Title: Ensuring Disaster Recovery for Local Communities Act of 2019
Policy area: Housing and Community Development

Summary:
Ensuring Disaster Recovery for Local Communities Act of 2019
This bill addresses relief for areas impacted by a major disaster.
Specifically, the Department of Housing and Urban Development must provide disaster recovery assistance under the Community Development Block Grant program to states, local governments, certain territories, and Indian tribes.
In addition, the Government Accountability Office must report on an existing grant program designed to help communities implement mitigation measures to reduce the risk of loss of life and property in future disasters.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2796 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  1st Session
                                S. 2796

  To expedite disaster assistance to States, insular areas, units of 
     general local government, and Indian tribes under a community 
   development block grant disaster recovery program, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 6, 2019

 Mr. Tillis (for himself and Mr. Burr) introduced the following bill; 
which was read twice and referred to the Committee on Banking, Housing, 
                           and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
  To expedite disaster assistance to States, insular areas, units of 
     general local government, and Indian tribes under a community 
   development block grant disaster recovery program, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Ensuring Disaster Recovery for Local 
Communities Act of 2019''.

SEC. 2. COMMUNITY DEVELOPMENT BLOCK GRANT DISASTER RECOVERY PROGRAM.

    (a) In General.--Title I of the Housing and Community Development 
Act of 1974 (42 U.S.C. 5301 et seq.) is amended--
            (1) in section 104(b) (42 U.S.C. 5304(b)), by inserting 
        ``or 123'' after ``106'' each place that term appears; and
            (2) by adding at the end the following:

``SEC. 123. CDBG-DISASTER RECOVERY ASSISTANCE.

    ``(a) Definition of Eligible Entity.--In this section, the term 
`eligible entity' means--
            ``(1) a State;
            ``(2) an insular area;
            ``(3) a unit of general local government; and
            ``(4) an Indian tribe.
    ``(b) Authority; Use.--
            ``(1) In general.--The Secretary shall provide assistance 
        under this section to eligible entities for necessary expenses 
        for activities authorized under this title related to disaster 
        relief, resiliency, long-term recovery, restoration of 
        infrastructure and housing, mitigation, and economic 
        revitalization in the most impacted and distressed areas 
        resulting from a major disaster declared pursuant to the Robert 
        T. Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5121 et seq.).
            ``(2) Other assistance.--The Secretary may provide an 
        appropriate amount of assistance to eligible entities outside 
        an area described in paragraph (1) that receives displaced 
        residents due to a major disaster declared pursuant to the 
        Robert T. Stafford Disaster Relief and Emergency Assistance Act 
        (42 U.S.C. 5121 et seq.) for the purpose of carrying out 
        eligible activities to provide housing to and meet other 
        disaster recovery needs of those displaced residents.
            ``(3) Consideration.--In carrying out eligible activities 
        with assistance provided under this section, a grantee shall 
        prioritize activities that address housing recovery needs and 
        how to better recover from and withstand future disasters, 
        prolong the life of housing and infrastructure, use cost-
        effective means of preventing harm to people and property, 
        incorporate protective features, redundancies, energy savings, 
        and other measures that will assure the continuation of 
        critical services during future disasters.
    ``(c) Timing.--
            ``(1) Deadlines for allocation of amounts.--Except as 
        provided in paragraph (2), after the enactment of an 
        appropriations Act making funds available for assistance under 
        this section, the Secretary shall allocate for grantees, based 
        on the best available data--
                    ``(A) not less than one-third of funds provided for 
                assistance under this section, within 60 days of the 
                date of enactment of that Act; and
                    ``(B) all remaining unallocated funds to be awarded 
                to grantees, within 180 days of such date of enactment.
            ``(2) Inapplicability of deadlines based on insufficient 
        information.--The deadlines under paragraph (1) for allocation 
        of funds shall not apply in the case of funds made available 
        for assistance under this section until sufficient information 
        has been made available to the Secretary to determine unmet 
        recovery needs and make allocations in accordance with those 
        deadlines.
            ``(3) Development of common application.--The Secretary, 
        the Administrator of the Federal Emergency Management Agency, 
        the Administrator of the Small Business Administration, and the 
        heads of other appropriate agencies shall develop a common 
        form--
                    ``(A) for the purpose of applying for individual 
                disaster assistance from the Department of Housing and 
                Urban Development, the Federal Emergency Management 
                Agency, or the Small Business Administration; and
                    ``(B) that can be used and shared by all agencies 
                providing individual disaster assistance and by the 
                grantees and subgrantees as necessary.
    ``(d) Plan for Use of Assistance.--
            ``(1) Requirement.--Not later than 120 days after the 
        allocation pursuant to subsection (c)(1)(B) of the funds made 
        available by an appropriations Act for assistance under this 
        section, and before the Secretary obligates any of such funds 
        for a grantee, the grantee shall submit a plan to the Secretary 
        for approval detailing the proposed use of all funds, which 
        shall include, at a minimum--
                    ``(A) criteria for eligibility for each proposed 
                use of funds, including eligibility limits on income 
                and geography, and a description of how the use of such 
                funds will--
                            ``(i) address unmet needs relating to 
                        disaster relief, resiliency, long-term recovery 
                        and restoration of infrastructure and housing, 
                        and mitigation and economic revitalization in 
                        the most impacted and distressed areas; and
                            ``(ii) provide assistance to impacted 
                        households experiencing homelessness or at risk 
                        of homelessness;
                    ``(B) identification of officials and offices 
                responsible for administering such funds and 
                identifying and recovering duplicative benefits;
                    ``(C) an agreement to share data with Federal 
                agencies and other providers of disaster relief, which 
                shall include information the grantee has regarding the 
                matters described in subparagraph (B); and
                    ``(D) a plan to provide case management services to 
                disaster-impacted residents in identifying, 
                understanding, and accessing available Federal 
                assistance.
            ``(2) Public consultation.--In developing the plan required 
        under paragraph (1), a grantee shall, at a minimum--
                    ``(A) consult with affected residents, 
                stakeholders, local governments, and public housing 
                authorities to assess needs;
                    ``(B) publish the plan in accordance with the 
                requirements set forth by the Secretary, including a 
                requirement to prominently post the plan on the website 
                of the grantee for not less than 14 days;
                    ``(C) ensure equal access for individuals with 
                disabilities and individuals with limited English 
                proficiency; and
                    ``(D) publish the plan in a manner that affords 
                residents, affected local governments, and other 
                interested parties a reasonable opportunity to examine 
                the contents of the plan and provide feedback.
            ``(3) Approval.--The Secretary shall, by regulation, 
        specify criteria for the approval of a plan submitted under 
        paragraph (1), including approval of substantial amendments to 
        the plan.
            ``(4) Disapproval.--The Secretary shall disapprove a plan 
        or substantial amendment to a plan submitted under paragraph 
        (1) if a plan or substantial amendment does not meet the 
        approval criteria.
            ``(5) Resubmission.--The Secretary shall permit a grantee 
        to revise and resubmit a plan that the Secretary disapproves 
        under paragraph (4).
            ``(6) Timing.--The Secretary shall approve or disapprove a 
        plan submitted under paragraph (1) not later than 90 days after 
        the date on which the plan is submitted to the Secretary.
    ``(e) Financial Controls.--
            ``(1) Compliance system.--The Secretary shall develop and 
        maintain a system to ensure that each grantee has in place--
                    ``(A) proficient financial controls and procurement 
                processes;
                    ``(B) adequate procedures to ensure that amounts 
                made available under this section provide the broadest 
                benefit possible to eligible families and individuals 
                that are approved for assistance;
                    ``(C) adequate procedures to--
                            ``(i) ensure timely expenditure of funds; 
                        and
                            ``(ii) detect and prevent waste, fraud, and 
                        abuse of funds; and
                    ``(D) adequate procedures to ensure the grantee 
                will maintain comprehensive and publicly accessible 
                websites that make available information regarding all 
                disaster recovery activities assisted with such funds, 
                which information shall include any resulting contract, 
                agreement, or other disposition of requests for 
                qualification of assistance or for procurement with 
                such funds.
            ``(2) Requirement.--The procedures described in paragraph 
        (1)(D) shall ensure that personally identifiable information 
        regarding recipients of assistance provided from funds made 
        available under this section shall not be made publicly 
        available.
            ``(3) Certification.--As a condition of making any grant, 
        the Secretary shall certify in advance that the grantee has in 
        place the processes and procedures required under paragraph 
        (1).
    ``(f) Use of Funds.--
            ``(1) Administrative costs.--An eligible entity receiving a 
        grant under this section--
                    ``(A) may use not more than 5 percent of the amount 
                of grant funds received for administrative costs; and
                    ``(B) shall document the use of funds for the 
                purpose described in subparagraph (A) in accordance 
                with such requirements as the Secretary shall 
                establish.
            ``(2) HUD administrative costs.--
                    ``(A) Limitation.--Of any funds made available for 
                use under this section by any single appropriations 
                Act, the Secretary may use 0.5 percent of any such 
                amount for necessary costs, including information 
                technology costs, of administering and overseeing the 
                obligation and expenditure of amounts made available 
                for use under this section.
                    ``(B) Transfer of funds.--Any amounts made 
                available for use in accordance with subparagraph (A)--
                            ``(i) shall be transferred to the account 
                        for `Program Office Salaries and Expenses--
                        Community Planning and Development' for the 
                        Department of Housing and Urban Development;
                            ``(ii) shall remain available until 
                        expended; and
                            ``(iii) may be used for such administrative 
                        costs for administering any funds appropriated 
                        to the Department of Housing and Urban 
                        Development for any disaster and related 
                        purposes in any prior or future Act making 
                        funds available for use under this section, 
                        notwithstanding the disaster for which such 
                        funds were appropriated.
            ``(3) Inspector general.--Of any funds made available for 
        use in accordance with paragraph (2)(A), 10 percent shall be 
        transferred to the Office of the Inspector General of the 
        Department of Housing and Urban Development for necessary costs 
        of audits, reviews, oversight, evaluation, and investigations 
        relating to amounts made available for use under this section.
            ``(4) Capacity building.--Of any funds made available for 
        use under this section, 2 percent may be made available for 
        capacity building and technical assistance to support grantees 
        and subgrantees receiving funds under this section.
    ``(g) Procurement Processes and Procedures for Grantees.--
            ``(1) Grantee processes and procedures.--In procuring 
        property or services to be paid for in whole or in part with 
        amounts from a grant under this section, a grantee shall--
                    ``(A) follow the procurement processes and 
                procedures of the grantee, but only if the Secretary 
                makes a determination that those processes and 
                procedures comply with the requirements under paragraph 
                (2); or
                    ``(B) comply with such processes and procedures as 
                the Secretary shall, by regulation, establish for 
                purposes of this section.
            ``(2) Requirements.--The requirements under this paragraph 
        with respect to the procurement processes and procedures of a 
        grantee are that the processes and procedures shall--
                    ``(A) provide for full and open competition and 
                require cost or price analysis;
                    ``(B) include requirements for procurement policies 
                and procedures for subgrantees, based on full and open 
                competition;
                    ``(C) specify methods of procurement and their 
                applicability, but not allow for cost-plus-a-
                percentage-of cost or percentage-of-construction-cost 
                methods of procurement;
                    ``(D) include standards of conduct governing 
                employees engaged in the award or administration of 
                contracts; and
                    ``(E) ensure that all purchase orders and contracts 
                include any clauses required by statute or implementing 
                regulation.
            ``(3) Noncompliance.--In the case of a grantee for which 
        the Secretary finds pursuant to paragraph (1)(A) that the 
        procurement processes and procedures of the grantee do not 
        comply with paragraph (2), the Secretary shall--
                    ``(A) provide the grantee with specific written 
                notice of the elements of noncompliance and the changes 
                necessary to those processes and procedures to provide 
                for compliance;
                    ``(B) provide the grantee a reasonable period of 
                time to come into compliance; and
                    ``(C) during the period of time described in 
                subparagraph (B), allow the grantee to proceed with 
                procuring property and services paid for in whole or in 
                part with amounts from a grant under this section in 
                compliance with the procurement processes and 
                procedures of the grantee, but only if the Secretary 
                periodically affirmatively determines that the grantee 
                is making a good faith effort to effectuate compliance 
                with the requirements of paragraph (2).
    ``(h) Treatment of CDBG Allocations.--Amounts made available for 
use under this section shall not be considered relevant to the non-
disaster formula allocations made pursuant to section 106.
    ``(i) Waivers.--
            ``(1) Authority.--Subject to the other provisions of this 
        section, in administering amounts made available for use under 
        this section, the Secretary may waive, or specify alternative 
        requirements for, any provision of any statute or regulation 
        that the Secretary administers in connection with the 
        obligation by the Secretary or the use by the recipient of 
        those funds (except for requirements related to fair housing, 
        nondiscrimination, labor standards, flood risk management, and 
        the environment and except for the requirements of this 
        section), if the Secretary makes a public finding that good 
        cause exists for the waiver or alternative requirement and the 
        waiver or alternative requirement would not be inconsistent 
        with the overall purpose of this title.
            ``(2) Notice and publication.--Any waiver of or alternative 
        requirement pursuant to paragraph (1) shall not take effect 
        before the expiration of the 15-day period beginning upon the 
        publication of notice in the Federal Register of such waiver or 
        alternative requirement.
            ``(3) Low- and moderate-income use.--A waiver pursuant to 
        paragraph (1) may not reduce the percentage of funds that is 
        required to be used for activities that benefit persons of low- 
        and moderate-income to less than 70 percent of the total 
        allocation, unless the Secretary specifically finds that there 
        is compelling need to further reduce the percentage requirement 
        and that funds are not necessary to address the housing needs 
        of low- and moderate-income residents.
            ``(4) Prohibition.--The Secretary may not waive any 
        provision of this section pursuant to the authority under 
        paragraph (1).
    ``(j) Environmental Review.--
            ``(1) Adoption.--Notwithstanding subsection (k)(1), 
        recipients of funds provided under this section that use the 
        funds to supplement Federal assistance provided under section 
        402, 403, 404, 406, 407, 408(c)(4), 428, or 502 of the Robert 
        T. Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5170a, 5170b, 5170c, 5172, 5173, 5174(c)(4), 5189f, 
        5192) may adopt, without review or public comment, any 
        environmental review, approval, or permit performed by a 
        Federal agency, and that adoption shall satisfy the 
        responsibilities of the recipient with respect to the 
        environmental review, approval, or permit under section 
        104(g)(1).
            ``(2) Release of funds.--Notwithstanding section 104(g)(2), 
        the Secretary may, upon receipt of a request for release of 
        funds and certification, immediately approve the release of 
        funds for an activity or project assisted with amounts made 
        available for use under this section if the recipient has 
        adopted an environmental review, approval, or permit under 
        paragraph (1) or the activity or project is categorically 
        excluded from review under the National Environmental Policy 
        Act of 1969 (42 U.S.C. 4321 et seq.).
    ``(k) Pre-Certification for Units of General Local Government.--
            ``(1) In general.--The Secretary may carry out a program 
        under this subsection to provide for units of general local 
        government to pre-certify as eligible grantees for assistance 
        under this section.
            ``(2) Requirements.--To be eligible for pre-certification 
        under the program under this subsection, a unit of general 
        local government shall demonstrate to the satisfaction of the 
        Secretary the capacity to comply with the requirements of this 
        section.
            ``(3) Approval of plans.--
                    ``(A) Expedited approval processes.--The Secretary 
                shall establish and maintain processes for expediting 
                approval of plans for units of general local government 
                that are pre-certified under this subsection.
                    ``(B) Effect of pre-certification.--Pre-
                certification pursuant to this subsection shall not--
                            ``(i) establish any entitlement to, or 
                        priority or preference for, allocation of funds 
                        made available under this section; or
                            ``(ii) exempt any grantee from complying 
                        with any of the requirements under, or 
                        established pursuant to, subsection (c) or (d).
            ``(4) Duration.--Pre-certification under the program under 
        this subsection shall be effective for a term of 5 years.
    ``(l) Deposit of Unused Amounts in Fund.--
            ``(1) In general.--If any amounts made available for 
        assistance under this section to grantees remain unexpended 
        upon the earlier of--
                    ``(A) the date that the grantee of such amounts 
                notifies the Secretary that the grantee has completed 
                all activities identified in the grantee's plan for use 
                of such amounts that was approved by the Secretary in 
                connection with the grant;
                    ``(B) recapture of funds from the grantee or 
                repayment of funds by the grantee; or
                    ``(C) the expiration of the 10-year period 
                beginning upon the Secretary obligating such amounts to 
                the grantee, as such period may be extended pursuant to 
                paragraph (2),
        the Secretary shall transfer such unexpended amounts to the 
        Secretary of the Treasury for deposit into the Community 
        Development Block Grant Disaster Recovery Reserve Fund 
        established under section 124, except that the Secretary may, 
        by regulation, permit the grantee to retain amounts needed to 
        close out the grant.
            ``(2) Extension of period for use of funds.--The period 
        under paragraph (1)(C) shall be extended by not more than 3 
        years if the Secretary waives this requirement and submits a 
        written justification for the waiver to the Committees on 
        Appropriations of the House of Representatives and the Senate 
        that specifies the period of that extension.
    ``(m) Thresholds and Reporting for Disaster Relief.--
            ``(1) Definition of covered grantee.--In this subsection, 
        the term `covered grantee' means a grantee under this title 
        that receives funds from an appropriations Act to carry out the 
        purposes of this section to address the damage in an area for 
        which the President has declared a major disaster under section 
        401 of the Robert T. Stafford Disaster Relief and Emergency 
        Assistance Act (42 U.S.C. 5170).
            ``(2) Setting thresholds.--The Secretary shall establish 
        and make publicly available spending thresholds that a covered 
        grantee shall be required--
                    ``(A) to meet on the date that is 6 months after 
                the date on which funds have been obligated by the 
                covered grantee; and
                    ``(B) to meet every 6 months thereafter until all 
                funds have been expended by the covered grantee.
            ``(3) Failure to meet thresholds.--
                    ``(A) In general.--A covered grantee that fails to 
                meet the spending thresholds established under 
                paragraph (2) shall submit to the Secretary, the 
                appropriate committees of Congress, and each member of 
                Congress who represents a district or State of the 
                covered grantee a written report identifying technical 
                capacity, funding, or other Federal or State 
                impediments affecting the ability of the covered 
                grantee to meet the spending thresholds.
                    ``(B) Publication.--Not later than 30 days after 
                the date on which the Secretary receives a report under 
                subparagraph (A), the Secretary shall make the report 
                publicly available on the website of the Department of 
                Housing and Urban Development.
    ``(n) Subgrantee Eligibility.--
            ``(1) In general.--Upon request, the Secretary may allow 
        counties, municipalities, Indian tribes, or other local 
        subdivisions with a demonstrated record of administering funds 
        under this title to become a subgrantee of the covered grantee.
            ``(2) Capacity building.--A county, municipality, Indian 
        tribe, or other local subdivision lacking a demonstrated record 
        of administrating funds under this title may request technical 
        assistance and training, including by detailing a sufficient 
        number of employees from the Department of Housing and Urban 
        Development, from the Secretary to work directly with the 
        subgrantee in order to become an eligible subgrantee for 
        purposes of paragraph (1).
            ``(3) Transfer of plan.--A subgrantee described in 
        paragraph (1) may transfer and adopt a community development 
        plan described in section 104(m) that has been previously 
        approved by the Secretary.
            ``(4) Technical assistance.--Upon request of a subgrantee 
        described in paragraph (1), the Secretary may provide 
        additional technical assistance to the subgrantee to assist the 
        subgrantee in administering and expediting the delivery of 
        funds, including by detailing an employee of the Department of 
        Housing and Urban Development to work with the subgrantee.
            ``(5) Notice.--A subgrantee described in paragraph (1) 
        shall notify the covered grantee of its intent to become a 
        subgrantee.
            ``(6) Assuming duties of subgrantee.--If a subgrantee 
        described in paragraph (1) fails to expend funds in a 
        reasonable timeframe, the Secretary or the covered grantee may 
        assume the duties of the subgrantee to administer recovery 
        funding, provided that the subgrantee is given adequate notice 
        and an opportunity to remedy the slow expenditure of funds.
            ``(7) Community recovery support systems.--
                    ``(A) In general.--At the request of any covered 
                grantee or any subgrantee described in paragraph (1), 
                the Secretary shall designate and deploy community 
                recovery support teams to provide the technical 
                assistance and capacity building described in paragraph 
                (2).
                    ``(B) Composition.--Each community recovery support 
                team deployed under subparagraph (A) shall consist of 
                employees of the regional offices of the Department of 
                Housing and Urban Development with expertise in 
                disaster relief assistance provided under this title.
                    ``(C) Training.--The Secretary may provide 
                additional employee training as needed to fulfill the 
                requirements of this paragraph.
            ``(8) Regulations.--The Secretary shall promulgate 
        regulations to carry out this subsection.

``SEC. 124. COMMUNITY DEVELOPMENT BLOCK GRANT DISASTER RECOVERY RESERVE 
              FUND.

    ``(a) Establishment.--There is established in the Treasury of the 
United States an account to be known as the Community Development Block 
Grant Disaster Recovery Reserve Fund (in this section referred to as 
the `Fund').
    ``(b) Amounts.--
            ``(1) In general.--There are authorized to be appropriated 
        to the Fund such sums as may be necessary to carry out the 
        activities authorized under this Act, to remain available until 
        expended, except that not more than $50,000,000 is authorized 
        to be appropriated for the first fiscal year beginning after 
        the date that is 1 year after the date of enactment of this 
        section, and each fiscal year thereafter.
            ``(2) Transfer.--Amounts made available through section 
        106(c)(4) by actions taken under section 104(e) or 111 may be 
        transferred to the Fund, to remain available until expended.
    ``(c) Use.--Amounts in the Fund shall be available only for 
providing assistance under section 123, but only to the extent provided 
in advance in appropriations Acts.''.
    (b) Regulations.--
            (1) Proposed rules.--Not later than 6 months after the date 
        of the enactment of this Act, the Secretary of Housing and 
        Urban Development shall issue proposed rules to carry out 
        sections 123 and 124 of the Housing and Community Development 
        Act of 1974, as added by the amendment made by subsection (a) 
        of this section, and shall provide a 90-day period for 
        submission of public comments on those proposed rules.
            (2) Final rules.--Not later than 1 year after the date of 
        the enactment of this Act, the Secretary of Housing and Urban 
        Development shall issue final regulations to carry out sections 
        123 and 124 of the Housing and Community Development Act of 
        1974, as added by the amendment made by subsection (a) of this 
        section.

SEC. 3. GAO REPORT.

    Not later than 180 days after the date of enactment of this Act, 
the Comptroller General of the United States shall submit to Congress a 
report on the hazard mitigation grant program authorized under section 
404 of the Robert T. Stafford Disaster Relief and Emergency Assistance 
Act (42 U.S.C. 5170c) (in this section referred to as the ``program''), 
which shall include--
            (1) an assessment of the utilization of the program for 
        acquisition of flood-prone properties for hazard mitigation, 
        including an analysis of the average length of time between the 
        initial disaster and completion of the property acquisition;
            (2) an assessment of the ability of the program to reduce 
        exposure of Federal funds in future natural disasters;
            (3) an assessment of how funds are tracked and monitored by 
        the Federal Emergency Management Agency;
            (4) recommendations on how to streamline the program to 
        enhance resilience, expedite delivery of funds to program 
        recipients, and increase transparency and accountability of the 
        program; and
            (5) an assessment of the potential to leverage private 
        industry expertise in expediting property acquisitions.

SEC. 4. HAZARD MITIGATION GRANT PROGRAM APPLICATION APPROVALS.

    Section 404(c)(3) of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5170c(c)(3)) is amended by 
inserting ``not later than 60 days after the date on which the 
application is submitted'' before the period at the end.
                                 <all>