69–006 

115TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 115–107 

FEMA ACCOUNTABILITY, MODERNIZATION AND 

TRANSPARENCY ACT OF 2017 

MAY 2, 2017.—Committed to the Committee of the Whole House on the State of the 

Union and ordered to be printed 

Mr. SHUSTER, from the Committee on Transportation and 

Infrastructure, submitted the following 

R E P O R T 

[To accompany H.R. 1679] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Transportation and Infrastructure, to whom 

was referred the bill (H.R. 1679) to ensure that the Federal Emergency Management Agency’s current efforts to modernize its grant 

management system includes applicant accessibility and transparency, and for other purposes, having considered the same, reports favorably thereon without amendment and recommends that 

the bill do pass. 

CONTENTS 

Page 

Purpose of Legislation ............................................................................................. 2 

Background and Need for Legislation .................................................................... 2 

Hearings ................................................................................................................... 3 

Legislative History and Consideration .................................................................. 4 

Committee Votes ...................................................................................................... 4 

Committee Oversight Findings ............................................................................... 5 

New Budget Authority and Tax Expenditures ...................................................... 5 

Congressional Budget Office Cost Estimate .......................................................... 5 

Performance Goals and Objectives ......................................................................... 6 

Advisory of Earmarks .............................................................................................. 6 

Duplication of Federal Programs ............................................................................ 6 

Disclosure of Directed Rule Makings ..................................................................... 6 

Federal Mandate Statement ................................................................................... 7 

Preemption Clarification ......................................................................................... 7 

Advisory Committee Statement .............................................................................. 7 

Applicability of Legislative Branch ........................................................................ 7 

Section-by-Section Analysis of Legislation ............................................................ 7 

Changes in Existing Law Made by the Bill, as Reported ..................................... 7 


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PURPOSE OF LEGISLATION

H.R. 1679 ensures that the Federal Emergency Management 

Agency’s (FEMA) current efforts to modernize its grant management system includes applicant accessibility and transparency. 

BACKGROUND AND NEED FOR LEGISLATION

Federal Emergency Management Agency: History 

FEMA was established in 1979 by Executive Order 12148 by 

President Jimmy Carter in response to a number of massive disasters in the 1960s and 1970s. As a result of states trying to manage 

these disasters, the National Governors Association and others 

made a proposal to streamline and cut the number of agencies 

states were required to work with following a disaster. Prior to the 

creation of FEMA, the federal government’s emergency response 

mechanisms were scattered among many agencies throughout government. The creation of FEMA helped to centralize these authorities and the coordination of the federal government’s response to a 

disaster. The Disaster Relief Act of 1974 (P.L. 93–288), which constituted the statutory authority for most federal disaster response 

activities, especially of FEMA, was later amended by the Robert T. 

Stafford Disaster Relief and Emergency Assistance Act, also known 

as the Stafford Act (P.L. 100–707). 

Following more than two decades as an independent agency, the 

Homeland Security Act of 2002 (P.L. 107–296) created the Department of Homeland Security (DHS), placed FEMA within DHS, and 

FEMA’s functions were dispersed among various offices and directorates within DHS. In 2006, following Hurricanes Katrina and 

Rita and the intensive Congressional investigations and oversight, 

Congress enacted the Post-Katrina Emergency Management Reform Act of 2006 (PKEMRA) (P.L. 109–295), which addresses key 

response roles and authorities and put FEMA back together again 

within DHS. PKEMRA authorized the National Preparedness System and FEMA for the first time in legislation. FEMA was given 

the role of leading the creation of the National Preparedness System and was designated as the ‘‘one-stop-shop’’ for all preparedness 

grants management. 

Disaster Assistance 

When the President declares a major disaster or emergency, the 

official declaration triggers certain federal response authorities and 

financial disaster assistance. In particular, when a declaration is 

made, the President is authorized to direct any federal agency, 

with or without reimbursement, to assist state and local governments and protect life and property. FEMA is responsible for coordinating federal agency response and ensuring the necessary federal capabilities are deployed at the appropriate place and time in 

support of state and local response efforts. In addition, FEMA provides direct support and financial assistance to states and local 

governments and individuals as authorized under the Stafford Act. 

Preparedness Grants 

Since 2003, federal grant funds have supplemented over $47 billion in state and local investment to build and sustain emergency 


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1See https://www.fema.gov/news-release/2016/06/29/dhs-announces-grant-allocations-fiscalyear-2016-preaparedness-grants. 

preparedness and response capabilities.1 These investments have 

provided critical support for interoperable communication systems, 

first responder training programs, public preparedness campaigns, 

hazardous materials response, urban search and rescue, and a robust information-sharing network. 

Grant Systems Modernization 

Approximately 72 percent of FEMA’s total spending is through 

over 40 active grant programs, including disaster grants, preparedness grants, and flood insurance grants. With such a large and diverse program, FEMA has received numerous criticisms from the 

Government Accountability Office and the DHS Office of the Inspector General about issues in awarding and expenditures, monitoring, and management of these grants. State and local grantees 

have also complained about the lack of transparency in FEMA’s 

management of its grant systems. 

Criticisms have included that very few of these grant programs 

have well-developed metrics and need fully measurable and achievable goals and objectives. There are often delays in the obligation 

of funds, not in FEMA awarding grants, but in states delaying the 

distribution of money to sub-grantees. Finally, there continues to 

be a great risk of improper payments and expenditures. 

In the past, FEMA’s grant programs have operated independently, authorized by 18 different authorization laws, provided to six 

categories of recipients, and managed by nine different information 

technology systems in six different offices. To tackle this challenge, 

in 2015, FEMA launched its Grants Management Modernization 

initiatives to create one, seamless platform for sub-recipients, recipients, and federal staff to manage and report on grants from beginning to end. 

System Requirements 

The Committee expects regular briefings from FEMA as functional requirements are developed, iterative releases occur and the 

initiative moves toward initial and full operating capability. The 

Committee also expects capabilities to address both internal and 

external stakeholder frustrations and user needs, including the 

frustrations disaster victims experience regarding the status of federal assistance administered through FEMA. The system should 

also bridge the current information gap between state and local 

government efforts allowing for the gathering and sharing of information, where not prohibited by law, on response and recovery 

work to improve efficient execution of overall efforts. 

HEARINGS

The Subcommittee on Economic Development, Public Buildings, 

and Emergency Management, held one hearing on this topic in the 

115th Congress: 

‘‘Building a 21st Century Infrastructure for America: The National Preparedness System’’ held on March 16, 2017. The purpose 

of the hearing was to assess the development, successes, and challenges of the National Preparedness System and to understand 


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how well the preparedness grant program is building national preparedness capabilities. 

In addition, the following hearings and roundtable discussions 

were held by the Subcommittee on subjects related to matters contained in H.R. 1679 during the 114th Congress: 

‘‘Rebuilding after the Storm: Lessening Impacts and Speeding Recovery’’ held on January 27, 2015. The purpose of the hearing was 

to launch an assessment of the rising costs of disasters, the cost effectiveness of disaster assistance, strategies to reduce disaster 

losses, and the appropriate roles of government and the private 

sector, and to consider reforms to save lives through improved 

alerts and warning systems and search and rescue. 

‘‘What is Driving the Increasing Costs and Rising Losses from 

Disasters?’’ held on March 18, 2015. The purpose of the roundtable 

was to examine and discuss data related to disaster costs, the 

trends observed over time, and the projections for the future given 

the policies in place today. 

‘‘The State of Pennsylvania and FEMA Region III are Leaders in 

Mitigating Disaster Costs and Losses’’ held on May 28, 2015. The 

purpose of the roundtable was to examine disaster costs and losses, 

focus on hazards impacting Pennsylvania and the region, and identify best practices for mitigating and avoiding disaster impacts. 

‘‘Federal Disaster Assistance: Roles, Programs and Coordination’’ 

held on June 17, 2015. The purpose of the roundtable was to examine and discuss federal disaster assistance programs, the requirements and effectiveness of those programs, and coordination among 

various agencies and stakeholders. 

‘‘Controlling the Rising Cost of Federal Responses to Disaster’’ 

held on May 12, 2016. The purpose of the hearing was to begin exploring potential solutions and the principles that should be driving 

solutions to lower the overall costs of disasters and to help avoid 

devastating losses. 

LEGISLATIVE HISTORY AND CONSIDERATION

On March 22, 2017, Congressman Garret Graves (R–LA) introduced H.R. 1679, a bill to ensure that FEMA’s current efforts to 

modernize its grant management system includes applicant accessibility and transparency. 

On March 29, 2017, the Committee on Transportation and Infrastructure met in open session to consider H.R. 1679. The Committee ordered the bill reported favorably to the House by voice 

vote with a quorum present. 

COMMITTEE VOTES

Clause 3(b) of rule XIII of the Rules of the House of Representatives requires each committee report to include the total number of 

votes cast for and against on each record vote on a motion to report 

and on any amendment offered to the measure or matter, and the 

names of those members voting for and against. There were no recorded votes taken in connection with consideration of H.R. 1679 

or ordering the measure reported. A motion to order H.R. 1679 reported favorably to the House was agreed to by voice vote with a 

quorum present. 


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COMMITTEE OVERSIGHT FINDINGS

With respect to the requirements of clause 3(c)(1) of rule XIII of 

the Rules of the House of Representatives, the Committee’s oversight findings and recommendations are reflected in this report. 

NEW BUDGET AUTHORITY AND TAX EXPENDITURES

Clause 3(c)(2) of rule XIII of the Rules of the House of Representatives does not apply where a cost estimate and comparison prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974 has been timely 

submitted prior to the filing of the report and is included in the report. Such a cost estimate is included in this report. 

CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

With respect to the requirement of clause 3(c)(3) of rule XIII of 

the Rules of the House of Representatives and section 402 of the 

Congressional Budget Act of 1974, the Committee has received the 

enclosed cost estimate for H.R. 1679 from the Director of the Congressional Budget Office: 

U.S. CONGRESS, 

CONGRESSIONAL BUDGET OFFICE, 

Washington, DC, May 2, 2017. 

Hon. BILL SHUSTER, Chairman, Committee on Transportation and Infrastructure, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 1679, the FEMA Accountability, Modernization and Transparency Act of 2017. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Robert Reese. 

Sincerely, 

KEITH HALL. 

Enclosure. 

H.R. 1679—FEMA Accountability, Modernization and Transparency Act of 2017 

H.R. 1679 would require the Federal Emergency Management 

Agency (FEMA) to integrate three specific components into the 

agency’s ongoing project to upgrade its grant management system. 

The bill also would direct FEMA to implement the new system incrementally. 

Under current law, FEMA is building a new information technology system that will streamline the application and approval 

process for more than 40 grants authorized under the Robert T. 

Stafford Disaster Relief and Emergency Assistance Act. The new 

system will integrate the grants into one grant-management system, as opposed to the nine systems FEMA is currently using. 

FEMA expects to begin building the new system in 2018 and expects that it that will cost $105 million over a three-year period to 

build the system and $15 million each year thereafter to maintain. 

H.R. 1679 would direct FEMA to include in the new system: 

• An online interface for applicants to complete grant application forms, 


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• Mechanisms to eliminate duplication of grant benefits, and 

• The capability to share information among other federal 

agencies and levels of government. 

Based on information provided by FEMA, CBO expects that the 

requirements outlined in H.R. 1679 will be met through the agency’s current plans to upgrade its grants management system; therefore, CBO estimates that implementing H.R. 1679 would have no 

effect on the federal budget. 

Enacting H.R. 1679 would not affect direct spending or revenues; 

therefore, pay-as-you-go procedures do not apply. CBO estimates 

that enacting H.R. 1679 would not increase net direct spending or 

on-budget deficits in any of the four consecutive 10-year periods beginning in 2028. 

H.R. 1679 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. 

The CBO staff contact for this estimate is Robert Reese. The estimate was approved by H. Samuel Papenfuss, Deputy Assistant Director for Budget Analysis. 

PERFORMANCE GOALS AND OBJECTIVES

With respect to the requirement of clause 3(c)(4) of rule XIII of 

the Rules of the House of Representatives, the performance goal 

and objective of this legislation is to ensure that FEMA’s current 

efforts to modernize its grant management system include applicant accessibility and transparency. 

ADVISORY OF EARMARKS

Pursuant to clause 9 of rule XXI of the Rules of the House of 

Representatives, the Committee is required to include a list of congressional earmarks, limited tax benefits, or limited tariff benefits 

as defined in clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of 

the House of Representatives. No provision in the bill includes an 

earmark, limited tax benefit, or limited tariff benefit under clause 

9(e), 9(f), or 9(g) of rule XXI. 

DUPLICATION OF FEDERAL PROGRAMS

Pursuant to clause 3(c)(5) of rule XIII of the Rules of the House 

of Representatives, the Committee finds that no provision of H.R. 

1679 establishes or reauthorizes a program of the federal government known to be duplicative of another federal program, a program that was included in any report from the Government Accountability Office to Congress pursuant to section 21 of Public 

Law 111–139, or a program related to a program identified in the 

most recent Catalog of Federal Domestic Assistance. 

DISCLOSURE OF DIRECTED RULE MAKINGS

Pursuant to section 3(i) of H. Res. 5, 115th Cong. (2017), the 

Committee finds that enacting H.R. 1679 does not direct the completion of a specific rule making within the meaning of section 551 

of title 5, United States Code. 


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FEDERAL MANDATE STATEMENT

The Committee adopts as its own the estimate of federal mandates prepared by the Director of the Congressional Budget Office 

pursuant to section 423 of the Unfunded Mandates Reform Act 

(Public Law 104–4). 

PREEMPTION CLARIFICATION

Section 423 of the Congressional Budget Act of 1974 requires the 

report of any Committee on a bill or joint resolution to include a 

statement on the extent to which the bill or joint resolution is intended to preempt state, local, or tribal law. The Committee states 

that H.R. 1679 does not preempt any state, local, or tribal law. 

ADVISORY COMMITTEE STATEMENT

No advisory committees within the meaning of section 5(b) of the 

Federal Advisory Committee Act are created by this legislation. 

APPLICABILITY OF LEGISLATIVE BRANCH

The Committee finds that the legislation does not relate to the 

terms and conditions of employment or access to public services or 

accommodations within the meaning of section 102(b)(3) of the Congressional Accountability Act (Public Law 104–1). 

SECTION-BY-SECTION ANALYSIS OF LEGISLATION

Section 1: Short title 

Section 1 designates the short title as the ‘‘FEMA Accountability, 

Modernization and Transparency Act of 2017’’. 

Section 2: Requirements 

Section 2 articulates that FEMA’s grant system must include an 

online interface, eliminate duplication of benefits, enable the sharing of information if appropriate, and facilitate other tools. 

Section 3: No additional funds authorized 

Section 3 clarifies that no additional funds are authorized to 

carry out this Act. 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

H.R. 1679 makes no changes in existing law. 

Æ 


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