Woodford County accepts $12.3 million USDA buyout grant for floodplain property acquisitions

Woodford County’s Fiscal Court unanimously approved a USDA grant agreement that could fund up to $12,295,283.44 in buyouts and mitigation activities for properties in the floodplain, with a federal/local cost share of roughly 75% federal and 25% local. The court also approved $695,959.44 allocated for management costs associated with administering the program.

Director Chandler, who presented the agreement, described the program as similar in objective to FEMA hazard mitigation buyouts but with different rules and administrative requirements. He told the court the grant covers acquisition, demolition, environmental remediation and establishing permanent conservation easements on properties that proceed in the program. Director Chandler said the county submitted an initial list of properties and that additional properties could be added through supplemental awards.

"If we were to do 100% of the work that the USDA has provided for in this grant, it would be a total of $12,295,283.44," Director Chandler said, and he confirmed the program operates on a roughly 75% federal / 25% local cost share. The county indicated some or all of the local match could be satisfied through in‑kind work (for example, demolition by the county road department) rather than cash; the management line item of $695,959.44 can fund staff time, appraisals and contractor invoices required to administer acquisitions.

The agreement includes relocation assistance benchmarks discussed at the meeting: approximately $31,000 for an owner of a primary residence and $7,200 for a tenant, subject to program detail and eligibility determinations. The county noted that the USDA program requires use restrictions (permanent conservation easements) on properties purchased to prevent future habitation in the floodplain.

Director Chandler and county staff emphasized the program’s administrative scale and uncertainty: not all properties that express interest will necessarily complete acquisitions, and the county is not required to spend the full grant amount. County leaders said they will establish local prioritization criteria; staff recommended giving priority to primary residences that sustained interior flooding in both the February and April events and to households still displaced.

The court discussed possible county responsibilities at closing. Director Chandler said other implementing jurisdictions have, in some cases, required homeowners to bear part of the local match at closing, and that Woodford County is exploring options including securing state funds to reduce the county’s match obligation. The county attorney, treasurer and staff plan to seek clarifications from the Department for Local Government on several administrative points before spending proceeds.

The Fiscal Court approved the USDA agreement (motion by Squire Gentry; second by Squire Gill) and authorized the Judge Executive to sign all documents related to the award. A separate motion to authorize execution of related documents also passed unanimously. The Judge Executive noted this program is the county’s primary federal option for subsidized buyouts because FEMA mitigation funds were not available for this need.

County staff will return with recommended prioritization criteria, an implementation schedule and any clarifications from state and federal partners.