Disaster Management Costs Modernization Act
A BILL
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.
Sec. 2 Use of excess funds for management costs
“(A) excess funds for management costs as described in subsection (c); and
“(B) the following percentage rates”
“(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).”