fedgazette

Selected state and federal flood-recovery expenditures

Phil Davies - Senior Writer

Published September 1, 2006  |  September 2006 issue

In the aftermath of the flood, the cities of Grand Forks and East Grand Forks benefited from a torrent of aid from government, especially the federal government. Some assistance was directed toward traditional public uses, such as flood protection and street repair; other aid went to private uses, including assisting businesses and buying out private homes.

The following table is not comprehensive, omitting elusive or hard-to-categorize expenses, such as demolition, temporary housing and federal assistance for school construction. It wasn't possible to break out every type of expenditure or aggregate certain figures compiled by different city governments. But the table lists some of the biggest and most easily identifiable outlays of state and federal dollars in the two cities. Key federal agencies involved in the recovery effort include the Federal Emergency Management Agency, the Department of Housing and Urban Development, the Army Corps of Engineers, the Small Business Administration and the Economic Development Agency.

Housing construction Expense
($m.)
Funding source
Flood control system1
324
U.S Corps, states of North Dakota and Minnesota
Roads, sewers, and other infrastructure
64
HUD, FEMA
Commercial and residential buyouts2
108.3
HUD, FEMA
Assistance to homeowners and landlords
177.2
HUD, SBA,
Minnesota Housing Finance Agency
Housing construction
17
HUD, Fannie Mae
Assistance to business
132.5
HUD, EDA, SBA
Economic development incentives
14.6
HUD, EDA

1The city of Grand Forks paid for its share of the $408 million project with property tax and sales tax revenues.

2The buyouts are in addition to properties taken for the flood-contol system.

Source: City, agency records

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