(b) UNOBLIGATED FUNDS.—Any funds made avail-
able to the Administrator of the Federal Emergency Man-
agement Agency that are unobligated on the abolishment 
date described in subsection (a) shall be transferred to the 
general fund of the Treasury and made available to carry 
out the program established under section 2. 
(c) TRANSFER OF FUNCTIONS.—All functions that 
immediately before the abolishment date specified in sub-
section (a) are authorized to be performed by the Adminis-
trator of the Federal Emergency Management Agency, 
any other officer or employee of the Agency acting in that 
capacity, or any agency or office of the Agency, are trans-
ferred to the President effective on such abolishment date. 
(d) PERSONNEL AND ASSETS.—Except as otherwise 
provided in this Act, so much of the personnel, property, 
and records employed, used, held, available, or to be made 
available in connection with a function transferred to the 
President under subsection (c) shall be available to the 
President, at such time or times as the President directs 
for use in connection with the functions transferred. 
(e) REFERENCES.—Any reference in any other Fed-
eral law, Executive order, rule, regulation, or delegation 
of authority, or any document of or pertaining to the Fed-
eral Emergency Management Agency— 
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(1) to the Administrator of the Federal Emer-
gency Management Agency is deemed to refer to the 
President; or 
(2) to the Federal Emergency Management 
Agency is deemed to refer to the Executive Office of 
the President. 
SEC. 3. DISASTER RELIEF BLOCK GRANT PROGRAM. 
(a) ESTABLISHMENT.—The Secretary of the Treas-
ury shall establish a program to provide grants to States 
for natural disaster and emergency relief. 
(b) GRANT TERMS.— 
(1) IN GENERAL.—In carrying out the program 
established under this section, the Secretary shall 
provide a grant to each State in an amount deter-
mined in accordance with the formula established 
pursuant to paragraph (2). 
(2) ALLOCATION OF FUNDS.— 
(A) IN GENERAL.—The Secretary shall, by 
rule, establish a formula for the allocation of 
grant funds to each State under this section. 
(B) CONSIDERATIONS.—In establishing the 
formula under subparagraph (A), the Secretary 
shall consider the following: 
(i) Population size. 
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(ii) Historical disaster frequency and 
severity during the 20-year period pre-
ceding the date of enactment of this Act. 
(iii) Geographic risk factors (such as 
seismic zones, flood plains, hurricane-prone 
areas). 
(iv) Economic need, as determined by 
per capita income. 
(3) USE OF FUNDS.—A State may use a grant 
provided under this section to carry out— 
(A) disaster preparedness training and ac-
quire and maintain related equipment; 
(B) response and recovery operations fol-
lowing a natural disaster or emergency; and 
(C) mitigation projects to reduce future 
disaster risks. 
(4) ADMINISTRATIVE COSTS.—A State may use 
not more than 5 percent of the amount allocated to 
such State under this subsection for administrative 
costs. 
(5) ALLOCATION.—The Secretary may not allo-
cate grant funds to a State for a fiscal year under 
this section unless and until the Secretary, pursuant 
to subsection (c), approves the emergency manage-
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ment plan submitted by such State for such fiscal 
year. 
(c) STATE EMERGENCY MANAGEMENT PLANS.—Not 
later than April 1 of each year, each State shall develop 
and submit for approval by the Secretary an emergency 
management plan for the fiscal year beginning on October 
1 of such year, and such plan shall include— 
(1) a description of how the State intends to 
use funds allocated under this section; 
(2) documentation of coordination between the 
State, local governments, and Tribal authorities in 
developing and implementing such emergency man-
agement plan; and 
(3) measurable goals for disaster preparedness 
and response. 
(d) REPORTS.—Not later than 90 days after the end 
of each fiscal year, each State shall submit to the Sec-
retary a report describing— 
(1) how funds allocated under this section were 
used during the preceding fiscal year; 
(2) outcomes achieved with such funds, includ-
ing improvements in preparedness metrics, response 
times, and completed mitigation projects; and 
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(3) the extent to which the State complied with 
the emergency management plan developed under 
subsection (c). 
(e) DUPLICATION
OF BENEFITS.—The Secretary 
shall ensure that no State receives a grant under this sec-
tion if such State receives assistance from any other Fed-
eral source for the same purposes for which such a grant 
may be used. 
(f) AUDIT.—Not less frequently than annually, the 
Secretary shall conduct an audit of the program estab-
lished under this section and submit a report thereon to 
the Committees on Oversight and Government Reform, 
Homeland Security, and Transportation and Infrastruc-
ture of the House of Representatives and the Committee 
on Homeland Security and Governmental Affairs of the 
Senate. 
(g) ADMINISTRATIVE
AND AUDIT EXPENSES.—Of 
the amounts made available to carry out this section, 10 
percent shall be for expenses related to administering the 
program established under this section and 10 percent 
shall be for expenses related to carrying out the audit of 
such program required under subsection (f). 
(h) TERMINATION.—The program established under 
this section shall terminate on the date that is 4 years 
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after the date on which the Secretary issues the rule re-
quired by subsection (b)(2). 
(i) DEFINITIONS.—In this section: 
(1) 
EMERGENCY.—The 
term 
‘‘emergency’’ 
means an occasion or instance for which assistance 
is needed to save lives and to protect property and 
public health and safety, or to lessen or avert the 
threat of a catastrophe in any part of a State. 
(2) NATURAL DISASTER.—The term ‘‘natural 
disaster’’ means any natural catastrophe (including 
any 
hurricane, 
tornado, 
storm, 
high 
water, 
winddriven water, tidal wave, tsunami, earthquake, 
volcanic eruption, landslide, mudslide, snowstorm, or 
drought), or, regardless of cause, any fire, flood, or 
explosion, in any part of a State, for which assist-
ance is needed to alleviate the damage, loss, hard-
ship, or suffering caused thereby. 
(3) STATE.—The term ‘‘State’’ any of the fifty 
States, the District of Columbia, Puerto Rico, the 
Virgin Islands, Guam, American Samoa, and the 
Commonwealth of the Northern Mariana Islands. 
Æ 
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