IB 
Union Calendar No. 274 
119TH CONGRESS 
1ST SESSION 
H. R. 744 
[Report No. 119–320] 
To amend section 324 of the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act to incentivize States, Indian Tribes, and Territories 
to close disaster recovery projects by authorizing the use of excess funds 
for management costs for other disaster recovery projects. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 28, 2025 
Mr. NEGUSE (for himself, Mr. EZELL, Mr. HARDER of California, Mr. STAN-
TON, Ms. STANSBURY, Ms. BONAMICI, Ms. JAYAPAL, Ms. TITUS, and Mr. 
RASKIN) introduced the following bill; which was referred to the Com-
mittee on Transportation and Infrastructure 
OCTOBER 3, 2025 
Additional sponsors: Mr. CARSON, Mr. FITZPATRICK, and Mr. FULCHER 
OCTOBER 3, 2025 
Committed to the Committee of the Whole House on the State of the Union 
and ordered to be printed 
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A BILL 
To amend section 324 of the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act to incentivize 
States, Indian Tribes, and Territories to close disaster 
recovery projects by authorizing the use of excess funds 
for management costs for other disaster recovery 
projects. 
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Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Disaster Management 
Costs Modernization Act’’. 
SEC. 2. USE OF EXCESS FUNDS FOR MANAGEMENT COSTS. 
(a) IN GENERAL.—Section 324 of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act 
(42 U.S.C. 5165b) is amended— 
(1) in subsection (b)(2)— 
(A) by redesignating subparagraphs (A) 
and (B) as clauses (i) and (ii), respectively, and 
adjusting the margins accordingly; and 
(B) in the matter preceding clause (i), as 
so redesignated, by striking ‘‘provide the fol-
lowing percentage rates’’ and inserting ‘‘pro-
vide— 
‘‘(A) excess funds for management costs as 
described in subsection (c); and 
‘‘(B) the following percentage rates’’; 
(2) by redesignating subsection (c) as sub-
section (d); and 
(3) by inserting after subsection (b) the fol-
lowing: 
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‘‘(c) USE OF EXCESS FUNDS FOR MANAGEMENT 
COSTS.— 
‘‘(1) DEFINITION.—In this subsection, the term 
‘excess funds for management costs’ means the dif-
ference between— 
‘‘(A) the amount of the applicable specific 
management costs authorized under subsection 
(b)(1) and subsection (b)(2)(B); and 
‘‘(B) as of the date on which the grant 
award is closed, the amount of funding for 
management costs activities expended by the 
grantee or subgrantee receiving the financial as-
sistance for costs described in subparagraph 
(A). 
‘‘(2) AVAILABILITY
OF
EXCESS
FUNDS
FOR 
MANAGEMENT
COSTS.—The President may make 
available to a grantee or subgrantee receiving finan-
cial assistance under section 403, 404, 406, 407, or 
502 any excess funds for management costs. 
‘‘(3) USE OF FUNDS.—Excess funds for man-
agement costs made available to a grantee or sub-
grantee under paragraph (2) may be used for— 
‘‘(A) activities associated with building ca-
pacity to prepare for, recover from, or mitigate 
the impacts of a major disaster or emergency 
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declared under section 401 or 501, respectively; 
and 
‘‘(B) management costs associated with 
any— 
‘‘(i) major disaster; 
‘‘(ii) emergency; 
‘‘(iii) disaster preparedness measure; 
or 
‘‘(iv) mitigation activity or measure 
authorized under section 203, 204, 205, or 
404. 
‘‘(4) AVAILABILITY.—Excess funds for manage-
ment costs made available to a grantee or sub-
grantee under paragraph (2) shall remain available 
to the grantee or subgrantee until the date that is 
5 years after the date on which the excess funds for 
management costs are made available under para-
graph (2).’’. 
(b) APPLICABILITY.—The amendments made by sub-
section (a) shall apply with respect to any grant award 
in relation to a major disaster or emergency declared 
under section 401 or 501, respectively, of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act 
(42 U.S.C. 5170, 5191)— 
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(1) the declaration of which is made on or after 
the date of enactment of this Act; and 
(2) that is funded with amounts appropriated 
on or after the date of enactment of this Act. 
(c) GAO STUDY.—Not later than 180 days after the 
date of enactment of this Act, the Comptroller General 
of the United States shall submit to the Committee on 
Homeland Security and Governmental Affairs of the Sen-
ate and the Committee on Transportation and Infrastruc-
ture of the House of Representatives a report— 
(1) on the actual management costs described 
in section 324 of the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act (42 U.S.C. 
5165b) during the period of a major disaster dec-
laration under section 401 of such Act (42 U.S.C. 
5170) to determine whether the amount set aside for 
those management costs after the date of enactment 
of this Act is appropriate; and 
(2) that includes the management costs de-
scribed in section 324 of the Robert T. Stafford Dis-
aster Relief and Emergency Assistance Act (42 
U.S.C. 5165b) for each disaster declared under dur-
ing the period of a major disaster declaration under 
section 401 of such Act (42 U.S.C. 5170) during the 
5-year period preceding the date of the report, the 
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amount set aside for those management costs, the 
use of those management costs, the length of each 
disaster, and the reason for the length of each dis-
aster. 
(d) NO ADDITIONAL FUNDS.—No additional funds 
are authorized to be appropriated to carry out the amend-
ments made by subsection (a). 
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Union Calendar No. 274 
119TH CONGRESS 
1ST SESSION 
H. R. 744 
[Report No. 119–320] 
A BILL 
To amend section 324 of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act to 
incentivize States, Indian Tribes, and Territories 
to close disaster recovery projects by authorizing 
the use of excess funds for management costs for 
other disaster recovery projects. 
OCTOBER 3, 2025 
Committed to the Committee of the Whole House on the 
State of the Union and ordered to be printed 
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