FRANKFORT, Ky. (KT) – The state is sending over $118.2 million to six counties to buy out properties from willing and voluntary Kentuckians in flood-prone areas, Gov. Andy Beshear said Wednesday.
The funds are being awarded to Floyd, Knott, Letcher, McLean, Perry and Pike counties, and are in response to floods earlier this year, which impacted all six counties.
Local officials estimate these funds will benefit more than 600 homeowners, helping them relocate to safer residences out of the floodplain.
“Nobody should have to stay in a flood-prone area simply because it’s too expensive to move,” Beshear said. “These buyouts will put money in the pockets of Kentuckians, keep our people safe and help our counties save money in the process. When our people go through tough times, we’ll be there to show them love and support them as they build back.”
Of the awards, $106.7 million is federal funding. The federal money come from the Emergency Watershed Protection (EWP) Program. This program is administered by the Natural Resources Conservation Service (NRCS), an agency under the U.S. Department of Agriculture. The EWP Program requires a nonfederal cost-share requirement to leverage federal funds. This cost-share requirement typically falls on the local government. The state is covering this cost-share requirement for these six counties through the Local Match Participation Program (LMPP): $11.4 million in state LMPP dollars are matching the federal funds.
The EWP Program pays homeowners the fair market value of their homes, as well as covers eligible relocation costs.
The LMPP is administered at the state level by the Department for Local Government. The program uses state bond funds as a system of grants used to assist local governments to meet cost-share match requirements for flood-related projects, flood control planning and flood mitigation activities associated with projects funded by a federal agency or federally sponsored funding.
The LMPP funding was recommended by Gov. Beshear and approved by the Kentucky General Assembly.
