Disaster Relief Funding
Disaster Relief Funding
Flexibility and speed are crucial in the initial stages of recovery from disaster. Members are immediately eligible for discounted advance rates through our Community Lending Programs (CLP) if they are providing financing in FEMA-designated areas, regardless of income status.
In response to the severe and extensive damage caused by the 2020 Puerto Rico Earthquakes and Hurricanes Harvey, Irma and Maria in August and September 2017, the Federal Home Loan Bank of New York (FHLBNY) made $1 billion in Disaster Relief Funding (DRF) available to its members to assist in the rebuilding and recovery efforts in communities located in FEMA-designated disaster areas. Funding will continue to be made available until it has been fully allocated or until December 31, 2020, whichever occurs earlier. In the event the DRF has not been fully allocated by December 31, 2020, the FHLBNY may choose to make the DRF available past 2020.
“In the wake of a natural disaster, relief and recovery efforts must focus on both immediate and long-term needs,” said José R. González, president and CEO of the FHLBNY. “As we have seen in past natural disasters, the local lenders and committed aid organizations are key to these efforts. The $1 billion in disaster relief funding will help our members – these local lenders serving the affected communities – make a long-term, positive impact on recovery, relief and rebuilding efforts.“
In November 2012, as communities throughout New York and New Jersey were reeling in the aftermath of Hurricane Sandy, the FHLBNY provided $1 billion through the DRF program to support its members’ efforts. The success of the DRF program in 2012 and 2013 was impressive. We saw the remarkable efforts of our members transform the areas hit hardest by the storm. Our members committed the entire $1 billion provided under the DRF program, and each individual program issued to our members was used to help rebuild and restore communities throughout the area.
The FHLBNY continues to help communities through the Community Investment Program (CIP) which enables members to finance a wide range of targeted housing projects. Rural Development Advance (RDA) and Urban Development Advance (UDA) were also created to provide financing for economic development projects in rural or urban areas.