[Congressional Record Volume 172, Number 36 (Tuesday, February 24, 2026)]
[Senate]
[Pages S652-S654]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. DURBIN (for himself and Ms. Duckworth):
  S. 3895. A bill to require rulemaking by the Administrator of the 
Federal Emergency Management Agency to address considerations in 
evaluating the need for public and individual disaster assistance, and 
for other purposes; to the Committee on Homeland Security and 
Governmental Affairs.

[[Page S653]]

  


                                S. 3895

       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 ``Fairness in Federal Disaster 
     Declarations Act of 2026''.

     SEC. 2. REGULATORY ACTION REQUIRED.

       (a) In General.--Not later than 120 days after the date of 
     enactment of this Act, the Administrator of the Federal 
     Emergency Management Agency (in this Act referred to as the 
     ``Administrator'') shall amend the rules of the Administrator 
     under section 206.48 of title 44, Code of Federal 
     Regulations, as in effect on the date of enactment of this 
     Act, in accordance with the provisions of this Act.
       (b) New Criteria Required.--The amended rules issued under 
     subsection (a) shall provide for the following:
       (1) Public assistance program.--Such rules shall provide 
     that, with respect to the evaluation of the need for public 
     assistance--
       (A) specific weighted valuations shall be assigned to each 
     criterion, including--
       (i) estimated cost of the assistance, 10 percent;
       (ii) localized impacts, 40 percent;
       (iii) insurance coverage in force, 10 percent;
       (iv) hazard mitigation, 10 percent;
       (v) recent multiple disasters, 10 percent;
       (vi) programs of other Federal assistance, 10 percent; and
       (vii) economic circumstances described in subparagraph (B), 
     10 percent; and
       (B) the Administrator shall consider the economic 
     circumstances of--
       (i) the local economy of the area affected by the disaster, 
     including factors such as the local assessable tax base and 
     local sales tax, the median income as it compares to that of 
     the State, and the poverty rate as it compares to that of the 
     State; and
       (ii) the economy of the State, including factors such as 
     the unemployment rate of the State, as compared to the 
     national unemployment rate.
       (2) Individual assistance program.--Such rules shall 
     provide that, with respect to the evaluation of the severity, 
     magnitude, and impact of the disaster and the evaluation of 
     the need for assistance to individuals--
       (A) specific weighted valuations shall be assigned to each 
     criterion, including--
       (i) concentration of damages, 20 percent;
       (ii) trauma, 20 percent;
       (iii) special populations, 20 percent;
       (iv) voluntary agency assistance, 10 percent;
       (v) insurance, 20 percent;
       (vi) average amount of individual assistance by State, 5 
     percent; and
       (vii) economic considerations described in subparagraph 
     (B), 5 percent; and
       (B) the Administrator shall consider the economic 
     circumstances of the area affected by the disaster, including 
     factors such as the local assessable tax base and local sales 
     tax, the median income as it compares to that of the State, 
     and the poverty rate as it compares to that of the State.
       (c) Effective Date.--The amended rules issued under 
     subsection (a) shall apply to any disaster for which a 
     Governor requested a major disaster declaration under the 
     Robert T. Stafford Disaster Relief and Emergency Assistance 
     Act (42 U.S.C. 5121 et seq.) that was denied on or after 
     January 1, 2012.
                                 ______
                                 
      By Ms. WARREN (for herself, Mr. Merkley, Ms. Klobuchar, Ms. 
        Smith, Mr. Blumenthal, Ms. Duckworth, Mr. Durbin, Mr. Heinrich, 
        Ms. Hirono, Mr. Kaine, Mr. Kim, Mr. Markey, Mr. Murphy, Mr. 
        Schatz, Mr. Sanders, Mr. Schiff, Mr. Van Hollen, Mr. Welch, and 
        Mr. Booker):
  S. 3904. A bill to amend the Internal Revenue Code of 1986 to deny 
interest and depreciation deductions for certain taxpayers, and for 
other purposes; to the Committee on Finance.
  Mr. VAN HOLLEN. Mr. President, today, I am cosponsoring the American 
Homeownership Act. When Wall Street buys up homes in communities across 
the country, we have all too often seen families get squeezed by higher 
costs and abusive landlords. This bill is an important step toward 
making a home more affordable and accessible. It would limit tax breaks 
for private equity firms and big corporations that acquire housing, 
expand investments in affordable housing programs, and crack down on 
companies that take control of the housing supply in a community.
  As we work to tackle Wall Street's role in our housing market, it is 
critical that we support efforts to rehabilitate existing housing stock 
and revitalize neighborhoods with new investment. I appreciate Senator 
Warren's thoughtful consideration of these issues, and I will work with 
my colleagues to ensure they are effectively addressed in this 
legislation.
      By Mr. REED:
  S. 3907. A bill to amend the GENIUS Act to require foreign payment 
stablecoin issuers to undergo an annual audit similar to United States 
payment stablecoin issuers, and for other purposes; to the Committee on 
Banking, Housing, and Urban Affairs.
  Mr. REED. Mr. President, today I am introducing the Foreign 
Stablecoin Transparency Act. This important legislation would close a 
loophole in the Guiding and Establishing National Innovation for U.S. 
Stablecoins, or GENIUS, Act by extending a provision that requires 
large U.S. stablecoin issuers to undergo a full financial statement 
audit to also cover large foreign stablecoin issuers that offer and 
sell their products to U.S. investors.
  Stablecoins are cryptocurrencies whose value is pegged to a real-
world asset, which under the GENIUS Act is the U.S. dollar. The basic 
promise that stablecoin issuers make to their holders is that a 
stablecoin will always be redeemable for a dollar on demand. You give a 
stablecoin company a dollar, the company gives you back an IOU that is 
recorded on a blockchain. The stablecoin company takes your dollar and 
invests it in various safe assets that are purportedly able to be 
liquidated at any time to meet redemption requests.
  All kinds of companies that handle the American peoples' money must 
undergo financial statement audits. U.S.-based dollar stablecoin 
issuers with $50 billion of stablecoins in circulation must get an 
audit. Banks of all sizes must get audits, even the smallest community 
banks. Many States require licensed money transmitters to submit 
audited financial statements to provide transparency and verify their 
financial health. Even unregistered private funds that are sponsored by 
U.S. investment advisers must get audits. And of course, all public 
companies must get audits. So it strikes me as entirely sensible to 
extend this very same requirement to foreign issuers of dollar-backed 
stablecoins, which handle Americans' money--just like so many other 
institutions that are subject to audit requirements.
  Unless stablecoin issuers are audited, there is no independent 
verification that the company has enough assets to cover all 
stablecoins in circulation. Instead, holders must take the word of the 
issuer. If the issuer does not have sufficient reserves or is found to 
be cooking the books, then a stablecoin company may experience a 
``run'' on its assets and holders will not be able to get their money 
back despite being sold something that they are told is safe and 
redeemable on demand. That is why we need audits of all companies that 
issue dollar-backed stablecoins to Americans.
  A major flaw of the GENIUS Act is that stablecoins issued by 
companies with headquarters outside the United States are not required 
to undergo audits. Unless this flaw is addressed, the world's largest 
dollar-backed stablecoin--Tether, which is based in El Salvador--can be 
freely offered, sold, and used by Americans without being compelled to 
provide a full accounting of the reserves backing its coin. Tether 
purportedly has $187 billion in assets and is an essential piece of the 
crypto financial system plumbing. All manner of crypto-assets are 
bought and sold not with fiat currency, but with dollar-backed 
stablecoins like Tether.
  During his confirmation hearing before the Senate Commerce Committee 
in 2025 Commerce Secretary Howard Lutnick testified, ``I believe U.S. 
dollar-backed stablecoins should be fully audited.'' Earlier this week 
before the Senate Appropriations Committee, I asked him whether this 
specific statement included Tether, and he said ``I absolutely agree 
with you, Tether should be audited.
  Although Secretary Lutnick has no formal role in overseeing 
cryptocurrency, he has significant experience in this area. His former 
investment bank Cantor Fitzgerald has very deep ties to Tether. Cantor 
owns a 5 percent stake in the company, manages the reserves backing its 
stablecoin, and has cosponsored various crypto investment funds with 
Tether.
  My legislation would require foreign stablecoins backed by the U.S. 
dollar like Tether to undergo an audit, no matter where the company is 
located. And a full audit is essential. In 2021, Tether was fined by 
the Commodity Futures Trading Commission for lying about its reserves. 
The CFTC found

[[Page S654]]

that ``Tether misrepresented to customers and the market that Tether 
maintained sufficient fiat reserves to back every USDt in circulation 
`one-to-one' . . . and that Tether would undergo routine, professional 
audits to demonstrate that it maintained `100% reserves at all times.' 
In fact . . . Tether failed to maintain fiat currency reserves . . . to 
back every USDt in circulation.'' Despite Tether executives promising 
for years that they want to get an audit, we have yet to see them do 
so. Instead, Tether has published quarterly ``attestations'' by the 
Italian arm of a mid-tier accounting firm that simply verify 
information that Tether provides to that firm using procedures that are 
mutually agreed. That is very different than true independent third-
party verification based upon standardized procedures with criminal and 
civil penalties if financial statements contain false information.
  If foreign stablecoin issuers want the privilege of creating and 
handling the American people's money, then I agree with Secretary 
Lutnick that it is entirely sensible for them to open up their books 
for the American people to see, just as we expect of large U.S. 
stablecoin companies, banks, and other payments companies. If the goal 
of the GENIUS bill is to create incentives for stablecoin issuers to 
come onshore and operate fully within the U.S. regulatory perimeter, 
then we must close this alarming gap that incentivizes dollar creation 
by foreign companies.
  I urge my colleagues to support this critical legislation.

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