Buncombe County approves $5.4 million state disaster cash-flow loan; total allocation now $19.4 million

Buncombe County commissioners on Sept. 2 approved the third round of state disaster cash-flow loans to help cover expenses from Hurricane Helene while the county awaits federal and insurance reimbursements.

Finance Director Melissa Moore told the board the total of state cash-flow loans across three rounds would reach $19.4 million. County staff reported total Helene-related expenditures of about $24.9 million to date and estimated roughly 82% of that spending may fall within FEMA reimbursement guidelines; about 15% has been submitted as insurance claims. Moore said an estimated $700,000 of current spending is at risk of not being reimbursed under FEMA rules.

Commissioners voted to accept a $5.4 million loan in this third round and approved a separate resolution authorizing the county manager to execute loan documents. The board recorded the motion and approved the resolution unanimously.

Moore cautioned that FEMA reimbursements can take years; she said the historical average is three to six years for full FEMA reimbursement. Staff said they continue weekly submissions of documentation to FEMA and are working with the county’s disaster consultants and the North Carolina Emergency Management to pursue obligations.

Why this matters: The loans provide short-term liquidity so county operations and recovery programs can continue while the county seeks reimbursement from FEMA and insurers. Commissioners said the state loans fill a cash-flow gap and that staff will continue to track incoming reimbursements and outstanding obligations.