Disaster Relief Funding

In response to the damage done to many local communities due to Hurricane Irene, the FHLBNY has committed to provide up to $500 million in disaster relief loans to begin the process of rebuilding communities designated by FEMA as disaster areas.  Funding is issued through our Community Lending Program (CLP) for members to use as immediate gap financing while insurance settlements are being worked out.

About the Funds:

• Feature the lowest HLB advance rates available on a daily basis
• No cost commitment — there are no fees associated with non-drawdown of funds
• May be used for a broad range of activities related to disaster recovery
• Can be amortizing, bullet, or custom-structured
• Reduced 1-year minimum term requirement to 30 days
• Shorter application process — can apply for project-specific or program-specific funds
• Per member cap of $100 million or 5% of advances outstanding (as of 12/31/10)
• Available until the $500 million commitment is met or the FEMA designation expires

Flexibility and speed are crucial in the initial stages of recovery from disaster. Members are immediately eligible for discounted advance rates if they are providing financing in FEMA-designated areas, regardless of income status. The $500 million CLP commitment can specifically be used for housing, small business and economic development lending. HLB member-lenders can tap these low-cost loans to meet the short-, medium-, and long-term funding needs of the following FEMA-designated communities:

• In New York:  
  Albany, Allegany, Bronx, Broome, Chemung, Chenango, Clinton, Columbia, Delaware, Dutchess, Essex, Franklin, Greene, Hamilton, Herkimer, Kings, Lewis, Livingston, Madison, Montgomery, Nassau, New York, Niagara, Oneida, Onondaga, Ontario, Orange, Ostego, Putnam, Queens, Rensselaer, Richmond, Rockland, Schoharie, Schenectady, Schoharie, Steuben, Suffolk, Sullivan, Tioga, Ulster, Warren, Westchester, Wyoming and Yates.
  
  Incident: Remnants of Tropical Storm Lee (9/8/2011 & 9/13/2011)
  Incident: Hurricane Irene (8/26/2011 & 8/31/2011)
  Incident: Severe Storms, Flooding, Tornadoes, and Straight-line Winds (6/10/2011)

• In New Jersey:  
  Atlantic, Bergen, Cape May, Cumberland, Essex, Morris, Passaic, Salem, Somerset, Burlington, Camden, Gloucester,Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Ocean, Sussex, Union and Warren.

  
  Incident: Remnants of Tropical Storm Lee (10/14/2011)
  Incident: Severe Storms and Flooding (9/15/2011)
  Incident: Hurricane Irene (8/27/2011 & 8/31/2011)

• In Puerto Rico:
  Adjuntas, Aguada, Aguadilla, Aguas Buenas, Aibonito, Anasco, Arecibo, Arroyo, Barceloneta, Barranquitas, Bayamon, Cabo Rojo, Caguas, Camuy, Canovanas, Carolina, Catano, Cayey, Ceiba, Ciales, Cidra, Coamo, Comerio, Corozal, Culebra, Dorado, Fajardo, Florida, Guanica, Guayama, Guayanilla, Guaynabo, Gurabo, Hatillo, Hormigueros, Humacao, Isabela, Jayuya, Juana Diaz, Juncos, Lajas, Lares, Las Marias, Las Piedras, Loiza, Luquillo, Manati, Maricao, Maunabo, Mayaguez, Moca, Morovis, Naguabo, Naranjito, Orocovis, Patillas, Penuelas, Ponce, Quebradillas, Rincon, Rio Grande, Sabana Grande, Salinas, San German, San Juan, San Lorenzo, San Sebastian, Santa Isabel, Toa Alta, Toa Baja, Trujillo Alto, Utuado, Vega Alta, Vega Baja, Vieques, Villalba, Yabucoa and Yauco.
  
  Incident: Tropical Storm Maria (10/18/2011)
  Incident: Hurricane Irene (8/22/2011 & 8/27/2011)
  Incident: Severe Storms, Flooding, Mudslides, and Landslides (7/14/2011)

Some examples of eligible uses of CLP funds are:

• For the acquisition, construction, refinancing, or restoration of branches, housing, and small businesses;
• Commercial/economic development; and
• Members’ liquidity needs as retail customers withdraw their funds for the recovery efforts.