The purposes of the office is to coordinate the state activities associated with the rebuilding efforts following the declaration of a disaster area by the president of the United States after May 24, 2008, and before June 30, 2011. The office is set to sunset on June 30, 2011.

HF 64 also established benchmarks and reporting requirements for the office. The appropriations for this office will occur later in the session.

Disaster assistance can include: funding for temporary disaster housing assistance; U.S. Small Business Administration (SBA) low-interest disaster loans for individuals and business owners to repair or replace real or personal property; replacement grants to help meet serious disaster-related needs and expenses not covered by insurance or other assistance programs; and, disaster unemployment assistance.

There are two easy ways to begin the registration process.

1. You may call to FEMA’s tollfree number, 1-800-621-FEMA (3362), TTY 1-800-462-7585. Both numbers are available from 7 am to 11 pm (CDT), seven days a week until further notice, and multilingual operators are also available to answer your call.
2. Residents with Internet access have the option to register on the agency’s website at http://www.fema.gov/assistance/index.shtm where valuable recovery information is also available.

Source: Rebuild Iowa Office Newsletter, Iowa Recovery Times

Future issues should be available at the RIO website, http://www.rio.iowa.gov

According to the Associated Press, “Culver has virtually ruled out the possibility of calling the Legislature into special session to craft a flood relief package.” (Article Here)

“People across the state are speaking out, begging for a special session to put their cities back together, their businesses back on track and their lives moving forward again,” said Minority Whip Kraig Paulsen (R-Hiawatha). “These people are not asking for a handout, merely a hand up.”

Full Press Release Here

He said two important thresholds were met this week. First, the state reached the threshold for a 90/10 split with FEMA on most FEMA programs. While the Governor took credit for this (and gave some of the credit to Witt and Associates – his high-priced consultants), this was due to the dollar amount of damage and had nothing to do with any pressure exerted by Culver or his consultants. Second, the $85 million in Community Development Block Grant funding approved earlier this summer will be coming to the state “in short order”. (He had previously said if FEMA denied 90/10 – which under law they cannot do – or the $85 million was held up by red tape, he would call a special session.)

Culver then announced a new $40 million state program called Jumpstart. It will have two $20 million components – housing and small business.

On the housing side, Iowans who have lost their homes or have serious damage can receive up to $60,000 in down payment assistance. An additional $10,000 will be added for including energy saving components in the rebuilding. In addition, qualifying homeowners would be eligible for $1000 per month in mortgage assistance for up to one year. The money is in the form of a loan but it will be forgiven if the homeowner stays in the home for 10 years. Otherwise, 10 percent per year will be forgiven until the homeowner decides to sell. The maximum amount awarded will be $72,000.

The Iowa Finance Authority will administer the program. The Governor expects IFA to approve emergency rules on September 16 and then make awards to the cities the week of September 25.

The funding for the housing side will come from: $12 million from River Enhancement Community Attraction and Tourism (the new RECAT program approved last session), $2.5 million from the Power Fund, $1.9 million from the existing Community Attractions and Tourism (CAT) program, $1.6 million from DAS routine maintenance, $1 million from DAS property acquisition and $1 million from the DNR low-head dam program.

When asked about how homeowners are going to be able to pay their property taxes, Patty Judge said they could use some of the $1000 in mortgage assistance to pay property taxes.

On the small business side, $20 million will be spent on forgivable loans. It will be based on 25 percent of what the business is eligible for in SBA loans, up to a maximum of $12,500. The loan will be forgiven if the business reopens within 6 months. The funding will come from $10 million from the Values Fund, $5 million from the Power Fund and $5 million from CDBG. He expects DED to approve emergency rules by September 18 and the money to start going out the week of September 25.

He said he was taking Jumpstart “on the road” next week to see if it sells with those in the flood-impacted areas. He hinted that if it doesn’t, he could still call a special session.

Finally, he said state agencies have given him another $33 million in FY 09 appropriations that can be used for flood relief. He had no details on which programs would not be funded, or funded at a lower level.