New funding to provide $132 million Katrina recovery

JACKSON, MS (WLOX) - JACKSON, MS (WLOX) – The U.S. Housing and Urban Development along with Governor Haley Barbour will reveal new recovery funding for residents affected by Hurricane Katrina.    Monday morning, HUD Secretary Shaun Donovan and Barbour will announce a plan to direct $132 million to residents to aid in disaster recovery.

According to a press release, the majority of the funding will come from HUD's Community Development Block Grant.  The announcement comes nearly two years after a lawsuit was filed by several groups objecting to the use of HUD funding to restore the State Port at Gulfport.  As a part of the agreement and new funding, the pending lawsuit appeal will be dismissed.

The program will provide up to $75,000 to applicants for repairs, rehabilitation, or reconstruction to lower-income homes.   It will also give assistance to residents living in the Mississippi Cottages in finding rental housing. The Mississippi Development Authority's Disaster Recovery Division will administer the program.

Applications will be accepted immediately.  The deadline to apply is January 31, 2011.

WLOX News and will have more details on the program as it becomes available.

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