,i #aafth ,,congress #ast ,session ,h4 ,r4 #ceca ,,in ,,the ,,house ,,of ,,representatives ,june #bg1 #bjai ,mr4 ,graves of ,missouri introduced the following bill2 which was referred to the ,committee on ,transportation and ,infrastructure ,a ,,bill ,to amend the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act to allow the ,administrator of the ,federal ,emergency ,management ,agency to provide capitalization grants to ,states to establish revolving funds to provide assistance to reduce the harmful impacts to people and property from multiple hazards1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,resilient ,communities ,act of #bjai4 #b4 ,revolving loan funds to mitigate for multiple hazards ,title ,,ii of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eaca et seq47 is amended by adding at the end the following3 #bje4 ,revolving loan fund 7a7 ,definitions ,in this section-- 7#a7 the term eligible entity means a ,state or ,indian ,tribal ,government as those terms are defined in section #ajb of this ,act2 7#b7 the term participating entity means an eligible entity that-- 7,a7 has entered into an agreement under subsection 7b77#a72 and 7,b7 agrees to comply with the requirements of this section2 7#c7 the term mitigation loan fund means a multihazard mitigation assistance revolving loan fund established by an eligible entity under this section2 and 7#d7 the term eligible recipient means a local governmental entity1 a ,state agency or subdivision thereof4 7b7 ,general authority 7#a7 ,in general ,the ,administrator may enter into an agreement with an eligible entity to provide a capitalization grant for the eligible entity to establish a revolving loan fund that will provide funding assistance to an eligible recipient to reduce disaster risks for homeowners1 businesses1 nonprofit organizations1 and communities in order to decrease-- 7,a7 the loss of life and property2 7,b7 the cost of insurance2 and 7,c7 ,federal disaster payments4 7#b7 ,timing of deposit and agreements for distribution of funds 7,a7 ,in general ,not later than the last day of the fiscal year following the fiscal year in which a capitalization grant is made to a participating entity under paragraph 7#a71 the participating entity shall-- 7i7 deposit the grant in the mitigation loan fund of the eligible entity2 and 7ii7 enter into #a or more agreements to distribute the grant funds for purposes authorized under subsection 7d74 7,b7 ,noncompliance ,except as provided in subparagraph 7,c71 if a participating entity does not comply with subparagraph 7,a7 with respect to a grant1 the ,administrator shall reallocate the grant in accordance with paragraph 7#c74 7,c7 ,exception ,the ,administrator may not reallocate any funds under subparagraph 7,b7 to a participating entity that violated subparagraph 7,a7 with respect to a grant made during the same fiscal year in which the funds to be reallocated were originally made available4 7#c7 ,allocation 7,a7 ,in general ,the ,administrator shall allocate amounts made available to carry out this section to participating entities-- 7i7 for the participating entities to deposit in the mitigation loan funds established by the participating entities2 and 7ii7 except as provided in paragraph 7#e71 in accordance with the requirements described in subparagraph 7,b74 7,b7 ,requirements ,the requirements described in this subparagraph are as follows3 7i7 ,eligible entities must apply to the ,administrator for an allocation of financial assistance to capitalize the loans and commit to a #aj percent match of the requested funds4 7ii7 ,seventy-five percent of the project selection must be composed of local government hazard mitigation projects and eligible entities must give at least #c weeks notice to their local governments before requiring all hazard mitigation projects to be submitted4 7iii7 ,eligible entities may not provide more than #e1jjj1jjj in loan funds toward the completion of any single hazard mitigation project4 7iv7 ,a participating entity must agree to the revolving loan repayment terms issued by the ,administrator upon being selected to participate4 7v7 ,no more than #aj percent of the loan funds provided to a participating entity may be used for the purposes of planning4 7,c7 ,prioritization ,the ,administrator shall prioritize loan funds to participating entities with intended use plans that include projects that-- 7i7 include the restoration and augmentation of natural and built infrastructure2 7ii7 involve more than #a eligible entity or recipient partnering together2 7iii7 take into account regional impacts of hazards such as-- 7,i7 river basins2 7,,ii7 river corridors2 7,,iii7 micro and macro watersheds2 and 7,,iv7 estuaries1 bays1 and coastal regions2 and 7iv7 involve the resilience of major economic sectors and critical national infrastructure such as ports1 power and water production and distribution centers1 bridges1 and waterways essential to interstate commerce4 7#d7 ,further revolving fund requirements ,a participating entity that exercises the authority under paragraph 7#c77;,a7 in a fiscal year shall provide matching funds from non-,federal sources in an amount that is equal to #aj percent of the amount that the participating entity receives under paragraph 7#c77;,a7 in that fiscal year for purposes described in the respective intended use plan4 7#e7 ,reservation of funds ,the ,administrator shall reserve not more than #a4e percent of the amount made available to carry out this section in a fiscal year-- 7,a7 for administrative costs incurred by ,,fema in carrying out this section2 and 7,b7 for ,,fema to provide technical assistance to recipients of loans under this section4 7#f7 ,partnerships ,eligible recipients may partner with nongovernmental organizations to ensure projects reduce disaster risks for homeowners1 businesses1 nonprofit organizations1 and communities4 7c7 ,environmental review of revolving loan fund projects ,notwithstanding any other ,federal law1 ,federal environmental review of the mitigation loan fund projects shall be delegated to the participating entities but only for the purposes of carrying out the mitigation revolving loan fund program as authorized under this section4 ,such participating entities shall establish a ,federal equivalency environmental review involving consideration of alternatives1 analysis of potential effects1 opportunity for public notice and comments1 and compliance with ,federal environmental laws and ,executive orders4 7d7 ,use of funds 7#a7 ,in general ,amounts deposited in a mitigation loan fund1 including repayments of loans made from the fund and interest earned on the amounts in the fund1 shall be used-- 7,a7 consistent with paragraphs 7#b7 and 7#c7 and subsection 7h71 to provide financial assistance for any eligible recipient2 7,b7 as a source of revenue and security for leveraged loans1 the proceeds of which shall be deposited in the mitigation loan fund2 or 7,c7 for the sale of bonds as security for payment of the principal and interest on revenue or general obligation bonds issued by the participating entity to provide matching funds under subsection 7g71 if the proceeds from the sale of the bonds are deposited in the mitigation loan fund4 7#b7 ,purposes ,an eligible recipient of financial assistance provided through amounts from a mitigation loan fund-- 7,a7 shall use the amounts in a cost-effective manner under requirements established by the participating entity1 which may require an applicant for financial assistance to submit a cost-benefit analysis before the date on which the applicant receives the assistance2 7,b7 shall use the amounts for projects that are located in communities that have developed a local hazard mitigation plan that has been approved by the ,administrator2 7,c7 may use the amounts to-- 7i7 establish and carry out enforcement activities and implement consensus-based codes1 specifications1 and standards2 7ii7 study special zoning overlay districts that better interface waterfront development with natural assets through the use of buffer zones and shoreline set-backs1 protect freshwater resources for drinking and manufacturing1 and flood prevention through installation and restoration of natural infrastructure such as connected floodplain1 wetlands1 marshes1 setback areas1 and riverfront parks2 7iii7 study agriculture risk compensation districts where there is a desire to remove or set-back levees protecting highly developed agricultural land to mitigate for flooding1 allowing agricultural producers to receive compensation for assuming greater flood risk that would alleviate flood exposure to population centers and areas with critical national infrastructure2 7iv7 study land use incentives that reward developers for greater reliance on ,,lid stormwater best management practices1 exchange density increases for increased open space and improvement of neighborhood catch basins to mitigate urban flooding1 reward developers for including and augmenting natural infrastructure adjacent to and around building projects without reliance on increased sprawl2 7v7 study an erosion response plan that accommodates river1 lake1 and ocean shoreline retreating or bluff stabilization due to increased flooding and disaster impacts4 7#c7 ,allowance ,the ,administrator shall promulgate an allowance within this section to allow participating entities to use revolving loan funds toward resilience to hazards4 ,participating entities may direct a portion of revolving loan funds toward resilience activities that mitigate for the impacts of the following3 7,a7 ,flooding ,funds may be applied to-- 7i7 structural elevation2 7ii7 flood proofing2 7iii7 the relocation or removal of buildings2 7iv7 environmental restoration activities that directly reduce flood risk2 7v7 construction1 repair or replacement of non-,federal levees2 7vi7 nonprofits1 businesses1 and other nongovernmental entities for projects that will reduce flood risk2 and 7vii7 other activities determined appropriate by the ,administrator4 7,b7 ,drought and ,prolonged ,episodes of ,intense ,heat ,funds may be applied to-- 7i7 planning and protocols for healthcare facility response and plans that add heat-related illness treatment capacities2 7ii7 planning and protocols for the deployment of cooling centers for vulnerable populations2 7iii7 heat island and heat sink effect reduction activities such as-- 7,i7 increasing urban canopies2 and 7,,ii7 replacing natural assets more suited to drought and warmer climates2 7iv7 replacing infrastructure vulnerable to the rapid deteriorating effects of intense heat with better alternatives including natural solutions2 7v7 restoration of natural infrastructure such as forests to absorb heat effects2 7vi7 restoration and installment of wetlands and marshes to retain moisture during drought and intensely hot periods2 7vii7 increased urban green space that works to reduce heat island effects2 7viii7 water conservation plans and protocols designed for severe drought2 and 7ix7 small business assistance program assembly and planning for businesses likely to be most impacted by drought4 7,c7 ,severe ,storms ,funds may be applied to mitigation and resilience for the following3 7i7 ,straight-,line ,winds and ,tornadic ,activity ,funds may be used for infrastructure resilience activities that mitigate against significant wind storms especially where there is high vulnerability to utility systems that may incur prolonged service interruption due to canopy overgrowth and exposed transmission links1 including restoration of forests1 tree lines1 and natural buffer zones designed to channel1 shield1 and reduce wind damage to critical infrastructure4 7ii7 ,tropical ,cyclones ,funds may be used for infrastructure resilience activities that mitigate against impacts associated with tropical cyclones4 7iii7 ,ice1 snow1 extreme cold ,funds may be used for infrastructure resilience activities that mitigate against impacts associated with winter storms1 including-- 7,i7 physical improvement and signage of evacuation routes2 7,,ii7 establishment or improvement of shelters or warming centers2 and 7,,iii7 insulating1 relocating1 or rerouting critical infrastructure that mitigates for exposure of utility and public transportation assets to snow1 ice1 and extreme cold4 7,d7 ,wildfires ,funds may be applied to-- 7i7 planning and protocols that reduce the risk of wildfires1 improve evacuation routes1 and better inform the public on prevention of and response to wildfires2 7ii7 installation of built and natural infrastructure that reduces the risk of wildfires1 including-- 7,i7 deployment of vegetation and ecosystems that retain moisture during long hot periods native to the region such as marshes and wetlands1 if appropriate2 7,,ii7 replacement of vegetation native to the region more suited to increased hot and dry periods2 7,,iii7 physical improvement and signage of evacuation routes2 7,,iv7 establishment or improvement of evacuation centers2 7,v7 training of first responders and public safety personnel on how to prevent1 mitigate1 and respond to wildfires2 7,,vi7 acquisition of equipment and supplies suited to mitigating and responding to wildfires1 including acquisition of technology-based solutions2 7,,vii7 activities that increase the capacity of healthcare facilities to treat wildfire-related injuries2 and 7,,viii7 activities that address wildfire primary impacts such as from burn and secondary impacts to property and infrastructure4 7,e7 ,other catastrophic events 7i7 ,in general ,eligible entities may apply revolving loan funds toward resilience and mitigation against a catastrophic event the ,administrator determines is either repetitive or is highly likely to occur and endanger lives and property unless overt action is taken4 7ii7 ,catastrophic events ,catastrophic events include-- 7,i7 chemical spills into public water supply reservoirs such as rivers1 lakes1 or groundwater aquifers where results could be life-threatening2 7,,ii7 large-scale algae blooms in a public surface water supply reservoir such as a river or lake2 7,,iii7 rupture of a hazardous materials pipeline that transects above1 below1 or through a public water supply reservoir such as a river1 lake1 or groundwater aquifers2 and 7,,iv7 significant contact between a land-based waste disposal site currently housing a hazardous material such as coal ash1 mining material1 or manufacturing slag that may make a water body toxic4 7iii7 ,resilience activities ,resilience activities that are allowed under this section may include-- 7,i7 strengthening or realignment of surface transportation infrastructure1 including ports2 7,,ii7 installation of emergency shut-off valves within hazardous material pipeline sections traversing near or through public water supplies2 7,,iii7 removal or relocating of land-based waste disposal sites currently housing a hazardous material as long as the new site is not located within a floodplain or in or near geologic hazards such as earthquake faults or areas prone to tsunami liquification or landslides2 and 7,,iv7 resilience to earthquakes4 7#d7 ,savings ,none of the mitigation revolving loan funds may be used for the benefit of projects1 activities or to otherwise mitigate risk on ,federal land or property4 7e7 ,intended use plans 7#a7 ,in general ,after providing the opportunity for public review and comment1 each participating entity shall annually prepare a plan that identifies1 for the year following the date of issuance of the intended use plan1 the intended uses of the amounts available in the mitigation loan fund of the participating entity4 7#b7 ,consultation during preparation ,each participating entity1 in preparing an intended use plan1 shall ensure that the respective agency of the participating entity with primary responsibility for emergency management-- 7,a7 provides oversight with respect to the preparation of the intended use plan2 and 7,b7 consults with any other appropriate agency of the participating entity1 including agencies responsible for coastal1 environmental management1 and economic development4 7#c7 ,contents ,a participating entity shall1 in each intended use plan-- 7,a7 include-- 7i7 an explanation of the mitigation and resiliency benefits the participating entity intends to achieve1 including by-- 7,i7 reducing future damage and loss associated with hazards included in subsection 7d77#c72 7,,ii7 reducing the number of severe repetitive loss properties and repetitive loss structures in the participating entity's jurisdiction2 7,,iii7 decreasing the number of insurance claims2 and 7,,iv7 increasing the rating under the ,community ,rating ,system for communities in the geographical jurisdiction of the participating entity2 7ii7 information with respect to the availability of1 and the application process for receiving1 financial assistance from the mitigation loan fund2 7iii7 the criteria and methods established for the distribution of amounts from the mitigation loan fund2 7iv7 the amount of financial assistance that the participating entity anticipates allocating to-- 7,i7 local government projects2 and 7,,ii7 projects benefitting homeowners1 business1 or nonprofit organizations2 7v7 the expected terms of the assistance provided under clause 7iv72 and 7vi7 a description of the financial status of the mitigation loan fund and the short-term and long-term goals of the mitigation loan fund2 and 7,b7 provide1 to the maximum extent practicable1 that priority for the use of amounts from the mitigation loan fund shall be given to projects that-- 7i7 address severe repetitive loss properties and repetitive loss structures2 7ii7 assist low-income homeowners and low-income geographic areas2 and 7iii7 assist vulnerable populations including residential facilities with assisted living1 group homes for the elderly1 or emotional or physically disabled4 7#d7 ,publication ,each participating entity shall publish and periodically update a list of all projects receiving funding from the mitigation loan fund of the participating entity1 which shall include-- 7,a7 the location of each project2 7,b7 the type and amount of assistance provided for each project2 and 7,c7 the expected funding schedule and date of completion of each project4 7f7 ,fund management ,amounts in a mitigation loan fund shall-- 7#a7 remain available for providing financial assistance under this section until distributed2 7#b7 if the amounts are not required for immediate distribution or expenditure1 be invested in interest-bearing obligations2 and 7#c7 except as provided in subsection 7i71 include only-- 7,a7 amounts received from capitalization grants made under this section2 7,b7 repayments of loans made from the fund2 7,c7 interest earned on amounts in the fund2 and 7,d7 the matching funds required under subsection 7g74 7g7 ,matching funds ,on or before the date on which a participating entity receives a capitalization grant1 the entity shall deposit into the mitigation loan fund of the entity1 in addition to the amount of the capitalization grant1 an amount from non-,federal sources that is not less than #aj percent of the total amount of the capitalization grant4 7h7 ,types of assistance ,unless otherwise prohibited by law1 a participating entity may use the amounts deposited into a mitigation loan fund under this section only-- 7#a7 to make a loan1 on the condition that-- 7,a7 the interest rate for the loan is not more than #ej percent of the market interest rate2 7,b7 the recipient of the loan will begin making principal and interest payments on the loan not later than #a year after the date on which the project for which the loan was made is completed2 7,c7 the loan will be fully amortized not later than #bj years after the date on which the project for which the loan was made is completed1 except that1 in the case of a loan made for a project in a low-income geographic area1 for a low-income homeowner or to assist vulnerable populations including residential facilities with assisted living1 group homes for the elderly1 or emotionally or physically disabled1 the participating entity may provide a longer amortization period for the loan if that longer period-- 7i7 ends on a date that is not later than #cj years after the date on which the project is completed2 and 7ii7 is not longer than the expected design life of the project2 7,d7 the eligible recipient of the loan demonstrates that there is a dedicated source of revenue or adequate income to repay the loan2 and 7,e7 payments of principal and interest with respect to the loan will be deposited into the mitigation loan fund2 7#b7 to buy or refinance the debt obligation of a local government at an interest rate that is not more than the market interest rate2 7#c7 to guarantee1 or purchase insurance for1 a local obligation1 the proceeds of which finance a project eligible for assistance under this section1 if the guarantee or purchase1 as applicable1 would-- 7,a7 improve credit market access2 or 7,b7 reduce the interest rate with respect to the obligation2 7#d7 as a source of revenue or as security for the payment of principal and interest on revenue or general obligation bonds issued by the participating entity if the proceeds of the sale of the bonds will be deposited into the mitigation loan fund2 or 7#e7 to earn interest on those amounts4 7i7 ,administration of fund 7#a7 ,in general ,a participating entity may combine the financial administration of a mitigation loan fund with the financial administration of any other revolving fund established by the entity if-- 7,a7 combining the administration of the funds would-- 7i7 be convenient and avoid administrative costs2 and 7ii7 not violate the law of the participating entity2 and 7,b7 the ,administrator determines that-- 7i7 amounts obtained from a grant made under this section1 amounts obtained from the repayment of a loan made from a mitigation loan fund1 and interest earned on amounts in a mitigation loan fund will be-- 7,i7 accounted for separately from amounts from other revolving funds2 and 7,,ii7 used only for purposes authorized under this section2 and 7ii7 after consulting with the appropriate agencies of the participating entity1 the authority to establish assistance priorities and carry out oversight and related activities1 other than financial administration1 with respect to mitigation assistance remains with the agency of the participating entity with primary responsibility for emergency management4 7#b7 ,administrative and technical costs 7,a7 ,in general ,for each fiscal year1 a participating entity may use the amount described in subparagraph 7,b7 to-- 7i7 pay the reasonable costs of administration of the programs under this section1 including the recovery of reasonable costs incurred in establishing a mitigation loan fund2 7ii7 provide appropriate oversight of projects authorized under this section2 and 7iii7 provide technical assistance training and outreach to recipients in the geographical jurisdiction of the participating entity of amounts under this section1 including with respect to updating hazard mitigation plans and participating in the ,community ,rating ,system1 in an amount that is not more than #e percent of the funds made available to the entity under this section4 7,b7 ,description ,the amount described in this subparagraph is an amount equal to the sum of-- 7i7 any fees collected by a participating entity to recover the costs described in subparagraph 7,a77i71 regardless of the source2 and 7ii7 the greatest of-- 7,i7 #ajj1jjj2 7,,ii7 #a4j percent of the value of the mitigation loan fund1 as of the date on which the valuation is made2 and 7,,iii7 an amount equal to #b4j percent of all grant awards made to a participating entity for the mitigation loan fund under this section for the fiscal year4 7#c7 ,audit and report 7,a7 ,audit requirement ,not less frequently than every #b years1 each participating entity shall conduct an audit of the mitigation loan fund of the entity4 7,b7 ,report ,each participating entity shall submit to the ,administrator a biennial report regarding the activities of the participating entity under this section during the period covered by the report1 including-- 7i7 the result of any audit conducted by the participating entity under subparagraph 7,a72 and 7ii7 a review of the effectiveness of the mitigation loan fund of the entity with respect to-- 7,i7 the intended use plans of the entity2 and 7,,ii7 meeting the objectives described in subsection 7b77#a74 7#d7 ,oversight ,in conducting oversight with respect to mitigation loan funds established under this section1 the ,administrator-- 7,a7 shall-- 7i7 periodically audit the funds in accordance with procedures established by the ,comptroller ,general of the ,united ,states2 and 7ii7 not less frequently than once every #d years1 review each mitigation loan fund to determine the effectiveness of the fund in reducing hazard risk2 and 7,b7 may1 at any time-- 7i7 make recommendations to a participating entity with respect to the administration of the mitigation loan fund of the entity2 or 7ii7 require specific changes with respect to a mitigation loan fund in order to improve the effectiveness of the fund4 7j7 ,regulations ,the ,administrator shall issue guidance or regulations as may be necessary to carry out this section1 including guidance or regulations that-- 7#a7 ensure that each participating entity to which funds are allocated under this section uses the funds as efficiently as possible2 7#b7 reduce1 to the maximum extent practicable1 waste1 fraud1 and abuse with respect to the implementation of this section2 7#c7 ensure compliance with the requirements of this section2 and 7#d7 require any party that receives funds directly or indirectly under this section1 including a participating entity and an eligible recipient of amounts from a mitigation loan fund1 to use procedures with respect to the management of the funds that conform to generally accepted accounting standards4 7k7 ,funding ,the ,president may make contributions from the ,disaster ,relief ,fund in order to provide financial assistance under this section4 ,such contribution shall be deemed to be related to activities carried out pursuant to a major disaster under this ,act4 7l7 ,duplication of benefits ,the financial assistance provided pursuant to this section to participating entities1 and the loans made to eligible recipients shall not be determined to be a duplication of assistance4 4