State official outlines $1.4 billion CDBG-DR disaster recovery program and Alexander County application status

Alexander County Board of Commissioners · December 9, 2025

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Summary

A North Carolina Commerce deputy secretary briefed the board on HUD CDBG-DR allocations, eligibility rules, and deadlines; Alexander County has 41 applications with five confirmed eligible and a Dec. 31 application deadline for the single-family program.

Stephanie McGarragh, Deputy Secretary for Community Revitalization at the North Carolina Department of Commerce, told the Alexander County Board of Commissioners on Dec. 8 that the state has been allocated roughly $1.4 billion in CDBG-DR disaster recovery funds from HUD for post‑Helene rebuilding.

McGarragh outlined the broad funding breakdown the state proposed: the largest portion for single‑family housing, $191 million planned for multifamily rental housing, $52 million for workforce-ownership housing, $194 million for community infrastructure, and $111 million for economic revitalization, with 5% set aside for administration. She emphasized that, while funds have been allocated, the state has to draw the money down as projects advance and that federal compliance requirements are substantial, including NEPA environmental reviews, the National Historic Preservation Act, Davis‑Bacon wage rules and fair housing obligations.

On the single‑family program, McGarragh said the funding is meant to be a funding-of-last-resort for owner‑occupied homes damaged by Hurricane Helene, and that many homes appear to require reconstruction rather than simple rehabilitation. She explained eligibility requirements — owners must occupy the house as their primary residence, be current on property taxes (or on a payment plan), and meet income tiering (starting at 60% of area median income moving up to 80% and 120%). She warned that duplication‑of‑benefits rules and site‑specific environmental reviews make the process case‑by‑case.

As of Dec. 3, North Carolina officials had received 41 applications from Alexander County; five were confirmed eligible, with four of those having completed damage assessments, representing roughly 31% of the county’s estimated damaged homes, McGarragh said. She noted outreach efforts including door‑knocking (about 185 doors in Alexander County), intake centers (Boone, Marion, Asheville) and an online portal; the single‑family application deadline was listed as Dec. 31.

McGarragh also previewed other programs coming online: a small multifamily housing program launching Dec. 15 for rental projects of four units or fewer, larger multifamily work with low‑income housing tax credits in January, and workforce homeownership programs later in 2026. She asked the board for help spreading the word to eligible residents.

What’s next: Residents who believe they qualify should check the intake centers and the online portal before Dec. 31; county staff and commissioners indicated willingness to assist outreach.