Disaster Management Costs Modernization Act

“(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); and

“(B) as of the date on which the incident 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 activities associated with building capacity to respond to or recover from the types of incidents for which assistance may be made available under section 403, 404, 406, 407, or 502 and to provide such assistance, including for providing training and other activities associated with any major disaster or emergency declaration, or to otherwise prepare for such an incident.

“(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).”