Stein presses for $792M in additional Helene recovery funds 

North Carolina officials say recovery from Hurricane Helene is entering a prolonged and complex phase, with billions in unmet needs, mounting infrastructure challenges, and a growing recognition that rebuilding efforts will stretch well beyond traditional disaster timelines.

During a virtual meeting of the Governor’s Recovery Office for Western NC (GROW NC) Advisory Committee on April 20, state leaders outlined ongoing funding gaps, regulatory hurdles, and policy priorities shaping the next phase of recovery across the region.

Gov. Josh Stein emphasized that the scale of damage from Helene requires sustained coordination across all levels of government and the private sector.

“This is not a short-term recovery,” Stein said, noting that rebuilding efforts will continue for years. “Recovery after a storm of the magnitude of Helene is not a one-year deal. It’s not a two-year deal. Sadly, it won’t even be a three-year deal. We’re going to keep at this until we get the job done.”

Stein has requested $792 million in additional state funding as part of a third-phase recovery budget proposal. The request focuses on economic recovery, housing assistance, infrastructure repair, and wildfire mitigation, while also positioning the state to unlock additional federal aid that requires matching funds.

The governor said the proposal is designed to stabilize local economies, support small businesses, and address ongoing housing challenges, including rental and utility assistance for displaced residents.

State officials say those needs remain acute. According to recovery administrators, more than 8,000 homeowners applied for assistance through federally funded housing programs, but current projections show available funding may fall short of meeting total demand.

The housing recovery effort is being driven in part by a $1.4 billion allocation from the US Department of Housing and Urban Development through its Community Development Block Grant Disaster Recovery program. However, officials say federal requirements are slowing the pace of rebuilding.

Stephanie McGarrah, deputy secretary for community revitalization at the NC Department of Commerce, said regulatory processes tied to federal funding significantly extend timelines compared to state or private recovery efforts.

Environmental review requirements alone can take months, she said, while procurement rules and documentation standards add additional layers of complexity.

“Federal money comes with a lot of requirements, and by design, it takes time,” McGarrah said. “We’re working through those processes, but they do slow down how quickly we can get people back in their homes.”

As of mid-April, only a few dozen homes had been completed under the program, though hundreds more are in the construction pipeline.

Housing shortages are compounding the challenge. Officials report that affordable rental vacancy rates in much of western North Carolina are near zero, making it difficult for displaced residents to find temporary housing while repairs are underway.

State leaders are exploring the use of additional funds to support temporary relocation assistance, which would help residents cover short-term housing costs during reconstruction.

Beyond housing, infrastructure damage remains a central concern. Officials highlighted ongoing issues with private roads, bridges, and water systems, many of which are not fully covered by existing federal programs.

The state is also continuing to press for approximately $13.5 billion in additional federal funding to address long-term recovery needs, including transportation, water and sewer systems, and community development.

Stein said coordination with federal agencies has improved in recent weeks, including discussions with new Homeland Security leadership about accelerating project approvals and reducing administrative barriers.

At the same time, the state is confronting new risks tied to the storm’s aftermath. Increased wildfire danger, driven in part by storm debris and drought conditions, has emerged as a growing concern across the region.

Officials warned that damaged infrastructure, including compromised bridges and access roads, could hinder emergency response efforts in rural areas.

Local leaders shared examples of emergency responders struggling to reach homes due to washed-out bridges, underscoring the urgency of restoring critical access routes.

In addition to large-scale infrastructure and housing efforts, smaller community projects are also moving forward. State parks and local recreation areas damaged by the storm are receiving millions in recovery funding, with projects aimed at rebuilding facilities, restoring river access, and improving resilience to future flooding.

Officials say those investments are critical not only for the quality of life but also for tourism, a key economic driver in western North Carolina.

Despite visible progress in some areas, state leaders acknowledged that the recovery effort remains uneven and far from complete.

Stein said the immediate priority is ensuring that state funding, federal coordination, and local implementation remain aligned as the region heads into another hurricane season.

“We’ve come a long way, but the work is not done,” he said. “We have to stay focused on the long term and make sure we’re building back stronger, safer, and more resilient.”

With funding decisions pending in the General Assembly and uncertainty around future federal support, the pace and scope of recovery will depend heavily on sustained policy attention in the months ahead.

The next advisory committee is scheduled for May 22 in Asheville.