[Congressional Record (Bound Edition), Volume 161 (2015), Part 2]
[House]
[Pages 1885-1886]
[From the U.S. Government Publishing Office, www.gpo.gov]




            DISASTER ASSISTANCE FAIRNESS AND ACCOUNTABILITY

  The SPEAKER pro tempore. Under the Speaker's announced policy of 
January 6, 2015, the Chair recognizes the gentleman from New Jersey 
(Mr. MacArthur) for 30 minutes.
  Mr. MacARTHUR. Mr. Speaker, on October 29 of 2012, Super Storm Sandy 
battered the coast of my State, New Jersey, leaving behind a wake of 
devastation and interrupting the lives of many, many thousands of 
people in our communities.
  We are still recovering from this. It was the second-costliest 
hurricane in United States history. Yet, out of that destruction, our 
communities came together. Neighbors took each other in, people looked 
after each other, families started over, small businesses slowly 
started to rebuild, and there was hope again in New Jersey. My heart 
goes out still to the many friends and neighbors who are still trying 
to put their lives back together again.
  Mr. Speaker, the Federal Government has had a vital role in our 
recovery. Disaster assistance came through the Federal Emergency 
Management Agency, FEMA. Nearly 183,000 disaster victims were awarded 
$1.3 billion in disaster assistance--money to rebuild homes or to find 
new ones, money to help people get their lives back again. That is why 
it is so upsetting for these victims to now, 2 years later, be 
receiving letters from FEMA demanding the repayment of those aid 
grants. I am referring to a process called ``recoupment,'' and it goes 
like this:

[[Page 1886]]

  FEMA receives an application for aid. It makes a determination, it 
gives a grant, and it later changes its mind. It could be for fraud or 
applicant error, in which case FEMA has my full support, but sometimes 
FEMA just changes its mind. The application is correct. An examiner 
evaluates the claim, makes the payment, and then, later, a supervisor 
can change his mind and say: ``We don't think you got this one right,'' 
and a letter goes out months--even years--later, demanding repayment.
  Mr. Speaker, I worked for 30 years in the insurance industry. I 
started as a claims adjuster. I had the privilege at the end of my 
career of running a large insurance service company, and sometimes 
errors did get made. Sometimes a supervisor disagreed because there was 
just a difference of opinion. I might have even made a few errors 
myself. But in the private sector, companies can't just reach out and 
demand those funds back again and, in the case of the Federal 
Government, demand with an ``or else.'' An ``or else'' from the long 
arm of the Federal Government is a serious matter, indeed--wage 
garnishment or worse.
  Mr. Speaker, by October 31 of 2014--2 years after Sandy--1,200 of my 
fellow New Jerseyans had received letters demanding that $8 million be 
returned to the Federal Government. These are people who used these 
funds to rebuild their homes, to find new places to live, to repair 
what was broken, to replace the clothes on their backs, and begin 
again. Now the government wants to take it back. It is a terrible blow 
to these dear people, our fellow citizens, whose lives were overwhelmed 
in just a few short hours. It is something that could happen to every 
one of us.
  That is why I have introduced the Disaster Assistance Fairness and 
Accountability Act of 2015. Like it says in the title, it is about 
bringing fairness and accountability back to this process, and it does 
it, Mr. Speaker, in a few simple ways.
  First, fairness. It allows FEMA to recoup funds if there is an 
applicant error or if there is fraud, but not if FEMA just changes its 
determination on an application that was accurate and later just 
subjects itself to a change of opinion.

                              {time}  1330

  It applies the same standard to FEMA that applies to the private 
sector, and it is fundamentally fair.
  Accountability. My proposed act requires FEMA to prove that the 
applicant was guilty of error or fraud instead of the other way around. 
It shifts the burden of proof from the individual to the government, 
which is where it should be. Only at FEMA are you guilty until proven 
innocent. That is fundamentally un-American and something my bill will 
change. Where there is fraud or applicant error, FEMA has full 
authority to recover funds so that the hardworking taxpayers of our 
country are getting a fair shake as well.
  Lastly, the bill is reasonable. It imposes a 3-year statute of 
limitations on FEMA for these recoupment actions. Now there is no 
limit. They can reach in many years after if they choose to. Nearly 
every other law in the United States is subject to a statute of 
limitations, and this should be no different.
  Mr. Speaker, there are many ways that we can help the survivors of 
Superstorm Sandy, and they need and deserve our help. This bill is just 
a start, but this bill will also help victims of future disasters.
  I think one of our most important responsibilities as legislators is 
to listen to our constituents and to find ways that we can improve this 
government on their behalf. This is an important step in that 
direction. I am hopeful that we can work together, Republicans and 
Democrats, and bring this bill to a successful vote to bring some 
fairness and accountability back to this one small part of the Federal 
Government.
  Mr. Speaker, I yield back the balance of my time.

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