[Congressional Record (Bound Edition), Volume 145 (1999), Part 3]
[Extensions of Remarks]
[Page 3425]
[From the U.S. Government Publishing Office, www.gpo.gov]




          SUPPORT FOR THE DISASTER MITIGATION COORDINATION ACT

                                 ______
                                 

                       HON. JANICE D. SCHAKOWSKY

                              of illinois

                    in the house of representatives

                         Tuesday, March 2, 1999

  Ms. SCHAKOWSKY. Mr. Speaker, I am joining with Chairman Talent, 
Ranking Member Velazquez and the Small Business Committee in support of 
the Disaster Mitigation Coordination Act. This legislation is a 
sensible, smart addition to the disaster loan program.
  The Disaster Mitigation Coordination Act will add a valuable pro-
active measure to the Small Business Association's Disaster Loan 
program. If enacted, this legislation will save money for taxpayers, 
communities and small businesses.
  By adding the availability of pre-disaster mitigation loans to small 
businesses located in FEMA's ``Project Impact'' zones, we will be 
allowing small businesses to avoid or at least reduce the damages they 
suffer from unpredictable natural disasters. By helping these 
businesses to prepare for and react to disasters better, we are also 
ensuring they are able to continue providing needed goods and services 
to the communities that depend on them.
  Given the unpredictability of their frequency and the severity of 
natural disasters, this approach seems more than reasonable. A 5 year 
pilot program authorizing up to $15 million a year in mitigation loans 
will permit the Small Business Administration to evaluate this approach 
to see if it is a less costly way of mitigating disasters than other 
fully subsidized federal disaster relief.
  This legislation makes sense. By making available low interest, long 
term pre-disaster mitigation loans that will be paid back to the 
treasury, we will be reducing the amount of emergency grants necessary 
to respond to disasters. Furthermore, by offering pre-disaster 
assistance, we will be supporting the efforts of small businesses that 
want to act responsibly and pro-actively. Pre-disaster assistance means 
saving taxpayer money, secure small business communities and a healthy 
economy.
  Mr. Speaker, this will surely be a welcome alternative to small 
businesses in our state of Illinois which has received the fifth 
highest amount of disaster loan money nation wide since 1989. I thank 
my colleagues for their consideration and urge them to support this 
valuable piece of legislation.

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