The "Helene Small Business Recovery Act" allows the President to waive the rule against receiving duplicate federal benefits for small businesses after a major disaster, ensuring they can access the aid needed for recovery in 2023 and 2024.
Charles (Chuck) Edwards
Representative
NC-11
The "Helene Small Business Recovery Act" allows the President to waive the rule against receiving duplicate benefits from different federal programs after a major disaster or emergency, upon a Governor's request. The President can grant this waiver if it's in the public's best interest and won't lead to misuse or fraud, considering factors like cost-effectiveness, fairness, and FEMA's recommendations. The President must approve or deny the waiver within 45 days, and loans cannot be considered a duplication of assistance if all federal aid is used for disaster-related losses. This applies to major disasters declared in 2023 or 2024.
Disaster Aid Rules Relaxed: New Bill Allows Waiving 'Duplicate Benefits' Ban for 2023-24 Events
The Helene Small Business Recovery Act introduces a specific change to how federal disaster aid can be distributed. It gives the President the authority, upon a Governor's request, to waive the standard rule preventing individuals or businesses from receiving overlapping financial assistance from different federal programs for the same loss caused by a major disaster or emergency declared in 2023 or 2024. This potential waiver hinges on the President determining it's in the public interest and won't encourage waste or fraud, with a decision required within 45 days of the request.
Sidestepping the Double-Dip Rule
Normally, under the Stafford Act (Section 312(a)), you can't get paid twice by the federal government for the same disaster-related expense. This bill creates a potential exception for recent disasters. If a state's Governor asks, the President can greenlight overlapping aid based on factors like cost-effectiveness and fairness. Importantly, the bill clarifies that federal loans won't be counted as duplicate assistance if the money is genuinely used for disaster recovery, effectively tweaking another part of the Stafford Act (Section 312(c)) for these specific situations. There's no mention of income limits for who might benefit from such a waiver.
Real-World Impact: Faster Funds, Fewer Hurdles?
For people and businesses recovering from major disasters in 2023 or 2024, this could mean accessing necessary funds more easily. Imagine a homeowner needing both FEMA funds for immediate housing and potentially overlapping aid from another federal source for specific repairs – this waiver could allow that. Similarly, a small business might combine different federal resources without one canceling out the other. The goal seems to be speeding up recovery by removing a layer of financial bureaucracy during critical times.
Flexibility vs. Oversight
While faster, more flexible aid is the potential upside, the process grants significant discretion. The decision rests on the President's interpretation of the 'public's best interest,' a broad standard. While FEMA provides input, the final yes or no comes from the top within a 45-day window. This flexibility aims to help disaster victims navigate complex aid systems, but careful implementation would be needed to ensure funds are used effectively and fairly, preventing misuse without slowing down urgently needed help.