By Ed Somers and Ron Thaniel
May 26, 2003

On May 14, the Department of Homeland Security (DHS) announced how it will allocate the $700 million in high threat grants contained in the FY 2003 supplemental appropriations bill. The grants are intended to enhance the security of urban areas with high-density population areas and critical infrastructure.

In announcing the allocation of the high threat grants, Secretary for Homeland Security Tom Ridge said "these grants demonstrate our strong commitment to provide assistance to the men and women on the front lines of the war against terrorism. The dissemination of this funding takes into account threats, population density and the presence of critical infrastructure which will best help to secure our homeland in an environment where we must ensure maximum benefit is derived from every security dollar."

Except for the $75 million Port Security Grant, funding grants will flow through the states, which may keep up to 20 percent for non-administrative use. According to DHS staff, any money kept by a state will have to be spent on homeland security efforts in the targeted area.

DHS is developing an application process that should be ready by mid-June. At that point, states will have 30 days to apply for the grants. The states will have 45 days to allocate this funding once received from DHS. In addition, the states, selected areas and DHS will work together on determining how the money will be spent. As stated by DHS, "funding allocations among the cities, contiguous counties and mutual aid partners will be based on an urban area assessment and preparedness plan." This means that funding could go to multiple jurisdictions within a metropolitan area.

$500 Million in Formula Grants

$500 million will be provided through the states to 30 cities and their contiguous counties and mutual aid partners. The cities have been determined based on a formula developed by the Department of Homeland Security that takes into account, threat information, critical infrastructure, and population density.

Allowable uses of funds would include, but not be limited to, operational activities conducted during the heightened alert level from January 2003 through April 2003, critical infrastructure security, training, exercises, equipment, and information sharing.

Funding allocations among the cities, contiguous counties and mutual aid partners will be based on an urban area assessment and preparedness plan. Up to 20% or $100 million of the $500 million may be used for overtime.

$75 Million in Port Security Grants

$75 million would be provided directly to selected high threat ports in the country and certain Liberty Shield port areas.

Allowable uses of funds for the ports would include, but not be limited to operational activities conducted during ORANGE alert from January 2003 through April 2003, critical infrastructure security, security enhancements, training, exercises, equipment, planning, and information sharing.

Each port would allocate funds based on an approved Transportation Security Administration and/or United States Coast Guard vulnerability self-assessments in accordance with the Maritime Transportation Security Act. According to DHS staff, this grant cannot be used for overtime purposes.

$65 Million for Mass Transit Security

$65 million will be provided through the States to the highest risk transit systems in the country. States could use 20 percent of the award for each transportation agency to complement state assets at those sites.

If not already completed, each transit system would be required to conduct an assessment and preparedness plan on which to base resource allocations. This grant may be used for overtime purpose.

$35 Million for Radiological Defense Systems

$35 million will be used for grants to implement a radiological defensive system in the New York/New Jersey Metropolitan Area ($30 million), and the Charleston, South Carolina Metropolitan Area ($5 million).

$15 Million for Pilot Projects

$15 million will be made available through a discretionary grant program for the development of projects that would affect high-density urban areas, high-threat areas, and for the protection of critical infrastructure.

$10 Million for Technical Assistance to State and Local Jurisdictions

$10 million dollars would be allocated to provide technical assistance to those State and local jurisdictions receiving funding under this program. This assistance would be in the form of direct services and would include, but not be limited to, interoperable communications assistance, assistance with conducting assessments, assistance with developing emergency operations and site security plans, implementation of the radiological defense system, and development and conduct of exercises.

Also, an additional $1.5 billion has been allocated to the states for first responder grants, of which the majority must be sub-allocated to local governments. Detailed information on the cities, ports and transit areas that received funding is available at usmayors.org.