[Congressional Record Volume 166, Number 208 (Wednesday, December 9, 2020)]
[Senate]
[Pages S7375-S7377]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SAFEGUARDING TOMORROW THROUGH ONGOING RISK MITIGATION ACT OF 2020
Mr. INHOFE. Mr. President, I ask unanimous consent that the Senate
proceed to the immediate consideration of Calendar No. 511, S. 3418.
The PRESIDING OFFICER. The clerk will report the bill by title.
The senior assistant legislative clerk read as follows:
A bill (S. 3418) to amend the Robert T. 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 hazard mitigation assistance to
reduce risks from disasters and natural hazards, and other
related environmental harm.
There being no objection, the Senate proceeded to consider the bill,
which had been reported from the Committee on Homeland Security and
Governmental Affairs with an amendment as follows:
(The parts of the bill intended to be stricken are shown in boldface
brackets and the parts of the bill intended to be inserted are shown in
italics.
S. 3418
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 ``Safeguarding Tomorrow
through Ongoing Risk Mitigation Act of 2020'' or the ``STORM
Act''.
SEC. 2. GRANTS TO ENTITIES FOR ESTABLISHMENT OF HAZARD
MITIGATION REVOLVING LOAN FUNDS.
Title II of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5131 et seq.) is amended
by adding at the end the following:
``SEC. 205. GRANTS TO ENTITIES FOR ESTABLISHMENT OF HAZARD
MITIGATION REVOLVING LOAN FUNDS.
``(a) General Authority.--
``(1) In general.--The Administrator may enter into
agreements with eligible entities to make capitalization
grants to such entities for the establishment of hazard
mitigation revolving loan funds (referred to in this section
as `entity loan funds') for providing funding assistance to
local governments to carry out eligible projects under this
section to reduce disaster risk in order to decrease--
``(A) the loss of life and property;
``(B) the cost of insurance; and
``(C) Federal disaster payments.
``(2) Agreements.--Any agreement entered into under this
section shall require the participating entity to--
``(A) comply with the requirements of this section; and
``(B) use accounting, audit, and fiscal procedures
conforming to generally accepted accounting standards.
``(b) Application.--
``(1) In general.--To be eligible to receive a
capitalization grant under this section, an eligible entity
shall submit to the Administrator an application that
includes the following:
``(A) Project proposals comprised of local government
hazard mitigation projects, on the condition that the entity
provides public notice not less than 6 weeks prior to the
submission of an application.
``(B) An assessment of recurring major disaster
vulnerabilities impacting the entity that demonstrates a risk
to life and property.
``(C) A description of how the hazard mitigation plan of
the entity has or has not taken the vulnerabilities described
in subparagraph (B) into account.
``(D) A description about how the projects described in
subparagraph (A) could conform with the hazard mitigation
plan of the entity and of the unit of local government.
``(E) A proposal of the systematic and regional approach to
achieve resilience in a vulnerable area, including impacts to
river basins, river corridors, watersheds, estuaries, bays,
coastal regions, micro-basins, micro-watersheds, ecosystems,
and areas at risk of earthquakes, tsunamis, droughts, and
wildfires.
``(2) Technical assistance.--The Administrator shall
provide technical assistance to eligible entities for
applications under this section.
``(c) Entity Loan Fund.--
``(1) Establishment of fund.--An entity that receives a
capitalization grant under this section shall establish an
entity loan fund that complies with the requirements of this
subsection.
``(2) Fund management.--Except as provided in paragraph
(3), entity loan funds shall--
``(A) be administered by the agency responsible for
emergency management; and
``(B) include only--
``(i) funds provided by a capitalization grant under this
section;
``(ii) repayments of loans under this section to the entity
loan fund; and
``(iii) interest earned on amounts in the entity loan fund.
``(3) Administration.--A participating entity may combine
the financial administration of the entity loan fund of such
entity with the financial administration of any other
revolving fund established by such entity if the
Administrator determines that--
``(A) the capitalization grant, entity share, repayments of
loans, and interest earned on amounts in the entity loan fund
are accounted for separately from other amounts in the
revolving fund; and
``(B) the authority to establish assistance priorities and
carry out oversight activities remains in the control of the
entity agency responsible for emergency management.
``(4) Entity share of funds.--
``(A) In general.--On or before the date on which a
participating entity receives a capitalization grant under
this section, the entity shall deposit into the entity loan
fund of such entity, an amount equal to not less than 10
percent of the amount of the capitalization grant.
``(B) Reduced grant.--If, with respect to a capitalization
grant under this section, a participating entity deposits in
the entity loan fund of the entity an amount that is less
than 10 percent of the total amount of the capitalization
grant that the participating entity would otherwise receive,
the Administrator shall reduce the amount of
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the capitalization grant received by the entity to the amount
that is 10 times the amount so deposited.
``(d) Apportionment.--
``(1) In general.--Except as otherwise provided by this
subsection, the Administrator shall apportion funds made
available to carry out this section to entities that have
entered into an agreement under subsection (a)(2) in amounts
as determined by the Administrator.
``(2) Reservation of funds.--The Administrator shall
reserve not more than 2.5 percent of the amount made
available to carry out this section for the [Federal
Emergency Management] Agency for--
``(A) administrative costs incurred in carrying out this
section;
``(B) providing technical assistance to participating
entities under subsection (b)(2); and
``(C) capitalization grants to insular areas under
paragraph (4).
``(3) Priority.--In the apportionment of capitalization
grants under this subsection, the Administrator shall give
priority to entity applications under subsection (b) that--
``(A) propose projects increasing resilience and reducing
risk of harm to natural and built infrastructure;
``(B) involve a partnership between two or more eligible
entities to carry out a project or similar projects;
``(C) take into account regional impacts of hazards on
river basins, river corridors, micro-watersheds, macro-
watersheds, estuaries, lakes, bays, and coastal regions and
areas at risk of earthquakes, tsunamis, droughts, and
wildfires; or
``(D) propose projects for the resilience of major economic
sectors or critical national infrastructure, including ports,
global commodity supply chain assets (located within an
entity or within the jurisdiction of local governments,
insular areas, and [tribal] Tribal governments), power and
water production and distribution centers, and bridges and
waterways essential to interstate commerce.
``(4) Insular areas.--
``(A) Apportionment.--From any amount remaining of funds
reserved under paragraph (2), the Administrator may enter
into agreements to provide capitalization grants to insular
areas.
``(B) Requirements.--An insular area receiving a
capitalization grant under this section shall comply with the
requirements of this section as applied to participating
entities.
``(e) Environmental Review of Revolving Loan Fund
Projects.--The Administrator may delegate to a participating
entity all of the responsibilities for environmental review,
decision making, and action pursuant the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.),
and other applicable Federal environmental laws including the
Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.) and
the National Historic Preservation Act of 1966 [(16 U.S.C.
470 et seq.)] (54 U.S.C. 300101 et seq.) that would apply to
the Administrator were the Administrator to undertake
projects under this section as Federal projects so long as
the participating entity [carry] carries out such
responsibilities in the same manner and subject to the same
requirements as if the Administrator carried out such
responsibilities.
``(f) Use of Funds.--
``(1) Types of assistance.--Amounts deposited in an entity
loan fund, including loan repayments and interest earned on
such amounts, may be used--
``(A) to make loans, on the condition that--
``(i) such loans are made at an interest rate of not more
than 1 percent;
``(ii) annual principal and interest payments will commence
not later than 1 year after completion of any project and all
loans made under this subparagraph will be fully amortized--
``(I) not later than 20 years after the date on which the
project is completed; or
``(II) for projects in a low-income geographic area, not
later than 30 years after the date on which the project is
completed and not longer than the expected design life of the
project;
``(iii) the loan recipient of a loan under this
subparagraph establishes a dedicated source of revenue for
repayment of the loan;
``(iv) the loan recipient of a loan under this subparagraph
has a hazard mitigation plan that has been approved by the
Administrator; and
``(v) the entity loan fund will be credited with all
payments of principal and interest on all loans made under
this subparagraph;
``(B) for mitigation efforts, in addition to mitigation
planning under section 322 not to exceed 10 percent of the
capitalization grants made to the participating entity in a
fiscal year;
``(C) for the reasonable costs of administering the fund
and conducting activities under this section, except that
such amounts shall not exceed $100,000 per year, 2 percent of
the capitalization grants made to the participating entity in
a fiscal year, or 1 percent of the value of the entity loan
fund, whichever amount is greatest, plus the amount of any
fees collected by the entity for such purpose regardless of
the source; and
``(D) to earn interest on the entity loan fund.
``(2) Prohibition on determination that loan is a
duplication.--In carrying out this section, the Administrator
may not determine that a loan is a duplication of assistance
or programs under this Act.
``(3) Projects and activities eligible for assistance.--
Except as provided in this subsection, a participating entity
may use funds in the entity loan fund to provide financial
assistance for projects or activities that mitigate the
impacts of natural hazards including--
``(A) drought and prolonged episodes of intense heat;
``(B) severe storms, including hurricanes, tornados, wind
storms, cyclones, and severe winter storms;
``(C) wildfires;
``(D) earthquakes;
``(E) flooding;
``(F) shoreline erosion;
``(G) high water levels; and
``(H) storm surges.
``(4) Zoning and land use planning changes.--A
participating entity may use not more than 10 percent of a
capitalization grant under this section to enable units of
local government to implement zoning and land use planning
changes focused on--
``(A) the development and improvement of zoning and land
use codes that incentivize and encourage low-impact
development, resilient wildland-urban interface land
management and development, natural infrastructure, green
stormwater management, conservation areas adjacent to
floodplains, implementation of watershed or greenway master
plans, and reconnection of floodplains;
``(B) the study and creation of agricultural risk
compensation districts where there is a desire to remove or
set-back levees protecting highly developed agricultural land
to mitigate for flooding, allowing agricultural producers to
receive compensation for assuming greater flood risk that
would alleviate flood exposure to population [s] centers and
areas with critical national infrastructure;
``(C) the study and creation of land use incentives that
reward developers for greater reliance on low impact
development stormwater best management practices, exchange
density increases for increased open space and improvement of
neighborhood catch basins to mitigate urban flooding, reward
developers for including and augmenting natural
infrastructure adjacent to and around building projects
without reliance on increased sprawl, and reward developers
for addressing wildfire ignition; and
``(D) the study and creation of an erosion response plan
that accommodates river, lake, forest, plains, and ocean
shoreline retreating or bluff stabilization due to increased
flooding and disaster impacts.
``(5) Establishing and carrying out building code
enforcement.--A participating entity may use capitalization
grants under this section to enable units of local government
to establish and carry out the latest published editions of
relevant building codes, specifications, and standards for
the purpose of protecting the health, safety, and general
welfare of the building [s] users against disasters and
natural hazards.
``(6) Administrative and technical costs.--For each fiscal
year, a participating entity may use the amount described in
paragraph (1)(C) to--
``(A) pay the reasonable costs of administering the
programs under this section, including the cost of
establishing an entity loan fund; and
``(B) provide technical assistance to recipients of
financial assistance from the entity loan fund, on the
condition that such technical assistance does not exceed 5
percent of the capitalization grant made to such entity.
``(7) Limitation for single projects.--A participating
entity may not provide an amount equal to or more than
$5,000,000 to a single hazard mitigation project.
``(g) Intended Use Plans.--
``(1) In general.--After providing for public comment and
review, and consultation with appropriate government agencies
of the State or Indian Tribe, Federal agencies, and interest
groups, each participating entity shall annually prepare and
submit to the Administrator a plan identifying the intended
uses of the entity loan fund.
``(2) Contents of plan.--An entity intended use plan
prepared under paragraph (1) shall include--
``(A) the integration of entity planning efforts, including
entity hazard mitigation plans and other programs and
initiatives relating to mitigation of major disasters carried
out by such entity;
``(B) an explanation of the mitigation and resiliency
benefits the entity intends to achieve by--
``(i) reducing future damage and loss associated with
hazards;
``(ii) reducing the number of severe repetitive loss
structures and repetitive loss structures in the entity;
``(iii) decreasing the number of insurance claims in the
entity from injuries resulting from major disasters or other
natural hazards; and
``(iv) increasing the rating under the community rating
system under section 1315(b) of the National Flood Insurance
Act of 1968 (42 U.S.C. 4022(b)) for communities in the
entity;
``(C) information on the availability of, and application
process for, financial assistance from the entity loan fund
of such entity;
``(D) the criteria and methods established for the
distribution of funds;
``(E) the amount of financial assistance that the entity
anticipates apportioning;
``(F) the expected terms of the assistance provided from
the entity loan fund; and
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``(G) a description of the financial status of the entity
loan fund, including short-term and long-term goals for the
fund.
``(h) Audits, Reports, Publications, and Oversight.--
``(1) Biennial entity audit and report.--Beginning not
later than the last day of the second fiscal year after the
receipt of payments under this section, and biennially
thereafter, any participating entity shall--
``(A) conduct an audit of [such] the entity loan fund
established under subsection [(b)] (c); and
``(B) provide to the Administrator a report including--
``(i) the result of any such audit; and
``(ii) a review of the effectiveness of the entity loan
fund of the entity with respect to meeting the goals and
intended benefits described in the intended use plan
submitted by the entity under subsection [(f)] (g).
``(2) Publication.--A participating entity shall publish
and periodically update information about all projects
receiving funding from the entity loan fund of such entity,
including--
``(A) the location of the project;
``(B) the type and amount of assistance provided from the
entity loan fund;
``(C) the expected funding schedule; and
``(D) the anticipated date of completion of the project.
``(3) Oversight.--
``(A) In general.--The Administrator shall, at least every
4 years, conduct reviews and audits as may be determined
necessary or appropriate by the Administrator to carry out
the objectives of this section and determine the
effectiveness of the fund in reducing natural hazard risk.
``(B) GAO requirements.--[The] A participating entity shall
conduct audits under paragraph (1) in accordance with the
auditing procedures of the Government Accountability Office,
including generally accepted government auditing standards.
``(C) Recommendations by administrator.--The Administrator
may at any time make recommendations for or require specific
changes to an entity loan fund in order to improve the
effectiveness of the fund.
``(i) Regulations or Guidance.--The Administrator shall
issue such regulations or guidance as are necessary to--
``(1) ensure that each participating entity uses funds as
efficiently as possible;
``(2) reduce waste, fraud, and abuse to the maximum extent
possible; and
``(3) require any party that receives funds directly or
indirectly under this section, including a participating
entity and a recipient of amounts from an entity loan fund,
to use procedures with respect to the management of the funds
that conform to generally accepted accounting standards.
``(j) Liability Protections.--The [Federal Emergency
Management] Agency shall not be liable for any claim based on
the exercise or performance of, or the failure to exercise or
perform, a discretionary function or duty by the Agency, or
an employee of the Agency in carrying out this section.
``(k) Definitions.--In this section, the following
definitions apply:
``(1) Administrator.--The term `Administrator' means the
Administrator of the Federal Emergency Management Agency.
``(2) Agency.--The term `Agency' means the Federal
Emergency Management Agency.
``(3) Eligible entity.--The term `eligible entity' means--
``(A) a State; or
``(B) an Indian [tribal] Tribal government that has
received a major disaster declaration during the 5-year
period ending on the date of enactment of the STORM Act.
``(4) Hazard mitigation plan.--The term `hazard mitigation
plan' means a mitigation plan submitted under section 322.
``(5) Insular area.--The term `insular area' means Guam,
American Samoa, the Commonwealth of the Northern Mariana
Islands, and the United States Virgin Islands.
``(6) Low-income geographic area.--The term `low-income
geographic area' means an area described in paragraph (1) or
(2) of section 301(a) of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3161(a)).
``(7) Participating entity.--The term `participating
entity' means an eligible entity that has entered into an
agreement under this section.
``(8) Repetitive loss structure.--The term `repetitive loss
structure' has the meaning given the term in section 1370 of
the National Flood Insurance Act of 1968 (42 U.S.C. 4121).
``(9) Severe repetitive loss structure.--The term `severe
repetitive loss structure' has the meaning given the term in
section 1366(h) of the National Flood Insurance Act of 1968
(42 U.S.C. 4104c(h)).
``(10) State.--The term `State' means any State of the
United States, the District of Columbia, and Puerto Rico.
``(l) Authorization of Appropriations.--There are
authorized to be appropriated $100,000,000 for each of fiscal
years 2021 through 2023 to carry out this section.''.
Mr. INHOFE. I ask unanimous consent that the committee-reported
amendments be withdrawn, the Peters substitute amendment at the desk be
considered and agreed to; the bill, as amended, be considered read a
third time and passed and that the motion to reconsider be considered
made and laid upon the table.
The PRESIDING OFFICER. Without objection, it is so ordered.
The committee-reported amendments were withdrawn.
The amendment (No. 2697), in the nature of a substitute, was agreed
to, as follows:
(The amendment is printed in today's Record under ``Text of
Amendments.'')
The bill (S. 3418), as amended, was ordered to be engrossed for a
third reading, was read the third time, and passed.
____________________