DISASTER MANAGEMENT COSTS MODERNIZATION ACT

On 2024-12-09, Representative Joe Neguse (D-CO-2) delivered a floor speech titled "DISASTER MANAGEMENT COSTS MODERNIZATION ACT" in the House. The speech addressed taxes and also covered the environment, trade policy. It referenced legislation: HR7671.

DISASTER MANAGEMENT COSTS MODERNIZATION ACT

Congressional Record, Volume 170 Issue 182 (Monday, December 9, 2024) [Congressional Record Volume 170, Number 182 (Monday, December 9, 2024)] [House] [Pages H6534-H6535] From the Congressional Record Online through the Government Publishing Office [ www.gpo.gov ] DISASTER MANAGEMENT COSTS MODERNIZATION ACT Mr. GRAVES of Louisiana. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 7671) to amend section 324 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act to incentivize States, Indian Tribes, and Territories to close disaster recovery projects by authorizing the use of excess funds for management costs for other disaster recovery projects. The Clerk read the title of the bill. The text of the joint resolution is as follows: H.R. 7671 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Disaster Management Costs Modernization Act''. SEC. 2. USE OF EXCESS FUNDS FOR MANAGEMENT COSTS. (a) In General.--Section 324 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b) is amended-- (1) in subsection (b)(2)-- (A) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and adjusting the margins accordingly; and (B) in the matter preceding clause (i), as so redesignated, by striking ``provide the following percentage rates'' and inserting ``provide-- ``(A) excess funds for management costs as described in subsection (c); and ``(B) the following percentage rates''; (2) by redesignating subsection (c) as subsection (d); and (3) by inserting after subsection (b) the following: ``(c) Use of Excess Funds for Management Costs.-- ``(1) Definition.--In this subsection, the term `excess funds for management costs' means the difference between-- ``(A) the amount of the applicable specific management costs authorized under subsection (b)(1) and subsection (b)(2)(B); and ``(B) as of the date on which the grant award is closed, the amount of funding for management costs activities expended by the grantee or subgrantee receiving the financial assistance for costs described in subparagraph (A). ``(2) Availability of excess funds for management costs.-- The President may make available to a grantee or subgrantee receiving financial assistance under section 403, 404, 406, 407, or 502 any excess funds for management costs. ``(3) Use of funds.--Excess funds for management costs made available to a grantee or subgrantee under paragraph (2) may be used for-- ``(A) activities associated with building capacity to prepare for, recover from, or mitigate the impacts of a major disaster or emergency declared under section 401 or 501, respectively; and ``(B) management costs associated with any-- ``(i) major disaster; ``(ii) emergency; ``(iii) disaster preparedness measure; or ``(iv) mitigation activity or measure authorized under section 203, 204, 205, or 404. ``(4) Availability.--Excess funds for management costs made available to a grantee or subgrantee under paragraph (2) shall remain available to the grantee or subgrantee until the date that is 5 years after the date on which the excess funds for management costs are made available under paragraph (2).''. (b) Applicability.--The amendments made by subsection (a) shall apply with respect to any grant award in relation to a major disaster or emergency declared under section 401 or 501, respectively, of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170, 5191)-- (1) the declaration of which is made on or after the date of enactment of this Act; and (2) that is funded with amounts appropriated on or after the date of enactment of this Act. (c) GAO Study.--Not later than 180 days after the date of enactment of this Act, the Comptroller General of the United States shall submit to the Committee on Homeland Security and Governmental Affairs of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report-- (1) on the actual management costs described in section 324 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b) during the period of a major disaster declaration under section 401 of such Act (42 U.S.C. 5170) to determine whether the amount set aside for those management costs after the date of enactment of this Act is appropriate; and (2) that includes the management costs described in section 324 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b) for each disaster declared under during the period of a major disaster declaration under section 401 of such Act (42 U.S.C. 5170) during the 5-year period preceding the date of the report, the amount set aside for those management costs, the use of those management costs, the length of each disaster, and the reason for the length of each disaster. (d) No Additional Funds.--No additional funds are authorized to be appropriated to carry out the amendments made by subsection (a). The SPEAKER pro tempore. Pursuant to the rule, the gentleman from Louisiana (Mr. Graves) and the gentlewoman from Oregon (Ms. Hoyle) each will control 20 minutes. The Chair recognizes the gentleman from Louisiana. General Leave Mr. GRAVES of Louisiana. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material into the Record on H.R. 7671. The SPEAKER pro tempore. Is there objection to the request of the gentleman from Louisiana? There was no objection. Mr. GRAVES of Louisiana. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, H.R. 7671, the Disaster Management Costs Modernization Act, would provide States flexibility and allow management cost funds to be used across any open disaster, simplifying the administration of these funds for State and emergency managers. While the Stafford Act currently does make a percentage of disaster dollars available for management costs, each disaster's management costs are tied directly to that declaration, creating accounting challenges. Mr. Speaker, what often happens is there are multiple disasters occurring in a community at the same time. Trying to separate the administrative costs is difficult, if not impossible. H.R. 7671 would provide more flexibility and ensure that States can better manage disasters by giving them the flexibility. Mr. Speaker, I urge my colleagues to support this legislation, and I reserve the balance of my time. Ms. HOYLE of Oregon. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise in support of H.R. 7671, legislation authored by Representative Neguse and cosponsored by Representatives D'Esposito, Titus, Ezell, and Stanton. The bill will incentivize faster recovery for federally declared disasters and lower costs. It also enables State and local emergency managers to build capacity for future disaster preparedness, mitigation, response, and recovery. When managing Federal disaster declarations, States administer FEMA grants that may be worth billions of [[Page H6535]] dollars. FEMA allows States to utilize a percentage of those grants to cover the cost of administrator requirements and grant management. Current law requires management costs to be strictly tied to each specific disaster declaration. However, most States are managing recovery for multiple disaster declarations simultaneously. A project inspector working a full day may visit multiple disaster sites in a State. If those sites are associated with more than one disaster, all associated costs must be parceled out to possibly dozens of open grants. This is inefficient, wastes taxpayer dollars, and slows recovery. This bill encourages efficiency by allowing States to use their management funds across all open disasters. Additionally, H.R. 7671 helps build capacity at FEMA and at the local level by rewarding applicants that complete recoveries from major disaster declarations quickly. One of the most common concerns we hear from emergency management experts is that FEMA, States, and local governments do not have sufficient personnel or resources to prepare for and respond to disasters. Increasing efficiency and building capacity is one of the most important actions we can take to ensure nationwide disaster readiness and empower State and local emergency managers. I urge my colleagues to support this legislation. Mr. Speaker, I yield 3 minutes to the gentleman from Colorado (Mr. Neguse). Mr. NEGUSE. Mr. Speaker, I thank my colleague from Oregon, Representative Hoyle, for her kind words and her articulate description of the bill that we are considering today. In particular, I thank Ranking Member Larsen for his leadership on the committee and his help in getting this bill across the finish line, we hope, in the days and weeks ahead. I thank my friend and colleague, the chairman of this distinguished committee. I certainly wish him well in all of his future endeavors. I have enjoyed our verbal sparring on the Select Committee on the Climate Crisis and the House Committee on Natural Resources. I have appreciated his friendship and also appreciated his leadership and his support for this piece of legislation. Mr. Speaker, I want to talk about the Disaster Management Costs Modernization Act. As you heard from Representative Hoyle, as we continue to face increasing numbers of natural disasters across our country--wildfires, floods, hurricanes, and more--it is critically important that we work to equip our communities with the resources they need. My home State of Colorado has seen firsthand the devastating impacts of these disasters, as we have unfortunately experienced record- breaking and deadly wildfires, drought, and flood conditions all over in just the past few years. Mr. Speaker, this bill would strengthen our efforts to prepare for and mitigate the impacts of future disa

Referenced legislation: HR7671, HR7671