HOUSTON, Texas — The City of Houston is set to receive $314 million in federal disaster recovery funds from the U.S. Department of Housing and Urban Development (HUD), aimed at supporting recovery efforts following the May derecho and Hurricane Beryl.
A substantial portion of the funding—$50 million—is proposed for housing recovery assistance. The proposal follows multiple public meetings and feedback sessions where residents identified housing as a top concern.
Mayor John Whitmire formally presented the city’s funding plan during a recent city council meeting.
Mike Nichols, Director of the Housing and Community Development Department, stated that housing consistently ranked as a priority during virtual town halls.
The plan also allocates $150 million to improve public facilities, including community centers and emergency shelters. Additional funding is designated for infrastructure repairs, such as water, sewage, and other multi-service facilities critical during severe weather events.
As of now, the city has not received the federal funds. The proposed Draft Action Plan must be approved by both the Houston City Council and HUD.
If approved, city officials expect the disbursement of funds to begin by spring 2026. Nichols clarified that funds are not given as a lump sum; the city must spend the money first and then request reimbursement from HUD upon meeting regulatory requirements.
In addition to the federal recovery funds, Houston plans to roll out two new assistance programs within the next 30 days to help residents still recovering from previous disasters, including Hurricane Harvey.
City officials continue to emphasize the importance of compliance with federal guidelines in order to access and administer the disaster recovery funds effectively.