Foreword by Jack Colley, Chief, Governor’s Office of Homeland Security ii 

Foreword by Jack Colley, Chief, Governor’s Office of Homeland Security 

The 2008 hurricane season came on the heels of six months of an already challenging period for homeland 

security in Texas. The entire spectrum of threat, risk and vulnerability in Texas has been tested and measured. 

The State has continued to secure and protect our border with Mexico and at the same time endured the 

longest and prolonged wildfire season in our State’s history. In less than 60 days during the summer, Texas 

was assaulted by Hurricanes Dolly, Gustav, Ike and Tropical Storm Eduardo. Of these, Hurricane Ike will 

likely go down in history as the most costly and destructive storm ever to hit Texas. 

Since then, Texas has been dealing with the extensive damage to our coastal infrastructure, businesses and 

neighborhoods. Hurricanes Katrina and Rita reminded the nation that recovery from catastrophic disasters has 

to be a combined effort of individual, governmental, private and non-profit organizations who must work 

together. The State is working closely with both local and federal partners to secure the relief needed so that 

affected Texans can continue the process of rebuilding. 

An important part of recovery is the identification of all damages and assessing the impact on individuals and 

their communities. This assessment has been ongoing at various levels since the day of hurricane landfall. 

Quick assessments guided the response efforts while more deliberate assessments helped identify counties to 

be added to the federally declared disaster. Various agencies and organizations conducted assessments to 

fulfill their governmental responsibilities or to fulfill business agreements such as insurance policies. The 

Governor’s Commission for Disaster Recovery and Renewal conducted an interim assessment in order to 

prepare an outline of Texas’ funding needs entitled “Texas Rebounds”. 

The Hurricane Ike Impact Report will also greatly contribute to improving the knowledge base of the impacts 

of this hurricane. It combines assessments from numerous agencies which have the common goal of 

community and economic recovery. I thank everyone who contributed to this report and look forward to 

witnessing the renewal of the impacted communities of this State. 

 

Hurricane Ike Impact Report – December 2008 
Foreword by Federal Coordinating Officer, Stephen M. DeBlasio, Sr. ii 

Hurricane Ike Impact Report – December 2008 

 

Foreword by Federal Coordinating Officer, Stephen M. DeBlasio, Sr. 

We knew before Hurricane Ike even made landfall that it was going to be big, and that the 

recovery process was likely to be among the most complex the nation has ever experienced. So far, 

the numbers are proving this to be true, with latest estimates making Ike the third costliest storm 

in U.S. history. 

From the outset, this report is intended to be a living document that will be refined as more 

information about the impacts of Hurricane Ike becomes known. It is a starting point, a snapshot 

of our current understanding, and it is hoped that it will be useful as a tool that can inform and 

guide our recovery efforts during a period of upheaval for so many residents of the upper Texas 

Gulf Coast. 

This Hurricane Ike Impact Report is a first-ever attempt to comprehensively compile the damage 

assessment and impact information of federal, state and local governments for use in the long-term 

recovery process. As with most firsts, suggestions for how to improve the joint assessment process 

will certainly arise, and they will always be welcome. 

It is my sincerest hope that the Impact Report will help fill the need for more collaboration and 

coordination as we attempt to address long-term community recovery. 

Stephen M. DeBlasio, Sr. 

Federal Coordinating Officer, DR-1791-TX 

U.S. Department of Homeland Security 

Federal Emergency Management Agency 
Acknowledgements ii 

Hurricane Ike Impact Report – December 2008 

 

Acknowledgements 

Developing a document such as the Impact Report requires many hours of work and a 

commitment to community recovery beyond measure. Recognizing the contributions of the 

organizations and individuals involved in this effort only begins to extend appreciation for the 

dedication and work that culminated in this publication. 

This document contains the original research of over 17 federal agencies, offices and programs: 

U.S. Department of Housing and Urban Development (HUD) 

U.S. Department of Health and Human Services (HHS) 

U.S. Department of Transportation (USDOT) - Volpe National Transportation Systems 

Center 

U.S. Department of Agriculture (Farm Service Agency and USDA Rural Development) 

Corporation for National and Community Service (CNCS) 

Environmental Protection Agency (EPA) 

U.S. Department of Labor - Bureau of Labor Statistics (USDOL-BLS) 

Economic Development Administration (EDA) 

U.S. Small Business Administration (SBA) 

U.S. Fish and Wildlife Service (USFWS) 

U.S. Geological Survey (USGS) 

Department of Homeland Security (DHS) Private Sector Office 

DHS Office for Civil Rights and Civil Liberties 

Texas ESF #14 Long-Term Community Recovery 

Other agencies that contributed damage and impact assessment information include: 

National Oceanic and Atmospheric Administration (NOAA) 

Texas General Land Office (GLO) 

Texas Department of Housing and Community Affairs (TDHCA) 

Texas Office for Rural and Community Affairs (ORCA) 

Texas Commission on Environmental Quality (TCEQ) 

Texas A&M University - The Texas Sea Grant Program 

Texas Governor’s Office 

Texas Governor’s Division of Emergency Management (Public Assistance, Hazard 

Mitigation and Human Services programs) 

Texas Parks and Wildlife Department (TPWD) 
Acknowledgements iii 

Hurricane Ike Impact Report – December 2008 

 

Texas Department of Transportation (TXDOT) 

Texas Association of Regional Councils 

U.S. Army Corps of Engineers (USACE) 

U.S. Coast Guard (USCG) 

U.S. Department of the Interior (DOI) 

FEMA Public Assistance Program, Individual Assistance Program, Mitigation Programs, 

and Environmental and Historic Preservation Branch 

FEMA National Disability Coordinator and Office for Equal Rights and Opportunities 
Table of Contents iv 

Hurricane Ike Impact Report – December 2008 

 

Table of Contents 

Foreword by Jack Colley, Chief, Governor’s Office of Homeland Security.........................................ii

Foreword by Federal Coordinating Officer, Stephen M. DeBlasio, Sr. ................................................ii

Acknowledgements .................................................................................................................................ii

Table of Contents....................................................................................................................................iv

Executive Summary................................................................................................................................. 1

Chapter I – Social Environment ............................................................................................................. 4

Introduction......................................................................................................................................... 4

Key Issues............................................................................................................................................. 5

A. Availability of Health Care Services.......................................................................................... 5

B. Public Health Concerns ............................................................................................................ 10

C. Impacts on Access to Child Care Services ............................................................................... 11

D. Concerns about Public Education............................................................................................ 12

E. Challenges with Individual Support Systems .......................................................................... 12

F. Financial Security and Other Concerns ................................................................................... 13

G. Nonprofit Organizations and Community Groups ................................................................. 14

Conclusion ......................................................................................................................................... 15

Chapter II – Built Environment............................................................................................................ 16

Introduction....................................................................................................................................... 16

Key Issues........................................................................................................................................... 17

A. Housing ..................................................................................................................................... 17

B. Rural Infrastructure and Facilities ........................................................................................... 20

C. Business Establishments and Industrial Facilities ................................................................... 20

D. Transportation Systems ............................................................................................................ 22

E. Critical Infrastructure ............................................................................................................... 23

Conclusion ......................................................................................................................................... 25

Chapter III – Economic Environment.................................................................................................. 27

Introduction....................................................................................................................................... 27

Key Issues by Industry....................................................................................................................... 28

A. Petrochemical Industry ............................................................................................................ 28

B. Healthcare Industry .................................................................................................................. 29
Table of Contents v 

 

Hurricane Ike Impact Report – December 2008 

C. Small Businesses ........................................................................................................................ 30

D. Government Employment........................................................................................................ 30

E. Agriculture and Forestry Industries......................................................................................... 30

F. Fishing Industry......................................................................................................................... 31

G. Tourism Industry ...................................................................................................................... 32

H. Local Tax Base........................................................................................................................... 32

I. Nonprofit Organizations and Social Service Providers............................................................ 33

J. Housing and Workforce............................................................................................................. 33

Key Economic Recovery Considerations by Region ....................................................................... 34

A. Galveston Bay............................................................................................................................ 34

B. Southeast Texas ......................................................................................................................... 39

Conclusion ......................................................................................................................................... 40

Chapter IV – Natural Environment...................................................................................................... 41

Introduction....................................................................................................................................... 41

Key Issues........................................................................................................................................... 42

A. Saltwater Intrusion ................................................................................................................... 42

B. Contaminants from Spills and Releases ................................................................................... 43

C. Impacts to the Ocean Floor ...................................................................................................... 43

D. Impacts to Shorelines and Barrier Islands ............................................................................... 44

E. Impacts to Fisheries................................................................................................................... 44

F. Wildlife Impacts ........................................................................................................................ 45

G. Impacts to National Wildlife Refuges and Preserves.............................................................. 46

H. Impacts to State Wildlife Management Areas (WMA) .......................................................... 47

I. Storm Debris............................................................................................................................. 47

Conclusion ......................................................................................................................................... 48

Chapter V: Cumulative Impacts and Recovery Considerations.......................................................... 50

Conclusion ............................................................................................................................................. 55

About the Editor.................................................................................................................................... 57
Executive Summary 1 

Hurricane Ike Impact Report – December 2008 

 

Executive Summary 

On Saturday, Sept. 13, 2008, Hurricane Ike made landfall over Galveston, Texas, around 2 a.m., 

with maximum sustained winds nearing 110 mph (175 km/h) and some higher gusts. At the time, 

Ike was an extremely large Category 2 hurricane with hurricane-force winds extending outward 

up to 120 miles (195 km) from the center and tropical storm-force winds extending outward up to 

275 miles (445 km). At its biggest, Ike would have covered most of Texas. 

Damages from Ike are still being tallied, although estimates suggest that the total could reach into 

the tens of billions of dollars. Ike may very well become one of the costliest hurricanes in U.S. 

history. 

Ike followed Hurricanes Gustav, Dolly and Rita, as well as Tropical Storm Eduardo, all of which 

struck the upper Texas Gulf Coast within a three-year span. Devastating storms such as Ike have 

plagued the Southeast Texas coast for centuries, costing thousands of lives and placing 

overwhelming strains on communities, families and individuals. 

History illustrates that the upper Texas Gulf Coast will always live with the potential for disaster. 

However, communities that call the coast their home may be able to reduce or even avoid many of 

the impacts of these storms by examining the effects, areas of vulnerability and incorporating these 

elements into their recovery. This report provides a starting point for bringing together the full 

scope of Hurricane Ike’s impacts. 

GOAL

The primary objective of this effort is to provide a central point for the collection and 

dissemination of information gathered from preliminary damage and impact assessments of various 

federal, state and local agencies and private-sector organizations. 

AUDIENCE

The primary audiences for this report include: 

 State and federal agencies that seek to effectively use and coordinate program resources to 

support community recovery. 

 Public and private organizations, businesses, associations and universities that have 

resources and/or expertise that can help communities recover from Hurricane Ike. 

 Local officials and residents interested in learning about the overall impacts of Hurricane 

Ike. 

IMPACTS OF HURRICANE IKE

This report discusses the impacts of Ike on the social, built, economic and natural environments, as 

well as the cumulative impacts of storms in this region and steps for mitigation and long-term 

recovery. Some of the key issues facing communities along the upper Texas Gulf Coast are 

summarized below: 
Executive Summary 2 

Hurricane Ike Impact Report – December 2008 

 

Social Environment 

Ike has placed immediate and long-term strains on the ability of impacted communities to provide 

access to health care and specialty health services; basic, yet essential human services, including 

child care, public education and senior support systems; and temporary support and financial 

assistance for many individuals and families. The storm caused major damage to six hospitals in the 

greater Houston metropolitan area and three in the greater Beaumont area. The University of 

Texas Medical Branch - Galveston estimated damages totaling nearly $710 million, including lost 

revenue due to the closure of the hospital’s facilities. Certified nursing homes lost much of their 

bed capacity, including up to a 45 percent loss in Chambers County. 

At the same time, communities may face a number of public health concerns following a disaster, 

ranging from mental health issues (i.e., Post-Traumatic Stress Disorder, depression, etc.) to a 

variety of physical hazards (i.e., disease, smoke inhalation, lead poisoning, etc.). Communities will 

need to evaluate ways to mitigate these hazards, such as improving public education regarding 

these issues, immunization and other safety measures. 

The impacts of Hurricane Ike have had compounded effects on individuals with disabilities, the 

elderly and others with special needs who rely on support to live independently in the 

community. Special needs populations will require focused attention and assistance to successfully 

recover from the disaster, and engagement of these populations, as well as nongovernmental and 

nonprofit organizations that represent their special interests, will be key to a successful recovery. 

Built Environment 

The built environment is comprised of human-made structures, which may include buildings, 

roads, bridges and other infrastructure. Estimates from cities and counties in the areas impacted by 

Ike indicate approximately $3.4 billion in total housing damage. Of those losses, an average of 27 

percent of wind damages were uninsured, and an average of 61 percent of flooding damages were 

uninsured. These individuals and families will face difficult decisions regarding whether to rebuild 

or not, and if so, how. 

The State of Texas has also identified a need of $2.4 billion for erosion, waterway dredging and 

other infrastructure repairs to navigable waterways, ports and coastlines. The Port of Galveston, 

which is owned and operated by the City of Galveston, sustained extensive damage to its cruise 

terminal, including sediment deposits and saltwater damage. Estimates of damages to water and 

wastewater plants along with damages to government buildings are in excess of $1.7 billion, 

including the improvement of storm preparation equipment. In addition, the State of Texas has 

identified a need of $131.8 million to repair damage to the impacted areas’ transportation systems. 

During the recovery process, there will be a need for strategies to rebuild residential and municipal 

structures in a manner that meets hazard mitigation standards while achieving affordability and 

accessibility objectives. Communities should consider the accessibility needs of individuals who 

are elderly and/or have disabilities, especially when rebuilding housing and transportation systems. 
Executive Summary 3 

Hurricane Ike Impact Report – December 2008 

 

Economic Environment

The 2.7 million workers in the counties of Harris, Galveston, Chambers, Orange and Jefferson -

those most affected by Ike - represent 26.6 percent of the state’s total employment and contribute 

$123.5 billion to the state’s economy. Workforce shortages were already a problem in many parts 

of the upper Texas Gulf Coast, which has only been exacerbated by disruption in the economy. 

Flooding from Ike’s surge will require the replacement of machinery, computers and other 

equipment crucial to the operation of business. In addition, hundreds of miles of fencing, farm 

machinery and equipment also sustained significant damage. Land inundated by saltwater could 

possibly take two to three years to become fertile again, hence affecting the ability of ranchers to 

rebuild their livestock populations. 

The overall economic impact is still being assessed, but preliminary estimates suggest Ike may 

become one of the costliest hurricanes on record. Ike has impacted numerous industries in the 

area, including the petrochemical, health care, agriculture and forestry, fishing, tourism, nonprofit 

and small business sectors. However, despite the devastation, economic development professionals 

remain positive, and many local officials note that the region has begun to recover very quickly 

thanks to fairly well-organized communities. 

Natural Environment 

Saltwater intrusion from Ike’s surge has left large swaths of the upper Texas Gulf Coast in 

ecological upheaval, including wetlands and other natural habitats. Natural processes may 

eventually return portions of these areas to their pre-disaster states, but the recreation, leisure and 

ecotourism uses of these areas will be disrupted in the meantime. 

Other ecosystems suffered serious effects that could have lasting impacts for decades, including the 

oyster beds and fishing grounds that have been covered by sediment from the retreating storm 

surge in Galveston Bay, Trinity Bay, Sabine Lake, the Chenier Plain marshes and marshes inland 

from the eroded beach ridge at the McFaddin National Wildlife Refuge. Oyster beds provide 

important habitats for other species and also contribute to the overall quality of the water in these 

areas since they naturally remove nutrients, algae and pollutants through their filter feeding 

process. The full impact to these environments and on the catch value for oysters and other species 

may not be known for at least a year, and perhaps longer. 

In addition, millions of yards of debris still exist in the affected areas, including on private 

residences and agricultural lands, as well as in wetlands. On Nov. 27, 2008, the federal government 

agreed to pay 100 percent of the cleanup costs for an additional six months, but once this time 

passes, FEMA reduces its rate to the standard 75 percent. 

***************** 

The number of entities involved in this report demonstrates the commitment of many 

organizations and people across the country to rebuilding Texas. State and federal partners are 

actively working with communities as they move from disaster response and short-term planning 

to long-term recovery. It is critical that all parties continue to share information, ideas, knowledge, 

talent and time as the lengthy, challenging work of long-term community recovery continues. 
Chapter I – Social Environment 4 

Hurricane Ike Impact Report – December 2008 

 

Chapter I – Social Environment 

 

Introduction 

Hurricane Ike delivered a heavy blow to the communities along the upper Texas Gulf Coast. The 

damage to homes, personal property, the environment and local businesses in the midst of a 

national economic downturn have set these communities on a challenging road to recovery. 

Limited access to essential life services (i.e., health care, child care, individual support services, 

etc.) has greatly impacted quality of life for many individuals and families and will require the 

reestablishment of a variety of social support networks. Many people will need temporary support 

and financial assistance to cope with the aftermath. 

Individuals with special needs (i.e., individuals who have disabilities, who live in institutionalized 

settings, who are elderly, who are children, who are from diverse cultures, who have limited 

English proficiency or are non-English speaking, or who are transportation disadvantaged) often 

require additional support before, during and after a disaster to maintain their independence and 

involvement in a community. Compared to other regions in Texas, the areas impacted by Ike have 

generally higher rates of these populations. 

Nonprofit organizations meet critical needs through a wide array of programs and services related 

to disaster relief services, emotional trauma, employment and job loss, housing, and other social 

services. However, nonprofit organizations themselves also face difficult challenges following a 

disaster and may need significant levels of support from funders, including local, state and federal 

governments, in order to resume operations or provide additional assistance. 

This chapter will identify the social impacts of Ike in terms of the overall health, welfare, safety 

and livelihood of individuals and families in the impacted areas, including challenges particularly 

faced by the special needs populations and the organizations that support them. 
Chapter I – Social Environment 5 

Hurricane Ike Impact Report – December 2008 

 

 

Key Issues 

A. Availability of Health Care Services 

Following a disaster, communities face a multitude of challenges in their ability to provide 

adequate medical treatment, especially emergency room services, due to damage to medical 

facilities as well as an influx of people seeking care. Increased financial stress places additional 

limits on the ability of individuals and families to acquire basic health services, and increased rates 

of unemployment and loss of insurance benefits only exacerbate these issues. 

Ike damaged several of the long-term care facilities (i.e., nursing homes, assisted living facilities 

and intermediate care facilities) and hospitals, and their recovery will greatly impact the health 

and wellness of people in these communities. In addition, specialty health care services, 

particularly those important to special needs populations, can take much longer to reestablish. 

Nursing Homes1 

Chambers County saw a 45.5 percent capacity loss of certified nursing home beds, more than any 

other county as a result of the storm. The Anahuac Healthcare Center, which held 100 beds, was 

evacuated to Hearne and Hamilton due to severe damages and has been closed permanently. With 

only 120 certified beds, capacity in Chambers County has decreased from 7.6 to 4.2 beds per 1,000 

people. The county now has an immediate need for at least 45 beds to meet its pre-hurricane 

occupancy (Texas Department of State Health Services, Select Health Facts, 2002). 

Other counties also suffered severe losses. In Galveston County, the Gulf Health Care Center (150 

beds) and the Turner Geriatric Center (164 beds) were evacuated and remain closed for an 

undetermined period. In Orange County, the Orange Villa Nursing and Rehabilitation home (112 

beds) was also evacuated but anticipates reopening in February of 2009. The City of Beaumont in 

Jefferson County has eight nursing homes, of which the College Street Health Care Center (50 

beds) and the Pine Forest Nursing and Rehabilitation Center (130 beds) have not yet reopened due 

to damages. The Pine Forest Nursing and Rehabilitation Center will remain closed until February 

of 2009. In the City of Alvin in Brazoria County, the Winchester Lodge Healthcare Center (94 

beds) has been closed indefinitely due to severe damages with no available timeframe for repair or 

reopening. In Harris County, the Lawrence Street Health Care Center (150 beds) sustained major 

roof damage and plans to reopen sometime in early January of 2009. 

Information on the number of certified nursing home beds before and after the storm, as well as 

the overall percent capacity loss for each county impacted by Hurricane Ike, is summarized in the 

table and chart below: 

1 Data verified through reference http://local-nursing-homes.com, and Texas Department of Aging and Disability Services
Chapter I – Social Environment 6 

Hurricane Ike Impact Report – December 2008 

 

 

Population by County

287,898 28,779 283,987 3,886,207 243,914 84,243 

Pre-Disaster Number of Available Certified Beds

1,017 220 1,705 9,727 1,817 587 

Post-Disaster Number of Available Certified Beds

917 120 1,391 9,577 1,637 475 

Change in Beds per Capita per 1000 People

3.5-3.2 7.6-4.2 6.0-4.9 2.5 7.5-6.7 7.0-5.6 

Assisted Living Facilities2 

At 15.9 percent, Galveston County experienced the greatest capacity loss of assisted living facility 

beds, resulting in a decrease in overall capacity from 2.1 to 1.8 beds per 1,000 people. Three of the 

county’s 15 facilities included the Transitional Learning Centers in Galveston, which together held 

a total of 62 beds and have been closed indefinitely, with tentative plans to reopen in January or 

February of 2009. In all, Galveston County lost nearly 100 certified beds in the storm. 

In Jefferson County, the Rose House (58 beds) sustained significant damage and has not set a 

timeframe for reopening. In Brazoria County, the Evening Shade and Kozy Korner facilities, which 

each held six beds, have been evacuated and closed with no word yet on when they plan to 

reopen. In Harris County, Home Away From Home Care Services, Inc., (12 beds) also sustained 

significant flood damage, with repairs estimated to be completed in late November of 2008. 

2 Data verified through Texas Department of Aging and Disability Services

% Capacity Loss of Nursing Home Beds by County 

50% 

40% 

30% 

20% 

10% 

0 

Brazoria Chambers Galveston Harris Jefferson Orange

9.2

45.5

18.4

1.5

9.9

19.1
Chapter I – Social Environment 7 

Hurricane Ike Impact Report – December 2008 

 

% Capacity Loss of Intermediate Care Facility Beds by County 

90% 

80% 

70% 

60% 

50% 

40% 

30% 

20% 

10% 

0 

1.8

25.0

88.5

Harris Liberty Orange

Intermediate Care Facilities Serving People with Intellectual Disabilities3 

Orange County had an 88.5 percent capacity loss of intermediate care facilities, thereby reducing 

its overall capacity from 0.6 to 0.1 beds per 1,000 people, well below the state average of three beds 

per 1,000 people. Closed facilities include the Green Acres Development Center (40 beds) and the 

Westmount Community Home (six beds). The Green Acres Development Center has been closed 

permanently. Likewise, in Liberty County, Avenue B House (six beds) has been closed due to 

major roof damage, with no estimated timeframe for repairs or reopening. Although capacity 

remains unchanged in Harris County, the Bosworth Living Center (six beds) also sustained 

significant damage. 

Information on the capacity loss of intermediate care facility beds for each county is summarized 

in the table and chart below: 

Population by County

3,886,207 75,685 84,243 

Pre-Disaster Number of Available Certified Beds

651 24 52 

Post-Disaster Number of Available Certified Beds

639 18 6 

Change in Beds per Capita per 1000 People

0.2 0.3-0.2 0.6-0.1 

 

3 Data verified through Texas Department of Aging and Disability Services.
Chapter I – Social Environment 8 

Hurricane Ike Impact Report – December 2008 

 

Hospitals 

As of late October, five hospitals serving the areas impacted by Hurricane Ike remain closed while 

one hospital is operating at limited capacity. 

The University of Texas Medical Branch (UTMB), a Level I Trauma Center on Galveston Island, 

received substantial damage, and except for a few clinics, has been closed since the storm. Before 

the hurricane, UTMB was the third largest hospital in the Houston-Galveston region and the only 

hospital in Galveston, serving a nine-county region in Southeast Texas, including the Greater 

Houston area and a range of patients requiring specialized services from across the state. UTMB’s 

entire health care complex spans 85 acres and includes seven hospitals, as well as an assortment of 

specialized clinics, centers, institutes and a medical school. 

Even before Ike, UTMB was in the process of reducing its number of hospital beds from 600 to 500. 

UTMB estimates damage from Ike will cost nearly $710 million, which includes $276 million from 

the loss of revenue due to the closure of the hospital’s facilities. Storm insurance covers only $100 

million of these costs. The hospital, which is the medical school’s main source of income, is 

operating at substantially reduced capacity, and as of late November, is still not functioning as an 

emergency care facility. Emergency vehicles are being sent to the mainland. 

Photo: University of Texas Medical Branch-Galveston (UTMB)4

 

4 http://www.flickr.com/photos/utmb/2888070490/in/set-72157607488167328/ 
Chapter I – Social Environment 9 

Hurricane Ike Impact Report – December 2008 

 

In addition to UTMB, the losses of the East Houston Regional Medical Center (EHRMC) and 

Winnie Community Hospital pose the greatest negative impacts to their respective communities. 

With 131 beds and 600 employees, EHRMC is the only Level IV Trauma Center in East Harris 

County and is projected to remain closed through mid-December. Winnie Community Hospital, 

on the other hand, is operating at limited capacity, treating patients who only need minor urgent 

care. It is designated as a Critical Access Hospital by the Medicare Rural Hospital Flexibility 

Program, holds 25 beds and serves the communities of East Chambers County and West Jefferson 

County with a total service population of 2,500. 

Other hospitals that experienced damage and closed during the storm include: 

1) Dubuis Hospital, a 15-bed, hospital within a hospital that treats long-term acute patients 

(reopened on October 15); 

2) Renaissance Hospital, a 39-bed, hospital specializing in gastric bypass surgery; and 

3) Doctors Hospital Parkway, a 180-bed, acute-care hospital that provides a broad range of 

primary care and specialty services in the medically underserved communities of North 

Houston. 

The closure of Doctors Hospital Parkway affected 300 full-time employees and is expected to 

remain closed through March of 2009. Many of the employees relocated to the hospital’s second 

campus, Doctors Hospital Tidwell (101 beds), which is still in operation. 

The map below illustrates the number of hospitals and long-term care facilities damaged in the 

impacted areas. 
Chapter I – Social Environment 10 

Hurricane Ike Impact Report – December 2008 

 

B. Public Health Concerns 

Disasters can also lead to a variety of public health issues, some of which will be mitigated during 

the initial response period, and others that have the potential to remain issues for years to come. 

Research indicates that the need for mental health services significantly increases approximately 

six months following catastrophic disasters, especially for treatment related to depression and PostTraumatic Stress Disorder. Although most individuals will not develop ongoing behavioral and 

mental health problems, the World Health Organization estimates that between five and 10 

percent of disaster survivors will experience more serious, long-term issues that can result in 

lasting public health and social consequences.5 As the initial shock subsides, these reactions may 

surface within weeks, months or even years following the event. 

 

5 Bearne C, Diaz E, Friedman M, Norris F, Watson P. 60,000 Disaster Victims Speak: Part I. An Empirical Review of the Empirical Literature, 1981-2001.
Chapter I – Social Environment 11 

Hurricane Ike Impact Report – December 2008 

 

 

Disasters also put people at risk for a wide range of physical health problems. Disaster survivors 

and workers may face a variety of residential and occupational hazards as they attempt to restore 

housing and businesses. There is also a greater potential for exposure to hazardous materials 

throughout the rebuilding process. Some of these health hazards include: 

 Diseases 

 Air Contamination 

 Smoke Inhalation 

 Lead Poisoning 

Children have an increased risk of injury when returning to hurricane damaged areas, as they 

often play among debris and other hazards.6 In addition, they are subject to an increased likelihood 

of physical abuse, as parents and guardians become stressed in the aftermath.7

C. Impacts on Access to Child Care Services 

The recovery of child care services and after-school programs is critical to the overall social and 

economic long-term recovery process, as many families rely on these support services so that they 

can return to work. A large percentage of child care providers in the region face serious financial 

challenges. Early estimates indicate that Ike damaged at least 68 percent of the child care centers 

and family child care homes. Twelve percent of these providers report major damage or damage so 

severe that they will likely not reopen. Galveston Island and other coastal communities report 

much higher rates of major and catastrophic damage. 

In addition, approximately 90 percent of child care providers depend on parent tuition paid for 

services rendered. However, many of them were unable to collect fees from the day before the 

storm up until at least one week after. As a result, these providers do not have the financial 

resources to repair their facilities or pay their staff. The State of Texas, along with a collaboration 

of local agencies and other organizations, estimates it will take approximately $4 to $6 million in 

assistance programs to help child care providers become whole again. 

In Harris County, Collaborative for Children, the region’s child care resource and referral agency, 

estimates that the parents of 44,000 to 50,000 young children currently enrolled in area child care 

centers will have to find temporary solutions. The group has partnered with the YMCA, Galveston 

Independent School District (GISD), Save the Children and Kaplan Early Learning Company to 

create a temporary child care center in the GISD San Jacinto campus, which will serve up to 176 

young children on Galveston Island. 

6 Child injuries another danger after hurricane with parents overwhelmed by storm's aftermath, accidents happen, By TODD ACKERMAN and CINDY GEORGE 

Copyright 2008 Houston Chronicle

7 Increased incidence of inflicted traumatic brain injury in children after a natural disaster. American Journal of Preventative Medicine. Volume 26, Issue 3, Pages 189-193. H. Keenan
Chapter I – Social Environment 12 

Hurricane Ike Impact Report – December 2008 

 

 

D. Concerns about Public Education 

Education is the foundation upon which a community shapes its youngest members who will one 

day contribute innovation and creativity to the social and civic arenas. However, disasters can 

significantly impact a community’s ability to provide quality educational services, especially for 

children with special needs. Ike damaged several early childhood education and Head Start 

programs, which cater to children of economically disadvantaged families. The hurricane flooded 

the Head Start Center in the West Orange-Cove Consolidated Independent School District in 

Orange County, which served 239 children. In Galveston County, the Ziegler Head Start Center, 

which served 100 children, sustained shattered windows and water damage to its five buses, two 

vans and two trucks. Ike also destroyed the Bolivar Head Start Center, which served 18 children. 

These centers will need to repair or rebuild their facilities and replace their transportation fleets. 

Children who have intellectual or physical disabilities or have been diagnosed with autism will 

require educational opportunities tailored to meet their special needs. Many families returning to 

their communities may be concerned that the restoration of special education services in the 

restored schools will lag behind other general educational programs. The physical damage to 

schools and displacement of families can also lead to a loss of key records, including the 

Individualized Education Program (IEP) documents for children with special needs. IEP’s contain 

carefully crafted learning objectives for each student and can serve as authorization for supportive 

services that are critical for the student’s success over several years. It is vital that schools 

reestablish these plans as soon as possible and without a loss in services following a disaster. 

In addition, state education representatives report that nearly one-quarter of the population in 

Galveston lives in poverty and more than 60 percent of the children in this area receive free or 

reduced-price lunches in school. These percentages indicate another pivotal role of schools for 

many low-income families during long-term recovery. 

E. Challenges with Individual Support Systems 

Many individuals with special needs may not be able to maintain their independence without the 

aid of individualized support systems. For instance, some individuals who are elderly rely on 

home-delivered meals or regular housekeeping assistance, and many individuals with intellectual 

disabilities require assistance with daily activities, such as developing a grocery list, paying bills 

and balancing their checkbooks. Disasters often result in the loss of these systems, thus 

jeopardizing the independence of the people who rely on them and their ability to remain active 

within their communities. Recovery of these systems will involve reestablishing an array of public, 

private and nonprofit providers who deliver these key services. 
Chapter I – Social Environment 13 

Hurricane Ike Impact Report – December 2008 

 

Based on recent experiences after Hurricane Rita, 

communities should expect a significant increase in the 

demand for individualized support services. This demand 

will also lead to an increased need for coordinators and 

volunteers to manage and deliver these services. For 

instance, in the months following Rita, area centers for 

independent living found that a significant number of 

individuals needed first-time services and training, as 

their families who once supported them had moved away 

following the disaster. 

Throughout long-term recovery, communities may face 

challenges in terms of attracting and retaining personal 

care attendants who provide some individuals with 

assistance for everyday activities. These professionals 

typically receive relatively low wages, making it difficult 

for them to obtain affordable housing and transportation 

in close proximity to their clients. In addition, sign 

language interpreters for people who are hearingimpaired are often self-employed or part of small 

contract businesses that have been displaced during the 

disaster. Thus, locating and attracting qualified providers 

will be critical to supporting many of the special needs 

populations. 

F. Financial Security and Other Concerns 

Many of the challenges families face while rebuilding are 

compounded by disruptions to some of the basic social 

support services discussed above, including child care and 

individual support systems. These issues can result in 

significant financial hardships for many of the disaster survivors as they struggle to rebuild their 

homes and return to work. Additional financial considerations include: 

 Cost of Accessibility - Individuals who need home repairs or modifications for accessibility 

accommodations will face particularly daunting financial challenges. These individuals will 

encounter extraordinary expenses to replace accessibility features and other living 

arrangements. 

 Cost of Mental Health Services - Other individuals may need additional services, such as 

mental health or drug treatment, in order to ensure their life safety, as well as assistance 

with the transition into more permanent housing. 

Damages to senior services and 

centers include: 

 Houston-Galveston Area 

Agencies on Aging (AAA) 

(serving Chambers, 

Galveston, and Brazoria 

Counties) provides over 

1,620 congregate meals. 

Galveston County Senior 

Citizen island sites 

sustained severe flooding 

and damage. 

 Neighborhood Centers, 

Inc. will be closed six to 

seven weeks for repairs to 

be completed. 

 YWCA of Houston 

Bordersville Senior Center 

will be closed six to seven 

weeks. An alternate 

location is being 

considered for their 

congregate program. 

 Bridge City Senior Center 

was flooded and is being 

rebuilt. 

 Orange Community 

Action Association, 

Wallace Center sustained 

damage to their vans and 

needs replacements. 
Chapter I – Social Environment 14 

Hurricane Ike Impact Report – December 2008 

 

Ike will also have significant impacts on the care of displaced foster children and youth whose 

custody was already complicated prior to the storm. One example includes a group of 

undocumented children between the ages of 13 and 17 from South America and Mexico who took 

on the status of “unaccompanied minors” during the disaster. These children were living with 

caregivers who had no legal authority and were ultimately evacuated to a faith-based youth camp 

without caregivers. Their long-term residence status is uncertain. Foster care and child protective 

services will play key roles throughout the recovery process to ensure children in similar situations 

continue to be adequately cared for, supported and supervised. 

G. Nonprofit Organizations and Community Groups 

The nature of many nonprofit organizations reflects a limited number of paid staff supplemented 

by many volunteers. Following the devastation of Ike, these organizations will find themselves 

stressed to the limit and their needs among some of the last issues considered in the recovery 

process. As a result, the overall impact of the hurricane on nonprofit organizations may not be 

known for several months. 

Prior to Ike, approximately 30,000 nonprofit organizations existed in the 38 disaster-declared 

counties, half of which were located in Harris County. According to the National Civil 

Community Corps, damages to the nonprofit sector, including lost revenue (e.g., donations), are 

estimated to total $78.3 million, which does not include estimates from Harris County or damages 

to churches and other cultural or civic organizations that also provide support. Some of the key 

challenges of nonprofit organizations include: 

 Inability to repair or replace damaged facilities or other real property due to high 

deductibles 

 Loss of client-based revenue due to the evacuation of clients 

 Significant increase in clients due to impacts on family, social and community wellbeing 

 Inability to meet increased needs due to the impact on the nonprofit organizations 

themselves or lack of additional funding to expand and increase services 

 Loss of staff due to evacuation or other impacts (traumatic loss of property) 

 Lack of knowledge regarding available federal and other assistance for long-term recovery 

 Lack of centralized coordination and communication within the nonprofit sector itself 

 Limited outreach by federal agencies that may be able to assist nonprofit organizations 

The incapacitation of other community institutions, as well as the diversion of donations and other 

resources to immediate disaster relief efforts, may rapidly reduce sources of financial, volunteer 

and other support for local nonprofit organizations. Delayed, disrupted or otherwise unmet social, 

mental health and substance abuse treatment needs may have long-term consequences for 

individuals and families, thus placing an even greater strain on community services. Delay and 

disruption to these types of ongoing services will impact low-income communities 

disproportionately, as the availability of services typically provided by nonprofit organizations was 

already limited prior to the hurricane. These communities will experience greater challenges in 
Chapter I – Social Environment 15 

Hurricane Ike Impact Report – December 2008 

 

developing sufficient resources to reestablish community services, while at the same time 

experiencing the greatest increases in requests for assistance. 

Nonprofit organizations that contribute to community life in other ways will most likely also 

experience a significant drop in support, especially from the local community. For instance, youth 

development organizations, cultural and arts organizations, sports programs and other similar 

community groups may lose critical funding, volunteer support or other resources due to the 

redirection of resources to disaster recovery efforts. One of the challenges to long-term recovery 

planning will be assessing the role of these types of organizations in a community’s overall 

wellbeing and ensuring that recovery planning includes meeting the community’s cultural, 

recreational, youth and family development needs. 

Conclusion 

Many of the most severely impacted communities may face years of recovery before they can even 

begin to see their communities made whole again. The complete reestablishment of many of the 

social support networks will also rely heavily on the pace of recovery of the region’s built and 

economic environments. For instance, access to health care services may depend on the rebuilding 

and economic viability of regional hospitals and other specialty care facilities. Other services, such 

as child care and individualized support systems, will depend largely on the ability to once again 

attract these service providers to the region. 

Because the social environment deals with diverse groups of people with varying needs and 

desires, the engagement of all populations will be crucial to long-term community recovery. The 

inclusion of nongovernmental, nonprofit and faith-based organizations that represent different 

populations will greatly benefit communities throughout this process. These groups will serve as 

valuable resources in not only collecting information, but also ensuring the voices of all 

community groups are heard throughout the planning process. 
Chapter II – Built Environment 16 

Hurricane Ike Impact Report – December 2008 

 

Chapter II – Built Environment 

Introduction 

Following most disasters, reports of damages to the built environment tend to be the most 

prevalent in the news. These damages include flooded homes, stores and office buildings, 

destroyed bridges and roads, and debris piles stretching for miles inland. Second only to the death 

toll, the damage to structures is what many people view as the most important measure of the 

scope and scale of a disaster. 

Damage from Hurricane Ike is extremely extensive and widespread. Preliminary estimates from a 

variety of state and federal agencies place total damages in the billions of dollars, generating a 

consensus that when the entire damage assessment is fully understood, Hurricane Ike might very 

well prove to be the third costliest hurricane in recorded U.S. history, behind Andrew in 1992 and 

Katrina in 2005. These preliminary estimates have yet to include losses covered by the National 

Flood Insurance Program. 

During Hurricane Ike, hundreds of thousands of homes along the upper Texas Gulf Coast were 

severely damaged or destroyed as a surge of up to 20 feet hit in conjunction with the high tide. 

Entire cities were inundated with the mud and debris that accompanied the surge. In the tiny 

town of Bridge City, only 14 of its 3,400 homes remain inhabitable. In Gilchrist, located on the 

Bolivar Peninsula, only one home was left standing when the winds stopped. Months after the 

storm, thousands of families across the region continue to struggle with finding places to live near 

their jobs and children’s schools in an effort to restore some normalcy to their lives. 

Observations of damage along the storm track suggest that wind was not the most significant 

source of storm damage, and therefore, the consensus is that most of the serious damage to homes 

along the upper Texas Gulf Coast was the direct result of flood water from the storm surge. The 

probable damage is the long-term saturation and resultant deterioration of key building elements, 

including framing, insulation, wall board, flooring and electrical wiring. Fortunately, most of 

Hurricane Ike’s flood waters receded fairly quickly, meaning that some localities in Texas may 

avoid the total losses experienced in parts of Louisiana, where Hurricane Katrina’s flood waters 

remained for weeks. 

Most of the built environment is still being assessed for damages, and it might be some time before 

the data can be synthesized and analyzed to tell a complete story. Still, there was undoubtedly 
Chapter II – Built Environment 17 

Hurricane Ike Impact Report – December 2008 

 

catastrophic damage in several parts of the upper Texas Gulf Coast, especially on Galveston Island, 

the Bolivar Peninsula, Anahuac, Bridge City, and smaller fishing communities, such as San Leon 

and Oak Island, and these communities have extensive recovery needs. However, much of the 

region’s built environment managed to escape serious damage. By early October, almost all water 

and sewer systems were back online, most schools were open, and power was back up for most 

homes and businesses that were in good enough condition to use it. 

Amid the devastation of the coastal communities, there is a ray of hope; Ike provided the evidence 

that modern building and floodplain codes work when well enforced. The vast majority of housing 

damage in the Galveston Bay rim communities was to 1960s and 1970s vintage homes that were 

built prior to current floodplain regulations requiring elevation of structures. Homes built since 

the 1990s that were properly elevated survived, many without serious damage. The Category 2 

hurricane winds were devastating to the homes on Galveston Island built to the old Southern 

Building Code, while modern homes built to the 130 mph standard of the International Residential 

Code were still standing the morning after. Modern condominiums on the island, built to 130 mph 

wind codes and on top of a parking garage, easily survived both the wind and surge and point the 

way to how areas not behind the seawall might be developed in a sustainable fashion. In the 

Sabine River basin in Jefferson County, the storm surge flooding devastated 1970s-era homes built 

on the ground. Here, the water rose to elevations greater than the 100-year flood level. But even 

here, those homes that were properly elevated suffered only shallow flooding and are repairable. 

 

Key Issues 

A. Housing 

The region, which already had a housing shortage, lost over 8,000 housing units due to the storm. 

Concentrations of lost housing are primarily located in the cities of Port Arthur/Sabine Pass, 

Bridge City, City of Orange and Rose City. A number of expansion projects in the petrochemical 

industry were underway or ready to begin when Ike hit. These projects required a specialized 

labor force to be temporarily located in the region to augment existing labor. This specialized labor 

force is estimated to have consumed 4,000 or more housing units, placing significant pressure on 

the existing housing supply. The pre-Ike housing shortage coupled with the loss of existing 

housing supply, has placed barriers to continuing the expansion projects, thus impacting the 

economic stability and stimulus of the region. 

According to Governor Perry’s Texas Rebounds report, estimates from cities and counties in the 

disaster area indicate approximately $3.4 billion in total damage to housing in their jurisdictions. 

Of that $3.4 billion, an average of 27 percent of wind damages and 61 percent of flooding damages 

were uninsured. As of Dec. 1, 2008, a total of $20,132,658 in FEMA housing assistance had been 

approved for 109,045 eligible applicants who had completed the registration process. 
Chapter II – Built Environment 18 

Hurricane Ike Impact Report – December 2008 

 

The table below shows by county the number of eligible real property losses by level of damage 

assessed as of Dec. 3, 2008. 

Eligible Real Property Losses (Owners) by Level of Damage 

Real 

Property 

County Destroyed 

Up To 

$8,000 

$8,001 - 

$15,000 

$15,001 - 

$28,800 

OVER 

$28,800 

Total Real Property 

Losses (Owners) 

Total Count 

Destroyed 

Orange 3,656 781 2,254 986 7,677 99 

Harris 56,583 1,933 1,417 609 60,542 482 

Galveston 11,420 2,427 3,495 2,232 19,574 2,228 

Chambers 2,130 181 128 249 2,688 345 

Jefferson 11,277 306 320 223 12,126 218 

Total 85,066 5,628 7,614 4,299 102,607 3,372 

Source: FEMA Individual Assistance 

 

Insurance and Rebuilding 

For the most part, households with flood insurance are likely to have the ability to rebuild. The 

probability of having flood insurance typically increases with: (a) location in a FEMA-designated, 

100-year floodplain; (b) having a mortgage; and (c) occupation by the owner.8 

Absent other assistance, only people covered by the National Flood Insurance Program (NFIP) will 

be covered for loss due to flooding, because typical homeowners’ insurance does not cover flood 

damage. The Standard Flood Insurance Policy will cover direct physical losses by a flood. If a 

dwelling has an insurance policy with a value at of at least 80 percent of the dwelling’s full 

replacement cost value, the NFIP will pay the cost to repair without depreciation up to the policy 

limits or $250,000, whichever is less.9 

Single-family rental properties stand the greatest likelihood of being abandoned, even if they only 

sustain relatively modest damage. Single family property owners are often local residents who may 

own a rental unit as an investment; as landlords, they are less likely to have either economic or 

sentimental motivation to rebuild a property they do not occupy. As a result, many rental 

properties may be abandoned and could become government-owned through the tax foreclosure 

process. If this happens, even properties that might have been recoverable shortly after the disaster 

may ultimately require demolition, because the longer a unit remains unoccupied, the greater 

likelihood decay and mold will make the unit unrecoverable. 

In the Houston MSA, about 1.91 million housing units (92 percent of the total housing stock) were 

undamaged, while 144,843 received minor damage (assumed to be under $15,000, which is less 

than 25 percent of the median home value), and 10,747 received major damage (over $15,000). 

 

8 Lenders generally require borrowers to have flood insurance if they are located in a FEMA designated 100-year flood plain. In addition, according to data from the American Housing 

Survey and Residential Finance Survey, homeowners are many times more likely to have hazard insurance, and possibly flood insurance, than either renters or landlords owning single 

family properties. 

9 Source: http://www.fema.gov/nfip/10110412.shtm.
Chapter II – Built Environment 19 

Hurricane Ike Impact Report – December 2008 

 

Most likely to rebuild - 144,843 units: Owners with minor damage. Households in a FEMAdefined flood hazard area and with a mortgage are the most likely to have had flood 

insurance. 

Most likely to be abandoned - 2,149 units: This is based on the assumption that 20 percent 

of the 10,747 homes with major damage might be abandoned. Owners of renter-occupied, 

single-family properties may be less likely to rebuild as there may be little financial or 

sentimental reason to do so, especially if they did not have wind or flood insurance and did 

not have equity in their homes. Due to aesthetic and high-value reasons, it is expected that 

damaged homes near the shore are less likely to suffer abandonment than would 

comparably damaged homes further inland. 

Uncertainty - 2,687 units: This represents 25 percent of the homes with major damage. It is 

unclear if the remaining owner households and the landlords of the rental units will 

rebuild. Some will have flood insurance and rebuild. Others will have the ability and desire 

to rebuild through other resources such as a loan, most likely from the Small Business 

Administration (SBA). Some may also choose to abandon their homes altogether. Owners 

with a mortgage but without flood insurance may be in the most difficult position, as they 

are still responsible for payments on a home that may not exist anymore, but are forced to 

get further financing to rebuild or repair the home. 

As additional inspections are performed, the estimates will change. Anecdotal reports suggest 

FEMA’s damage estimates may be significantly lower than the actual costs of repairs, meaning the 

jurisdictions’ estimates of $3.4 billion might be more accurate. 

Experience shows that the longer it takes to begin rebuilding, the likelier it becomes that property 

owners will choose to relocate rather than rebuild. Hence, it behooves communities to deliver aid 

as soon as possible to the property owners who need it. 

Housing for People with Special Needs 

Following the storm, local service providers reported that while the majority of the sheltered 

populations have been successfully placed in transitional housing, a disproportionate number of 

elderly residents, large lower-income families, and individuals who are homeless, many of whom 

have extensive mental health needs, remained in shelters for a longer period. In several cases, 

retirement communities evacuated and their residents dispersed to general population shelters. 

As a consequence, the communities have had difficulty locating their residents to let them know 

when living conditions have been restored enough to enable their return. 

State agency representatives reported that many elderly individuals within evacuation areas did 

not leave their homes. Some individuals are living in unhealthy, mold-damaged dwellings, in tents 

in their yards or in vehicles. Nongovernmental organizations (NGO) and governmental agencies 

are joining together to locate these individuals and assist in the cleaning and restoration of their 

homes. 
Chapter II – Built Environment 20 

Hurricane Ike Impact Report – December 2008 

 

Workforce Housing 

The number of onsite construction workers necessary to rebuild housing in the impacted areas is 

estimated to be 6,000 to 8,000, depending on a number of variables. For planning purposes, it 

would be useful to estimate an initial housing production of 5,000 units per year and also 

reasonable to expect that the production rate could increase. 

Substantial expansion of the available Recreational Vehicle (RV) park capacity may offer the best 

potential for rapidly increasing workforce housing. In this regard, the buyout grants available 

under the FEMA Hazard Mitigation Grant Program offer a dual benefit: they both meet a housing 

need for an impacted homeowner and create vacant land that can be rapidly reconfigured into 

new, albeit temporary, RV parks. 

B. Rural Infrastructure and Facilities 

Hurricane Ike will have a substantial long-term impact on rural communities, which often take 

longer to recover than urban areas because they have fewer resources at their disposal. This issue is 

further exacerbated as many rural areas are still recovering from previous storms, including 

Hurricanes Katrina and Rita. According to the U.S. Department of Agriculture (USDA), many of 

the facilities that it helps finance experienced light to moderate damage. Eleven facilities of the 

USDA Rural Development Water and Environmental Programs (WEP) were damaged, but have 

returned to full operation. A significant problem after the hurricane was a lack of power with no 

backup generators in place. An initial assessment of dollars needed for repairs and upgrades to the 

affected facilities was estimated to be $9.7 million. However, these are only preliminary estimates, 

as USDA Rural Development has experienced some difficulty reaching or communicating with the 

managers of these rural facilities. Some managers have been displaced or have not yet contacted 

USDA Rural Development to discuss options. 

 

C. Business Establishments and Industrial Facilities 

As of 2007, the 29 counties originally designated as disaster areas by FEMA are home to more than 

26 percent of the total business establishments in Texas. Two-thirds of these establishments were 

located in Harris County (97,500 worksites) and Fort Bend County (8,100 worksites), which 

accounted for 72.3 percent of the establishments in all of the affected counties. 

Small locally owned businesses were hit particularly hard by Ike. The majority of experts 

interviewed by the U.S. Department of Commerce’s Economic Development Administration 

(EDA) stated that there is a great need for financing to get these businesses back up and running. 

There are concerns that if immediate steps are not taken to provide assistance to these businesses, 

they may never come back. This could cause great economic upheaval because many of the 

affected communities rely on small businesses for much of their revenue and the businesses are 

essential to their local economies. Of particular concern is that many small businesses sustained 

over 50 percent damage and may be required to elevate their businesses, rebuild them at an 
Chapter II – Built Environment 21 

Hurricane Ike Impact Report – December 2008 

 

elevated level or pay increased rent to finance the elevation of their businesses. Such endeavors are 

extremely costly and may be out of reach for small businesses that have already lost significant 

revenue from downtime and lost inventory. 

The major industry in the region affected by Ike is the petrochemical industry. Oil refineries and 

supporting industries are located throughout the coastal area that has been damaged by the 

hurricane. Based on the interviews conducted for this report, it appears that the damage to the 

refineries varies significantly. However, despite the damage, the industry appeared to be well 

prepared for the flood, and many of the refineries are already coming back online. 

As is discussed in greater detail in the Economic Environment chapter of this report, it is quite 

likely that the economy of the upper Texas Gulf Coast will return to pre-Ike levels. The economic 

and employment pillars of the region’s economy are the petroleum, petrochemical and shipping 

industries, which for good reason are in close proximity to the oilfields and the harbors of the 

coast. In addition, the costs already invested in the refineries, plants and ports in the region all but 

ensure that these industries are not likely to move anywhere. 
Chapter II – Built Environment 22 

Hurricane Ike Impact Report – December 2008 

 

 

D. Transportation Systems 

There are more than 300,000 miles of public roads in Texas, including over 3,200 miles of 

Interstate highways and nearly 48,000 road bridges, as well as 11,377 miles of Class I railroad track, 

382 public airports and numerous other transportation facilities. 

Roads and Bridges 

The State of Texas has identified a need of $131.8 million to repair damage to the transportation 

system, including $53.7 million to repair damage to roads and bridges and $78.1 million in 

reimbursement costs to city and county governments for debris removal from public rights-ofway, as well as aid in property and recovery efforts. 

Estimated Texas Department of Transportation (TxDOT) costs include $36.5 million to remove 

debris from rights-of-way not removed by the U.S. Army Corps of Engineers. The type of debris 

left from the storms creates specific challenges, including the removal of boats, vehicles and other 

large equipment from rights-of-way, some with hazardous materials. 

The Rollover Pass Bridge in Gilchrist was significantly damaged, and TxDOT awarded a $643,381 

contract to SCR Construction Co., Inc., to repair it. Construction is currently underway, and an 

additional lane to the existing open lane opened in late November. Because of the immediate need 

for access, it is unclear whether there was an opportunity to redesign and rebuild the bridge to be 

more resilient to future disasters. 

The restoration of State Highway 87 to pre-disaster condition is also underway. This highway runs 

along the coast of Galveston Island and the Bolivar Peninsula. There is a potential opportunity to 

elevate State Highway 87 to serve as a barrier to protect the wetlands, funding permitting. 

Likewise, portions of County Road 257 in Brazoria County were also destroyed by Ike. If the road 

is not repaired, the wetlands behind it will be subjected to inundation from the Gulf of Mexico and 

will be at risk of becoming open water. 

Transit 

Galveston Island Transit sustained considerable damage from Hurricane Ike, including the 

flooding of 12 of its 21 buses, two of its five para-transit vans and all four rail trolleys. The Federal 

Transportation Authority has no discretionary emergency funding, so funding must come from 

elsewhere, such as the EDA and HUD’s Community Development Block Grants (CDBG) programs. 

The bus maintenance and rail maintenance facility also flooded, and an oil storage tank toppled, 

spilling oil within the rail maintenance facility. Prior to Ike, there had been a pending grant 

programmed for rehabilitation, so it is uncertain whether reconstruction is eligible for FEMA 

funds. 

Rail 

The Vice President for Port Operations at Galveston Railway, which serves the Port of Galveston, 

reported that the railway sustained $628,000 in damages including administrative offices, 
Chapter II – Built Environment 23 

Hurricane Ike Impact Report – December 2008 

 

locomotives and track. The Federal Railroad Administration reported that a start date of midOctober for one of three locomotives was targeted, but uncertain. The rail serves an important 

economic role as an intermodal link for freight movement providing connections to the Burlington 

Northern Santa Fe (BNSF) Railway and Union Pacific (UP) railroad systems. Without a railroad 

connection to ports, the use of trucks increases, which then increases pollution and congestion 

around the ports. 

Ports 

The State of Texas has also identified a need of $2.4 billion for erosion, waterway dredging and 

other infrastructure repairs to navigable waterways, ports and coastlines. The Port of Galveston, 

which is owned and operated by the City of Galveston, sustained extensive damage to its terminal, 

including sediment deposits and saltwater damage. Cruises are now operating out of Houston and 

Galveston. Some of the repair work is covered by insurance, and the Port is working with FEMA 

for other funding. Storm surge damaged the Beaumont Reserve Fleet as well as its landside 

facilities. 

Airports 

A $1 million grant from the Federal Aviation Administration’s Airport Improvement Program has 

been given to the TxDOT Aviation Division to assess damage of airports due to Ike. TxDOT plans 

to conduct the assessment in the spring of 2009. 

E. Critical Infrastructure 

Critical infrastructure includes assets that are essential for the functioning of a society and an 

economy, including electricity, gas distribution, water supply, transportation, education and 

security services (e.g., police, fire department, etc.). Preliminary estimates by the State of Texas 

have identified critical infrastructure damages in excess of $1.8 billion needed to assist state 

agencies and local governments, including $89.2 million to repair or replace infrastructure for state 

government agencies, and $1.7 billion for repair/replacement of water and wastewater plants and 

lines, and other government facilities. All state and local infrastructure is eligible for FEMA Public 

Assistance reimbursement. 

Hurricane Ike downed power lines; flooded streets, wetlands and low-lying areas; tore roofs and 

windows from buildings; and damaged or destroyed emergency equipment. Following the storm, 

nearly two million people were without power. In areas like Galveston Island and the Bolivar 

Peninsula, water and wastewater plants will have to be rebuilt. Similarly, water and wastewater 

lines will have to be replaced in areas where the storm reconfigured the state’s shoreline. 

Restoration of these basic services and other governmental services, such as public safety, fire 

protection, access to justice and general government administration, has already cost state and 

local governments hundreds of millions of dollars, a figure that will rise as costs of rebuilding are 

more clearly estimated by FEMA and the local jurisdictions. 

 
Chapter II – Built Environment 24 

Hurricane Ike Impact Report – December 2008 

 

Water and Wastewater 

The State of Texas has identified damages to water and wastewater plants along with damages to 

government buildings in excess of $1.7 billion. The Texas Commission on Environmental Quality 

(TCEQ) and the U.S. Environmental Protection Agency (EPA) Region 6 office personnel 

conducted assessments on 1,384 community water systems and 734 municipal wastewater 

treatment systems in 10 of the declared counties in Texas. In general, damage was light to 

moderate, and most, if not all, systems were operational by late November of 2008. The largest 

concern after the storm was the lack of backup power, which forced many communities to issue 

boil water advisories for public drinking water systems, and also caused problems at wastewater 

treatment plants. 

Electrical Utilities 

Electrical utilities serving the impacted area include Entergy Texas, Inc.; CenterPoint Energy, Inc.; 

and multiple rural electrical cooperatives. Entergy Texas experienced 392,600 outages, while 

CenterPoint Energy counted 2.15 million outages. Collectively the cooperatives experienced 

126,735 outages. As of late October, all transmission lines had been repaired and service had been 

restored to all electrical utility customers who were capable of being reconnected to the system. 

Homes that were substantially damaged or completely washed away are, of course, without power 

connections. 

Schools and Universities 

The state has identified needs of over $1 billion to repair public and private colleges and 

universities and public schools damaged during the 2008 hurricane season. 

Hurricane Ike caused widespread damage to many two and four-year colleges and universities that 

have unreimbursed damage totaling $982.5 million. As discussed previously, the institution that 

received the most damage was the University of Texas Medical Branch (UTMB), located on 

Galveston Island with damages totaling $427.8 million, including major damages to the 

infrastructure; clinical, research and technical equipment; and $225.0 million in building damages. 

UTMB is the third-largest hospital in the Houston/Galveston region and a major employer with 

12,000 employees throughout the state. The UTMB health system has 753,000 outpatient visits and 

41,000 inpatient admissions annually. 

According to the Governor’s Texas Rebounds report published in November of 2008, the cost of 

damage to public and private colleges and universities includes: 

Public and Private Colleges and Universities $ (Millions)

University of Texas Medical Branch 427.8 

San Jacinto College 48.3 

University of Houston 40.0 

Houston Baptist 33.0 
Chapter II – Built Environment 25 

Hurricane Ike Impact Report – December 2008 

 

Texas A&M University—Galveston 28.6 

Texas Southern University 15.5 

University of Texas—MD Anderson 7.5 

Houston Community College 7.1 

Lamar State College—Orange 7.0 

Lamar State College—Beaumont 5.5 

Texas Engineering Extension Service 3.6 

University of Texas Health Science Center—Houston 3.4 

Texas A&M University—Texas Forest Service 3.3 

Rice University 3.0 

Many school districts sustained extensive damage from Hurricane Ike ranging from roof damage to 

total destruction. Public secondary schools suffered damages totaling $72 million. Fortunately, 

almost every school district was open and conducting classes by the middle of October, within 

weeks of Ike’s landfall. 

The Texas Education Agency (TEA) sent $3 million in emergency funds to two school district 

regions. This money was spent on immediate cleanup and recovery efforts and an additional $1 

million were spent on public school emergency shelter costs. 

Conclusion 

Individuals, neighborhoods and entire communities will have a series of important decisions to 

make regarding the rebuilding of their lives. There may be many who decide not to rebuild their 

homes or businesses, and instead, opt to relocate. Most people will probably choose to rebuild 

because the upper Texas Gulf Coast is their home. 

Most housing decisions will be made by individual property owners. Assuming they have the 

capability and funds to rebuild, each one must answer questions as to whether to rebuild or not. 

Should they elevate their homes? Should they use flood-resistant materials? Certainly, emotion 

and sentiment will play a part in the decision-making process, especially for those families who 

have been living in their homes for years, or even generations. The individual decisions of several 

hundred thousand people will determine the overall housing market. 

Business owners will be faced with extremely difficult decisions regarding whether to rebuild, 

relocate or simply cut their losses and close. Those decisions will depend in large part on the 

collective decisions of both property owners and the municipalities. The uncertain reinvestment 

of business owners and the potential loss of a customer base further complicate the decisions of the 

community. 
Chapter II – Built Environment 26 

Hurricane Ike Impact Report – December 2008 

 

The complexity is amplified by community level decisions as each municipality wrestles with 

questions regarding development regulations, zoning ordinances, building codes, city planning, 

and utility and public safety service delivery. City and county officials will be faced with huge 

recovery costs, when at the same time the tax base is a fraction of its previous size. Especially 

problematic for these communities is the fact that much of the storm damage was to the public 

infrastructure, the most capital-intensive portion of a municipality’s responsibilities. 

Further complicating the recovery scenario is the need to wisely balance planning with pressures 

to “just get things done.” The faster people resume living, working and playing again in the upper 

Texas Gulf Coast the better, and in many respects, the longer the delay, the worse some problems 

will get. On the other hand, the better the decisions are made now, the better prepared the 

community will be for the next storm that will inevitably come. 

As communities begin discussions on appropriate reconstruction of the upper Texas Gulf Coast’s 

housing, neighborhoods and infrastructure, they will inevitably do so without all of the 

information they could possibly need. For instance, new floodplain management maps that dictate 

how high to elevate structures will not be ready until the second half of 2009. Without complete 

data, communities will need to make educated assumptions on the post-Ike local economy, nature 

of potential future housing demand, land use choices, extent of damage and potential motivations 

of local property owners. While the assumptions are likely to change as more information becomes 

available, they provide a good starting point for consideration of what needs to be done for 

reconstruction. 
Chapter III – Economic Environment 27 

Hurricane Ike Impact Report – December 2008 

 

Chapter III – Economic Environment 

Introduction 

The success of this recovery is inextricably linked to long-term community recovery: if businesses 

close, jobs will be lost, communities will lose population, nonprofits will experience difficulty 

raising funds, and tax bases may shrink. 

While disaster recovery is always challenging, Hurricane Ike hit Texas during a time of great 

economic uncertainty in the United States, making it imperative to consider recovery issues within 

the larger national economic context. Credit markets are tight. Many of the businesses affected by 

Ike will need to borrow in order to rebuild, pay utilities and purchase inventory. Given the global 

credit crunch, it may become important to explore alternative avenues for businesses to obtain the 

financing necessary to get back on line and continue growing. 

In general, it is far too early to assess the true economic effects of Ike. Indeed, it will take months, 

or even years, for the economic toll to be fully known and understood. The numbers provided 

here, particularly the damage estimates, are only initial figures based on the limited information 

currently available. For the purposes of this initial assessment, those counties sustaining the most 

damage from Ike - Harris, Galveston, Chambers, Orange and Jefferson – are given the most 

consideration and analysis. These five counties fall into two different federally designated 

economic development districts (EDD). Harris, Galveston and Chambers Counties are represented 

by the Gulf Coast Economic Development District, which is affiliated with the Houston-Galveston 

Area Council (H-GAC). Jefferson and Orange Counties are represented by the South East Texas 

Regional Planning Council (SETRPC). 

A general picture of the overall region and the impact is provided through discussions of specific 

communities; it should not be viewed as a comprehensive account of all communities affected or 

all the economic damage caused by Ike. Many communities that experienced significant damage, 

such as the unincorporated area of San Leon, are not covered in this report. Additional research 

into the economic impacts of Ike will be warranted, so that communities and the state have more 

comprehensive data to use for recovery planning purposes. 

Despite the challenges ahead, Texans do have cause for optimism. Many local businesses are 

making a comeback and reopening. The homebuilding industry should for some time be in far 
Chapter III – Economic Environment 28 

Hurricane Ike Impact Report – December 2008 

 

better shape along the recovering upper Texas Gulf Coast than in most parts of the country. Key 

industries like the petrochemical, maritime and shipping industries are dependent on their 

geographic locations and will likely remain the core of the region’s economy despite the impacts of 

Ike. 

The recovery process is also an opportunity to address economic issues that have faced the region 

for some time and to rebuild an upper Texas Gulf Coast that is better prepared for future storms. 

The map above indicates the counties of Texas that suffered the effects of two major hurricanes 

within three years. The counties marked in red experienced actual physical damage from the 

storms. Those in orange did not, but because of the interdependence of the economy, they still 

deal with significant indirect economic effects from the disruption in neighboring counties. 

Key Issues by Industry 

A. Petrochemical Industry 

Based on interviews conducted by the U.S. Economic Development Administration, it appears that 

the damage to petrochemical refineries varies significantly, with refineries in the Orange and 

Jefferson County areas sustaining more damage than those to the south. Facilities in Jefferson and 
Chapter III – Economic Environment 29 

Hurricane Ike Impact Report – December 2008 

 

Orange Counties experienced significant flooding; however, despite the damage, the industry 

appears to have been well-prepared, and many plants are already back online. 

The health of the petrochemical industry is of particular concern because the region is extremely 

reliant on the industry for its economic well-being. As the major employer and economic driver in 

the region, the ability of the petrochemical industry to recover and operate at pre-Ike levels is 

paramount to minimizing the economic effects of the storm, such as unemployment. Prior to Ike, 

the affected counties were already looking for ways to diversify the economy of their 

communities. The storm caused substantial and long-lasting damage to a large percentage of the 

other major industries supporting the region, and without meaningful intervention, effects of Ike 

could eventually prove to be a major setback in efforts to improve the economic diversity of the 

region. 

The damage to the industry goes far beyond the refineries. Eight chemical companies in an area 

referred to as “chemical row” were severely damaged by Ike; all but one had four to ten feet of salt 

water inside the plants. It was estimated that the losses to these companies will be in the hundreds 

of millions of dollars to replace all their mechanical and electric equipment, in addition to the lost 

productivity in the months since the storm. 

Because the heavy industries (shipping, refining, and chemicals) along the upper Texas Gulf Coast 

were not significantly damaged by the hurricane, it is unlikely that there will be significant loss of 

heavy industry businesses and jobs. To the contrary, significant investment in refinery capacity is 

occurring in Port Arthur as plants are expanded. The proximity to the Gulf of Mexico oil and gas 

fields make it likely that the industries associated with oil and gas exploration will maintain their 

presence. The immense difficulty and expense in building new oil refineries means that this 

industry will not be relocating and will contribute to the post-Ike economy. Furthermore, because 

these industries are high-wage with average annual pay well in excess of the U.S. average for all 

industries, it is more likely that workers would be willing to “move to the job.” 

 

B. Health Care Industry 

The University of Texas Medical Branch (UTMB) is the seventh-largest employer in the HoustonGalveston region and the largest employer in Galveston. UTMB experienced deep financial losses 

from Ike, with submerged equipment and flooding in 750,000 square feet of its buildings. Since 

Hurricane Ike made landfall, the institution has been losing an estimated $40 million per month. 

The University of Texas System’s Board of Regents announced in November that UTMB will be 

scaled back and that 3,800 full-time jobs will be cut. 

Damage to the healthcare infrastructure will have a significant impact on the local economy. Large 

hospitals often serve as an economic magnet for other healthcare-related businesses, including 

doctor’s offices, specialty service providers and long-term care providers. In addition, large 

hospitals attract patients from outside the immediate community, which infuses non-local dollars 

into the local economy. Much of a hospital’s income is based on stable government-reimbursed 

services, such as Medicare and Medicaid. As a result, the closure or reduction in size of a hospital 
Chapter III – Economic Environment 30 

Hurricane Ike Impact Report – December 2008 

 

 

may result in the emigration of hospital employees and the possible decline in the attractiveness of 

the local community.10

 

C. Small Businesses 

Small businesses are a major part of any economy, accounting in the U.S. for approximately 

75 percent of all net new jobs. Small businesses are also the most vulnerable to a disaster. In fact, 

Hurricane Katrina touched more than 80,000 small businesses across the Gulf Coast region in 2005. 

Some experts believe that 60 percent of those businesses are not coming back.11

Small businesses in the upper Texas Gulf Coast region were also hit very hard by Ike. There is a 

great need for financial assistance for these businesses. Experts generally agree that without 

financing and assistance, these businesses may not return, which could cause great economic 

upheaval since many of the communities affected by the storm rely on small businesses for much 

of their revenue. Of particular concern is that many small businesses sustained more than 50 

percent damage, and may be required to rebuild elevated structures or pay increased rent to cover 

the costs incurred by the property owner to rebuild in compliance with current codes. Such 

endeavors are extremely costly and may be out of reach for small businesses that have already lost 

significant revenue from downtime and lost inventory. 

D. Government Employment 

As the major regional economic and population center, the Houston Metropolitan Statistical Area 

(MSA) had a large number of government employees. According to the Bureau of Labor Statistics, 

federal, state and local government employment in the Houston MSA was approximately 353,500 

in 2008, or about 13 percent of total private sector and government employment. Of this total, 

federal employment accounted for almost 29,000; state employment 71,500; and local employment 

253,100. The federal political imperative would suggest that federal employment will not be 

significantly lower in post-recovery upper Texas Gulf Coast. During the recovery, federal 

employment is likely to be at least somewhat higher than the pre-Ike level. 

E. Agriculture and Forestry Industries 

Agricultural land sustained a wide variety of damage as a result of Hurricane Ike. The storm surge 

damaged thousands of acres of pasture and cropland up to 14 miles inland, killing grasses and other 

plants, and inundating ponds and stock tanks with salt water. The erosion and salinity issues that 

10 Measuring the Economic Importance of the Health Sector on a Local Economy: A Brief Literature Review and 

Procedures to Measure Local Impacts, Gerald Doeksen, Oklahoma State University, Tom Johnson, Virginia Tech, funded 

by The Southern Rural Development Center, January 1997. 

11 http://www.sba.gov/advo/research/proceedings06.pdf 
Chapter III – Economic Environment 31 

Hurricane Ike Impact Report – December 2008 

 

will affect these areas will negatively impact soil productivity for two to three years. The storm 

surge destroyed fences, scattered debris, uprooted trees and eroded soil. 

The Texas Forest Service has conducted a preliminary assessment, which indicates an estimated 

$351 million in timber damage. History has shown that crews have about six weeks to get the 

timber out of the affected areas before significant value is lost due to blue staining from a species of 

fungus. Associated impacts also include an increase in wildfire threats, damage to watersheds, 

reduction in wildlife habitat and a decline in fishing and recreational opportunities. 

Initial reports indicate that approximately 20,000 head of cattle were affected by the surge, and 

that an estimated 4,000 to 5,000 adult cows perished along with an undetermined number of 

calves. 

The following table shows the estimated economic impact of Hurricane Ike to the agricultural 

community. 

Hurricane Ike Losses 

CROP LOSS $ 

Rice $11,000,000 

Cattle $13,300,000 

Hay $1,800,000 

Forestry (stumpage) $351,000,000 

Nursery $10,900,000 

Fence $21,500,000 

Supplemental Feed $640,000 

Fishing/ Sea Food $8,000,000 

Poultry $700,000 

Equipment/Buildings $15,000,000 

Producer Loss Estimate $433,840,000 

Lost Business Activity $92,680,000 

 Source: Texas Department of Agriculture 

 

F. Fishing Industry 

The fishing and seafood industry also sustained significant damage in the affected counties. 

The clam, oyster, and shrimp industries in Chambers County and the shrimp industries in Jefferson 

and Orange Counties are currently inoperable, not only because of the depletion of the seafood 

populations themselves, but also the damage to supporting industries such as processing and 

independent fishing operations--especially in the community of Oak Island, which was completely 

destroyed. 
Chapter III – Economic Environment 32 

Hurricane Ike Impact Report – December 2008 

 

According to an analysis by the Texas Parks and Wildlife Department (TPWD), the commercial 

and recreational fishing industries have suffered significant losses. Sabine Lake, Trinity Bay and 

Galveston Bay make up approximately 37 percent of the inshore waters of the Texas coast. The 

commercial fishing industry in these waters accounts for approximately $16 million in sales each 

year for finfish, shellfish and bait, and an overall economic impact of over $25 million to the State 

of Texas. The recreational fishing industry accounts for about $356 million in retail sales each year 

for fishing expenditures, which equates to $650 million in overall economic impact. 

The amount of Ike-related losses to these important industries will be difficult to calculate, as these 

losses depend on how long it takes to rebuild or repair infrastructure such as boat ramps, hotels, 

bait facilities, and commercial processor and/or distribution facilities, as well as the supporting 

infrastructure for those businesses. 

The upper Texas Gulf Coast also offers two locations where marine activities occur--Galveston Bay 

and Sabine Lake near Port Arthur. The jobs related to the fishing, shipping, and ports industries 

are fixed to the locations; therefore, neither the businesses nor the jobs are likely to move. 

 

G. Tourism Industry 

Tourism is another primary industry in parts of the affected areas. About 6.5 million tourists visit 

Galveston’s beaches each year, infusing more than $705 million to Galveston Island in 2006 alone. 

The beaches were badly damaged by the storm and need to be restored. 

Local economies that depend on tourism are vulnerable to seasonal spending. The tourism market 

is extremely “price elastic,” meaning that if the economy (national or local) is suffering, tourism 

also slows. Tourism is contingent upon an optimal economic situation, as it typically constitutes 

luxury spending rather than survival spending. The double jeopardy of Ike and the general 

economic slowdown do not bode well for the tourism industry in the foreseeable future. 

Many towns also had burgeoning eco-tourism industries. In particular, birding was a major 

attraction to the coastal area. The five counties are participants in the Great Texas Wildlife Trails. 

The upper Texas Coast region offers more than 15 suggested driving tours and several hundred 

bird watching locations. The extent of damage to the natural vegetation has affected much of the 

wildlife and thus will affect this industry as well. 

 

H. Local Tax Base 

Some local governments estimate a loss of 50 percent or more to their tax base, including losses 

this year from people not paying taxes on heavily damaged and unusable property, and losses next 

year from a decline in overall property values. 

Whether individual local governments will lose significant sales tax revenue remains unclear. 

Communities with retail businesses that sold building supplies and necessities, particularly large 

retailers, have benefited from increased sales. The influx of relief and construction workers 

to the areas has also helped bolster retail sales. In contrast, those areas with business communities 
Chapter III – Economic Environment 33 

Hurricane Ike Impact Report – December 2008 

 

 

consisting of mainly small businesses have already lost significant sales tax revenue and do not 

expect the revenue stream to return to pre-Ike levels in the near future. 

 

I. Nonprofit Organizations and Social Service Providers 

As of 2006, the State of Texas was home to more than 96,000 nonprofit organizations, employing 

385,000 people, or approximately five percent of the state’s workforce.12

The need for nonprofit services – particularly housing, food, health, mental health and social 

services – skyrockets after a major disaster. However, employees of nonprofit organizations 

experience the same trauma and loss of property as other members of the community, and may not 

be able to provide services due to evacuation, personal trauma or lack of resources. 

In addition, nonprofit organizations themselves are often directly and severely impacted by a 

disaster and may need significant levels of support from local, state and federal governments in 

order to resume operations and provide assistance to disaster victims. At the same time, sources 

of financial, volunteer and other support for local nonprofit organizations may be rapidly reduced 

or even disappear due to the disruption of other community institutions, as well as diversion of 

donations and other resources to immediate disaster relief that under normal circumstances would 

be directed to them. 

 

J. Housing and Workforce 

The damage to housing in the region will have a major effect on the local economy and should be 

accounted for in future economic assessments and in identifying opportunities for economic 

development in the area. Petrochemical companies and other similar industries will have difficulty 

attracting the highly-skilled workforce due to the devastating effects of Ike. In some areas, much 

of the housing that sustained over 50 percent damage was "affordable" housing necessary to attract 

and maintain a sufficient workforce. In addition, many small independent contractors, including 

those that support both the petrochemical and the fishing/seafood industries, operated out of their 

homes and/or required vehicles or boats to carry out their trade. It is not at all clear that those who 

have lost both their businesses and homes will reestablish their businesses. 

Ironically, given economic conditions at the national level, the homebuilding industry in the Ikeaffected region is likely to be far more robust than most other parts the country. Business will be 

good for building materials suppliers, contractors, craftsmen (carpenters, roofers, electricians, 

painters, etc.) and furniture storekeepers in the neighborhood. 

 

12 http://nccsdataweb.urban.org/PubApps/profile1.php?state=TX 
Chapter III – Economic Environment 34 

Hurricane Ike Impact Report – December 2008 

 

Key Economic Recovery Considerations by Region 

A. Galveston Bay 

The three-county area of Chambers, Galveston, and Harris is very diverse. Harris County is home 

to Houston, the fourth largest city in the U.S. with a population of 3.9 million. Chambers County, 

on the other hand, is very rural with a population of 26,031. In addition to the large petrochemical 

industry, the region is home to University of Texas Medical Branch (UTMB), Johnson Space 

Center, ports and waterways, rice farming and ranching, and eco-tourism. 

Ike disrupted many of the economic drivers in the region, including UTMB, the ports and 

waterways, agricultural and natural resources, and the tourist industries. It has also done much 

damage to vital infrastructure, including power lines, substations, and water and sewer 

infrastructure. 

The Houston-Galveston Area Council (H-GAC) conducted an analysis of the area that received 10 

feet or more of water due to the storm surge. Within this heavily affected area, there were 81,000 

households and a total population of 205,000, more than 5,000 businesses and 99,000 jobs. There 

were also 41 sub-stations and 131 waste water treatment plants. Although not all businesses, substations and waste water treatment plants were necessarily lost in the floods, the economic loss to 

the area is catastrophic. Indeed, even if individual businesses were not directly affected by the 10 

feet or more of water, it is likely that Ike has affected their ability to conduct business in the area. 

Galveston County 

In Galveston County (Pop. 283,341), initial estimates by H-GAC found that more than 53,000 

employees were put out of work; more than 3,800 businesses were interrupted; and more than 

18,000 businesses were damaged in Galveston County. These estimates do not include information 

from some severely impacted areas, such as Galveston Island. As a result of Ike-related losses, the 

county expects that it will need to cut its budget by 25 percent this year and an additional 25 

percent next year because of losses in property tax revenues. This year, people may not pay 

property taxes on property that was rendered unusable. The following year, it is the expected that 

losses will be attributable to declines in property values. 

City of Galveston 

The City of Galveston (Pop. 56,940) is a significant part of the county’s economy and is home to 

half the county "resident jobs" (or jobs within the county that are held by residents of the county). 

The top employers in the city include the Port of Galveston (home port to several cruise lines and 

several large employers), UTMB, the banking/finance sector, and the tourist industry. 

It is estimated that up to 85 percent of the city’s business base is gone. Of note, the downtown 

historic strand was significantly damaged. The businesses are working hard to reopen, but they 

cannot succeed without financing and support. 

As the county’s economic engine, the destruction to the city due to Ike is going to have longlasting effects on the entire county. In her address to Congress in September 2008, Lyda Ann 
Chapter III – Economic Environment 35 

Hurricane Ike Impact Report – December 2008 

 

Thomas, mayor of the City of Galveston, provided preliminary damage estimates of up to $2 billion 

to the City’s housing, infrastructure, hospitals, ports and beaches. 

Waterfront Cities of Dickinson, Kemah, League City and Clear Lake Shores 

Hurricane Ike also devastated the waterfront cities between the cities of Galveston and Houston. 

These cities have organized themselves for the purposes of creating a regional recovery strategy 

and leveraging recovery funds. The coalition includes the cities of Dickinson, Kemah, League City 

and Clear Lake Shores in Galveston County, as well as El Lago, La Porte, Nassau Bay and Seabrook 

in Harris County. 

These waterfront communities provide employees, employers and purchasing power that 

contribute to the economic health of the Houston-Galveston region. However, they are also 

equally critical as a sub-regional economy that is supported by tourism, water recreation, the 

science industry (NASA) and the ports, as well as by industry and offices located in the area. The 

economies of the communities in this sub-region are heavily intertwined; the health of one 

community is dependent on the health of all the communities in the area (e.g. the availability of 

housing in one community helps support businesses in another, etc.). 

Kemah, in particular, suffered severe damage to the “Boardwalk,” a major tourist attraction in the 

region. The majority of restaurants and other businesses are small, family-owned businesses, and it 

is unclear whether they will return. As of the second week of October, only two restaurants on the 

boardwalk were open again. Initial estimates indicated that a high business closure rate could 

result in the city losing 87 to 90 percent of its business income. Kemah also lost much 

infrastructure that will need to be replaced in order for the city to get back on its feet. 

There is also a great need to maintain housing stock for people who work in local industries and a 

need for better transportation systems. The major challenge identified by the communities in this 

sub-region is the tendency to get “lost” between the major cities of Galveston and Houston, which 

is of particular concern now that so much of the sub-regional economy was destroyed by Ike. 

Estimated losses for Kemah (Pop. 2,464), Dickinson (Pop. 17,796) and League City (Pop. 68,178) 

are described below. 

Estimated losses in Kemah include at least: 

- 202 residential units substantially damaged or destroyed 

- $100 million in commercial damage 

- $2.4 million in damage to infrastructure and facilities 

- 1,700 employees out of work 

- $100,000 in sales tax lost per month 

Estimated losses in Dickinson include at least: 

- 716 residential units substantially damaged or destroyed 

- $1.8 million in commercial damage 
Chapter III – Economic Environment 36 

Hurricane Ike Impact Report – December 2008 

 

Estimated losses in League City include at least: 

- 648 residential units substantially damaged or destroyed 

- $5.5 million in commercial damage 

- $5.4 million in damage to infrastructure and facilities 

- 2,500 employees out of work 

The ability to work together is a key asset of these waterfront communities. As referred to above, 

these cities have already formed a coalition designed to assess their needs and leverage public 

funds. While it is likely that forming this coalition will make them a stronger contender for funds, 

it also provides additional benefits from an economic development perspective, because this type 

of regional cooperation will facilitate the long-term, coordinated and collaborative economic 

development approaches that are central to economic growth. 

The coalition has also already identified strategic areas that should be addressed in regional 

economic recovery, including additional regional strategic planning, adding new and improved 

infrastructure, and creating strategies to retain and rebuild the region’s businesses, as well as 

recruiting new business investments. 

Finally, it is worth noting that the cities of Texas City and La Marque fared remarkably well after 

Ike, compared to other waterfront communities, most likely due to the levee that protected the 

cities from the storm surge. However, while the hurricane protection levees on the upper Texas 

Gulf Coast performed adequately, this local success must also be balanced against the generally 

poor reliability record of this technology. 

Harris County 

Harris County (Pop. 3.9 million) was severely affected by the winds and storm surge from Ike. In 

particular, its waterfront communities, which were not protected by a levee, suffered major 

damage. Harris County estimated $10 billion in overall damage. H-GAC estimates that more than 

67,000 business establishments were disrupted with 1,300,000 employees unable to work. 

Another major issue for Harris County businesses and residents was the loss of electricity for as 

long as a month. Due to lost revenue, many businesses could not pay their employees, and thus lost 

their employees as well. Because of these issues, some of the existing businesses may decide not to 

reopen at all. 

 

Waterfront Cities of Seabrook, El Lago, La Porte and Nassau Bay Seabrook 

The waterfront cities of Harris County that have formed a coalition with the waterfront cities of 

Galveston County face challenges that include damage to tourism, housing and transportation 

systems. Like Kemah, Seabrook’s economy is supported by the tourism industry because of its 

prime location on the water. Small businesses and the city’s fish market serve as the primary 

anchors of this industry. Seabrook also attracts many eco-tourists who come to see more than 291 
Chapter III – Economic Environment 37 

Hurricane Ike Impact Report – December 2008 

 

species of birds in the area. The estimated losses for the cities of Seabrook (Pop. 11,483), El Lago 

(Pop. 2,974), LaPorte (Pop. 34,261) and Nassau Bay (Pop. 4,071) are described below. 

Estimated losses in Seabrook include at least: 

- 1,966 residential units substantially damaged or destroyed 

- $35 million in commercial damage 

- $5.7 million in damage to infrastructure and facilities 

- $127,000 in lost tax revenue 

Estimated losses in El Lago include at least: 

- $93.9 million in residential, commercial and personal damage 

- $1 million in damage to infrastructure and facilities 

- $10,000 in sales tax lost 

- A potential FY 08 and 09 budget deficit of $40,000 

Estimated losses in LaPorte include at least: 

- 3,861 residential units substantially damaged or destroyed 

- $11 million in commercial damage 

- $2.9 million in damage to infrastructure and facilities 

Estimated losses in Nassau Bay include at least: 

- 409 residential units substantially damaged or destroyed 

- $47 million in commercial damage 

- $2 million in damage to infrastructure and facilities 

- 300 employees out of work 

- $50,000 in lost sales tax 

Pasadena 

The City of Pasadena (Pop. 146,518) is a bedroom community just outside of Houston. Sixty 

percent of its residents work in the petrochemical industry. Because the bulk of the city is located 

inland, Pasadena fared relatively well in the storm, but it still sustained extensive damages. The 

majority of losses involved damage to city property and buildings. It is estimated that the total 

impact to the city is $4.5 million, and that the city lost 20 percent of its sales tax revenue. 

Baytown 

The City of Baytown (Pop. 70,135), which straddles Harris and Chambers Counties and relies 

heavily on the petrochemical industry, suffered severe infrastructure losses due to Ike. It is 

estimated that the city has more than $10 million in infrastructure damage, including the loss of 

two waste water treatment plants and 82 lift stations. Baytown also lost 871 dwelling units in 

multifamily homes, as well as 60 family homes. Early estimates indicate that costs of recovery for 

Baytown will total between $50 and $70 million. 
Chapter III – Economic Environment 38 

Hurricane Ike Impact Report – December 2008 

 

Chambers County 

Chambers County (Pop. 28,771) is largely rural and relies heavily on “natural” industries, such as 

rice farming, ranching, hunting, fishing, marine trades and eco-tourism, particularly on the east 

side of the county. The industrial-based west side of the county, on the other hand, is made up 

mostly of the petrochemical industry. The county also has some retail, particularly in the City of 

Winnie, which caters to people living on the Bolivar Peninsula in Galveston County. Prior to Ike, 

one of the county’s major priorities was to attract primary jobs. To do that, the county needed good 

water and sewer infrastructure, as well as warehouses and industrial parks. 

The storm surge from Ike brought more than 20 feet of water into Chambers County. Preliminary 

damage assessments assembled by the County on behalf of the City, Port Authority and District 

entities is in excess of $430 million. This estimate does not include the preliminary damage 

estimates of private industry and facilities, or those owned by state or federal organizations. The 

preliminary damage assessments related to infrastructure, public buildings and other facilities 

include: 

Preliminary Damage Assessments – infrastructure, public buildings and other facilities. 

Unincorporated Chambers County $15,000,000

City of Anahuac 9,800,000

City of Beach City 100,000

City of Baytown (included in Harris Co estimates) 

City of Cove 100,000

City of Mont Belvieu 1,119,000

City of Old-River-Winfree 100,000

Trinity Bay Conservation District (water, storm water, waste water 

system repairs) 

56,200,000

Chambers-Liberty Navigation District (water system repairs) 50,000,000

Independent School Districts 17,250,000

Anahuac ISD 1,000,000

Barbers Hill ISD 15,000,000

East Chambers County ISD 1,250,000

Chambers County Public Hospital District #1 875,000

Port of Houston Authority (Chambers Co) 80,000,000

The loss of several industries in Chambers County could result in a rise in unemployment in the 

area. Over 143,000 acres of land in the county was damaged by the storm surge. The rice fields and 

grazing pastures are not expected to recover from the saltwater intrusion for another two to three 
Chapter III – Economic Environment 39 

Hurricane Ike Impact Report – December 2008 

 

years. While Chambers County expects these industries to return, it is estimated to take between 

five and 10 years for full recovery. 

Damages to the upper Texas Gulf Coast fishing industry included the loss of two processing plants, 

the largest private employers in the area, as well as supporting industries, including clam, oyster, 

and shrimp fishermen who lost their boats and homes. The tourist industry has also been 

devastated by the saltwater, especially eco-tourism along the Great Texas Wildlife Trails in 

Anahuac National Wildlife Refuge and Bolivar Flats, which together brought in 60,000 tourists to 

the area. 

The fate of businesses in the community is also a concern. The Winnie area relied heavily on 

residents of the Bolivar Peninsula to support their retail businesses. As the vast majority of houses 

on the peninsula were destroyed, the market, which consisted of around 4,000 customers, is gone. 

Many businesses that have reopened no longer have a healthy customer base, and therefore, will 

have difficulty staying open. 

Housing is also a major concern in Chambers County. In the unincorporated area of Oak Island, 

only 50 of 350 houses were left standing, only 25 of which are inhabitable. Many of those who lost 

their homes also worked in the community. In the case of Oak Island, many of those who lost their 

homes were independent clam fishermen who supported the seafood processing plants. In addition 

to losing their homes, their boats and livelihoods were also destroyed. 

 

B. Southeast Texas 

Jefferson County and Orange County 

With five storms impacting this region over the last three years, Jefferson (Pop. 241,975) and 

Orange (Pop. 82,669) Counties struggle to maintain any forward momentum. 

The region is highly reliant on the petrochemical industry. ExxonMobil Oil Corporation is the 

third largest employer in the region, just after the Christus Hospital System and the Beaumont 

Independent School District. It is estimated that 40 percent of paychecks come from the 

petrochemical industry and carry 75 percent of the tax burden. 

While the petrochemical industry has bolstered the economy and provided some economic 

protection after Ike, the region recognizes the need to diversify its economy and to lessen its 

dependence on one industry. In addition to the petrochemical industry, other major industries in 

the area include agriculture, ranching, eco-tourism and shrimp fishing. Recently, the region has 

begun to build a “new industry” around call centers and has also made improvements to the port 

authorities of Beaumont, Orange and Port Arthur. 

The region faces a high unemployment rate and is still recovering from Hurricane Rita, which hit 

just three years before Ike. The region also faces a shortage of workers with the skills needed by 

the petrochemical industry. This labor shortage is attributed, in part, to a dearth of affordable 

housing. 
Chapter III – Economic Environment 40 

Hurricane Ike Impact Report – December 2008 

 

Conclusion 

Despite the devastation of Ike, the economic development professionals in the upper Texas Gulf 

Coast remain positive. The prospects for the upper Texas Gulf Coast economy are good. The 

economic anchors of the petrochemical, fishing, and shipping industries remain firmly tied to their 

proximity to the Gulf of Mexico and its oil fields. The saltwater intrusion from Ike’s storm surge 

will mean rather bleak short-term prospects for the agricultural industry, and the disruption to the 

ecology of the bays and coastal areas will hurt the fishing and tourist industries for a while. 

However, those natural processes are cyclical, and they will eventually return to some semblance 

of equilibrium closer to pre-Ike conditions. For the most part, small business and retail industries 

will eventually return to normal as well, as the people of the upper Texas Gulf coast begin living, 

working and playing again. 

It has been noted by other government entities that the region has begun to recover very quickly 

thanks to fairly well-organized communities. A healthy economy, so fundamental to any 

community’s well being, thrives on innovation and creativity, and therefore efforts should be 

made to foster this entrepreneurial spirit and local initiative throughout the ongoing recovery 

process. 
Chapter IV – Natural Environment 41 

Hurricane Ike Impact Report – December 2008 

 

 Chapter IV – Natural Environment 

 

Introduction 

The upper Texas Gulf Coast ranks high among the nation's great bay systems and is made up of a 

number of diverse ecosystems, such as barrier islands, salt grass marshes, large bays and estuaries, 

cypress swamps, tallgrass prairies and tall woodlands of oak and pine. In addition to the 

tremendous natural resources, it also provides an economic benefit to both the region and state. 

However, ecological problems existed within the upper Texas Gulf Coast prior to the arrival of 

Hurricane Ike. In the 2004 National Coastal Condition Report, the Environmental Protection 

Agency (EPA) described the state's coastline as having poor water and sediment quality. 

Furthermore, shoreline development has resulted in habitat alteration and destruction, increased 

pollution, and loss of fish and wildlife abundance and diversity. Diversion of freshwater and 

navigation channels (e.g., dredging and the construction of roads and levees) has significantly 

altered the natural circulation and salinity patterns in coastal bays and estuaries. These estuaries 

and associated habitats are productive nursery areas for fisheries, birds and other species and also 

function to stabilize shorelines, moderate flooding and remove pollution. 

Ike’s hurricane-force winds, record-breaking levels of storm surge and extensive coastal and inland 

flooding left a devastating mark on the natural environment, which may take years to fully 

recover, especially when compounded with the area’s existing ecological problems. The direct 

impacts to the coastal wetlands include significant marsh loss, scouring and compression, as well as 

downed trees from the surge and wind force. Secondary effects of saltwater intrusion, in which 

freshwater habitats and species are displaced by more salt-tolerant associates caused by elevated 

soil salinities from the surge overwash and sediments, may not be realized for days, weeks or even 

years following the storm’s passage. 

This chapter assesses the impacts of Ike on the upper Texas Gulf Coast’s natural environment, 

including its ecosystems and natural resources. The incidence of successive surge events and 

hurricanes within a span of a few years, like Gustav and Ike, is an important science question now 

thrust upon the coastal wetlands and resource managers of the northern Gulf Coast region. 
Chapter IV – Natural Environment 42 

Hurricane Ike Impact Report – December 2008 

 

Key Issues 

A. Saltwater Intrusion 

Biologists with the Texas Parks and Wildlife Department (TPWD) and other experts have been 

assessing Ike’s ecological impacts in two main categories, one of which is saltwater intrusion. 

Ike’s long-term impact to the coastal marshes in Galveston Bay is thought to be negligible. These 

coastal fringe marshes contain salt-tolerant vegetation, are formed on mineral soils and are sloped 

toward the bay. Therefore, surge water drained quickly from these marshes, reducing the potential 

for long term-impacts. 

However, the Chenier Plain marshes surrounding Sabine Lake will most likely experience 

significant long-term impacts. These marshes are concave in shape, and under normal conditions, 

do not drain as rapidly as tidal fringe marshes. The normal drainage of these marshes is also 

impaired by numerous human-caused hydrologic modifications within and adjacent to these 

marshes, such as the Gulf Intracoastal Waterway and its spoil banks, the Sabine Neches Waterway 

and it spoil banks, numerous roads and other infrastructure. This infrastructure, coupled with the 

concave shape of the marsh systems, resulted in slow drainage of Ike’s surge waters, which 

exacerbated the natural damage from the storm surge. 

The marshes of Sabine Lake are also generally brackish and intermediate marshes, and the 

vegetation adapted to these salinity ranges is not tolerant of the higher salinity of Ike’s storm surge. 

Therefore, the high salinity water was either lethal to these plants or will have sub-lethal effects 

ranging from reduced seed production, vegetative stress and increased vulnerability to disease. 

Further compounding the problem is the organic soils that are typical of these marshes, and when 

exposed to saline waters, can produce high amounts of hydrogen sulfide, which can lead to sulfide 

toxicity and death in marsh plants. Organic soils are also dependant on plant roots for cohesion; 

therefore, upon plant death, these soils are subject to rapid erosion and dissolution in normal 

marsh conditions, making matters only worse. 

Hurricane Ike also further eroded the beach ridge at the McFaddin National Wildlife Refuge. This 

already thinned, low ridge protects the entire Salt Bayou marsh system from full-strength 

seawater. The refuge is also generally the source that feeds freshwater into the Salt Bayou system. 

Regular inundation of this area by beach water will have potentially devastating impacts to the 

fresh, intermediate and brackish marshes in this system. 

Ike may be the pivotal factor that transforms many of these freshwater, intermediate and brackish 

marshes into saltwater marshes, interspersed with vast amounts of shallow open water. Increased 

marsh loss could alter the entire food chain in these areas by having long-term impacts on the 

plant community. Marsh loss could also have devastating long-term impacts on fisheries 

production in terms of species like red drum, white shrimp and blue crab, as well as on use of these 

marshes by migrating waterfowl and wading birds. 
Chapter IV – Natural Environment 43 

Hurricane Ike Impact Report – December 2008 

 

B. Contaminants from Spills and Releases 

TPWD biologists and other experts also evaluated the presence of toxic spills. Hurricane Ike caused 

hundreds of localized oil and other toxic spills that threaten fish and wildlife throughout the 

affected area. Immediately following the storm, the EPA, U.S. Coast Guard (USCG), Texas General 

Land Office (GLO) and TCEQ formed a Unified Command for spill response. Experts at TPWD 

were also involved in the fish and wildlife spill response efforts. 

As of Oct. 1, 2008, the Unified Command had assessed more than 200 pollution reports, which 

include more than 180 sites in the Houston-Galveston area and 47 in the area from Port Arthur to 

Lake Charles, Louisiana. The type and amount of pollution included oil and diesel from vessels, as 

well as industrial chemicals. About 35 percent of the spills reported have been cleared with no 

further action needed. 

The Coastal and Inland Fisheries spill response team is focused on sheens of oil coating the 

landscape in the High Island area, which has a significant concentration of oil and gas production 

facilities. Approximately 3,000 acres in this area are affected by visible oil sheening and staining. 

The Minerals Management Service (MMS), which oversees oil production in federal waters 

offshore, reported that the storm destroyed at least 52 of roughly 3,800 oil platforms in the Gulf of 

Mexico. Thirty-two more were severely damaged, but there was only one confirmed report of an 

oil spill - a leak of 8,400 gallons that officials said left no trace because it dissipated with the winds, 

currents and rough water. 

The TPWD Wildlife Division and the U.S. Fish and Wildlife Service (USFWS) have responded to 

other spills at the J.D. Murphree Wildlife Management Area (WMA), the Bessie Heights Marsh 

(Nelda Stark Unit) of the Lower Neches WMA, and also the Anahuac, McFaddin and Sabine 

National Wildlife Refuges. Estimates indicate that spills affect approximately 500 to 2,000 acres on 

the refuges. Concerns about these spills are elevated due to the winter migrating waterfowl that 

arrived in late October. 

C. Impacts to the Ocean Floor 

Scientists at the University of Texas at Austin who surveyed the inlet between Galveston Bay and 

the Gulf of Mexico discovered that Hurricane Ike significantly reshaped the seafloor and likely 

carried an enormous amount of sand and sediment into the Gulf. The ongoing survey work will 

identify any changes to the inlet channel that could affect navigation. 

Ike's surge filled Galveston Bay with 12 feet of water, which subsequently drained back into the 

Gulf. Although considerable amounts of water flowed over the Bolivar Peninsula and other lowerlying portions of the barrier system, most of the surge and back surge likely passed through Bolivar 

Roads, by far the deepest access between the Gulf and the Bay. The very high rate of flow that 

passed through the inlet had the potential to cause substantial erosion, as well as transport 

sediment over long distances. 

Scientists also determined that the surge and back surge significantly modified the seabed over 

broad areas. Ike either erased or substantially degraded large shell-gravel ridges up to 10 feet high. 

The storm gouged out sediments that had been deposited hundreds of thousands of years ago, 
Chapter IV – Natural Environment 44 

Hurricane Ike Impact Report – December 2008 

 

which created erosion pits up to five feet deep in one area. The storm appears to have mobilized 

and re-deposited sediments over large regions in a layer eight to 40 inches thick, as well as in 

isolated spots up to 6.5 feet thick. 

Sediment from the surge also smothered benthic communities (organisms that live in or on the 

seabed, such as anemones, coral, crabs and other crustaceans). Many of the oyster beds along the 

coast are now covered with sediment, including Galveston Bay. TPWD estimates the bay may have 

lost as much as 60 percent of its oyster resources at an estimated cost of $320 million to restore. 

Initial assessment also found significant impacts to the Flower Garden Banks National Marine 

Sanctuary, located approximately 120 miles southeast of Galveston Island. The Flower Garden 

Banks contain a large number of marine species. Almost 300 species of fish, 21 species of coral, 

sponges and a wide variety of sharks, as well as the Loggerhead Sea Turtle (an endangered species) 

call this natural reef home, which is also a popular scuba diving destination. Damage from the 

storm included sponge injuries, mechanical injury to the Madracis fields on the East Flower 

Garden Bank, and extraction and movement of coral colonies up to 13 feet. 

D. Impacts to Shorelines and Barrier Islands 

Coastal wetlands and barrier shorelines and islands help provide valuable protection from severe 

storm damage for communities, infrastructure and citizens who live within the coastal zone of 

Texas. Wetlands and coastal barriers create a natural buffer in reducing storm surge and flooding. 

The U.S. Army Corps of Engineers (USACE) has estimated that every 2.7 miles of wetlands may 

absorb an average of one foot of storm surge. 

Barrier islands are in a constant state of change due to the impacts of long-shore currents, wave 

energy, tides, sea level change, wind and storms, which all work to move sand along its length 

from the shoreline to the bayside. Because of their proximity to the ocean and scenic beauty, 

barrier islands have been heavily modified and developed. However, these areas are increasingly 

threatened by intensifying storms. Property damage and the cost of rebuilding have grown 

dramatically in recent years. For instance, as shorelines retreat and structures are threatened by 

the intruding sea, hard structures (e.g. jetties, seawalls, revetments and bulkheads) have been built 

to protect developed areas. Protective hard structures divert the ocean's energy temporarily from 

developed areas, but usually refocus that energy on the adjacent natural beaches, thus causing 

more severe erosion of those beaches and robbing many beaches of vital sand replacement. 

Projects to repair that damage are costly and complex and usually provide only a temporary 

solution. 

E. Impacts to Fisheries 

Ike also impacted the recreational and commercial fisheries in Galveston Bay and Sabine Lake. The 

hurricane devastated fishery infrastructure, impacted oyster reefs and caused fish kills in these bay 

systems and beyond. Over 200 incidents of fish kills occurred in tidal streams and rivers along the 

upper Texas Gulf Coast from Sargent to Orange Counties. Furthermore, TPWD assessments 

indicate that 60 of the 127 boat ramps, which provide vital access points to the state’s estuarine 
Chapter IV – Natural Environment 45 

Hurricane Ike Impact Report – December 2008 

 

waters, were closed due to damage in Galveston Bay alone. After Hurricane Rita, the average cost 

of boat ramp repairs in the Sabine Lake system was $125,000. 

The Texas oyster fishery is the second largest in the country with Galveston Bay accounting for 

approximately18 percent of total oyster landings. The average annual catch value of Galveston Bay 

oysters for the period between 2005 and 2007 was in excess of $10.4 million. The estimated losses 

for the remainder of 2008 are in excess of $4.5 million. These figures do not take into consideration 

any multiplier effects of this lost production to the local economies of the communities, and thus, 

should be considered conservative estimates. Furthermore, more than 60 percent of the vessels in 

the entire Texas oyster fleet were potentially damaged in the storm. Therefore, the full effects of 

the storm on catch rates may not be known for at least a year. 

In addition to supporting a large commercial fishery, oyster reefs provide important habitats for 

numerous commercially and recreationally important fishery species, such as red drum and brown 

shrimp. Oysters are also vital to maintaining the water quality of Galveston Bay. Through their 

filter-feeding activities, oysters remove nutrients, pollutants and algae from the water column. 

Preliminary assessments of TPWD side scan sonar survey results indicate that Ike-induced 

sedimentation impacted between 50 and 60 percent of the reefs in Galveston Bay. This 

preliminary data also indicates that East Bay had the greatest oyster reef impact with 80 percent of 

the reefs showing evidence of siltation. The loss of these oyster reefs will not only impact the 

oyster fishery, but could result in bay-wide ecological impacts. TPWD will continue to monitor 

these reefs to further refine the extent and duration of these impacts. 

F. Wildlife Impacts 

The upper Texas Gulf Coast is a primary wintering grounds for migratory waterfowl from North 

America’s Central Flyway. It is also an important annual stopover for migrating neo-tropical birds 

in the fall and spring. Impacts to wintering waterfowl habitats, coastal woodlots and prairie 

habitats from the storm surge were immediate and direct. Seasonal seed crops were diminished and 

bird use for this winter will be significantly less than average. Ike wiped out many of these species’ 

food sources, stripping berries from trees and nectar-producing flowers from plants, according to 

Gina Donovan, executive director of the Houston Audubon Society, which operates 17 bird 

sanctuaries in Texas. 

Mid-winter waterfowl surveys and spring wildlife surveys will help determine the actual impacts 

of Hurricane Ike on coastal wildlife communities. Population reduction and overcrowding in the 

near surge uplands have likely heavily impacted furbearers, reptiles, amphibians, rodents, wild 

feline and canine in the affected areas. Most evident will likely be the immediate population 

density impacts on the very prominent American alligator in the coastal marshes and bayous. 

Amphibian species, such as pig frogs and cricket frogs, which live in coastal freshwater and 

intermediate marshes, will also likely be significantly affected for several years. 

Abundant rain is needed to leach the salt from the soil and dilute the salinity of freshwater 

sources. Rain is also needed to allow the plant community to recover and provide forage for deer 
Chapter IV – Natural Environment 46 

Hurricane Ike Impact Report – December 2008 

 

and other grazing animals, as well as trees which provide habitat and food sources for birds. Rain 

would freshen and refill the stock tanks and ponds, which serve as the primary water sources for 

the wild and domesticated animals living in the area. 

G. Impacts to National Wildlife Refuges and Preserves 

According to the USFWS, the impacts of Ike forced the closure of four National Wildlife Refuges 

on the upper Texas Gulf Coast. In particular, the Texas Chenier Plains Complex, which 

encompasses 110,000 acres of coast stretching from Houston to the Louisiana border and includes 

the Anahuac, Texas Point, Moody and McFaddin Refuges, caught the full force of the storm. At 

one point, the storm surge covered the refuges with more than 10 feet of sea water, destroying all 

facilities. 

The Anahuac Refuge received severe damage to all buildings within the refuge boundary. A 

significant storm surge swept through the buildings, carrying with it equipment as it moved 

through the area. All that remains of these buildings are the cinder block walls and roof structures. 

In comparison, the McFaddin and Texas Point Refuges received catastrophic damage. Some 

buildings were reduced to rubble; one of refuge office has only three walls remaining. 

The Texas Point Refuge opened for public access on Nov. 1, 2008. The Mud Bayou Hunt Unit on 

the McFaddin Refuge has also reopened for the regular waterfowl season; however, all other 

portions of the McFaddin Refuge remain closed to the public at this time. As of Nov. 4, portions of 

the McFaddin and Anahuac Refuges are expected to reopen in the coming weeks. Risk to public 

safety is the main reason for the continued closure due to obstructed roads, boat canals and bayous 

that contain storm debris. 

In addition to the extensive damage to a number of refuge facilities, the storm also negatively 

impacted the sensitive wildlife habitats that are managed and protected by these refuges. Debris 

from the storm still litters most of the refuges, and an oil spill significantly affected the McFaddin 

Refuge, which is now in its cleanup stages. 

Of greatest concern, however, is the amount of saltwater intrusion into the freshwater marshes, 

which are important habitats for birds along their winter migration. Traditionally, between 

October and March, visitors to these refuges are likely to see as many as 27 species of ducks, 

including green-winged teal, gadwall, shoveler and northern pintail. Huge flocks of snow geese, 

sometimes in excess of 80,000 geese, feed in the rice fields and moist soil units within the Anahuac 

Refuge. The full range of impacts to migratory and resident wildlife will not be completely known 

for some time. 

Hurricane Ike also affected many other refuges and preserves, such as the Trinity River Refuge in 

Liberty County, Brazoria Refuge in Brazoria County, and the Big Thicket Preserve, which 

sustained less damages and have been reopened to the public. All other units remain closed, while 

officials advise the public to use caution on the roads and in the Preserve, as numerous hazards 

such as fallen timber, leaning trees and debris still exist. 

Rebuilding programs are underway in the coastal refuges to ensure they can continue to prove to 

be essential habitats for the wintering waterfowl and other wildlife. The cost of cleaning up field 
Chapter IV – Natural Environment 47 

Hurricane Ike Impact Report – December 2008 

 

stations and replacing or repairing an array of administrative and recreational facilities was 

initially estimated at more than $260 million. The costs of repairing service facilities elsewhere 

that were flooded or otherwise damaged by the remnants of the Hurricane Ike are still being 

tallied. 

H. Impacts to State Wildlife Management Areas (WMA) 

Hurricane Ike also impacted TPWD lands. These properties include the J.D. Murphree WMA in 

Jefferson County (where nearly 24,500 acres of coastal marsh habitats were inundated with 11 to 

16 feet of surge water flooding), the Lower Neches WMA with approximately 5,500 acres of 

coastal wetlands in Orange County and the Candy Abshier WMA, which is a 207-acre coastal 

prairie woodlot habitat in Chambers County. The Candy Abshier WMA has been closed to the 

public until further notice due to hurricane impacts and damages by order of the TPWD Executive 

Director. Several TPWD State Parks were also heavily impacted by the storm, including the San 

Jacinto Battleground State Park, Galveston Island State Park and Sea Rim State Park. 

Impacts to the TPWD WMAs include: 

 Storm surge scour converting emergent marshes to open water. 

 Cut bank erosion along the Gulf Intracoastal Waterway where tidal waters erode into 

adjacent freshwater and intermediate marshes. 

 Damages to the infrastructure, including many water control structures and wetland 

management levees where large debris, such as boats, commercial vessels and barges, were 

driven overland by the storm surge. 

 Many acres of debris fields, including over 70 acres of mixed debris filling marsh habitats in 

the J.D. Murphree WMA and over 30 acres of heavy debris from the Bolivar Peninsula 

covering much of the Candy Abshier WMA at Smith Point. The debris represents public 

health and safety hazards within these public lands. 

TPWD staff is working to assess the full impacts of Hurricane Ike to wetland habitats, wildlife 

resources and infrastructure within the state WMAs. Immediate impacts of storm surge flooding 

and saltwater in freshwater, intermediate and brackish marshes will be monitored for secondary 

impacts to plant communities and wildlife. For instance, plant succession will be followed in 

subsequent growing seasons to determine the duration of the salinity impacts on the coastal zone 

soils, plants and wildlife. 

I. Storm Debris 

There is a significant amount of debris in wetlands, some of which was deposited in these areas 

from Ike’s wind and storm surge, while some is being stored there temporarily by the affected 

communities and needs to be moved as soon as possible. FEMA estimates about 25 million yards of 

debris exists in the declared counties, which is enough to fill up Reliant Stadium in Houston, 

Texas, more than 7.5 times. Many of the discussions above detailed the impacts of debris to the 

National Wildlife Refuges, State WMAs, as well as other key habitats along the coast. 
Chapter IV – Natural Environment 48 

Hurricane Ike Impact Report – December 2008 

 

The General Land Office (GLO) reported the abundance of marine or wet debris; approximately 

300 vessels were partially submerged and will be costly to remove. There are also containers in the 

Gulf and along the shoreline, some of which contain hazardous waste, which will also need to be 

removed. GLO is contracting with an entity to survey submerged vessels. 

In some sensitive areas, mechanical removal of debris could be more damaging than allowing it to 

remain. More definitive guidance is also needed on debris removal from private residences, as well 

as debris on ranches and farms. 

Conclusion 

Hurricane Ike caused widespread changes to the natural environment of the upper Texas Gulf 

Coast region, including on the area’s wetlands, coastal marshes, wildlife and waters. The lasting 

impacts may not be known for many years to come. However, part of the region’s natural 

environment may rebound on its own; some of the impacts of the disaster may be less catastrophic 

than they initially appear. Some areas may even begin to see beneficial changes to their ecosystems 

or impacts that will provide opportunity for future mitigation, such as the destruction of invasive 

species. For instance, while saltwater intrusion has impacted many of the native species, it has also 

begun to kill many of the invasive species, providing opportunity for some of the native species to 

grow back. Impacted natural areas will likely suffer from Ike’s affects and may take many years to 

recover, which may result in low productivity of plants and aquatic resources, conversion of marsh 

to open water, loss of wildlife populations, low fisheries production and severe impacts on 

migratory birds. 

Preliminary reports indicate that recent marsh restoration sites fared relatively well during the 

hurricane. However, large parts of the upper Texas Gulf Coast will be drastically changed due to 

Hurricane Ike. Oyster reefs in East Bay that were silted over due to shell dredging over 30 years 

ago have still not recovered. It is unknown how much of the silted oyster reef in Galveston Bay 

will recover within the short- or long-term. The Salt Bayou marsh system adjacent to Sabine Lake 

(the largest marsh system in Texas) will likely not recover to its pre-Ike conditions without radical 

intervention, including rebuilding the beach ridge that separates this marsh from the Gulf of 

Mexico, restricting saline water flows into the marsh from the Sabine Neches Waterway and 

reconnecting this marsh with freshwater flows from north of the Gulf Intracoastal Waterway. 

At the same time, the devastation of Hurricane Ike has provided an opportunity to focus on 

federal, state and local efforts in enhancing coastal resilience. Coastal areas have an abundance of 

important natural resources, specifically coastal wetlands and barrier shorelines, which help 

provide valuable protection for wildlife, pastures, communities, infrastructure and citizens who 

live in the coastal zone. State and federal agencies will continue to actively support coastal 

restoration and protection as primary tools for coastal resilience and remain active in the longterm planning and recovery efforts for the upper Texas Gulf Coast region. Achieving coastal 

resilience will require joint efforts to restore and protect these valuable natural resources that help 

lessen the impact of hurricanes on Texas communities. 
49 

Hurricane Ike Impact Report – December 2008 

 

Coastal erosion, rising sea level, land subsidence and increasing severe storms and hurricanes along 

with continued coastal development all affect the natural environment. Protecting resources, 

livelihoods and homes must be balanced with the recognition that we are limited in our ability to 

stabilize the natural processes that affect the coastline and barrier islands. 
Chapter V: Cumulative Impacts and Recovery Considerations 50 

Hurricane Ike Impact Report – December 2008 

 

Chapter V: Cumulative Impacts and Recovery Considerations 

The history of hurricanes and tropical storms along the upper Texas Gulf Coast provides evidence 

of the need for a long-term perspective. As devastating as Ike has been, it is but the latest storm to 

hit the area, and it will not be the last. 

Since the 16th century, 26 major storms have made landfall on the Southeast Texas coast, with 

estimated damage totals of over $80 billion (USD 2007), an average of $205 million per event. The 

cost for Ike has yet to be tallied, but FEMA’s December 2008 damage figures show almost $300 

million in housing, almost $1.8 billion in public assistance, and approximately $300 million in 

assistance from FEMA “Other Needs Assistance.” 

In the last three years, the upper Texas Gulf Coast was hit by Hurricanes Gustav, Dolly, and Rita 

and Tropical Storm Eduardo. As of November 2008, FEMA Individual Assistance (IA) alone has 

provided $254 million in only five of the Hurricane Ike declared counties, for a total of $812 

million over the last 10 years of disaster declarations. 
Chapter V: Cumulative Impacts and Recovery Considerations 51 

Hurricane Ike Impact Report – December 2008 

 

The Role of Mitigation 

A successful recovery is often thought to be one that brings communities back healthier, more 

sustainable and more poised for success than they were before the disaster. A key element 

following a natural disaster to ensure this success is the recognition of the natural hazards affecting 

the area, and an infusion of hazard mitigation into all elements of recovery and reconstruction. 

FEMA, as well as other federal and state agencies, has contributed substantial efforts and funding 

to ensure a more sustainable future for Texas communities. This trend should continue. 

 

FEMA Mitigation Grant Programs 

Since 1972, the FEMA Mitigation grant programs have granted almost $551 million to Texas 

communities totaling 465 disaster mitigation projects. From 1992 to 2008, FEMA-Mitigation has 

granted $92 million for 38 projects in the counties hardest hit by Hurricane Ike. The scopes of 

work for those 38 projects included acquiring and demolishing properties and returning the lots to 

open space, strengthening the public infrastructure, and improving sustainability. 

Currently, in the wake of Hurricane Ike, many jurisdictions have expressed interest in enhancing 

their backup power capability by participating in the FEMA Hazard Mitigation Grant program; 

over $15 million will be available for this type of project. The problem will be finding appropriate 

matches between needs and appropriate funding programs. 

 

The National Flood Insurance Program 

The National Flood Insurance Program (NFIP) provides for flood insurance in communities that 

participate in the program. Communities must adhere to minimum floodplain management and 

building standards in exchange for their citizens to be enabled to purchase flood insurance. FEMA 

Flood Insurance Rate Maps (FIRM) determine the Special Flood Hazard Area and any federally 

backed mortgage or loan for a structure that must be covered by flood insurance. 

 

FEMA Repetitive Loss Grant Program 

Our nation has many structures that have been damaged repetitively by flooding. These 

properties, defined as Repetitive Loss and Severe Repetitive Loss, constitute a $9.3 billion drain to 

the National Flood Insurance Fund. They are so numerous that a special grant program has been 

established by FEMA to mitigate or purchase these properties and remove them permanently from 

the floodplain. 
Chapter V: Cumulative Impacts and Recovery Considerations 52 

Hurricane Ike Impact Report – December 2008 

 

The Texas coast has its share of Repetitive Loss 

properties. Galveston County has 2,533 Repetitive Flood 

Claim (RFC) properties and Severe Repetitive Loss (SRL) 

properties out of 62,790 properties. Jefferson County has 

945 RFC and SRL properties out of 61,253. Orange 

County has 275 out of 24,436 properties. The Repetitive 

Damage in Affected Areas as of 10/08/2008 map shows 

the repetitive loss areas showing the degree of sustained 

repetitive loss in Texas Upper Coastal counties. 

Approximately $10 million in FEMA RFC funds have 

been available annually to reduce flood damages of 

insured properties with one or more claims to the 

National Flood Insurance Program (NFIP). 

Disaster Mitigation Act of 2000 

The Disaster Mitigation Act of 2000 requires that every 

community must have a mitigation plan in order to be 

eligible for certain disaster aid and grant programs. This 

planning regulation has taken an important first step to 

begin risk identification and vulnerability for thousands 

of communities but it lacks the authority to incorporate 

these mitigation actions and assessment into community 

comprehensive plans. The Disaster Mitigation Act of 

2000 also lacks the requirement for recovery planning in 

communities that face catastrophic or near catastrophic 

events such as coastal areas. 

FEMA Mitigation has initiated and completed thousands 

of projects to protect individual homes and community 

infrastructure. Additionally the planning requirement 

has come a long way to promote hazard risk 

identification and venerability assessment. But for areas 

that face devastating hurricanes year after year, a much 

more comprehensive approach may be necessary to 

enhance sustainability. Florida coastal communities that 

have been affected by several hurricanes have begun to 

develop long term community recovery plans with the 

assistance of NOAA and FEMA. Hurricane Ike may 

prove to be a catalyst for the Texas coast communities to 

begin the process of building back sustainable 

communities. 

Mitigation—Best Practices 

City of Friendswood 

In the City of Friendswood, 122 homes had 

flooded with $1,000 or more damage in the 

last 10 years. The area where repeated 

flooding was reported included a total of 500 

homes. The city extended an offer to buy 

out some of those homes and 136 

homeowners accepted. Friendswood bought 

the houses, demolished them and left the 

lots vacant. During Hurricane Ike, the area 

flooded, without damage to any property 

and returned a taxpayer savings of 

$32,520,000. 

Memorial Hermann Baptist Hospital 

Fearing the wrath of Hurricane Rita, which 

turned out to be the fourth most destructive 

storm on record, staff hurriedly evacuated 

patients a little more than 20 miles away to 

the hospital’s affiliate in Beaumont, Texas. 

Their actions came just in time. The 

Category 3 hurricane rolled in with a 

vengeance on September 24, 2005, 

rendering the hospital inoperable for more 

than two weeks. That hard lesson prompted 

hospital officials to take similar mitigation 

measures for all future events. 

Working with funds from a $933,750 federal 

grant, the hospital moved the power units 

from the lower floor to the second floor, 

elevated the automatic transfer unit and 

installed electrical roll-down shutters to 

deter wind-borne debris and water 

intrusion. When Hurricane Ike closed a 

nearby hospital in Beaumont, this hospital 

remained operational, providing medical 

services and economic support during the 

response and early recovery phases. 

Rice University 

As a leading research institution in Harris 

County with strong commitments to 

undergraduate education, Rice University 

parlayed its proactive stance to countering 

repeated flooding. To protect its property 

against floods, the university invested over 

$2 million to move its power system to 

upper floors. When Hurricane Ike slammed 

into Texas in September of 2008, the 

university experienced rising water from the 

deluge of rainfall that accompanied Ike, but 

did not flood, allowing classes to continue 

and the university to extend assistance to 

the community as it responded to those 

affected by Hurricane Ike.
Chapter V: Cumulative Impacts and Recovery Considerations 53 

Hurricane Ike Impact Report – December 2008 

 

Long-Term Community Recovery: A path to resilient and sustainable communities 

For communities to bounce back, resilient and sustainable, many difficult discussions and 

collective decisions will need to be made. For this reason, fully engaging residents in community 

recovery planning is critical to charting a better, safer future. 

Understandably, the urgency to return to normalcy for residents and business owners following a 

disaster builds quickly and is amplified by a substantial inflow of capital for reconstruction. Such 

windows of opportunity do not typically stay open long following a disaster, and resolution must 

be found between the immediacy of reconstruction and the longer term efforts to enhance local 

resilience. 

Planning at all levels of government can be a powerful process for achieving resiliency and 

sustainability by balancing development, economic, and environmental interests while providing 

safe and livable places.. The integration of hazard mitigation plans with local and regional comprehensive plans can reduce future losses and improve resilience through the careful use of land 

use planning and development management. 

The upper Texas Gulf Coast is, by definition, vulnerable to hurricanes. To protect against future 

storms, communities will need to consider strategies for larger-scale and more complex recovery 

and hazard mitigation actions. Steps for reducing hurricane threats include restoring marshes, 

planning reconstruction away from vulnerable areas, and elevating structures for flood protection. 

In addition, innovative building techniques are emerging that use lower cost, streamlined, modular 

designs with materials that withstand hurricane force winds. During the recovery, there will be 

opportunities for strategies to rebuild residential and municipal structures in a manner that meets 

hazard mitigation standards while achieving affordability and accessibility objectives. 

Achieving livable communities that provide disaster-resistant housing, employment, transportation, and public services means taking a closer look at what it means to be sustainable. An 

essential characteristic of sustainable communities is their ability to reduce their vulnerability to 

disasters. This impact assessment should reveal those vulnerabilities, and then may open doors for 

an approach that strives for more disaster-resistant communities along the upper Texas Gulf Coast. 

As municipalities begin to wrestle with questions of where and how to rebuild their communities 

to be better prepared for future disasters, they must balance a long-term view with the short-term 

pressures to just move forward when recovering from a devastating disaster. 

SUCCESSFUL RECOVERY 

A clear understanding of the key recovery issues and opportunities is critical to coming back as 

stronger, more resilient and more sustainable communities. The drivers of successful recovery are: 

 

 
Chapter V: Cumulative Impacts and Recovery Considerations 54 

Hurricane Ike Impact Report – December 2008 

 

Locally-driven recovery process 

The importance of gaining full public involvement in the long-term recovery process cannot be 

overstated. Community engagement – the process of working collaboratively with and through 

groups of people affiliated by geographic proximity, special interest or similar situations to address 

issues affecting the well-being of those people – is a primary and necessary tool. Community 

engagement can also promote environmental and behavioral changes that will improve the health 

of the community, foster the development and growth of relationships among partners, and bring 

about beneficial changes in policies and programs. When clearly heard and considered by 

decision-makers, the voices of community members can be the most powerful guiding force in 

achieving successful long-term recovery. 

The mobilization and engagement of community stakeholders should occur in a manner that 

fosters empowerment. Many residents will be actively involved in this process through direct 

membership in local committees, by providing input to local and state administrators and 

legislators, and by other means to ensure they are actively engaged. It is also imperative that 

members of special-needs populations and the organizations supporting these populations are 

among the stakeholders engaged in this process. Inclusive community engagement not only 

benefits individual stakeholders, but also contributes to the sustainability of the entire community. 

 

Recovery Coordination - A multitude of partners from the federal, state and local levels offer an 

array of recovery resources, including dollars, in-kind donations, and technical expertise. A key 

function in the recovery process is the coordination of recovery agencies and activities, including 

the identification of resources, streamlining assistance, sharing information, and ensuring the 

inclusion of all essential groups in the process. This report provides a foundation for all of those 

functions. 

Concurrent Recovery Activities - As with most planning activities, there are uncertainties 

surrounding what will happen, and when. The major challenge is the interdependence of 

employment and housing. Businesses cannot operate without employees, and employees cannot 

work without having a place to live. Similarly, communities they must work toward mitigating 

the impacts of future disasters by building back smarter and more sustainably, while 

simultaneously improving individual, family and community emergency preparedness. 
Conclusion 55 

Hurricane Ike Impact Report – December 2008 

 

Conclusion 

 

One of the keys to the success of the long-term recovery of communities, large and small, is the 

ability to align needs and priorities into one coherent roadmap for the future. This can be 

challenging, as it is oftentimes difficult for communities to focus on the long-term impacts of the 

decisions being made while other more pressing needs are being addressed. Months after 

Hurricane Ike made landfall, communities along the upper Texas Gulf Coast continue to struggle 

with debris, damaged homes and buildings. Many families are working tirelessly to return to their 

homes while others are displaced indefinitely, living in HUD-managed apartments. Meanwhile, 

decisions that affect the future of these communities are undoubtedly being made, and it would 

behoove everyone to make sure those decisions carefully consider the ramifications. 

Many of the most severely impacted communities will face years of recovery activities and efforts 

before their communities are made whole again. Preliminary estimates indicate that these 

communities face huge recovery costs compounded by other issues related to the hurricane’s 

impacts, including loss of population and thus a lower tax base. These issues are further 

exacerbated by the current economic downturn. Damage to the built environment is extensive 

and may result in as much as $1 billion in FEMA funding alone to repair the Texas coast. 

Economic impacts based on damages to the petrochemical industry, natural resources and housing 

may result in a reduced capacity to quickly recover. Impacts from the widespread changes to the 

natural environment of the upper Texas Gulf Coast region, including on the area’s wetlands, 

coastal marshes, wildlife and water may take years to fully comprehend. 

At the same time, the devastation of Hurricane Ike has provided an opportunity to focus on 

federal, state and local efforts which may include, stronger, safer and more sustainable 

communities, reducing loss from natural disasters, enhancing coastal resilience, rebuilding in a 

way that is designed not only to put back what was lost, but to make it better. Many jurisdictions 

have already expressed interest in enhancing their backup power capability by participating in the 

FEMA Hazard Mitigation Grant program; over $15 million will be available for this type of project. 
56 

Hurricane Ike Impact Report – December 2008 

 

In order to take advantage of these opportunities, there must be involvement, engagement and 

action on the community level to shape the direction of the recovery. When clearly heard and 

considered by decision-makers, the voices of community members can be the most powerful 

guiding force in achieving successful long-term community recovery. 

A careful recovery planning process can increase the likelihood that a community can establish a 

common vision for the future work toward a safer, stronger community. Taking time to think 

about the direction a community is going and then figuring out the most efficient way to get there 

can help not only bring the community together, but also determine how best to identify, target 

and leverage available resources. 

NEXT STEPS 

The Hurricane Ike Impact Report is the result of a collaborative process between federal and state 

departments and agencies, with input from a wide variety of other sources. This initial effort 

mainly involved entities with a limited role in response and short-term recovery effort in order to 

allow the critical work of stabilization to take place. Now that the early stages have passed and 

stabilization of communities is underway, the collaboration and communication process can be 

expanded to more fully engage the impacted communities and local organizations. 

The information contained in this report can serve as the starting point for communities to begin 

evaluating the direction they seek to go in their recovery. It will provide information to allow 

communities to understand some of the recovery issues and opportunities and envision what to do 

next. Outside entities can also use this information to determine where and how to engage 

communities to expand their support roles. Collaboration and communication to link resources 

with community needs will be an ongoing effort for all involved. 

Partnerships are a vital element to the nation’s disaster management system because of the 

growing complexity of our society. We need robust partnerships in order to coordinate the actions 

of numerous federal agencies, private businesses and nongovernmental organizations. It is 

anticipated that the partnership with the newly formed Governor’s Commission for Disaster 

Recovery and Renewal will continue to move this effort forward. Additional reports may be 

developed in the future. Such subsequent reports could provide additional information to further 

inform community and state recovery planning, as well as serve as a benchmark of progress. 

Reports will aim to keep recovery partners focused, highlight important changes and add new data 

sources and assessments as they become available. 

For sharing additional damage assessment and impact analysis information, please contact: 

FEMA-ESF14-Coordinator@dhs.gov .
About the Editor 57 

 

Hurricane Ike Impact Report – December 2008 

About the Editor 

Emergency Support Function #14 Long-term Community Recovery 

Emergency Support Function #14 (ESF #14) is one of the 15 emergency support functions under 

the National Response Framework (NRF). The NRF establishes the structure that guides the 

country’s disaster management system. As a support function, ESF #14 Long-term Community 

Recovery (LTCR) is responsible for conducting impact analyses, providing interagency 

coordination, and technical assistance to states and local communities in long-term recovery 

efforts where such capabilities may be partially or completely compromised following a large-scale 

disaster. ESF #14 LTCR works in partnership with federal, state, and local entities to enable 

communities to identify opportunities, create partnerships and maximize recovery resources for a 

more effective recovery. 

ESF #14 was activated in Texas for Hurricane Ike DR-1791 by the Federal Coordinating Officer. 

Activation was made prior to landfall due to the potential widespread impacts of the approaching 

hurricane. Since arrival, ESF #14 has worked with the State of Texas and partnering federal 

agencies to implement the mission, including working directly with the most heavily impacted 

communities to develop their recovery strategies and with the State to develop a coordination 

framework to maximize recovery resources. 

A result of this effort is the development and compilation of the Hurricane Ike Impact Report. As 

lead agency for ESF #14, FEMA has solicited input from each of the ESF #14 partnering agencies in 

preparation of this report. ESF #14 has also served as the editor, bringing together the damage 

assessments and impact analyses of various federal and state agencies, as well as private and publicsector organizations. This process has encouraged information sharing and resulted in the 

compilation of information into one place to articulate a shared understanding of disaster impacts 

and recovery opportunities facing the upper Texas Gulf Coast. 

This report is also intended to serve as a basis for informing and bringing together current and 

potential recovery partners. If the communities of the upper Texas Gulf Coast are to recover in a 

way that truly reduces their vulnerability to future disasters, the cumulative cost over the years – 

both in terms of funds and human resources – will be more than one community, one state or even 

the government can do alone. 

Strong partnerships will be fundamental, and a shared understanding of the road ahead, a 

necessity.