[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3869 Introduced in House (IH)]







105th CONGRESS
  2d Session
                                H. R. 3869

     To amend the Robert T. Stafford Disaster Relief and Emergency 
  Assistance Act to authorize programs for predisaster mitigation, to 
   streamline the administration of disaster relief, to control the 
     Federal costs of disaster assistance, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 14, 1998

  Mr. Boehlert (for himself and Mr. Borski) introduced the following 
    bill; which was referred to the Committee on Transportation and 
                             Infrastructure

_______________________________________________________________________

                                 A BILL


 
     To amend the Robert T. Stafford Disaster Relief and Emergency 
  Assistance Act to authorize programs 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 Act of 1998''.

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) is amended to read as follows:
    ``(d) Grants for Disaster Assistance and Hazard Identification.--
The President is authorized to make grants for--
            ``(1) 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 hazard 
        identification technologies, including 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 hazard 
        identification 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 implementing predisaster hazard mitigation measures that 
reduce injuries, loss of life, and damage and destruction of property, 
including critical facilities and public infrastructure.
    ``(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.--
            ``(1) In general.--The amount of financial assistance to be 
        provided to a State, including amounts provided to local 
        governments of such State, under this section in a fiscal year 
        shall--
                    ``(A) not be less than the lesser of $500,000 or 
                2.5 percent of the total funds appropriated to carry 
                out this section for such fiscal year; but
                    ``(B) 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 under 
        section 201(c), the degree to which the activities identified 
        in paragraph (1) are consistent with the State mitigation 
        program.
            ``(3) The opportunity to fund activities that maximize net 
        benefits to society.
            ``(4) The ability of the State or local government to fund 
        mitigation activities.
            ``(5) The level of interest by the private sector to enter 
        into a partnership to promote mitigation.
            ``(6) Such other criteria as the President establishes in 
        consultation with State and local governments.
    ``(e) State Nominations.--
            ``(1) In general.--Not later than April 1 of fiscal year 
        1999 and each fiscal year thereafter, the Governor of each 
        State may recommend to the President not less than 5 local 
        governments to receive assistance under this section. In making 
        such recommendations, the Governors shall consider the criteria 
        identified in subsection (d).
            ``(2) Use.--In providing assistance to local governments 
        under this section, the President shall select from local 
        governments recommended by the Governors under this subsection.
            ``(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.--Not less than 10 percent of 
the total financial assistance provided under this section in a fiscal 
year shall be used to fund activities in 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. Notwithstanding subsection (g), the 
President may contribute up to 90 percent of the total cost of 
mitigation activities in such communities.
    ``(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.
    ``(h) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000 for each of fiscal 
years 1998, 1999, and 2000.
    ``(i) Authorization of Section 404 Funds.--In addition to amounts 
appropriated under subsection (h), 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 
3 years of the disaster declaration for which such funds are 
appropriated.
    ``(j) Report on State Administration.--Not later than 1 year after 
the date of enactment of the Disaster Mitigation Act of 1998, the 
President, in consultation with State and local governments, shall 
transmit to Congress a report recommending a process for transferring 
greater authority and responsibility for administering the assistance 
program authorized by this section to capable States.''.

SEC. 105. 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 EXPENSES.

    (a) In General.--Title III (42 U.S.C. 5141-5164) is amended by 
adding at the end the following:

``SEC. 322. MANAGEMENT EXPENSES.

    ``(a) In General.--Notwithstanding any other provision of law 
(including any administrative rule or guidance), for purposes of this 
title, the President shall establish by rule management cost rates for 
grantees and subgrantees. Such rates shall be used to determine 
contributions under section 406(a) for management and other associated 
expenses, which may include the costs, for performing eligible work, of 
mobilizing and employing the National Guard and using prison labor and 
other labor costs. Such rates may be based on a percentage of 
assistance provided to a grantee or subgrantee.
    ``(b) 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.
    ``(c) Other Expenses.--All payments for management costs shall be 
in lieu of any indirect costs, administrative expenses, or any other 
expenses not directly chargeable to a specific project under a major 
disaster, emergency, or emergency preparedness activity or measure.''.
    (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) Subsection (a) shall apply to major disasters declared 
        under such Act on or after the date of 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) Subsections (b) and (c) shall apply to major disasters 
        declared under such Act on or after the 90th day following 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 
to read as follows:
    ``(a) Contributions.--
            ``(1) In general.--The President may make contributions--
                    ``(A) to a State or local government for the 
                repair, restoration, reconstruction, or replacement of 
                a public facility which is damaged or destroyed by a 
                major disaster and for associated expenses incurred by 
                such government; and
                    ``(B) subject to paragraph (2), to a person who 
                owns or operates a private nonprofit facility damaged 
                or destroyed by a major disaster for the repair, 
                restoration, reconstruction, or replacement of such 
                facility and for associated expenses incurred by such 
                person.
            ``(2) Conditions for assistance to private nonprofit 
        facilities.--The President may make contributions to a private 
        nonprofit facility under paragraph (1)(B) only if the owner or 
        operator of the facility--
                    ``(A) has applied for a disaster loan under section 
                7(b) of the Small Business Act (15 U.S.C. 636(b)); and
                    ``(B)(i) has been determined to be ineligible for 
                such a loan; or
                    ``(ii) has obtained such a loan in the maximum 
                amount for which the Small Business Administration 
                determines the facility is eligible.''.
    (b) Minimum Federal Share.--Section 406(b) (42 U.S.C. 5172(b)) is 
amended to read as follows:
    ``(b) Minimum Federal Share.--The Federal share of assistance under 
this section shall be not less than 75 percent of the net eligible cost 
of repair, restoration, reconstruction, or replacement carried out 
under this section.''.
    (c) Large In-Lieu Contributions.--Section 406(c) (42 U.S.C. 
5172(c)) is amended to read as follows:
    ``(c) Large In-Lieu Contributions.--
            ``(1) For public facilities.--
                    ``(A) In general.--In any case in which a State or 
                local government determines that the public welfare 
                would not be best served by repairing, restoring, 
                reconstructing, or replacing any public facility owned 
                or controlled by such State or local government, the 
                State or local government may elect to receive, in lieu 
                of a contribution under subsection (a)(1)(A), a 
                contribution of 75 percent of the Federal share of the 
                Federal estimate of the cost of repairing, restoring, 
                reconstructing, or replacing such facility and of 
                management expenses.
                    ``(B) Use of funds.--Funds contributed to a State 
                or local government under this paragraph may be used to 
                repair, restore, or expand other eligible public 
                facilities, to construct eligible new facilities, or to 
                fund hazard mitigation measures which the State or 
                local government determines to be necessary to meet a 
                need for governmental services and functions in the 
                area affected by the major disaster.
            ``(2) For private nonprofit facilities.--
                    ``(A) In general.--In any case where a person who 
                owns or operates a private nonprofit facility 
                determines that the public welfare would not be best 
                served by repairing, restoring, reconstructing, or 
                replacing such facility, such person may elect to 
                receive, in lieu of a contribution under subsection 
                (a)(1)(B), a contribution of 75 percent of the Federal 
                share of the Federal estimate of the cost of repairing, 
                restoring, reconstructing, or replacing such facility 
                and of management expenses.
                    ``(B) Use of funds.--Funds contributed to a person 
                under this paragraph may be used to repair, restore, or 
                expand other eligible private nonprofit facilities 
                owned or operated by the person, to construct eligible 
                new private nonprofit facilities to be owned or 
                operated by the person, or to fund hazard mitigation 
                measures that the person determines to be necessary to 
                meet a need for its services and functions in the area 
                affected by the major disaster.
            ``(3) Modification of federal share.--The President shall 
        modify the Federal share of the cost estimate provided in 
        paragraphs (1) and (2) if the President determines an 
        alternative cost share will likely reduce the total amount of 
        Federal assistance provided under this section. The Federal 
        cost share for purposes of paragraphs (1) and (2) shall not 
        exceed 90 percent and shall not be less than 50 percent.''.
    (d) Net Eligible Cost.--
            (1) In general.--Section 406(e) (42 U.S.C. 5172(e)) is 
        amended to read as follows:
    ``(e) Net Eligible Cost.--
            ``(1) In general.--For the purposes of this section, the 
        estimate of the cost of repairing, restoring, reconstructing, 
        or replacing a public facility or private nonprofit facility on 
        the basis of the design of such facility as it existed 
        immediately before the major disaster and in conformity with 
        current applicable codes, specifications, and standards 
        (including floodplain management and hazard mitigation criteria 
        required by the President or by the Coastal Barrier Resources 
        Act (16 U.S.C. 3501 et seq.)) shall be treated as the net 
        eligible cost of such repair, restoration, reconstruction, or 
        replacement. Subject to paragraph (2), the President shall use 
        the cost estimation procedures developed under paragraph (3) to 
        make the estimate under this paragraph.
            ``(2) Modification of net eligible cost.--In the event the 
        actual cost of repairing, restoring, reconstructing, or 
        replacing a facility under this section is more than 120 
        percent or less than 80 percent of the cost estimated under 
        paragraph (1), the President may determine that the net 
        eligible cost be the actual cost of such repair, restoration, 
        reconstruction, or replacement.
            ``(3) Expert panel.--Not later than 18 months after the 
        date of enactment of the Disaster Mitigation Act of 1998, the 
        President, acting through the Director of the Federal Emergency 
        Management Agency, shall establish an expert panel, including 
        representatives from the construction industry, to develop 
        procedures for estimating the cost of repairing, restoring, 
        reconstructing, or replacing a facility consistent with 
        industry practices.
            ``(4) Special rule.--In any case in which the facility 
        being repaired, restored, reconstructed, or replaced under this 
        section was under construction on the date of the major 
        disaster, the cost of repairing, restoring, reconstructing, or 
        replacing such facility shall include, for purposes of this 
        section, only those costs which, under the contract for such 
        construction, are the owner's responsibility and not the 
        contractor's responsibility.''.
            (2) Effective date.--The amendment made by paragraph (1) 
        shall take effect on the date of enactment of this Act; except 
        that paragraph (1) of section 406(e) of the Robert T. Stafford 
        Disaster Relief and Emergency Assistance Act (as amended by 
        paragraph (1) of this subsection) shall take effect on the date 
        that the procedures developed under paragraph (3) of such 
        section take effect.
    (e) Associated Expenses.--
            (1) Repeal.--Section 406(f) (42 U.S.C. 5172(f)) is 
        repealed.
            (2) Effective date.--Paragraph (1) shall take effect on the 
        date on which the President establishes management cost rates 
        under section 322(a) of the Robert T. Stafford Disaster Relief 
        and Emergency Assistance Act (as added by section 201(a) of 
        this Act).

SEC. 203. FEDERAL ASSISTANCE TO INDIVIDUALS AND HOUSEHOLDS.

    (a) In General.--Section 408 (42 U.S.C. 5174) is amended to read as 
follows:

``SEC. 408. FEDERAL ASSISTANCE TO INDIVIDUALS AND HOUSEHOLDS.

    ``(a) General Authority.--Subject to the requirements of this 
section, the President, in consultation with the Governor of the 
affected State, may provide financial assistance, and, if necessary, 
direct services, to disaster victims who as a direct result of a major 
disaster have necessary expenses and serious needs for housing, 
personal property, medical, dental, or funeral services, 
transportation, and other needs.
    ``(b) Housing Assistance.--
            ``(1) Eligibility.--The President may provide financial or 
        other assistance under this section to individuals and families 
        to respond to the disaster-related housing needs of those who 
        are displaced from their predisaster primary residences or 
        whose predisaster residences are rendered uninhabitable as a 
        result of damage caused by a major disaster.
            ``(2) Determination of appropriate types of assistance.--
        The President shall determine appropriate types of housing 
        assistance to be provided to disaster victims under this 
        section based upon considerations of cost effectiveness, 
        convenience to disaster victims, and such other factors as the 
        President may consider appropriate. One or more types of 
        housing assistance may be made available, based on the 
        suitability and availability of the types of assistance, to 
        meet the needs of disaster victims in the particular disaster 
        situation.
    ``(c) Types of Housing Assistance.--
            ``(1) Temporary housing.--
                    ``(A) Financial assistance.--
                            ``(i) In general.--The President may 
                        provide financial assistance under this section 
                        to individuals or households to rent alternate 
                        housing accommodations, existing rental units, 
                        manufactured housing, recreational vehicles, or 
                        other readily fabricated dwellings.
                            ``(ii) Amount.--The amount of assistance 
                        under clause (i) shall be based on the fair 
                        market rent for the accommodation being 
                        furnished plus the cost of any transportation, 
                        utility hookups, or unit installation not being 
                        directly provided by the President.
                    ``(B) Direct assistance.--
                            ``(i) In general.--The President may also 
                        directly provide under this section housing 
                        units, acquired by purchase or lease, to 
                        individuals or households who, because of a 
                        lack of available housing resources, would be 
                        unable to make use of the assistance provided 
                        under subparagraph (A).
                            ``(ii) Period of assistance.--The President 
                        may not provide direct assistance under clause 
                        (i) with respect to a major disaster after the 
                        expiration of the 18-month period beginning on 
                        the date of the declaration of the major 
                        disaster by the President, except that the 
                        President may extend such period if the 
                        President determines that due to extraordinary 
                        circumstances an extension would be in the 
                        public interest.
                            ``(iii) Collection of rental charges.--
                        After the expiration of the 18-month period 
                        referred to in clause (ii), the President may 
                        charge fair market rent for the accommodation 
                        being provided.
            ``(2) Repairs.--The President may provide financial 
        assistance for the repair of owner-occupied private residences, 
        utilities, and residential infrastructure (such as private 
        access routes) damaged by a major disaster to a habitable or 
        functioning condition if such assistance cannot be provided by 
        voluntary organization assistance or insurance proceeds.
            ``(3) Replacement.--The President may provide financial 
        assistance for the replacement of owner-occupied private 
        residences damaged by a major disaster if such assistance 
        cannot be provided by voluntary organization assistance or 
        insurance proceeds. Assistance under this paragraph shall be 
        limited to households with an annual income that is less than 
        the national median income, as determined by the Secretary of 
        Commerce. Assistance provided under this paragraph shall not 
        exceed $10,000 (based on fiscal year 1998 constant dollars). 
        The President may not waive any provision of Federal law 
        requiring the purchase of flood insurance as a condition for 
        the receipt of Federal disaster assistance with respect to 
        assistance provided under this paragraph.
            ``(4) Permanent housing construction.--The President may 
        provide financial assistance or direct assistance under this 
        section to individuals or households to construct permanent 
        housing in insular areas outside the continental United States 
        and other remote locations in cases in which--
                    ``(A) no alternative housing resources are 
                available;
                    ``(B) the types of temporary housing assistance 
                described in paragraph (1) are unavailable, infeasible, 
                or not cost effective; and
                    ``(C) housing needs cannot be met by voluntary 
                organization assistance, insurance proceeds, or 
                disaster loan benefits available from the Small 
                Business Administration.
    ``(d) Terms and Conditions Relating to Housing Assistance.--
            ``(1) Sites.--Any readily fabricated dwelling provided 
        under this section shall, whenever possible, be located on a 
        site complete with utilities, and shall be provided by the 
        State or local government, by the owner of the site, or by the 
        occupant who was displaced by the major disaster. Readily 
        fabricated dwellings may be located on sites provided by the 
        President if the President determines that such sites would be 
        more economical or accessible.
            ``(2) Disposal of units.--
                    ``(A) Sale to occupants.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of law, a temporary housing 
                        unit purchased under this section by the 
                        President for the purposes of housing disaster 
                        victims may be sold directly to the individual 
                        or household who is occupying the unit if the 
                        individual or household needs permanent 
                        housing.
                            ``(ii) Sales price.--Sales of temporary 
                        housing units under clause (i) shall be 
                        accomplished at prices that are fair and 
                        equitable.
                            ``(iii) Deposit of proceeds.--
                        Notwithstanding any other provision of law, the 
                        proceeds of a sale under clause (i) shall be 
                        deposited into the appropriate Disaster Relief 
                        Fund account.
                            ``(iv) Use of gsa services.--The President 
                        may use the services of the General Services 
                        Administration to accomplish a sale under 
                        clause (i).
                    ``(B) Other methods of disposal.--
                            ``(i) Sale.--If not disposed of under 
                        subparagraph (A), a temporary housing unit 
                        purchased by the President for the purposes of 
                        housing disaster victims may be resold.
                            ``(ii) Disposal to governments and 
                        voluntary organizations.--A temporary housing 
                        unit described in clause (i) may also be sold, 
                        transferred, donated, or otherwise made 
                        available directly to a State or other 
                        governmental entity or to a voluntary 
                        organization for the sole purpose of providing 
                        temporary housing to disaster victims in major 
                        disasters and emergencies if, as a condition of 
                        such sale, transfer, or donation, the State, 
                        other governmental agency, or voluntary 
                        organization agrees--
                                    ``(I) to comply with the 
                                nondiscrimination provisions of section 
                                308; and
                                    ``(II) to obtain and maintain 
                                hazard and flood insurance on the 
                                housing unit.
    ``(e) Financial Assistance To Address Other Needs.--
            ``(1) Medical, dental, and funeral expenses.--The 
        President, in consultation with the Governor of the affected 
        State, may provide financial assistance under this section to 
        an individual or household adversely affected by a major 
        disaster to meet disaster-related medical, dental, and funeral 
        expenses if such individual or household is unable to meet such 
        needs through insurance proceeds or voluntary organization 
        assistance.
            ``(2) Personal property, transportation, and other 
        expenses.--The President, in consultation with the Governor of 
        the affected State, may provide financial assistance under this 
        section to an individual or household described in paragraph 
        (1) to address personal property, transportation, and other 
        necessary expenses or serious needs resulting from the major 
        disaster if such expenses or needs cannot be met through 
        insurance proceeds, voluntary agency assistance, or through 
        loan assistance from the Small Business Administration.
    ``(f) State Role.--The President shall provide for the substantial 
and ongoing involvement of the affected State in administering the 
assistance under this section.
    ``(g) Maximum Amount of Assistance.--No individual or household 
shall receive financial assistance greater than $25,000 under this 
section with respect to a single major disaster. Such limit shall be 
adjusted annually to reflect changes in the Consumer Price Index for 
all Urban Consumers published by the Department of Labor.
    ``(h) Issuance of Regulations.--The President shall issue rules and 
regulations to carry out the program, including criteria, standards, 
and procedures for determining eligibility for assistance.''.
    (b) Conforming Amendment.--Section 502(a)(6) (42 U.S.C. 5192(a)(6)) 
is amended by striking ``temporary housing''.
    (c) Repeal of Individual and Family Grant Programs.--Section 411 
(42 U.S.C. 5178) is repealed.

SEC. 204. REPEALS.

    (a) Community Disaster Loans.--Section 417 (42 U.S.C. 5184) is 
repealed.
    (b) Simplified Procedure.--Section 422 (42 U.S.C. 5189) is 
repealed.

SEC. 205. STATE ADMINISTRATION OF HAZARD MITIGATION PROGRAM.

    Section 404 (42 U.S.C. 5170c) is amended by adding at the end the 
following:
    ``(c) Program Administration by States.--
            ``(1) In general.--A State desiring to administer the 
        hazard mitigation assistance program established by this 
        section with respect to hazard mitigation assistance in the 
        State may submit to the President an application for the 
        delegation of such authority.
            ``(2) Criteria.--The President, in consultation with States 
        and local governments, shall establish criteria for the 
        approval of applications submitted under paragraph (1). The 
        criteria shall include, at a minimum, the following:
                    ``(A) The demonstrated ability of the State to 
                manage the grant program under this section.
                    ``(B) Submission of the plans required under 
                section 201.
                    ``(C) A demonstrated commitment to mitigation 
                activities.
            ``(3) Approval.--The President shall approve an application 
        submitted under paragraph (1) that meets the criteria 
        established under paragraph (2).
            ``(4) Withdrawal of approval.--If, after approving an 
        application of a State submitted under paragraph (1), the 
        President determines that the State is not administering the 
        hazard mitigation assistance program established by this 
        section in a manner satisfactory to the President, the 
        President shall withdraw such approval.
            ``(5) Audits.--The President shall provide for periodic 
        audits of the hazard mitigation assistance programs 
        administered by States under this subsection.''.

SEC. 206. STATE ADMINISTRATION OF DAMAGED FACILITIES PROGRAM.

    (a) Pilot Program.--The President, in cooperation with States and 
local governments, shall conduct a pilot program for the purpose of 
determining the desirability of State administration of parts of the 
assistance program established by section 406 of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5172).
    (b) State Participation.--
            (1) Criteria.--The President may establish criteria in 
        order to ensure the appropriate implementation of the pilot 
        program under subsection (a).
            (2) Number of states.--The President shall conduct the 
        pilot program under subsection (a) in at least 2 States and not 
        more than 4 States.
    (c) Report.--Not later than 4 years after the date of enactment of 
this Act, the President shall transmit to Congress a report describing 
the results of the pilot program conducted under subsection (a), 
including an identification of any administrative or financial 
benefits. Such report shall also include recommendations on the 
conditions, if any, under which States should be allowed the option to 
administer parts of the assistance program under section 406 of the 
Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5172).

SEC. 207. STUDY REGARDING COST REDUCTION.

    Not later than 4 years after the date of enactment of this Act, the 
Comptroller General of the United States shall conduct a study to 
estimate the reduction in Federal disaster assistance that has resulted 
and is likely to result from the enactment of this Act.

SEC. 208. STUDY REGARDING INSURANCE FOR PUBLIC INFRASTRUCTURE.

    The Comptroller General of the United States shall conduct a study 
to determine the current and future expected availability of insurance 
for public infrastructure eligible for assistance under section 406 of 
the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5170).

                        TITLE III--MISCELLANEOUS

SEC. 301. TECHNICAL CORRECTION OF SHORT TITLE.

    The first section (42 U.S.C. 5121 note) is amended to read as 
follows:

``SECTION 1. SHORT TITLE.

    ``This Act may be cited as the `Robert T. Stafford Disaster Relief 
and Emergency Assistance Act'.''.
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