HCFCD Asking to Tap Flood Resilience Trust for Bond Projects

Item #123 on the Harris County Commissioners Court Agenda for 6/28/22 is a request to tap the County’s Flood Resilience Trust Fund to help finance 16 flood-bond projects in the coming year. The request also seeks approval for a method of allocating future funds that weighs projects using a social vulnerability index.

A Backstop for Partner Funds

The introduction to the request states, “Although the Harris County Flood Control District (HCFCD) continues to aggressively pursue partnership dollars … substantial amounts of anticipated partner funding remain unrealized.”

Of the roughly $5 billion in 2018 Flood-Bond Projects, officials hoped that Federal, State and local partners would supply roughly half the money. But it hasn’t all materialized yet. So last year, Commissioners created a flood-resilience trust fund to create backstop funding. Until now, the county has not needed it. But now the county does…for the sixteen projects listed below.

Projects recommended for first round of backstop funding. Some of these projects started before the flood bond, were later included in it, and ran over budget.

To date, Harris County has secured $1.275 billion in partnership funding for 2018 Bond Program projects from Federal, State, and local partners. Of the $2.5 billion in partner funds originally anticipated, “the county has not yet identified $754.2 million. This gap includes projects for which grant applications were submitted to various Federal and State programs such as CDBG-MIT, FEMA-BRIC, and others but not awarded,” says HCFCD.

Ironically, the backup documentation provided to commissioners by HCFCD makes no mention of the $750 million allocated by the U.S. Department of Housing and Urban Development (HUD) and the Texas General Land Office (GLO) to Harris County. More on that below.

Ranking Methodology

The document provided to commissioners by HCFCD contains information about the Trust, its history and intent, projects that need funding help now, and a methodology for ranking projects.

After ranking all flood-bond projects that are short of funding using the proposed matrix below (Appendix B), the county began whittling away from Trust funds. HCFCD started with the top-ranked project and proceeded to the lowest until the money ran out, i.e., the balance in the trust fund went negative. Only two projects from the entire San Jacinto Watershed made the “eligible” list: one near the ship channel and another below Highway 90. But neither of those is part of the group of 16 above.

Weighting Factors in Proposed Matrix

The scoring matrix used by the County includes evaluations of:

  • Cost per person (15%)
  • Cost per structure (30%)
  • Non-structural benefits (45%)
  • Existing conditions (20%)
  • Social Vulnerability Index (20%)
  • Long-term maintenance (5%)
  • Minimizing environmental impacts (5%)
  • Ability to deliver multiple benefits, i.e., flood mitigation, social and environmental (5%)

As additional partnership funding sources are identified, money remaining in the Trust may cover additional projects…assuming inflation doesn’t eat it all up.

For this exercise, HCFCD analyzed all projects with partnership funding gaps. However, that doesn’t mean that those projects will necessarily receive Flood Resilience Trust funds. When and if HCFCD identifies funding partners, some projects could drop off the list of those needing help. That could make funds available for lower ranking projects. See Appendix B, last page.

Future Plans

If approved, HCFCD will return to Commissioners Court twice each year with additional requests from the Flood Resilience Trust. Each of those requests will include an updated analysis of partnership and contingency funding needs, Trust funds remaining, and eligible projects.

HCFCD will request money from the Trust only when projects cannot move forward without it.

$750 Million HUD Allocation Not Discussed

The County’s Community Services Department is currently developing a Method of Distribution (MOD) for the $750 million designated earlier this year for Harris County by HUD. A MOD is a plan for distributing the $750 million. Where and how will the county use the money? Who will benefit?

HUD and the GLO require that at least 50% of the money benefits Low-to-Moderate Income neighborhoods.

At the time the GLO and HUD dedicated $750 million to Harris County, they also dedicated $488 million to the Houston Galveston Area Council (HGAC).

HGAC has already submitted its MOD to the GLO and received preliminary, conditional approval. Conditional approval requires:

  • Validation of all calculations
  • Meeting HUD requirements
  • Verification that all recipients are still interested in participating.

According to a GLO spokesperson, HGAC began developing its MOD when the GLO submitted its action plan to HUD. However, Harris County reportedly delayed planning until AFTER HUD approved the GLO’s recommendations.

That delay could mean spending more local money. And that could penalize Harris County watersheds farther down on the Trust Fund priority list that don’t currently meet SVI and other requirements. Will there be money left for the Lake Houston Area by the time we work our way further down this list? Only time will tell.

Posted by Bob Rehak on 6/28/2022

1764 Days since Hurricane Harvey

May Flood-Bond Update Shows Spending Drought in Lake Houston Area Continues

The Harris County Flood Control District (HCFCD) posted the June 2022 status of 2018 flood-bond expenditures for Commissioners Court last Friday. Among the report’s highlights: the spending drought continues in the Lake Houston Area where only two capital improvement construction projects are active. Their total reported value: $2 thousand. That’s out of more than $235 million in active construction projects during the month of June.

Said another way, the Lake Houston Area is getting less than one-thousandth of 1% of the construction budget (0.000851%). March and April updates show that no new capital improvement construction projects have started in the Lake Houston Area in months.

See last page of full report for high resolution version. Note spending drought in NE portion of county.

Project Highlights

In the good news category, HCFCD:

  • Completed the $480 million Project Brays
  • Finished detention Basins near Little York and Hopper in the Halls Bayou Watershed, with combined 200 acre-feet of storage.
  • Wrapped up Halls Bayou conveyance improvements
  • Began demolition of the old Raveneaux Country Club on Cypress Creek
  • Started drainage repairs in the Carpenters Bayou watershed
  • Issued a purchase order for the Atascocita Area Drainage Study, which had been approved on February 8.
  • Released the Phase II, 1800-page report on flood tunnel feasibility

Spending Breakdowns by Watershed

Harris County contains 23 major watersheds shown below.

The 23 watersheds in Harris County and the amount spent to date from all sources under the 2018 flood bond.

The table and bar graph below make the rank-order and relative magnitude of spending in various watersheds more apparent.

Spending by watershed ranked from high to low. San Jacinto is middle of pack despite being largest watershed in county,
Bar graph of table above.

Factors Affecting Watershed Spending

Several factors affect the magnitude of spending in each watershed. They include:

  • Equity Prioritization Framework – This scoring matrix gives higher priority to projects in low-to-moderate income watersheds that have a high social vulnerability index. Projects with high scores started sooner.
  • Project Lifecycle Stage – Generally speaking, the earlier a project kicked off, the further along it is in its lifecycle. Studies have completed and construction has started or even completed. Some areas that flood repetitively had engineering studies completed and were already shovel-ready after Harvey.
  • Repetitive damage to population centers – More damage in highly populated areas gets more attention.
  • Prior Investment – Sims had massive investment by the Army Corps before Harvey and, comparatively speaking, had less flooding than other watersheds.
  • Partner Funding Availability – Projects with committed local, state or federal matches get higher priority.
  • Buyouts/Right of Way Acquisition – Sometimes entire subdivisions must be bought out to make room for flood mitigation projects. This can delay construction for years.
  • Lobbying – Squeaky wheels play a role on multiple levels.

Usually, no one factor accounts for a project’s or an area’s ranking. But multiple factors – working together – can push an area up or down the list.

Certainly, some areas have suffered spending-wise because of political priorities.

Other Highlights

HCFCD spent a total of $1.05 billion through the end of May. That compares to $1.025 billion through the end of April. So HCFCD spent $25 million in May.

Of the $1.05 billion spent to date, bond funds comprised $545 million. Grants comprised $367 million. And $140 came from other local funds.

HCFCD reported a schedule performance index of .97. That means projects are running slightly behind schedule. On-schedule performance would have earned a 1.0.

Overall, HCFCD has completed 21.8% of the bond projects when we’re 37.5% of the way through the 10-year program (45 months out of 120).

For the complete June update on bond spending, click here. Remember to review the last page. It shows capital improvement construction projects throughout the county and the spending drought in the Lake Houston Area.

Posted by Bob Rehak on June 26, 2022

1762 Days since Hurricane Harvey

Slight Chance of Tropical Cyclone Formation in Gulf Next Week

A weak surface low pressure system may develop into a tropical system over the northern Gulf of Mexico early to mid next week. The National Hurricane Center estimates the chance of development over the next 5 days at 20%. Chances of formation for another disturbance in the Atlantic remain at 60%.

What’s behind this prediction? A front will push through Houston Monday morning. It will move into the northern Gulf of Mexico early next week and then stall.

Location of front on Monday.

AND it will stall over warm waters.

Sea surface temperature anomalies as of 6/25/22. The darker the color, the more above average the temperatures. The whitish blob off the coast of Texas and Louisiana indicates the location of possible cyclone formation next week. Elongated blob at the bottom right indicates forecast track of disturbance in Atlantic.

Currently, the sea surface temperature in Galveston is 87 degrees – 4 degrees above the average for this time of year.

The National Hurricane Center said that if the system does develop, “[It] would likely be slow to occur as it drifts westward toward the northwestern Gulf of Mexico.”

Rainfall Implications

According to Jeff Lindner, Harris County’s meteorologist, “Numerous showers and thunderstorms will accompany this frontal trough.”

This will bring increasing rain chances to Houston. And potentially alter rainfall accumulation forecasts. Depending on location, you could receive anywhere from a half inch to three inches, according to Space City Weather.

The National Weather Service (NWS) predicts the highest 7-day rainfall totals farther to the east. Our neighbors in Louisiana could see up to five inches.

NWS Weather Prediction Center 7-day rainfall forecast starting today shows highest rainfall totals around Mississippi delta.

At this time, NWS predicts NO flooding for next week. The drought has soil so dry that most rainfall should soak in. Our channels, creeks and bayous should handle any runoff.

Historical Curiosity

Here’s a historical curiosity. This morning, the NWS Houston/Galveston office noted some weather history on this day. “The first half of 1996 was extremely dry over all of Southeast Texas but heavy rains returned during the last week of June. On June 25th 1996, a swath of 2 to 4 inches of rain fell across the southern half of the region with Danevang recording 6.07 inches of rain and Houston Hobby Airport recording 3.30 inches of rain.”

Posted by Bob Rehak on 6/25/22

1761 Days after Hurricane Harvey