Disaster Assistance Improvement and Decentralization Act

This Act may be cited as the Disaster Assistance Improvement and Decentralization Act or the Disaster AID Act.
The table of contents for this Act is as follows:
In this Act:
The term Administrator means the Administrator of the Federal Emergency Management Agency.
The term appropriate congressional committees means the Committee on Homeland Security and Governmental Affairs of the Senate, the Committee on Appropriations of the Senate, the Committee on Transportation and Infrastructure of the House of Representatives, and the Committee on Appropriations of the House of Representatives.
The terms Chief Executive, Governor, State, and Indian tribal government have the meanings given the terms in section 102 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122).
The term high-capacity jurisdiction means a jurisdiction that has sufficient resources to administer projects funded with assistance under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.) with minimal support, as determined by the Governor or Chief Executive of the State or Indian tribal government in which the jurisdiction is located and based on criteria established by the Administrator.
The term low-capacity jurisdiction means a jurisdiction that faces structural barriers to planning for, securing, implementing, or sustaining public investments in disaster resilience due to limited staffing, institutional partnerships, fiscal resources, or access to technical expertise that make it difficult to administer projects funded with assistance under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)—
as determined by the Governor or Chief Executive of the State or Indian tribal government in which the jurisdiction is located; and
based on criteria established by the Administrator.
The term public assistance means assistance awarded under the programs under section 403, 406, 407, and 502 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (5170b, 5172, 5173, 5192).
Tile II of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5131 et seq.) is amended by adding at the end the following:
In this section, the term State hazard mitigation office means the official office or representative of a State or Indian tribal government that is the primary point of contact with the Federal Emergency Management Agency, other Federal agencies, and local governments in mitigation planning and implementing mitigation programs and activities required under this Act.
The President may award financial assistance to States and Indian tribal governments for the purpose of funding the State hazard mitigation office of the State or Indian tribal government.
The amount of financial assistance awarded to each State or Indian tribal government under subsection (b)—
shall be not less than 1 percent of the total financial assistance awarded under that paragraph in any fiscal year; and
after satisfying paragraph (1), shall be proportional to the population of each State and Indian tribal government.
There is authorized to be appropriated to the President to carry out this section $100,000,000 for fiscal year 2027 and each fiscal year thereafter.
Section 404(a) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170c(a)) is amended—
by striking The President may and inserting the following:
Subject to paragraph (2), the President may
by adding at the end the following:
The President may increase the percentage contributed towards hazard mitigation measures under paragraph (1) to not more than 85 percent for low-capacity jurisdictions (as defined in section 2 of the Disaster Assistance Improvement and Decentralization Act).
Section 404(c) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170c(c)) is amended by adding at the end the following:
With respect to a State or Indian tribal government that receives multiple concurrent contributions under subsection (a), the State or Indian tribal government may—
combine amounts from each of those contributions to create a single fund for management costs (as defined in section 324(a)) and audit purposes; and
apply any project completion, auditing, or reporting deadline associated with the most recent contribution to any other concurrent contribution.
Section 404(e) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170c(e)) is amended by striking 25 percent and inserting 50 percent.
Not later than 2 years after the date of enactment of this Act, the Administrator, in consultation with State hazard mitigation offices (as defined in section 404(h) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act, as added by this Act), State, local, Tribal, and territorial governments, and other stakeholders, shall submit to the appropriate congressional committees a report on necessary reforms to reduce administrative burdens and enhance the delivery of assistance under the program established under section 404 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170c).
Section 203(i) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5133) is amended—
in paragraph (1), by striking may set aside and inserting shall set aside; and
by adding at the end the following:
The President may not use amounts set aside under paragraph (1) for a purpose other than a purpose described in paragraph (1).
Of the amounts set aside under paragraph (1) each fiscal year, the President shall obligate not less than the lesser of—
10 percent; and
$500,000,000, as adjusted annually to reflect changes in the Consumer Price Index for All Urban Consumers published by the Department of Labor.
Not later than 540 days after the date of enactment of this Act, the Administrator shall issue a final rulemaking that implements this title and the amendments made by this title.
Not later than 60 days after the date of enactment of this Act, the Administrator shall issue interim guidance to implement this title and the amendments made by this title that expires upon the earlier of—
540 days after the of enactment of this Act; and
the issuance of the final rulemaking under subsection (a).
Not later than 90 days after the date on which the Administrator issues the final rulemaking under subsection (a), the Administrator shall issue any necessary guidance related to the rulemaking.
Not later than 2 years after the date of enactment of this Act, the Administrator shall submit to the appropriate congressional committees a report summarizing the rulemaking and guidance issued under subsections (a) and (c).
Section 324(b)(2)(B) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b(b)(2)(B))—
by striking 12 percent and inserting 15 percent; and
by striking 7 percent and inserting 10 percent.
Title III of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5141 et seq.), is amended by adding at the end the following:
Not later than 30 days after the date on which the President declares a major disaster under section 401 with respect to a jurisdiction and upon the request of the Governor or Chief Executive of the jurisdiction, the President shall conduct an intensive training for the jurisdiction and any governmental agency of the jurisdiction.
The training conducted under subsection (a) for a jurisdiction shall supplement any training or briefing convened by the jurisdiction.
The training conducted under subsection (a) shall, at a minimum, explain—
the process of receiving resources and financial assistance relating to a major disaster under this Act, beginning with the declaration of the major disaster and ending with the disbursement of resources or financial assistance;
each resource and financial assistance award available to the jurisdiction under this Act;
the required documentation and eligibility criteria for each resource and financial assistance award available to the jurisdiction under this Act;
acronyms and other terms of art regularly used by the Federal Emergency Management Agency; and
any other concepts or processes the President determines necessary.
The training required under subsection (a) may be offered virtually when reasonably practicable.
In this section, the term public assistance means assistance awarded under the programs under section 403, 406, 407, and 502.
With respect to a grantee or subgrantee of public assistance using the public assistance for a project, the President—
may provide not more than 75 percent of the estimated cost of the project before costs are incurred; and
upon request of the grantee or subgrantee, shall provide not less than 25 percent and not more than 75 percent of the estimated cost of a project before costs are incurred if the grantee or subgrantee sustains damage, as measured by a preliminary damage assessment, which may include the sum of multiple preliminary damage assessments for projects using public assistance in the jurisdiction, that is—
with respect to a project being performed in a jurisdiction with a population of not more than 2,000, not less than the annual budget of the grantee or subgrantee during the preceding fiscal year;
with respect to a project being performed in a jurisdiction with a population between 2,001 and 3,500, not less than 2 times larger than the annual budget of the grantee or subgrantee during the preceding fiscal year; and
with respect to a project being performed in a jurisdiction with a population between 3,501 and 5,000, not less than 3 times larger than the annual budget of the grantee or subgrantee during the preceding fiscal year.
A grantee or subgrantee of public assistance receiving assistance under subsection (b) shall provide to the Administrator methodology of the grantee or subgrantee to ensure safeguards against waste, fraud, and abuse.
Not later than 1 year after the date of enactment of this Act, the Administrator may establish a program under which, upon the request of a Governor or Chief Executive of a State or Indian Tribal government, the Administrator may award assistance to the State or Indian tribal government that includes—
the assignment of employees of the Federal Emergency Management Agency to the State or Indian tribal government to provide technical assistance for low-capacity jurisdictions throughout the public assistance process, including with the respect to—
project scoping;
damage documentation;
training State or Indian tribal government personnel to be knowledgeable about all available programs under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.); and
other related tasks; or
funding to hire additional employees or contractors of the State to help low-capacity jurisdictions navigate the process of applying for and receiving for assistance under this Act, including—
project scoping;
damage documentation;
the grant application process; and
other related tasks.
In selecting States and Indian tribal governments to which to award assistance under this section, the Administrator shall determine the need of the State or Indian tribal government for assistance based on—
the hazard risk of the State or Indian tribal government based on the National Risk Index;
the existing disaster management capacity of the State or Indian tribal government, as measured by the number of available personnel and the amount of resources of the State or Indian tribal government;
the availability of a nongovernmental disaster response and recovery capacity in the State or Indian tribal government; and
any other factor determined necessary by the Administrator.
The program established under subsection (a) shall terminate on the date that is 5 years after the establishment of the program.
Not later than 1 year after the date of the establishment of the program under subsection (a), and annually thereafter until the date described in subsection (d), the Administrator shall submit to the appropriate congressional committees a report on the program that includes—
a list of the States and Indian tribal governments that have received assistance under the program; and
an account of the form and scope of the assistance provided under the program to each State and Indian tribal government.
Not later than 3 years after the date of the establishment of the program under subsection (a), the Comptroller General of the United States shall—
conduct an audit of the program;
study the effectiveness of the program; and
submit to the appropriate congressional committees a recommendation whether to extend or expand the program.
There are authorized to be appropriated to the Administrator $500,000,000 for each of fiscal years 2027 through 2031 to carry out this section.
Section 422 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5189) is amended by striking subsection (a) and the undesignated matter preceding subsection (b) and inserting the following:
In this subsection, the term eligible project means a project—
under section 406 that includes repairing, restoring, or replacing any damaged or destroyed public facility or private nonprofit facility;
with emergency assistance under section 403 or 502; or
under section 407 relating to debris removal; and
the Federal cost estimate of which is less than the greater of—
$1,000,00, which shall be adjusted to reflect changes in the Consumer Price Index for All Urban Consumers by the Department of Labor—
on the date of enactment of the Disaster Assistance Improvement and Decentralization Act for the period between October 10, 2022, and such date; and
annually thereafter; and
if the Administrator of the Federal Emergency Management Agency has established a threshold under subsection (b), the amount established under subsection (b).
On application by a State or local government that performs an eligible project, the President may make the contribution of the State or local government under section 403, 406, 407, or 502, as the case may be, on the basis of the cost incurred from the performance of the eligible project.
The amount of the contribution under subparagraph (A) with respect to an eligible project may not exceed 150 percent of the Federal cost estimate of the eligible project.
Paragraph (2) shall not apply with respect to a State or local government if the cost of the performance of an eligible project by the State or local government exceeds the cost estimate of the eligible project as a result of poor management, fraud, or waste.
Not later than 1 year after the date of enactment of this Act, notwithstanding the amount specified under section 422(a) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5189(a)), the Administrator shall establish a pilot program under which the Administrator may select high-capacity jurisdictions performing a project under section 403, 406, 407, or 502 of such Act (42 U.S.C. 5170b, 5172, 5173, 5192), the cost of which is less than $10,000,000, to be eligible for the contribution described in such section 422(a).
Not less frequently than annually, the Administrator shall adjust the amount specified in subsection (a) to reflect changes in the Consumer Price Index for All Urban Consumers published by the Department of Labor.
A high-capacity jurisdiction selected under subsection (a) shall provide to the Administrator methodology of the high-capacity jurisdiction to ensure safeguards against waste, fraud, and abuse.
The program established under subsection (a) shall terminate on the date that is 5 years after the date of the establishment of the program.
Not later than 1 year after the date of the establishment of the program under subsection (a), and annually thereafter until the date described in subsection (d), the Administrator shall submit to the appropriate congressional committees a report on the program.
Not later than 3 years after the date of the establishment of the program under subsection (a), the Comptroller General of the United States shall—
conduct an audit of the program;
study the effectiveness of the program; and
submit to the appropriate congressional committees a recommendation whether to extend or expand the program.
Not later than 540 days after the date of enactment of this Act, the Administrator shall issue a final rulemaking that implements this title and the amendments made by this title.
Not later than 60 days after the date of enactment of this Act, the Administrator shall issue interim guidance to implement this title and the amendments made by this title that expires upon the earlier of—
540 days after the of enactment of this Act; and
the issuance of the final rulemaking under subsection (a).
Not later than 90 days after the date on which the Administrator issues the final rulemaking under subsection (a), the Administrator shall issue any necessary guidance related to the rulemaking.
Not later than 2 years after the date of enactment of this Act, the Administrator shall submit to the appropriate congressional committees a report summarizing the rulemaking and guidance issued under subsections (a) and (c).
In this section, the term facility means a facility that provides critical services, including—
power;
water, including water provided by an irrigation organization or facility described in section 206.221(e)(3) of title 44, Code of Federal Regulations, or any successor regulation;
sewer;
wastewater treatment;
communications;
medical care;
fire response; and
other emergency rescue services.
With respect to the approval of funding and requirement to restore a destroyed facility at a new location described in section 206.226(g) of title 44, Code of Federal Regulations, as in effect as of the date of enactment of this Act, the Administrator shall approve the funding and require that restoration with respect to a facility if—
the facility sustains not less than 30 percent damage on not less than 2 occasions; or
the facility sustains not less than 50 percent damage; and
the State or Indian tribal government with jurisdiction over the facility requests the restoration at a new location.
Section 102(8) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122(8)) is amended—
in subparagraph (B), by striking and at the end;
in subparagraph (C), by striking the period at the end and inserting ; and; and
by adding at the end the following:
includes any State or political subdivision of a State authorized by a local government to submit an application under this Act and serve as an agent on behalf of the local government.
Title III of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5141 et seq.), as amended by title II, is further amended by adding at the end the following:
In this section:
The term pause means any action to pause, freeze, cancel, suspend, terminate, or otherwise impede the disbursement of appropriated Federal funds to States and Indian tribal governments awarded under grants, executed contracts, or other executed financial obligations.
The term prolonged means a cumulative period of not less than 26 business days during any fiscal year.
In the event of a prolonged pause in the disbursement of Federal funds appropriated for the purpose of carrying out this Act, not later than 5 business days after the date on which the pause becomes prolonged, the President shall make the following information publicly available:
The rationale for the pause.
The expected duration of the pause.
The legal authority for the pause.
Resources to check the status of the pause.
Section 162(a) of the Internal Revenue Code of 1986 is amended by inserting or is certified by the Administrator of the Federal Emergency Management Agency as traveling on behalf of the United States in temporary duty status to respond to a federally declared disaster (as defined in section 165(i)(5)(A)) after a Federal crime.
The amendment made by this section shall apply to taxable years beginning after the date of the enactment of this Act.
The Administrator may waive the application of subsections (a) through (h) of section 8344, or subsections (a) through (e) of section 8468, of title 5, United States Code, on a case-by-case basis, for—
an employee of the Federal Emergency Management Agency in a position for which there is exceptional difficulty in recruiting or retaining a qualified employee; or
an employee of the Federal Emergency Management Agency serving on a temporary basis, but only if, and for so long as, the authority is necessary due to an emergency involving a direct threat to life or property or other unusual circumstances.
Section 324 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b) is amended—
in subsection (b)(2), as amended by title I of this Act—
by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and adjusting the margins accordingly; and
in the matter preceding clause (i), as so redesignated, by striking provide the following percentage rates and inserting
provide—
excess funds for management costs as described in subsection (c); and
the following percentage rates
by redesignating subsection (c) as subsection (d); and
by inserting after subsection (b) the following:
In this subsection, the term excess funds for management costs means the difference between—
the amount of the applicable specific management costs authorized under subsection (b)(1) and subsection (b)(2)(B); and
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).
The President may make available to a grantee or subgrantee receiving financial assistance under section 403, 404, 406, 407, 409, or 502 any excess funds for management costs.
Excess funds for management costs made available to a grantee or subgrantee under paragraph (2) may be used for—
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
management costs associated with any—
major disaster;
emergency;
disaster preparedness measure; or
mitigation activity or measure authorized under section 203, 204, 205, or 404.
The amendments made by paragraph (1) 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) the declaration of which is made on or after the date of enactment of this Act.
Section 324(b) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165b(b)) is amended by adding at the end the following:
The President may award a grantee under section 404, 403, 406, 407, or 502—
by the date that is 30 days after the date on which the President declares the applicable major disaster under section 401, 50 percent of the amount of the applicable management costs described in paragraph (2);
by the date that is 180 days after the date on which the President declares the applicable major disaster under section 401, 75 percent of the amount of the applicable management costs described in paragraph (2); and
by the date that is 1 year after the date on which the President declares the applicable major disaster under section 401, 100 percent of the applicable management costs described in paragraph (2).
Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall submit to the appropriate congressional committees a report that includes—
a review of the regulations promulgated by the Administrator; and
recommendations for modifying or eliminating regulations promulgated by the Administrator that are redundant or overly burdensome, particularly for low-capacity jurisdictions.
Not later than 1 year after the date of enactment of this Act, and annually thereafter, the Administrator shall submit to the appropriate congressional committees a report—
on the exercise of the authority of the Administrator to provide advance assistance under—
section 404(e) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170c(e)); and
section 329 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act, as added by this Act; and
that includes a comprehensive account of the frequency and extent of invocation of the authority described in paragraph (1).