The North Carolina Office of Recovery and Resiliency (NCORR) expects it will take $220 million in additional state funds to complete work by the end of 2025 on 1,150 homes damaged by hurricanes Matthew and Florence. Another 39 homes might not be completed due to “atypical” circumstances.

NCORR Director Pryor Gibson testified before the Joint Commission on Governmental Operations Subcommittee on Hurricane Response and Recovery for nearly two and a half hours on January 30. Jonathan Krebs, advisor to Gov. Josh Stein on western North Carolina recovery, and Stephanie McGarrah, deputy secretary in the Division of Community Revitalization at the Department of Commerce, followed Gibson. They have been invited back before the committee to provide more details March 6.

The Subcommittee held its first hearing with NCORR in September 2022 when the agency was completing fewer than 10 homes per month. The federal government provided nearly $1 billion in three grants for NCORR to assist with the Eastern North Carolina storms. In October 2024, however, Gibson alerted legislators that NCORR had overcommitted funds by $175 million and would need state money to complete its work.

A more thorough accounting by the Office of State Budget and Management before the November 18, 2024, hearing showed NCORR had unmet needs of $320 million, which Gibson circuitously confirmed at the time. Legislators appropriated $30 million in November and another $50 million in December to get NCORR into February. Gibson said contractors may abandon the program without a firm commitment from the General Assembly before the end of February.

Co-chair Rep. Brenden Jones (R-Columbus) set an expectation for clear answers at the beginning of the hearing.

“No more excuses, no more delays, no more vague estimates, no more NCORR kicking the can down the road,” Rep. Jones said. “Today, as we go through this, we’re going to ask you how much money is actually needed to finish the operation. I’m going to ask you why we should believe you.”

Inconsistencies in the Gibson’s presentation over the number of employees, specific costs, and NCORR’s communication to general contractors further eroded subcommittee members’ trust and increased their frustration.

NCORR completed 143 homes in December and its latest report to Gov Ops staff showed 116 homes completed in the 30 days through January 29. In contrast, NCORR only issued 19 notices to proceed (NTPs) in that time and had not issued a contract since December 19 (see graph).