Funds Expected to be Approved for 'Shoreline Resiliency Fund'

A news release from the Office of the Governor:

Gov. Dannel P. Malloy today announced initial funding of $2 million for the Connecticut Shoreline Resiliency Fund, a low-interest loan program to help residents elevate their homes and flood-proof their businesses in areas prone to coastal flooding. The funding, which is expected to be approved by the State Bond Commission at its Jan. 9 meeting, will go toward providing administrative support for the program.  

“Super Storm Sandy and Tropical Storm Irene ravaged many of Connecticut’s shoreline communities.  While the effort to rebuild is under way, we must make sure that when we rebuild, we are also mitigating the impacts of future storms,” said Malloy.  “This funding is an important first step.  Once up and running, this program will get funding to homeowners and business owners to ensure that when the next storm hits Connecticut, it will not have the same devastating impact.”

The Connecticut Department of Housing will be selecting a non-profit lender to manage the program.  It will issue an RFP (request for proposal) in the coming weeks.  In addition, the Governor will be working with the state legislature on securing additional funding authorization for the program during the 2014 legislative session.

Announced at the end of October, the Shoreline Resiliency Fund will provide loans of up to $300,000 for 10 years with no principal or interest for one year.

To be eligible for a loan, Connecticut homeowners and business owners’ structures must be subject to coastal flooding and located in either Zone VE or Coastal Zone AE as defined by the Federal Emergency Management Agency (FEMA) and National Flood Insurance Program.  Shoreline Resiliency funds will be able to be used to elevate or flood-proof primary and secondary single family homes, 1-4 unit owner-occupied rentals and businesses.  There is no income cap for applicants.

Flood-proofing is any combination of structural and non-structural additions, changes, or adjustments to structures which reduce or eliminate flood damage to real estate or improved real property, water and sanitary facilities, structures and their contents. Flood-proofing includes, but is not limited to, ensuring:

• Walls are watertight (substantially impermeable to the passage of water)
• Structural components can resist hydrostatic and hydrodynamic loads and effects of buoyancy
• Utilities are protected from flood damage

 “Connecticut’s shoreline is a tremendous asset that needs to be protected,” state Department of Housing Commissioner Evonne Klein said.  “This fund is indicative of the proactive steps we are taking to help residents prepare for the next storm.”