The U.S. Department of Housing and Urban Development (HUD) has approved the City of Asheville’s Action Plan for spending approximately $225 million in Community Development Block Grant – Disaster Recovery (CDBG-DR) funds.
The determination is a major milestone in the process to access the funding, which was allocated by HUD on Jan. 16, following a December 2024 Congressional appropriation.
“We moved quickly because we understand how critical this funding is for our community,” said Asheville Mayor Esther Manheimer. “We’re grateful to HUD for their swift decision, and our entire Council is pleased with how well the Plan incorporates community feedback.”
The Plan
The Plan, which estimates the City’s Helene-related unmet needs and describes how the funding will be used to address them, was unanimously approved for submission by the City Council on April 8, and submitted to HUD on April 9.
The approved Plan allocates $125 million for Infrastructure; $52 million for Economic Revitalization; $31 million for Housing; approximately $11.2 million for Administration; approximately $3.7 million for Planning; and $2 million for Public Services.
Next Steps
As a next step, HUD will review the City’s financial, procurement, and grant management practices to certify that the City is prepared to effectively manage the grant funds. The City has already submitted all of the documentation necessary for HUD and is awaiting certification. Once certified, HUD will distribute a grant agreement, which both the City and HUD will sign.
“We’re talking every day about how to use these funds effectively and efficiently in our community, including developing program area guidelines and manuals,” said Nikki Reid, Community and Economic Development Director. “Planning projects, such as the French Broad Riverfront Parks Recovery project, are being identified and programs will be rolled out as they are created. We expect the first programs to kick off this fall.”
How you helped shape the plan
The Plan’s approval follows a months-long process of community engagement, including a recovery priorities survey in January; six public input sessions in February; and a 30-day public comment period, including three public feedback sessions, in March. The feedback received from the community helped to shape the approved Plan, including the reallocation of $5 million from the Infrastructure program to the Small Business Support, Affordable Multi-Family Construction, and Planning programs.
You can follow the progress of the City’s CDBG-DR funding on our recovery website.