For example the federal government used well-established  grants such as the Temporary Assistance for Needy Families, Community  Development Block Grant, and the Social Services Block Grant to provide  financial and human recovery assistance to Louisiana and Mississippi  residents. Some of these grants include the Department of  Health and Human Services’s (HHS) Primary Care Access and Stabilization  Grant and HUD’s Disaster Housing Assistance Program. Using federal funding programs such as those shown in table 2, nonprofit  organizations have provided a wide range of recovery services to residents  affected by Hurricanes Katrina and Rita including housing, long-term case  management, and a variety of counseling services (including crisis  management and substance abuse). The Federal Government Supported Nonprofits through Coordination and Capacity Building to Facilitate Gulf Coast Hurricane Recovery

		Nonprofits Reported Usefulness of Coordination with FEMA Voluntary Agency Liaisons

The National Response Framework (NRF) designates the FEMA Voluntary  Agency Liaison (VAL) as the primary liaison to the nonprofit community. VALs are responsible for initiating and maintaining a working relationship  between FEMA, federal, state, and local agencies and nonprofit  organizations. Office of the Federal Coordinator for Gulf Coast Rebuilding Provided a Variety of Assistance to Nonprofits Including Problem Identification, Information Sharing, and Networking

In November 2005, the President issued an executive order establishing  the Office of the Federal Coordinator for Gulf Coast Rebuilding (OFC)  with the broad mission of supporting recovery efforts following  Hurricanes Katrina and Rita. OFC was created as a response to the  unprecedented rebuilding challenges presented by these storms as well as  concerns regarding the lack of coordination in the government’s initial  response to these events. Other Agencies Also Bolstered the Capacity of Nonprofits by Providing Temporary Staff, Training, and Technical Assistance

Other federal agencies also provided important nonmonetary assistance to  nonprofit organizations involved in Gulf Coast recovery. For example, nonprofit officials attended a 2008 White  House sponsored conference designed to highlight and strengthen the role  of faith-based and community-based organizations in disaster relief and  preparedness. The Federal Government Is Taking Steps to Address Challenges and Strengthen Relationships with Nonprofits

		Challenges Experienced by Nonprofits in Obtaining Federal Disaster Assistance Led to Efforts to Address Some Concerns

The rules and requirements that typically accompany federal grants along  with the limitations of many nonprofits’ financial and administrative  capacity made it difficult for some organizations to access federal funding  to deliver recovery services. These program waivers made it easier for nonprofits  with limited financial resources to sponsor AmeriCorps workers. In addition, ensuring continuity presented a challenge as FEMA  experienced a large turnover among VALs in the first year after the  disaster. We have previously reported that VALs could benefit from additional  training on federal programs and resources. FEMA has taken steps to respond to our recommendation as well as  address other training issues in its VAL program. It expects to complete three VAL-specific courses by the end of  2010. As we have recently reported, the federal government has taken steps to  strengthen the nation’s disaster recovery process. The group has developed a draft framework, which includes  details about expected roles and responsibilities of nonprofits in disaster  recovery. Appendix I: Objectives, Scope, and Methodology

To address our first objective on how the federal government has worked  with nonprofit organizations to facilitate Gulf Coast Recovery following  Hurricanes Katrina and Rita in 2005, we first conducted a systematic  review and synthesis of GAO and other reports to identify (a) the range of  federal programs used to support Gulf Coast recovery; (b) the types of  nonprofit organizations that provide federally-supported recovery  assistance; and (c) the types of service delivery mechanisms federal  agencies used when working with nonprofit organizations. For this  objective we also interviewed officials involved in recovery efforts from  federal, state, and local governments, as well as officials from nonprofit  organizations, to help us refine our understanding of the range of federal  government relationships with nonprofit organizations active in Gulf Coast  recovery. In addition, given their role in disaster  recovery, we placed a focus on the activities of two components of the  Department of Homeland Security—the Federal Emergency Management  Agency and the Office of the Federal Coordinator for Gulf Coast  Rebuilding—in describing how the federal government has worked with  nonprofits on Gulf Coast recovery.
Why GAO Did This Study

Residents of the Gulf Coast continue to struggle to recover almost 5 years after Hurricanes Katrina and Rita devastated the area in August and September of 2005. In many cases the federal government coordinates with, and provides support to, nonprofit organizations in order to deliver recovery assistance to impacted residents. A better understanding of how the federal government works with nonprofit organizations to provide such assistance may be helpful for recovery efforts on the Gulf Coast as well as for communities affected by major disasters in the future. GAO was asked to describe (1) how the federal government has worked with nonprofit organizations to facilitate Gulf Coast recovery following the 2005 hurricanes and (2) steps the federal government has taken to address challenges to strengthen relationships with nonprofits in the future. Toward this end, GAO reviewed the applicable disaster recovery literature and relevant supporting documents. GAO also interviewed officials from federal, state, and local governments as well as a wide range of nonprofit officials involved in Gulf Coast recovery.

What GAO Found

The federal government used a variety of direct and indirect funding programs to support the delivery of human recovery services by nonprofit organizations following Hurricanes Katrina and Rita in areas such as housing, long-term case management, and health care. These programs included well-established grants such as the Department of Health and Human Services' (HHS) Temporary Assistance for Needy Families and its Social Services Block Grant, as well as the Department of Housing and Urban Development's (HUD) Community Development Block Grant. Programs established in the wake of the 2005 hurricanes also provided funding to nonprofits offering recovery services. These included HHS's Primary Care Access and Stabilization Grant and HUD's Disaster Housing Assistance Program. The federal government also supported nonprofit organizations through coordination and capacity building. For example, the Federal Emergency Management Agency (FEMA) used Voluntary Agency Liaisons (VAL) to help establish and maintain working relationships between nonprofits and FEMA as well as other federal, state, and local agencies. The Office of the Federal Coordinator for Gulf Coast Rebuilding in the Department of Homeland Security provided a variety of assistance to nonprofits including problem identification, information sharing, and networking. Other federal agencies also worked to bolster the capacity of nonprofits by providing temporary staff, training, and technical assistance to nonprofit organizations. The federal government is taking steps to address several challenges and strengthen its relationship with nonprofit organizations providing recovery assistance. For example, nonprofit officials GAO spoke with cited challenges with the federal disaster grant process including what they viewed to be complicated record keeping and documentation procedures as well as other requirements to obtain aid. A report issued earlier this year by the President's Advisory Council for Faith-Based and Neighborhood Partnerships recognized the need to ease the administrative burden on nonprofits and contains specific recommendations for action. In an effort to make it easier for nonprofits with limited financial resources to obtain the services of AmeriCorps workers, the Corporation for National and Community Service waived the usual matching requirements in the wake of the 2005 hurricanes. In addition, FEMA is taking steps to address challenges regarding the training of its VAL staff. Following an earlier GAO recommendation that VALs could benefit from additional training regarding federal recovery resources, FEMA issued a VAL handbook and is developing several VAL training courses that it expects to implement by the end of 2010. Finally, although there has been a lack of specific guidance regarding the role of nonprofits in disaster recovery, the federal government has taken steps to address this gap. FEMA and HUD have led a multi-agency effort that resulted in the development of a draft National Disaster Recovery Framework. Among other things, this framework contains specific information about the roles and responsibilities of nonprofits in disaster recovery.

What GAO Recommends

GAO is not making new recommendations in this report but discusses the implementation status of a relevant prior recommendation.