CDBG-DR Funds

Assignment: $10,000 million

The Puerto Rico Community Development Block Grant Program for Disaster Recovery (CDBG-DR) is designed to ensure decent and affordable housing opportunities, provision of services, assistance to the most vulnerable in our communities, and the expansion and preservation of jobs.

CDBG-DR

On February 9th, 2018, the U.S. Department of Housing and Urban Development (HUD) announced the assignment of the Community and Development Block Grant for Disaster Recovery (CDBG-DR) of $10 billion for Puerto Rico. This allocation was meant to aid in the Island’s recovery and reconstruction after the passing of hurricanes Irma and Maria in 2017.

The designated entity to manage and oversee the use of these funds would be the Puerto Rico Department of Housing (PRDOH).

Since then, Puerto Rico began the development of a recovery plan aimed at addressing in a transformative way the urgent humanitarian needs of its residents on the Island.

More than any other recovery process within the United States in modern history, Puerto Rico cannot simply rebuild houses or repave roads. Each CDBG-DR Funds implemented program and every dollar spent must rebuild communities, as well as generate a long-term investment in social capital. Through the use of CDBG-DR Funds, the Puerto Rico Department of Housing must also strengthen the economy and set bases for the stability and continuity of modernization, as well as Government efficiency.

What is the purpose of the Disaster Recovery allocation?

  • CDBG-DR Funds must be used to reach long-term recovery, through the restauration of important sectors, such as infrastructure, housing, and economy.
  • This allocation must be tied to a disaster; in this case, CDBG-DR Funds are tied to hurricanes Irma and Maria.
  • The allocation must benefit low to moderate income citizens.
  • It should also aid in the prevention or removal of deteriorated areas.
  • Lastly, it should serve an urgent need (UN).

During an Unmet Needs Assessment, HUD determined that, to reach ample recovery, a holistic approach would be necessary, which is why the CDBG-DR portfolio is composed of 20 programs in total.

To comply with HUD’s requirements and to address Puerto Rico’s unmet needs, the CDBG-DR allocation has been divided between five (5) sectors:

  • Housing
  • Economic Development
  • Infrastructure
  • Multi-sector
  • Planning

Unmet Needs Assessment

In compliance with HUD requirements, as established in federal registers 83 FR 5844 y 83 FR 40314, Puerto Rico completed an unmet needs assessment to guide its recovery, based on the best data available.

This assessment is based mainly on current federal databases, and it is part of a bigger assessment subgroup that was led by the “Rebuilding a Better Puerto Rico” report and the twelve (12)-month disaster and economic recovery plan that was presented to Congress.

Municipalities provided a great amount of local information, which was very important for the programs’ creation and design.

  • The Unmet Needs Assessment found that the areas most severely impacted after the hurricanes were:
  • Demography
  • Housing
  • Infrastructure
  • Economy

Next Steps

According to HUD’s Report on Grant Disbursement and Spending, Puerto Rico is “on pace” with the use of CDBG-DR Funds. PRDOH has established a goal of disbursing between $1.2 and $1.5 billion by the end of 2023. This way, the cumulative disbursement milestone of $3 billion in recovery and reconstruction efforts will have been reached.

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Frequently Asked Questions

Preguntas Frecuentes

It is an allocation of funds from the U.S. Department of Housing and Urban Development (HUD), available when the president declares a major disaster and there are significant unmet needs for long-term recovery.

The Puerto Rico Department of Housing has been designated as the entity responsible for administering the funds that will assist in the recovery of the island from disasters caused by the 2017 Hurricanes Irma and Maria.

To invest in a more secure and resilient society, and to achieve a transparent and planned distribution, the funds granted by CDBG-DR will be divided into 4 main categories:

  • Housing
  • Planning
  • Economic Development
  • Infrastructure

All CDBG-DR-supported programs provided by HUD must meet one of the program’s national objectives:

  • Benefit people from low to moderate economic resources.
  • Assist in the prevention or elimination of deteriorating areas.
  • Meet an urgent need.
  • You can access CONTACT on the website.
  • Write an email to: infoCDBG@vivienda.pr.gov
  • Call: 787-274-2527 ext. 6400 or 6421
  • Send a letter to:
    Puerto Rico CDBG-DR Program
    P.O. Box 21365 San Juan,
    PR 00928-1365