(i) a lender that holds a mortgage on
or security interest in real or personal
property affected by the attack; or
(ii) a person that holds a lien on real
or personal property affected by the at-
tack.
(7) OFFICE.—The term ‘‘Office’’ means the Of-
fice of World Trade Center Attack Claims estab-
lished by section 253.
OFFICE OF WORLD TRADE CENTER ATTACK CLAIMS
SEC. 253. (a) IN GENERAL.—There is established
within the Federal Emergency Management Agency an of-
fice to be known as the ‘‘Office of World Trade Center
Attack Claims’’.
(b) PURPOSE.—The Office shall receive, process, and
pay claims in accordance with section 254.
(c) FUNDING.—The Office—
(1) shall be funded from funds made available
under this chapter; and
(2) may reimburse any other Federal agency
for provision of assistance in the receipt and proc-
essing of claims.
(d) PERSONNEL.—
(1) IN GENERAL.—The Office may appoint and
fix the compensation of such temporary personnel as
are necessary to carry out the duties of the Office,
without regard to the provisions of title 5, United
States Code, governing appointments in the competi-
tive service.
(2) PERSONNEL FROM OTHER AGENCIES.—On
the request of the Director, the head of any other
Federal agency may detail, on a reimbursable basis,
any of the personnel of the agency to the Federal
Emergency Management Agency to assist the Office
in carrying out the duties of the Office under this
chapter.
(3) EFFECT ON OTHER FEMA DUTIES.—The es-
tablishment of the Office shall not diminish the au-
thority of, or funding available to, the Director to
carry out the responsibilities of the Federal Emer-
gency Management Agency under the Robert T.
Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5121 et seq.), including the timely
provision of disaster assistance to any area with re-
spect to which a major disaster or emergency is de-
clared by the President to exist during the period in
which the Director carries out this chapter.
(4) APPOINTMENT
OF
INDEPENDENT
CLAIMS
MANAGER.—The Director may appoint an Inde-
pendent Claims Manager to head the Office and to
assume the duties of the Director under this chap-
ter.
COMPENSATION FOR VICTIMS OF THE ATTACK
SEC. 254. (a) IN GENERAL.—Each injured person
may receive from the United States compensation for in-
jury suffered by the injured person as a result of the at-
tack, as determined by the Director in accordance with
subsection (d).
(b) SUBMISSION OF CLAIMS.—Not later than 2 years
after the date on which interim final regulations are pro-
mulgated under subsection (h), an injured person may
submit to the Director a written claim for payment of in-
jury suffered by the injured person as a result of the at-
tack in accordance with such requirements as the Director
determines to be appropriate.
(c) INVESTIGATION OF CLAIMS.—The Director shall
investigate, adjust, grant, deny, settle, or compromise any
claim submitted under subsection (b).
(d) AMOUNT OF PAYMENT.—
(1) IN GENERAL.—Any payment on a claim by
an injured person—
(A) shall be limited to the amount nec-
essary to compensate the injured person for in-
jury described in paragraph (2) suffered as a
result of the attack during the period beginning
on September 11, 2001, and ending on March
11, 2003;
(B) 
shall 
be 
subject 
to 
subsection
(e)(1)(D);
(C) shall not include—
(i) interest on the amount of the pay-
ment before the date of settlement or pay-
ment of a claim; or
(ii) punitive damages or any other
form of noncompensatory damages; and
(D) shall not exceed $500,000, except in
the case of a claim for which the Director de-
termines that a greater amount is appropriate.
(2) TYPES OF INJURY.—
(A) RESIDENTIAL
LOSS.—Under para-
graph (1), an injured person may receive pay-
ment for a residential loss consisting of 1 or
more of the following:
(i) An uninsured or underinsured
property loss.
(ii) Damage to or destruction of phys-
ical infrastructure.
(iii) An insurance deductible.
(iv) A temporary living or relocation
expense.
(v) Debris removal and other cleanup
costs.
(vi) Any other type of related injury
that the Director determines to be appro-
priate.
(B) BUSINESS
LOSS.—Under paragraph
(1), an injured person may receive payment for
a business loss consisting of 1 or more of the
following:
(i) An uninsured or underinsured
property loss.
(ii) Damage to or destruction of phys-
ical infrastructure.
(iii) Damage to or destruction of tan-
gible assets or inventory.
(iv) A business interruption loss.
(v) Overhead costs.
(vi) Employee wages for work not per-
formed.
(vii) An insurance deductible.
(viii) A temporary relocation expense.
(ix) Debris removal and other cleanup
costs.
(x) Any other type of injury that the
Director determines to be appropriate.
(3) BURDEN OF PROOF.—
(A) IN
GENERAL.—Subject to subpara-
graph (B), a claimant shall have the burden of
demonstrating injury suffered by the claimant.
(B) ABSENCE OF DOCUMENTS.—If docu-
mentary evidence substantiating injury is not
reasonably available, the Director may pay a
claim based on an affidavit or other documenta-
tion executed by the claimant.
(e) PAYMENT OF CLAIMS.—
(1) 
DETERMINATION
AND
PAYMENT
OF
AMOUNT.—
(A) IN GENERAL.—To the maximum ex-
tent practicable, not later than 180 days after
the date on which a claim is submitted under
subsection (b), the Director shall—
(i) determine the amount, if any, to
be paid for the claim; and
(ii) pay the amount.
(B) PRIORITY.—The Director may estab-
lish priorities for processing and paying claims
based on—
(i) an assessment of the needs of the
claimants; and
(ii) any other criteria that the Direc-
tor determines to be appropriate.
(C) PARAMETERS OF DETERMINATION.—
In determining and paying a claim, the Director
shall determine only—
(i) whether the claimant is an injured
person;
(ii) whether the injuries that are the
subject of the claim resulted from the at-
tack;
(iii) the amount, if any, to be paid
under this section; and
(iv) the person or persons entitled to
receive the amount.
(D) INSURANCE AND OTHER BENEFITS.—
(i) IN
GENERAL.—Subject to clause
(ii), to prevent recovery by a claimant in
excess of the equivalent of actual compen-
satory damages in accordance with sub-
section (d), the Director, in determining
the amount of, and paying, a claim, shall
reduce the amount to be paid for the claim
by an amount that is equal to the sum of
the payments or settlements of any kind
that were paid, or will be paid, with re-
spect to the claim, including—
(I) payments on insurance poli-
cies; and
(II) benefits under the public as-
sistance program, individual assist-
ance program, or other program of
the Federal Emergency Management
Agency or under a program of any
other Federal, State, or local agency.
(ii) GOVERNMENT LOANS.—Clause (i)
shall not apply to the receipt by a claimant
of any Federal, State, or local government
loan that is required to be repaid by the
claimant.
(2) ADVANCE OR PARTIAL PAYMENTS.—At the
request of a claimant, the Director may make 1 or
more advance or partial payments before the final
settlement of a claim.
(f) RECOVERY OF FUNDS IMPROPERLY PAID OR MIS-
USED.—The United States may recover any portion of a
payment on a claim that was improperly paid to the claim-
ant as a result of—
(1) fraud or misrepresentation on the part of
the claimant or a representative of the claimant;
(2) a material mistake on the part of the
United States;
(3) the payment of benefits described in sub-
section (e)(1)(D) that were not taken into account
in determining the amount of the payment; or
(4) the failure of the claimant to cooperate in
an audit.
(g) APPEALS OF DECISIONS.—
(1) RIGHT OF APPEAL.—A claimant may appeal
a decision concerning payment of a claim by filing,
not later than 60 days after the date on which the
claimant is notified that the claim of the claimant
will or will not be paid, a notice of appeal—
(A) in the case of a decision on a claim re-
lating to a business loss, with the Administrator
of the Small Business Administration; and
(B) in the case of a decision on a claim re-
lating to a residential loss, with the Director.
(2) PERIOD
FOR
DECISION.—A decision con-
cerning an appeal under paragraph (1) shall be ren-
dered not later than 90 days after the date on which
the notice of appeal is received.
(h) REGULATIONS.—Notwithstanding any other pro-
vision of law, not later than 45 days after the date of en-
actment of this Act—
(1) the Director shall promulgate and publish
in the Federal Register interim final regulations for
the processing and payment of claims; and
(2) the Director and the Administrator of the
Small Business Administration shall jointly promul-
gate and publish in the Federal Register procedures
under which a dispute concerning payment of a
claim may be settled through an appeals process de-
scribed in subsection (g).
(i) PUBLIC INFORMATION.—At the time of publica-
tion of interim final regulations under subsection (h), the
Director shall disseminate, through brochures, pamphlets,
radio, television, the print news media, and such other
media as the Director determines to be likely to reach pro-
spective claimants, a clear, concise, and easily understand-
able explanation, in English, Spanish, and any other lan-
guage that the Director determines to be appropriate, of—
(1) the rights conferred under this section; and
(2) the procedural and other requirements of
the regulations promulgated under subsection (h).
(j) COORDINATION.—In carrying out this section, the
Director shall coordinate with the Administrator of the
Small Business Administration, other Federal agencies,
State and local agencies, and any other individual or enti-
ty, as the Director determines to be necessary—
(1) to ensure the efficient administration of the
claims process; and
(2) to provide for local concerns.
(k) APPLICABILITY OF DEBT COLLECTION REQUIRE-
MENTS.—
(1) IN
GENERAL.—Section 3716 of title 31,
United States Code, shall not preclude any payment
on a claim.
(2) 
ASSIGNMENT
AND
EXEMPTION
FROM
CLAIMS OF CREDITORS.—
(A) ASSIGNMENT.—No assignment, re-
lease, or commutation of a payment due or pay-
able under this section shall be valid.
(B) EXEMPTION.—
(i) IN GENERAL.—A payment under
this section shall be exempt from all claims
of creditors and from levy, execution, at-
tachment, or other remedy for recovery or
collection of a debt.
(ii) NONWAIVABLE EXEMPTION.—The
exemption provided by clause (i) may not
be waived.
(3) EXCEPTION.—Notwithstanding paragraph
(2), the Director may—