Locals hope that switch speeds up rebuilding

GALVESTON — Despite a highly criticized slow recovery pace, local officials hope disaster recovery programs in the county will accelerate now that the department in charge of the programs is slated to hand over its responsibilities to the Texas General Land Office.

Management of the state’s disaster recovery programs, which has been handled by the Texas Department of Housing and Community Affairs and the Texas Department of Rural Affairs, will be transferred to the General Land Office starting July 1.

New Requirements

On June 17, Gov. Rick Perry vetoed House Bill 2608, which would have allowed the department to continue for another 12 years.

TDHCA officials redirected requests for comment to the governor’s office.

The sunset bill included new requirements that the department develop a comprehensive long-term disaster recovery plan, designate the state’s lead agency for disaster recovery funding every even-numbered year and require communities to add a long-term recovery plan to existing emergency plans.

In a statement released after the veto, Perry said requirements created “a new layer of bureaucracy that makes unrealistic demands of the state, delay assistance to communities hit by disasters and duplicate disaster planning conducted by the Texas Division of Emergency Management.”

‘Areas for Improvement’

While delays have frustrated residents in the county still trying to recover more than two years after the storm, the state has not been above criticism. Federal officials have complained the department of housing and community affairs has not been held accountable in administering the recovery programs.

“The Sunset Commission found that the state has a continuing need for TDHCA, but identified areas for improvement within the disaster recovery, housing tax credit, and manufactured housing programs, as well as the department’s enforcement processes,” a report from the house committee said.

Because of the department’s extensive knowledge on disaster recovery, Perry said some TDHCA and rural affairs officials would be hired at the General Land Office.

The General Land Office, overseen by Commissioner Jerry Patterson, already handles some coastal programs in the state, such as rebuilding the beaches and dune systems and management of a Hazard Mitigation Program.

“This is an opportunity for a fresh set of eyes and some fresh practices,” Galveston Mayor Joe Jaworski said. “We’re looking forward to partnering with the GLO to spend our money and spend it at a quicker pace.

“At this late date, that’s the only reason to change horses.”

Disaster Recovery

On the island, the department of housing and community affairs oversees the city, which hired Massachusetts-based CDM to manage a $167 million federal Community Development Block Grant program to rebuild homes damaged or destroyed during Hurricane Ike.

More than 2,000 people applied for the disaster assistance program, and CDM officials have estimated the program will only serve more than 1,000 people.

After more than a year since being hired, 109 houses are under construction and 37 houses are complete, said Sterling Patrick, director of grants and housing for Galveston.

The department also supervises the county housing program, which has about 59 houses completed and another 166 under construction.

“I doubt anything would change at our level,” said Brenda Bock, director of housing and economic development for the County of Galveston. “Any time there’s change, people are going to worry and speculate, but the people handling the day-to-day operations here, we don’t expect any changes.”

At least, that’s what officials in the county are hoping for.

“I’m a believer that the GLO is being brought in to remedy some of the delays,” Jaworski said.

The department also is managing the rebuilding of 569 public housing units on the island, including scattered sites and mixed-income communities.

Delayed Work

Both the recovery housing and public housing programs have been plagued by delays and criticism from the public for the slow pace.

Earlier this year, the council narrowly voted to keep CDM in charge of the island’s recovery housing program.

Paperwork snags, working with historic properties and other delays have stalled the multimillion-dollar program.

While the sluggish progress upset residents, the state became even more frustrated. In March, a representative from the department told the city council the state was threatening to withhold federal funding if construction didn’t quicken.

“The delays have been worrisome,” Jaworski said. “We have to do better, and when I say ‘we,’ I mean all of us, the consultants, the state, everyone.”

To help push along the rebuilding, the city requested an increase in the spending limit from $100,000 for a non-elevated home and $135,000 for an elevated home to match reconstruction caps, which are $160,000 for a non-elevated home and $195,000 for an elevated home.

However, the state, citing the slow progress, deferred the request to the June 30 meeting.

The next state benchmark for the city is in September.

In the redevelopment of public housing, the housing authority missed an April deadline to submit plans to the state. However, last week, GHA approved conceptual plans for the rebuild and a master developer was chosen to oversee the redevelopment.

‘We’re Ready’

The General Land Office will step into management at a critical time for the county, but Jaworski said he’s hopeful.

“I’m hoping our relationship with the GLO benefits us,” he said. “We’re ready to perform.”