The Federal Emergency Management Agency says the funding is meant to help restore the 1877 ship at the Port of Galveston. The FEMA grant will be distributed by state officials.
Ike made landfall at Galveston on Sept. 13, 2008. Experts say wave action and the storm surge damaged the structural integrity of the hull.
The Elissa is the official tall ship of Texas, plus it's listed as a National Historic Landmark.