[Senate Report 110-240]
[From the U.S. Government Publishing Office]
110th Congress
1st Session SENATE Report
110-240
_______________________________________________________________________
Calendar No. 531
STREAMLINING MITIGATION ACTIONS AND RECOVERY TOOLS AND REGIONAL
EVACUATION AND SHELTERING PLANNING OF OVERARCHING NETWORKS FOR SEVERE
EMERGENCIES ACT (SMART RESPONSE ACT)
__________
R E P O R T
of the
COMMITTEE ON HOMELAND SECURITY AND
GOVERNMENTAL AFFAIRS
UNITED STATES SENATE
to accompany
S. 2445
TO PROVIDE FOR THE FLEXIBILITY OF CERTAIN DISASTER RELIEF FUNDS, AND
FOR IMPROVED EVACUATION AND SHELTERING DURING DISASTERS AND
CATASTROPHES
December 11, 2007.--Ordered to be printed
COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS
JOSEPH I. LIEBERMAN, Connecticut, Chairman
CARL LEVIN, Michigan SUSAN M. COLLINS, Maine
DANIEL K. AKAKA, Hawaii TED STEVENS, Alaska
THOMAS R. CARPER, Delaware GEORGE V. VOINOVICH, Ohio
MARK L. PRYOR, Arkansas NORM COLEMAN, Minnesota
MARY L. LANDRIEU, Louisiana TOM COBURN, Oklahoma
BARACK OBAMA, Illinois PETE V. DOMENICI, New Mexico
CLAIRE McCASKILL, Missouri JOHN WARNER, Virginia
JON TESTER, Montana JOHN E. SUNUNU, New Hampshire
Michael L. Alexander, Staff Director
Kevin J. Landy, Chief Counsel
Mary Beth Schultz, Counsel
Donny R. Williams, Jr., Staff Director, Ad Hoc Subcommittee on Disaster
Recovery
Brandon L. Milhorn, Minority Staff Director and Chief Counsel
Asha A. Mathew, Minority Senior Counsel
Trina Driessnack Tyrer, Chief Clerk
C O N T E N T S
Page
I. Purpose and Summary..............................................1
II. Background and Need for the Legislation..........................1
III. Legislative History..............................................3
IV. Section by Section Analysis......................................3
V. Evaluation of Regulatory Impact..................................4
VI. Congressional Budget Office Cost Estimate........................4
VII. Changes in Existing Law Made by the Bill, as Reported............6
Calendar No. 531
110th Congress Report
SENATE
1st Session 110-240
======================================================================
STREAMLINING MITIGATION ACTIONS AND RECOVERY TOOLS AND REGIONAL
EVACUATION AND SHELTERING PLANNING OF OVERARCHING NETWORKS FOR SEVERE
EMERGENCIES ACT (SMART RESPONSE ACT)
_______
December 11, 2007.--Ordered to be printed
_______
Mr. Lieberman, from the Committee on Homeland Security and Governmental
Affairs, submitted the following
R E P O R T
[To accompany S. 2445]
The Committee on Homeland Security and Governmental Affairs
reports the original bill (S. 2445) to provide for the
flexibility of certain disaster relief funds, and for improved
evacuation and sheltering during disasters and catastrophes,
having considered the same reports favorably thereon and
recommends that the bill do pass.
I. PURPOSE AND SUMMARY
The purpose of this bill is to eliminate obstacles to the
rebuilding efforts in Louisiana after the catastrophic impact
of Hurricanes Katrina and Rita by providing flexibility for the
expenditure of certain Hazard Mitigation Grant Program (HMGP)
funds, as well as to develop regional evacuation and sheltering
plans.
II. BACKGROUND AND NEED FOR THE LEGISLATION
Hurricane Katrina made landfall in Louisiana on August 29,
2005 and swept across the Southern Gulf Coast states,
decimating 90,000 square miles of public infrastructure and
destroying homes in numbers never before seen in modern
American history. The Katrina waters sat for about three weeks,
and were beginning to recede when Hurricane Rita made landfall
heavily impacting parts of Southwest Louisiana, and reopening
the temporarily repaired levees, refilling parts of New Orleans
with water. All told, the housing stock in Louisiana suffered
historic levels of devastation. Statewide, some 204,467 owner-
occupied homes suffered either major damage or were completely
destroyed.
Rebuilding the housing stock in Louisiana is crucial to
restoring the state's cultural, economic, and social vitality.
Congress appropriated funds through the Department of Housing
and Urban Development's Community Development Block Grant
(CDBG) Fund for the rebuilding of the Hurricane Katrina and
Rita impacted regions. As a result of the catastrophic impact
of Hurricanes Katrina and Rita on Louisiana, the rebuilding
process has been very slow on nearly all fronts, particularly
with regard to efforts to rebuild residential homes in
devastated areas. Part of the delay is attributed to the delays
in providing assistance to homeowners. Louisiana used CDBG
money to fund its state homeowner assistance program, called
the Road Home Program. In order to encourage the residents and
spur economic activity, the program offers favorable treatment
to those rebuilding in the affected area by penalizing
recipients of program funds who leave the state, but provides
exemptions from this penalty for senior citizens.
Another important federal disaster assistance tool offered
by the federal government is the Federal Emergency Management
Agency's (FEMA) Hazard Mitigation Grant Program (HMGP). The
purpose of the HMGP is to reduce the loss of life and property
during future disasters and to enable mitigation measures to be
implemented during the immediate disaster recovery. HMGP
provides grants to States and local governments to implement
hazard mitigation measures after a major disaster declaration.
FEMA's mitigation grants are provided to eligible applicants
(States/Tribes/Territories) which, in turn, provide sub-grants
which can be awarded for numerous projects, including approved
mitigation projects by private homeowners.
In designing the Road Home Program, Louisiana chose to use
its HMGP funds in conjunction with the Road Home Program in
order to allow HMGP and Road Home funds to be distributed to
applicants in one process. This would enable individuals--who
might be required to elevate their homes to meet flood zoning
requirements or to perform other important mitigation efforts
to prevent future loss of life or property--to use HMGP funds
within their overall rebuilding effort, thereby streamlining
activities, making the rebuilding process more efficient and
effective, and helping to ensure mitigation practices are
incorporated into the rebuilding process to the greatest extent
possible to help reduce potential damages from future
disasters.
FEMA, however, has prohibited the use of HMGP dollars
within the Road Home Program because it considers the Road Home
Program's penalty against those who leave the state and penalty
exemption for individuals over 60 to be discriminatory based
upon its interpretation of Section 308 of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act, which
prohibits the agency from discriminating when distributing
disaster assistance. FEMA's prohibition of the use of HMGP
funds within the State of Louisiana's Road Home Program has
caused significant delays in the overall process of getting its
citizens back into their homes.
Under this bill, the FEMA Administrator may not prohibit or
restrict the use by the State of Louisiana through the Road
Home Program of HMGP funds specified in the bill based upon the
existence of certain penalties in the Road Home Program. The
specified penalties include restrictions which limit or reduce
the amount made available to an eligible homeowner who does not
agree to remain an owner or occupant of a home in Louisiana or
any waiver of such penalty for homeowners who are elderly or
senior citizens. The bill, however, leaves intact all other
rules governing HMGP and ensures that Road Home applicants use
the specific HMGP funds only for approved hazard mitigation
activities.
The bill also addresses other problems that are
significantly delaying the recovery and rebuilding process by
including provisions allowing things such as programmatic cost-
benefit analysis, streamlined environmental reviews, and
providing HMGP funds for approved projects before a project is
completed, instead of on a reimbursement basis.
Additionally, the bill directs FEMA, in coordination with
other appropriate federal agencies with responsibilities under
the National Response Plan, states, local governments, and
appropriate nongovernmental organizations to develop regional
evacuation and sheltering planning. Catastrophic disasters can
overwhelm state resources and prompt displacement beyond a
single state's borders. Given the evacuation issues raised by
Hurricanes Katrina and Rita, improved regional evacuation and
sheltering planning is needed.
III. LEGISLATIVE HISTORY
S. 2445 was introduced as an original Committee bill by
Senator Landrieu on August 1, 2007 in the Senate Committee on
Homeland Security and Governmental Affairs.
On August 1, 2007, the Committee considered S. 2445.
The Committee adopted two amendments. The first amendment
was offered by Senator Landrieu. It was an amendment in the
nature of a substitute that made minor modifications to the
bill. The amendment was adopted by voice vote.
The second amendment was offered by Senator Coleman and co-
sponsored by Senator Landrieu. This amendment allowed eligible
grantees to receive HMGP funds for approved projects in advance
of completing the process, rather than on the reimbursement
basis as under existing law. The amendment was adopted by voice
vote.
By a voice vote, the Committee ordered the bill as amended
favorably reported to the full Senate.
IV. SECTION-BY-SECTION ANALYSIS
Section 1. Short title
Section 2. Definitions
Section 3. Flexibility of Federal funds for Road Home Program
Under this section the Administrator of FEMA may not
prohibit or restrict the use by the State of Louisiana under
the Road Home Program of the HMGP funds specified in the bill
based upon the existence of certain penalties under the Road
Home Program. The specified penalties include restrictions
which limit or reduce the amount made available to an eligible
homeowner who does not agree to remain an owner or occupant of
a home in Louisiana or any waiver of such penalty for
homeowners who are elderly or senior citizens. All other
provisions of the HMGP program outlined in section 404 of the
Robert T. Stafford Disaster Relief and Emergency Assistance Act
would apply to the use of funds. This section also requires the
FEMA Administrator to transfer the specified funds as soon as
practicable to the State of Louisiana and to simplify
requirements of the program, including by streamlining cost-
benefit analyses and environmental reviews, to ensure the
expedited distribution of such funds under the program. The
section also allows a grant recipient to receive funds for
approved projects prior to the completion of the project,
instead of on a reimbursement basis, if proper certifications
regarding use of the money are received. Finally, it allows the
FEMA Administrator to design and implement audit procedures as
necessary.
Section 4. Evacuation and sheltering
This section directs the Administrator of FEMA to
coordinate with appropriate Federal Agencies, state and local
governments, and nongovernmental organizations to develop
regional evacuation and sheltering plans, create a national
database of available shelters, and conduct an analysis
comparing the costs, benefits, and health and safety concerns
of evacuating individuals with special needs during an
incident, as compared to the costs, benefits, and health and
safety concerns of sheltering such people in the area where
they are located when an incident occurs. The section also
requires the Administrator to obtain and share information from
the Evacuation Traffic Information System, a system managed by
the Department of Transportation that is designed to monitor
traffic flow during an incident.
V. EVALUATION OF REGULATORY IMPACT
Pursuant to the requirement of paragraph 11(b)(1) of rule
XXVI of the Standing Rules of the Senate the Committee has
considered the regulatory impact of this bill. CBO states that
the bill contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act and
would impose no costs on state, local, or tribal governments.
VI. ESTIMATED COST OF LEGISLATION
November 16, 2007.
Hon. Joseph I. Lieberman,
Chairman, Committee on Homeland Security and Governmental Affairs, U.S.
Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for the SMART RESPONSE Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Daniel
Hoople.
Sincerely,
Peter R. Orszag.
Enclosure.
SMART RESPONSE Act
Summary: The legislation would direct the Federal Emergency
Management Agency (FEMA) to develop and implement regional
evacuation and sheltering plans for use following a major
disaster. In addition, the bill would direct FEMA to create a
database of available shelters that can be shared with state
and local governments. Based on information from FEMA, CBO
estimates that implementing those provisions would cost about
$39 million over the 2008-2012 period, assuming appropriation
of the estimated amounts.
The legislation also would prohibit FEMA from restricting
the use of $1.17 billion in hazard mitigation funding provided
to Louisiana following the 2005 Gulf Coast hurricanes. The
state wants to use those funds for grants to homeowners to
elevate their homes; however, FEMA has denied funding for those
projects because of provisions in the state's overall recovery
program. CBO estimates that implementing this provision would
not affect the pace of federal expenditures for hazard
mitigation projects nor would it increase the need for
additional disaster relief funding in the future. Enacting this
legislation would not affect direct spending or revenues.
The bill contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA)
and would impose no costs on state, local, or tribal
governments.
Estimated cost to the Federal Government: The estimated
budgetary impact of this legislation is shown in the following
table. The costs of this legislation fall within budget
function 450 (community and regional development).
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
--------------------------------------------
2008 2009 2010 2011 2012
----------------------------------------------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Estimated Authorization Level...................................... 17 6 6 5 5
Estimated Outlays.................................................. 16 6 6 6 5
----------------------------------------------------------------------------------------------------------------
Basis of estimate: For this estimate, CBO assumes that the
bill will be enacted in early 2008 and that the necessary
amounts will be appropriated for each fiscal year.
Evacuation and sheltering plans and database
The legislation would direct FEMA to develop and implement
regional evacuation and sheltering plans for use following a
major disaster. Such plans would incorporate all modes of
transportation and identify shelters capable of housing
evacuees in any part of the United States. CBO estimates that
FEMA would need to hire additional staff in each of its 11
offices to complete the plans within the 360-day period
specified in the bill. We estimate that this work would cost
about $15 million in 2008 and $38 million over the 2008-2012
period, assuming appropriation of the necessary amounts.
The bill also would direct FEMA to create a database of
available shelters that could be used following a disaster.
Information from this database, as well as information from the
Evacuation Traffic Information System (managed by the Federal
Highway Administration), would be made available to state and
local governments. CBO estimates that implementing this
provision would cost about $1 million in 2008.
Elimination of restrictions on hazard mitigation funding
The legislation would allow Louisiana to use certain funds
for hazard mitigation in tandem with disaster recovery funds
provided by the Community Development Block Grant (CDBG)
program of the Department of Housing and Urban Development.
Following Hurricanes Katrina and Rita, Louisiana received $1.5
billion in grants through FEMA's Hazard Mitigation Grant
Program (HMGP). The state has requested to use $1.17 billion of
those amounts for elevation grants to homeowners under the
terms of the Road Home program. (The Road Home program is
Louisiana's plan for using CDBG funds provided in response to
the 2005 hurricanes.) FEMA has denied this request because it
believes that provisions of the Road Home program violate the
authorizing statute for mitigation funds. The bill would
prohibit FEMA from restricting the use of HMGP funds for those
reasons.
CBO estimates that implementing this provision would have
no cost to the federal government. The bill would not authorize
additional mitigation funding for Louisiana. Moreover, FEMA has
already allocated the maximum amount of HMGP funds that the
state may receive under current law. (For disasters of the
magnitude of Hurricane Katrina, for example, this amount is 7.5
percent of the agency's estimate of other funds it will provide
for disaster relief.)
Intergovernmental and private-sector impact: This bill
contains no intergovernmental or private-sector mandates as
defined in UMRA and would impose no costs on state, local, or
tribal governments. It would provide greater flexibility for
Louisiana to use federal assistance to help homeowners recover
from Hurricanes Katrina and Rita. It also would authorize the
administrator to provide technical assistance to state and
local governments to develop and implement evacuation and
sheltering plans. Any costs to those governments would be
incurred voluntarily as a condition of participating in a
federal program.
Estimate prepared by: Federal Costs: Daniel Hoople; Impact
on State, Local, and Tribal Governments: Melissa Merrell;
Impact on the Private Sector: Justin Hall.
Estimate approved by: Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
VIII. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
No changes to existing law are made by this bill.