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Calendar No. 551
106th CONGRESS
2d Session
H. R. 707
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 4, 1999
Read twice and referred to the Committee on Environment and Public
Works
May 16, 2000
Reported by Mr. Smith of New Hampshire, without amendment
_______________________________________________________________________
AN ACT
To amend the Robert T. Stafford Disaster Relief and Emergency
Assistance Act to authorize a program for predisaster mitigation, to
streamline the administration of disaster relief, to control the
Federal costs of disaster assistance, and for other purposes.
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 Mitigation and Cost
Reduction Act of 1999''.
SEC. 2. AMENDMENTS TO ROBERT T. STAFFORD DISASTER RELIEF AND EMERGENCY
ASSISTANCE ACT.
Except as otherwise specifically provided, whenever in this Act an
amendment or repeal is expressed in terms of an amendment to, or repeal
of, a section or other provision of law, the reference shall be
considered to be made to a section or other provision of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121
et seq.).
TITLE I--PREDISASTER HAZARD MITIGATION
SEC. 101. FINDINGS AND PURPOSE.
(a) Findings.--Congress finds that--
(1) greater emphasis needs to be placed on identifying and
assessing the risks to State and local communities and
implementing adequate measures to reduce losses from natural
disasters and to ensure that critical facilities and public
infrastructure will continue to function after a disaster;
(2) expenditures for post-disaster assistance are
increasing without commensurate reduction in the likelihood of
future losses from such natural disasters;
(3) a high priority in the expenditure of Federal funds
under the Robert T. Stafford Disaster Relief and Emergency
Assistance Act should be to implement predisaster activities at
the local level; and
(4) with a unified effort of economic incentives, awareness
and education, technical assistance, and demonstrated Federal
support, States and local communities will be able to increase
their capabilities to form effective community-based
partnerships for mitigation purposes, implement effective
natural disaster mitigation measures that reduce the risk of
future damage, hardship, and suffering, ensure continued
functioning of critical facilities and public infrastructure,
leverage additional non-Federal resources into meeting disaster
resistance goals, and make commitments to long-term mitigation
efforts in new and existing structures.
(b) Purpose.--It is the purpose of this title to establish a
predisaster hazard mitigation program that--
(1) reduces the loss of life and property, human suffering,
economic disruption, and disaster assistance costs resulting
from natural hazards; and
(2) provides a source of predisaster hazard mitigation
funding that will assist States and local governments in
implementing effective mitigation measures that are designed to
ensure the continued functioning of critical facilities and
public infrastructure after a natural disaster.
SEC. 102. STATE MITIGATION PROGRAM.
Section 201(c) (42 U.S.C. 5131(c)) is amended--
(1) by striking ``and'' at the end of paragraph (1);
(2) by striking the period at the end of paragraph (2) and
inserting ``; and''; and
(3) by adding at the end the following:
``(3) set forth, with the ongoing cooperation of local
governments and consistent with section 409, a comprehensive
and detailed State program for mitigating against emergencies
and major disasters, including provisions for prioritizing
mitigation measures.''.
SEC. 103. DISASTER ASSISTANCE PLANS.
Section 201(d) (42 U.S.C. 5131(d)) is amended to read as follows:
``(d) Grants for Disaster Assistance and Hazard Identification.--
The President is authorized to make grants for--
``(1) not to exceed 50 percent of the cost of improving,
maintaining, and updating State disaster assistance plans
including, consistent with section 409, evaluation of natural
hazards and development of the programs and actions required to
mitigate such hazards; and
``(2) the development and application of improved
floodplain mapping technologies that can be used by Federal,
State, and local governments and that the President determines
will likely result in substantial savings over current
floodplain mapping methods.''.
SEC. 104. PREDISASTER HAZARD MITIGATION.
Title II (42 U.S.C. 5131-5132) is amended by adding at the end the
following:
``SEC. 203. PREDISASTER HAZARD MITIGATION.
``(a) General Authority.--The President may establish a program to
provide financial assistance to States and local governments for the
purpose of undertaking predisaster hazard mitigation activities that
are cost effective and substantially reduce the risk of future damage,
hardship, or suffering from a major disaster.
``(b) Purpose of Assistance.--
``(1) In general.--Except as provided in paragraph (2), a
State or local government that receives financial assistance
under this section shall use the assistance for funding
activities that are cost effective and substantially reduce the
risk of future damage, hardship, or suffering from a major
disaster.
``(2) Dissemination.--The State or local government may use
not more than 10 percent of financial assistance it receives
under this section in a fiscal year for funding activities to
disseminate information regarding cost effective mitigation
technologies (such as preferred construction practices and
materials), including establishing and maintaining centers for
protection against natural disasters to carry out such
dissemination.
``(c) Allocation of Funds.--The amount of financial assistance to
be made available to a State, including amounts made available to local
governments of such State, under this section in a fiscal year shall--
``(1) not be less than the lesser of $500,000 or 1.0
percent of the total funds appropriated to carry out this
section for such fiscal year; but
``(2) not exceed 15 percent of such total funds.
``(d) Criteria.--Subject to the limitations of subsections (c) and
(e), in determining whether to provide assistance to a State or local
government under this section and the amount of such assistance, the
President shall consider the following criteria:
``(1) The clear identification of prioritized cost-
effective mitigation activities that produce meaningful and
definable outcomes.
``(2) If the State has submitted a mitigation program in
cooperation with local governments under section 201(c), the
degree to which the activities identified in paragraph (1) are
consistent with the State mitigation program.
``(3) The extent to which assistance will fund activities
that mitigate hazards evaluated under section 409.
``(4) The opportunity to fund activities that maximize net
benefits to society.
``(5) The ability of the State or local government to fund
mitigation activities.
``(6) The extent to which assistance will fund mitigation
activities in small impoverished communities.
``(7) The level of interest by the private sector to enter
into a partnership to promote mitigation.
``(8) Such other criteria as the President establishes in
consultation with State and local governments.
``(e) State Nominations.--
``(1) In general.--The Governor of each State may recommend
to the President not less than 5 local governments to receive
assistance under this section. The recommendations shall be
submitted to the President not later than October 1, 1999, and
each October 1st thereafter or such later date in the year as
the President may establish. In making such recommendations,
the Governors shall consider the criteria identified in
subsection (d).
``(2) Use.--
``(A) General rule.--In providing assistance to
local governments under this section, the President
shall select from local governments recommended by the
Governors under this subsection.
``(B) Waiver.--Upon request of a local government,
the President may waive the limitation in subparagraph
(A) if the President determines that extraordinary
circumstances justify the waiver and that granting the
waiver will further the purpose of this section.
``(3) Effect of failure to nominate.--If a Governor of a
State fails to submit recommendations under this subsection in
a timely manner, the President may select, subject to the
criteria in subsection (d), any local governments of the State
to receive assistance under this section.
``(f) Small Impoverished Communities.--For the purpose of this
section, the term `small impoverished communities' means communities of
3,000 or fewer individuals that are economically disadvantaged, as
determined by the State in which the community is located and based on
criteria established by the President.
``(g) Federal Share.--Financial assistance provided under this
section may contribute up to 75 percent of the total cost of mitigation
activities approved by the President; except that the President may
contribute up to 90 percent of the total cost of mitigation activities
in small impoverished communities.
``(h) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $25,000,000 for fiscal year 1999
and $80,000,000 for fiscal year 2000.
``(i) Authorization of Section 404 Funds.--Effective October 1,
2000, in addition to amounts appropriated under subsection (h) from
only appropriations enacted after October 1, 2000, the President may
use, to carry out this section, funds that are appropriated to carry
out section 404 for post-disaster mitigation activities that have not
been obligated within 30 months of the disaster declaration upon which
the funding availability is based.
``(j) Report on Federal and State Administration.--Not later than
18 months after the date of the enactment of the Disaster Mitigation
and Cost Reduction Act of 1999, the President, in consultation with
State and local governments, shall transmit to Congress a report
evaluating efforts to implement this section and recommending a process
for transferring greater authority and responsibility for administering
the assistance program authorized by this section to capable States.''.
SEC. 105. INTERAGENCY TASK FORCE.
The President shall establish an interagency task force for the
purpose of coordinating the implementation of the predisaster hazard
mitigation program authorized by section 203 of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act. The Director of the
Federal Emergency Management Agency shall chair such task force.
SEC. 106. MAXIMUM CONTRIBUTION FOR MITIGATION COSTS.
(a) In General.--Section 404(a) (42 U.S.C. 5170c(a)) is amended by
striking ``15 percent'' and inserting ``20 percent''.
(b) Applicability.--The amendment made by subsection (a) shall
apply to major disasters declared under the Robert T. Stafford Disaster
Relief Act and Emergency Assistance Act after January 1, 1997.
SEC. 107. CONFORMING AMENDMENT.
The heading for title II is amended to read as follows:
``TITLE II--DISASTER PREPAREDNESS AND MITIGATION ASSISTANCE''.
TITLE II--STREAMLINING AND COST REDUCTION
SEC. 201. MANAGEMENT COSTS.
(a) In General.--Title III (42 U.S.C. 5141-5164) is amended by
adding at the end the following:
``SEC. 322. MANAGEMENT COSTS.
``(a) In General.--Notwithstanding any other provision of law
(including any administrative rule or guidance), the President shall
establish by rule management cost rates for grantees and subgrantees.
Such rates shall be used to determine contributions under this Act for
management costs.
``(b) Management Costs Defined.--Management costs include indirect
costs, administrative expenses, associated expenses, and any other
expenses not directly chargeable to a specific project under a major
disaster, emergency, or emergency preparedness activity or measure.
Such costs include the necessary costs of requesting, obtaining, and
administering Federal assistance and costs incurred by a State for
preparation of damage survey reports, final inspection reports, project
applications, final audits, and related field inspections by State
employees, including overtime pay and per diem and travel expenses of
such employees, but not including pay for regular time of such
employees.
``(c) Review.--The President shall review the management cost rates
established under subsection (a) not later than 3 years after the date
of establishment of such rates and periodically thereafter.''.
(b) Applicability.--Section 322 of the Robert T. Stafford Disaster
Relief and Emergency Assistance Act (as added by subsection (a) of this
section) shall apply as follows:
(1) Subsections (a) and (b) of such section 322 shall apply
to major disasters declared under such Act on or after the date
of the enactment of this Act. Until the date on which the
President establishes the management cost rates under such
subsection, section 406(f) shall be used for establishing such
rates.
(2) Subsection (c) of such section 322 shall apply to major
disasters declared under such Act on or after the date on which
the President establishes such rates under subsection (a) of
such section 322.
SEC. 202. ASSISTANCE TO REPAIR, RESTORE, RECONSTRUCT, OR REPLACE
DAMAGED FACILITIES.
(a) Contributions.--Section 406(a) (42 U.S.C. 5172(a)) is amended
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