FARGO - Uncertainty over federal funding has put Cass County's third round of flood buyouts on hold, dragging out the wait-and-see situation for homeowners on the buyout list.
The Federal Emergency Management Agency told the state Thursday that more money is needed to cover disaster-related costs in this year's fiscal budget.
President Barack Obama has asked for $3.6 billion in supplemental funds to cover the costs, which Congress must approve.
Until then, FEMA is prioritizing the dollars in its Disaster Relief Fund.
As a result, funding is being delayed for the Hazard Mitigation Grant Program (HMGP), which would fund Cass County's third round of buyouts covering about 40 homes.
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"The funding's not eliminated," County Administrator Bonnie Johnson said Friday. "They say that very clearly. It's just delayed until the additional appropriation is made."
The county broke the news to homeowners on its Web site Friday, and letters are being mailed to those on the HMGP list.
County officials hope to learn Monday when the funds might be approved, Johnson said.
Cass County's first two rounds of buyouts - funded through FEMA's Flood Mitigation Assistance Program - are already under way, covering 41 homes at an estimated cost of about $11.9 million.
North Dakota is eligible for about $15 million in HMGP funds, based on costs incurred during last year's flooding. Applications totaling about $14 million have been submitted to FEMA, including $11 million for Cass County's buyout list, Johnson said.
Appraisals had already begun on 11 of the homes when the county learned about the delay, she said.
"It's disappointing for us at Cass County because we worked really hard to get the HMGP grant completed on time," she said. "It was an extraordinary effort between county officials and Lake Agassiz Regional Council, who did a lot of the work for us, to meet the deadline back in November."
In a statement about the delay, FEMA noted that it had to impose similar funding restrictions in 2003, 2004, 2005 and 2006. But North Dakota didn't have buyout applications pending during those years, Johnson said.
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County officials and homeowners hoped to have the buyout applications approved by spring so they would know the fate of homes that could again be threatened by flooding. The National Weather Service predicts an 86 percent chance of major flooding on the Red River at Fargo.
Homeowner Craig Strehlow hadn't yet heard about the delay Friday morning, but he said it's a concern. He's renting a place while still paying the mortgage, insurance and utilities on his Heritage Hills home south of Fargo, which had 16 inches of water on the main floor last spring, he said.
"I've put my life on hold, just waiting to hear what route we would take," he said.
The Forum of Fargo-Moorhead and the Herald are Forum Communications Co. newspapers.
