Article from Emergency Management magazine on new proposal re Public Assistance Program: See: FEMA Seeks Comment on Potential Disaster Deductible Concept; The concept addresses recommendations to increase the disaster declaration threshold by instead buying down risk.
FEMA Public Assistance Program Proposal: 60 Day Comment Period: Closes March 21
“The Federal Emergency Management Agency (FEMA) is considering the establishment of a disaster deductible, requiring a predetermined level of financial or other commitment from a Recipient (Grantee), generally the State, Tribal, or Territorial government, before FEMA will provide assistance under the Public Assistance Program when authorized by a Presidential major disaster declaration. FEMA believes the deductible model would incentivize Recipients to make meaningful improvements in disaster planning, fiscal capacity for disaster response and recovery, and risk mitigation, while contributing to more effective stewardship of taxpayer dollars. For example, Recipients could potentially receive credit toward their deductible requirement through proactive pre-event actions such as adopting enhanced building codes, establishing and maintaining a disaster relief fund or self-insurance plan, or adoption of other measures that reduce the Recipient’s risk from disaster events. The deductible model would increase stakeholder investment and participation in disaster recovery and building for future risk, thereby strengthening our nation’s resilience to disaster events and reducing the cost of disasters long term. FEMA seeks comment on all aspects of the deductible concept.” More details are available here.
Thanks to Ed Thomas, President of the Natural Hazards Mitigation Association, for the information. He noted that his associations hopes to assemble a group to make comments on this proposal which has tremendous potential for promoting hazard mitigation/climate adaptation at the local level. And he commented that Craig Fugate is scheduled to be doing outreach to the Governors and NEMA.