Fair Use of Federal Disaster Aid Act
The Fair Use of Federal Disaster Aid Act ensures that federal disaster aid prioritizes state residents and local businesses directly impacted by disasters. It excludes foreign-owned corporations from receiving aid unless explicitly waived for critical recovery purposes and mandates transparency and proportional distribution of funds. The Act emphasizes fairness, accountability, and public trust in disaster relief efforts.
Key Provisions
Aid Prioritization: Landowners and businesses directly impacted by disasters receive priority for federal disaster aid. Foreign-owned corporations are excluded unless granted a waiver for critical recovery needs.
Waiver Conditions: Waivers for foreign-owned corporations require justification, including essential contributions to disaster recovery.
Proportional Distribution: Aid is distributed based on documented need to ensure fair and equitable recovery support.
Transparency Measures: Public reporting of aid allocations and an annual accountability report ensure transparency.
Oversight and Enforcement: A Disaster Aid Oversight Board monitors compliance, investigates misuse, and imposes penalties for violations.
Model Language
Section 1: Short Title: This Act shall be known as the “Fair Use of Federal Disaster Aid Act.”
Section 2: Findings and Declarations
Federal disaster aid is intended to provide relief and recovery for communities directly affected by disasters.
Prioritizing aid for state residents and local businesses maximizes its effectiveness in rebuilding communities.
Transparency and equitable distribution are essential to maintaining public trust in disaster recovery programs.
Section 3: Definitions
Federal Disaster Aid: Financial assistance provided by the federal government in response to declared disasters.
Directly Impacted: Individuals or businesses suffering significant damage or loss due to a federally declared disaster.
Foreign-Owned Corporation: A business entity with majority ownership held by non-U.S. nationals or foreign entities.
Section 4: Prioritization of Aid
Primary Recipients: Federal disaster aid shall first be allocated to:
Individual landowners whose property suffered damage or destruction.
Local businesses directly impacted by the disaster.
Exclusions: Foreign-owned corporations are ineligible to receive federal disaster aid unless a waiver is granted under the provisions of this Act.
Section 5: Waivers for Foreign-Owned Corporations
Waivers may be granted by the Governor or a designated authority if:
The corporation provides critical goods or services essential to disaster recovery.
No suitable domestic alternatives exist to fulfill those needs.
Waiver decisions must be published online with justification and supporting documentation.
Section 6: Proportional Aid Distribution
Aid shall be distributed based on documented need, ensuring that those most severely impacted receive appropriate levels of support.
State agencies shall establish guidelines for assessing and documenting disaster-related needs.
Section 7: Transparency and Public Reporting
Public Reporting Requirements:
All allocations of federal disaster aid shall be published on a publicly accessible website.
Reports must include recipient names, amounts received, and a brief description of intended use.
Annual Accountability Report: The state shall publish an annual report detailing disaster aid distribution, including compliance with prioritization and proportionality guidelines.
Section 8: Oversight and Penalties
A Disaster Aid Oversight Board shall be established to monitor compliance and investigate potential misuse of funds.
Penalties for non-compliance or misuse of disaster aid include repayment of funds, fines, and disqualification from future aid programs.
Section 9: Severability: If any provision of this Act is deemed invalid, the remaining provisions shall remain in effect.