IFR 60-day FRN

3990

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

DEPARTMENT OF HOMELAND
SECURITY
Federal Emergency Management
Agency
44 CFR Part 206
[Docket ID: FEMA–2023–0003]
RIN 1660–AB07

Individual Assistance Program Equity
Federal Emergency
Management Agency, DHS.
ACTION: Interim final rule.
AGENCY:

The Federal Emergency
Management Agency (FEMA) is
publishing this interim final rule (IFR)
amending its regulations governing the
Individual Assistance program to
increase equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
DATES:
Effective Date: This rule is effective
March 22, 2024.
Applicability Date: This rule applies
to Emergencies and Major Disasters
declared on or after March 22, 2024.
Comment Date: Comments must be
received no later than July 22, 2024.
ADDRESSES: You may submit comments,
identified by Docket ID: FEMA–2023–
0003, via the Federal eRulemaking
Portal: http://www.regulations.gov.
Follow the instructions for submitting
comments.
SUMMARY:

FOR FURTHER INFORMATION CONTACT:

Kristina McAlister, Federal Emergency
Management Agency, 500 C Street SW,
Washington, DC 20472. Phone: 866–
826–8751 or email: FEMA-IHP-Policy@
fema.dhs.gov.
SUPPLEMENTARY INFORMATION:

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Table of Contents
I. Public Participation
II. Executive Summary
III. Background
A. Individual Assistance
B. Impacts of Climate Change on Disaster
Assistance
C. Equity in Individual Assistance
1. Income Project
2. Equity RFI—IA Program Equity
Responses to Comments
D. Changes in Policy Positions To Increase
Equity in IHP
1. Insurance Proceeds
2. Requirement To Apply for an SBA Loan
Prior to Receipt of ONA
3. Home Repair Pre-Existing Conditions
4. Serious Needs and Displacement
Assistance
IV. Discussion of the Interim Final Rule
A. Section 206.101—Temporary Housing
Assistance for Emergencies and Major

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Disasters Declared on or Before October
14, 2002
B. Section 206.110—Federal Assistance to
Individuals and Households
C. Section 206.111—Definitions
D. Section 206.112—Registration Period
E. Section 206.113—Eligibility Factors
F. Section 206.114—Criteria for Continued
or Additional Assistance
G. Section 206.115—Appeals
H. Section 206.117—Housing Assistance
I. Section 206.118—Disposal of Housing
Units
J. Section 206.119—Financial Assistance
To Address Other Needs
K. Section 206.131—Individual and Family
Grant Program for Major Disasters
Declared on or Before October 14, 2002
L. Section 206.191—Duplication of
Benefits
V. Regulatory Analyses
A. Administrative Procedure Act
B. Executive Order 12866, Regulatory
Planning and Review; Executive Order
13563, Improving Regulation and
Regulatory Review; and Executive Order
14094, Modernizing Regulatory Review
1. Need for Regulation
2. Affected Population
3. Baseline
4. Transfer Payments
5. Costs
6. Cost Savings
7. Total Net Costs
8. Benefits
9. Circular A–4 Accounting Statement, NoAction Baseline (2020$) Table
10. Circular A–4 Accounting Statement,
Pre-Guidance Baseline (2020$) Table
11. Marginal Analysis Table
C. Regulatory Flexibility Act
D. Unfunded Mandates Reform Act
E. National Environmental Policy Act of
1969 (NEPA)
F. Paperwork Reduction Act of 1995
G. Privacy Act/E-Government Act of 2002
H. Executive Order 13175, Consultation
and Coordination With Indian Tribal
Governments
I. Executive Order 13132, Federalism
J. Executive Order 12630, Taking of Private
Property
K. Executive Order 12898, Environmental
Justice and Executive Order 14096,
Revitalizing Our Nation’s Commitment
to Environmental Justice for All
L. Executive Order 12988, Civil Justice
Reform
M. Executive Order 13045, Protection of
Children From Environmental Health
Risks and Safety Risks
N. Executive Order 11988, Floodplain
Management
O. Executive Order 11990, Protection of
Wetlands
P. National Historic Preservation Act
Q. Endangered Species Act
R. Congressional Review of Agency
Rulemaking

Table of Abbreviations
ADA—Americans with Disabilities Act
APA—Administrative Procedure Act
CATEX—Categorical Exclusions
CDBG–DR—Community Development Block
Grant Disaster Recovery Program

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CEQ—Council on Environmental Quality
CFR—Code of Federal Regulations
CNA—Critical Needs Assistance
CPI–U—Consumer Price Index for All Urban
Consumers
CRA—Congressional Review of Agency
Rulemaking Act
CTHA—Continued Temporary Housing
Assistance
DCM—Disaster Case Management
DHAP—Disaster Housing Assistance Program
DHS—Department of Homeland Security
DHS–OIG—Department of Homeland
Security’s Office of Inspector General
DMA2K—Disaster Mitigation Act of 2000
DRC—Disaster Recovery Center
DRRA—Disaster Recovery Reform Act of
2018
EA—Environmental Assessment
EDW—Enterprise Data Warehouse
EIS—Environmental Impact Statement
ESA—Endangered Species Act
FCO—Federal Coordinating Officer
FDAA—Federal Disaster Assistance
Administration
FEMA—Federal Emergency Management
Agency
FIT—Failed Income Test
FmHA—Farmers Home Administration
FMR—Fair Market Rent
FVL—FEMA Verified Loss
FY—Fiscal Year
GAO—Government Accountability Office
GFIP—Group Flood Insurance Policy
GSA—U.S. General Services Administration
HA—Housing Assistance
HUD—U.S. Department of Housing and
Urban Development
IA—Individual Assistance
IAPPG—Individual Assistance Program and
Policy Guide
IFG—Individual and Family Grant Program
IFR—Interim Final Rule
IHP—Individuals and Households Program
IRS—Internal Revenue Service
JFO—Joint Field Office
LEP—Limited English Proficiency/Limited
English Proficient
LER—Lodging Expense Reimbursement
LI—Lower Income
MLR—Multifamily Lease and Repair
NEMIS—National Emergency Management
Information System
NEPA—National Environmental Policy Act
of 1969
NFIA—National Flood Insurance Act of 1968,
as Amended
NFIP—National Flood Insurance Program
NHPA—National Historic Preservation Act
NPRM—Notice of Proposed Rulemaking
OIG—Office of Inspector General
OMB—Office of Management and Budget
ONA—Other Needs Assistance
PHC—Permanent Housing Construction
PHP—Permanent Housing Plan
PIA—Privacy Impact Assessment
PKEMRA—Post-Katrina Emergency
Management Reform Act of 2006
RA—Regional Administrator
RA—Rental Assistance
RFA—Regulatory Flexibility Act of 1980
RFI—Request for Information
RIA—Regulatory Impact Analysis
RPFVL—Real Property FEMA Verified Loss
SBA—Small Business Administration
SFHA—Special Flood Hazard Area

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
SRIA—Sandy Recovery Improvement Act of
2013
Stafford Act—Robert T. Stafford Disaster
Relief and Emergency Assistance Act, as
Amended
STT—State, Tribal, or Territorial
Treasury—U.S. Department of Treasury
TSA—Transitional Sheltering Assistance
USGCRP—U.S. Global Change Research
Program
Welfare Reform Act—Title IV of the Personal
Responsibility and Work Opportunity
Reconciliation Act of 1996

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I. Public Participation
We encourage you to participate in
this rulemaking by submitting
comments and related materials. We
will consider all comments and
materials received during the comment
period.
If you submit a comment, identify the
agency name and the Docket ID for this
rulemaking, indicate the specific section
of this document to which each
comment applies, and give the reason
for each comment. All submissions will
be posted, without change, to the
Federal e-Rulemaking Portal at
www.regulations.gov and will include
any personal information you provide.
Therefore, submitting this information
makes it public. For more about privacy
and the docket, visit https://
www.regulations.gov/
document?D=DHS-2018-0029-0001.
Viewing comments and documents:
For access to the docket to read
background documents or comments
received, go to the Federal eRulemaking Portal at http://
www.regulations.gov.
II. Executive Summary
The Federal Emergency Management
Agency (FEMA) is publishing this
interim final rule (IFR) amending its
regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a

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Small Business Administration (SBA)
loan as a condition of eligibility for
Other Needs Assistance (ONA); and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
III. Background
A. Individual Assistance
FEMA is responsible for
administering and coordinating the
Federal Government response to
Presidentially declared disasters
pursuant to the Robert T. Stafford
Disaster Relief and Emergency
Assistance Act, as amended (Stafford
Act), Public Law 93–288, 42 U.S.C. 5121
et seq. When a catastrophe occurs in a
State or affects the members of a Tribal
community, the State’s Governor or
Tribal Chief Executive may request a
Presidential declaration of a major
disaster pursuant to Section 401 of the
Stafford Act. 42 U.S.C. 5170(a), (b); 44
CFR 206.36(a). Such a request must be
based on a finding that the disaster is of
such severity and magnitude that an
effective response is beyond the
capabilities of the State or Tribal
government and the affected local
governments and that Federal assistance
is necessary. 42 U.S.C. 5170. The
President’s declaration of a disaster will
designate the areas within a State, or for
an Indian Tribal government, where
Federal assistance may be made
available (including local governments
such as counties, parishes, or Tribal
lands, if appropriate) and identify the
types of assistance that are authorized
under the declaration, 44 CFR 206.40(a),
although other types may be authorized
later, 44 CFR 206.40(c). A major disaster
declaration may authorize all, or only
particular types of, supplemental
Federal assistance requested by the
Governor or Tribal Chief Executive. 44
CFR 206.40(a).
One of those types is ‘‘Federal
Assistance to Individuals and
Households’’ governed by section 408 of
the Stafford Act, which authorizes
FEMA to provide financial assistance
and direct services to individuals and
households who, as a direct result of a
major disaster, have necessary expenses
and serious needs in cases in which the
individuals and households are unable

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3991

to meet such expenses or needs through
other means. 42 U.S.C. 5174. FEMA
refers to this assistance as the
Individuals and Households Program
(IHP).
Section 408 categorizes IHP into two
provisions of assistance: Housing
Assistance (HA) and ONA. Housing
Assistance is available for individuals
and households who are displaced from
their pre-disaster primary residences 1
or whose pre-disaster residences are
rendered uninhabitable or, for
individuals with disabilities,
inaccessible or uninhabitable, as a result
of damage caused by a major disaster. 42
U.S.C. 5174(b). FEMA may provide
those individuals: (1) temporary
housing assistance in the form of
financial assistance (funds provided to
an individual to reimburse for hotels,
motels, or other short-term lodging
(referred to as Lodging Expense
Reimbursement, or LER) or to rent
alternate housing accommodations
while the individual is displaced from
their primary residence) or direct
assistance (FEMA may provide the
individual temporary housing units or
FEMA may lease and repair multifamily
rental properties (referred to as
Multifamily Lease and Repair, or MLR)
for the purpose of housing individuals);
(2) financial assistance to repair owneroccupied private residences, utilities,
and residential infrastructure damaged
by a major disaster to a safe and sanitary
living or functioning condition (referred
to as home repair assistance); (3)
financial assistance to replace owneroccupied private residences damaged by
a major disaster (referred to as home
replacement assistance); and (4) in rare
circumstances, financial or direct
assistance to construct permanent or
semi-permanent housing (referred to as
Permanent Housing Construction, or
PHC). 42 U.S.C. 5174(c).
ONA is financial assistance FEMA
makes available to individuals and
households adversely affected by a
disaster to address their necessary
expenses and serious needs.2 FEMA
1 Per 44 CFR 206.111 ‘‘primary residence’’ means
the dwelling where the applicant normally lives,
during the major portion of the calendar year; or the
dwelling that is required because of proximity to
employment, including agricultural activities, that
provide 50 percent of the household’s income.
Home Repair Assistance and Home Replacement
Assistance are not available for non-traditional
forms of housing that do not have structural
elements to assess and calculate a repair or
replacement award (e.g., tents). By policy, FEMA
defines non-traditional housing as a form of
dwelling void of structural floor, structural walls,
and structural roof. See page 62 of IAPPG 1.1.
https://www.fema.gov/sites/default/files/
documents/fema_iappg-1.1.pdf.
2 42 U.S.C. 5174(e).

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awards two types of ONA: SBAdependent, which provides assistance
for personal property, transportation,
and Group Flood Insurance Policies
(GFIPs); and non SBA-dependent ONA,
which provides funeral assistance,
medical and dental assistance, childcare
assistance, moving and storage
assistance, critical needs assistance,
cleaning and sanitizing assistance as
well as assistance for miscellaneous
items.3 To obtain SBA-dependent ONA,
FEMA currently requires individuals
above a certain income level, as
identified in SBA-provided income test
tables, to apply for a disaster loan from
SBA; SBA-dependent ONA includes
Personal Property Assistance,
Transportation Assistance, and GFIP.4 If
those individuals were denied for a loan
by the SBA or the amount received did
not satisfy their total necessary
expenses, FEMA could provide them
with assistance for SBA-dependent
types of ONA. Prior to this rule’s
revisions, these provisions were located
in 44 CFR 206.119(a). FEMA did not
require application to the SBA for
individuals below the relevant income
threshold or for other types of ONA.5
As detailed further below, section
1212 of the Disaster Recovery Reform
Act of 2018, Public Law 115–254, 132
Stat. 3448 (Oct. 5, 2018) amended
Section 408(h) to establish separate caps
for each category of assistance.
Currently, the maximum amount of IHP
HA and ONA financial assistance for
any single emergency or major disaster
is $42,500.6 These financial caps do not
apply to the provision of financial
assistance to rent alternate housing
accommodations or necessary expenses
for individuals with disabilities. 42
U.S.C. 5174(h).7 The Federal cost-share
under IA is 100 percent for HA and 75
3 See page 146 of FEMA Policy (FP) 104–009–03,
Individual Assistance Program and Policy Guide,
Version 1.1 (IAPPG 1.1). https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.
4 Applicants whose pre-disaster home was
located in a Special Flood Hazard Area and
received assistance for insurable flood damaged real
or personal property may be considered for a
FEMA-purchased GFIP certificate, which provides
3 years of flood insurance coverage.
5 The SBA provides FEMA with the relevant
income threshold information on a yearly basis. The
income threshold used is determined by the
individual’s household situation and accounts for
where the individual resides and the number of
dependents living in the household.
6 See 88 FR 72520, Oct. 20, 2023. Section 408
caps the amount of assistance individuals may
receive under IA for HA to $25,000 and for ONA
to $25,000. These caps are adjusted annually to
reflect changes in the Consumer Price Index for All
Urban Consumers (CPI–U) published by the
Department of Labor.
7 DRRA amended this section to exclude financial
housing assistance and necessary expenses for
individuals with disabilities from those caps.

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percent for ONA (with the State
responsible for the 25 percent nonFederal share). 42 U.S.C. 5174(g).
FEMA may only provide housing
assistance for a period not to exceed 18
months from the date of the major
disaster declaration, although it may
extend this period of assistance if it
determines that due to extraordinary
circumstances an extension would be in
the public interest. 42 U.S.C.
5174(c)(1)(B)(iii); 44 CFR 206.110(e).
FEMA is required to ensure it has
systems in place to allow it to verify the
identity and address of recipients for
assistance, minimize the risk of making
duplicate or fraudulent payments,
collect any duplicate payments, provide
instructions to individuals detailing the
proper use of assistance, and conduct an
expedited and simplified review and
appeal process for individuals denied
assistance. 42 U.S.C. 5174(i).
FEMA is required to ensure that the
disaster assistance it provides is not a
duplication of benefits with any other
program or from insurance or any other
source. 42 U.S.C. 5155(a). FEMA has set
forth a regulatory delivery sequence at
44 CFR 206.191(d) which was further
clarified in its Individual Assistance
Program and Policy Guide (IAPPG) 8 to
establish the order in which disaster
relief agencies and organizations
provide assistance to disaster survivors
and ensure its assistance does not result
in a prohibited duplication of benefits.
Currently, the delivery sequence is, in
order of delivery: (i) Volunteer Agencies
and Mass Care; (ii) Insurance; (iii)
FEMA Housing Assistance; 9 (iv) FEMA/
State/Territory/Tribal Government
ONA; 10 (v) SBA Income Evaluation
(Repayment Capability) which will
either result in an SBA referral or
FEMA/State ONA; 11 and (vi) Unmet
Needs—Volunteer Agencies.12
8 See page 10 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
9 This includes both financial and direct Housing
Assistance. For financial, this encompasses Lodging
Expense Reimbursement, Rental Assistance, Repair
Assistance, and Replacement Assistance, and for
direct, this includes Multifamily Lease and Repair,
Transportable Temporary Housing Units, Direct
Lease, and Permanent Housing Construction.
10 This includes the following types of non-SBAdependent ONA: Funeral Assistance, Medical and
Dental Assistance, Child Care Assistance, Moving
and Storage Assistance, Assistance for
Miscellaneous Items, and, under this rule, Critical
Needs Assistance and Clean and Sanitize
Assistance.
11 SBA-dependent ONA includes Personal
Property Assistance, Transportation Assistance, and
Group Flood Insurance Policy.
12 See page 10 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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B. Impacts of Climate Change on
Disaster Assistance
Climate change—changes in the
average or variability of weather
conditions that persist over long time
scales (e.g., multiple decades or
longer) 13—and related global changes
can threaten human health; the
economy; the built environment; and
the natural world, including wildlife,
plants, and the ecosystems upon which
they rely.14 Many scientists,
governments, and organizations have
researched climate change, documented
its experienced effects, projected
potential effects, and undertaken
activities to respond to it.15 Scientists
have demonstrated the effects of climate
change are already realized around the
world, and they project that climate
changes will intensify in future
decades.16
The issue of climate change impacts
and implementing solutions is
incredibly challenging and complex.
Climate change poses a direct threat to
the security of our Nation in the form of
increasingly severe and unpredictable
storms, flooding, and wildfires that
disproportionately impact some of
13 C.R.S. Rep 46694, Climate Change Adaptation:
Department of the Interior, at 1 (2021) available at
https://crsreports.congress.gov/product/pdf/R/
R46694; for example, see definitions of climate and
climate change at U.S. Global Change Research
Program (USGCRP), ‘‘Glossary,’’ at https://
www.globalchange.gov/climate-change/glossary,
and Intergovernmental Panel on Climate Change,
‘‘Definition of Terms Used Within the Data
Distribution Centre: Glossary,’’ at https://www.ipccdata.org/guidelines/pages/glossary/glossary_c.html.
This report does not address the causes of
multidecadal climate change. For a discussion of
climate change science, see CRS Report R43229,
Climate Change Science: Key Points, by Jane A.
Leggett. For additional background on climate
change, see CRS In Focus IF11446, Weather and
Climate Change: What’s the Difference? by Jane A.
Leggett.
14 Alexa Jay et al., ‘‘Overview,’’ in Impacts, Risks,
and Adaptation in the United States: Fourth
National Climate Assessment, vol. II, eds. David
Reidmiller et al. (Washington, DC: U.S. USGCRP,
2018), pp. 33–71 (hereinafter, assessment cited as
Reidmiller et al., Impacts, Risks, and Adaptation).
15 For example, the USGCRP is a Federal program
mandated by Congress through P.L. 101–606 with
the stated purpose of developing and coordinating
‘‘a comprehensive and integrated United States
research program which will assist the Nation and
the world to understand, assess, predict, and
respond to human-induced and natural processes of
global change.’’ For more information, see USGCRP,
‘‘About USCGRP,’’ at https://
www.globalchange.gov/about. The IPCC ‘‘is the
United Nations body for assessing the science
related to climate change’’ (IPCC, ‘‘About the IPCC,’’
at https://www.ipcc.ch/about/).
16 For example, see IPCC, ‘‘Synthesis Report of
the IPCC Sixth Assessment Report (AR6), Summary
for Policymakers’’ at 4–6, 12–13 (Mar. 20, 2023),
https://www.ipcc.ch/report/sixth-assessmentreport-cycle/; Economic Report of the President at
275, 280, 282–84 (March 2023), https://
www.whitehouse.gov/wp-content/uploads/2023/03/
ERP-2023.pdf.

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America’s most vulnerable
communities.17 Climate change
disasters, such as heatwaves, can take
place over longer time scales or broader
geographic areas than other more acute
disruptions. Other impacts, such as
‘‘nuisance flooding’’ are less intense but
more chronic. This requires us to think
differently about emergency response.18
The Nation is no stranger to historic
and costly hurricane seasons. The 2017
Atlantic hurricane season was one of the
most active in U.S. history; between
April and November, there were 17
named storms, with 10 becoming
hurricanes.19 As of October 9, 2017,
FEMA received more applications for
the Individuals and Households
Program than in hurricanes Katrina,
Rita, Wilma and Sandy combined. By
November 30, 2017, FEMA registered
more than 4.7 million households for
the Individuals and Households
Program.20 These hurricanes were
accompanied by devastating wildfires in
California that burned for months. The
President’s 2023 Economic Report 21
recounts that Hurricane Ian struck
Florida in September 2022, causing a
coastal storm surge of up to 18 feet and
widespread inland flooding; it will end
up being one of the costliest storms on
record, with losses to residential and
commercial property estimated at
between $36 billion and $62 billion.22
Climate change has elevated the need
for the delivery of efficient disaster
services and increased the need for IHP
assistance, particularly for socially
vulnerable populations, which are
disproportionately impacted.23 In
17 Fourth National Climate Assessment, Volume
II: Impacts, Risks, and Adaptation in the United
States, https://nca2018.globalchange.gov/#sf-2.
18 DHS Strategic Framework for Addressing
Climate Change (Oct. 21, 2021), https://
www.dhs.gov/sites/default/files/publications/dhs_
strategic_framework_10.20.21_final_508.pdf.
19 2017 Hurricane Seasons FEMA After-Action
Report, at v (July 12, 2018), 2017 Hurricane Season
FEMA After-Action Report.
20 2017 Hurricane Seasons FEMA After-Action
Report, at 39 (July 12, 2018), 2017 Hurricane Season
FEMA After-Action Report.
21 See Economic Report of the President at 282
(March 2023), https://www.whitehouse.gov/wpcontent/uploads/2023/03/ERP-2023.pdf.
22 CoreLogic, ‘‘CoreLogic Analysis Shows Final
Estimated Insured and Uninsured Damages for
Hurricane Ian to Be Between $41 Billion and $70
Billion’’ (2022), www.corelogic.com/press-releases/
corelogic-analysis-shows-final-estimated-insuredand-uninsured-damages-for-hurricane-ian-to-bebetween-41-billion-and-70-billion/. Paquette, D.,
and M. Kornfield, ‘‘Ian Is Florida’s Deadliest
Hurricane Since 1935; Most Victims Drowned’’
(Oct. 5, 2022), https://www.washingtonpost.com/
nation/2022/10/05/hurricane-ian-florida-victims/.
23 See, e.g., EPA, Climate Change and Social
Vulnerability in the United States: A Focus on Six
Impacts, (September 2021), https://www.epa.gov/
cira/social-vulnerability-report. The EPA’s report
analyzed four socially vulnerable groups: low

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response and in a step towards equity,
the regulatory changes in this rule seek
to add efficiency in the delivery of
assistance to survivors by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
For example, the changes seek to
streamline documentation requirements,
thus easing entry into the Individuals
and Households Program. Each
regulatory change to follow is
influenced by the growing emergency
needs of citizens across the Nation,
which has meant the trend of growing
FEMA participation and responsibility
for response.
Presently coastal areas globally face
land loss, repeat flooding, and storm
surges, affecting coastal populations.24
Extreme weather events are increasing
in intensity as well as frequency.25
Sustained changes in climate have
exacerbated the physical risks and
threats coastal communities are exposed
to every day.
As climate change threatens to bring
more extreme events like increased
floods, sea level rise, and intensifying
droughts and wildfires, is our
responsibility to better prepare and
support communities, families, and
businesses before, during, and after
disasters. Here, in light of the increasing
climate-related disasters facing the
Nation, FEMA issues amendments to
the Individuals and Households
Program to ensure that it meets the
increasing need for assistance to
individuals and families recovering
from disasters.
C. Equity in Individual Assistance
1. Income Project
There have been numerous assertions
over the years that IHP
disproportionately benefits higher
income households over lower income
households.26 In 2019, FEMA undertook
income, minority, no high school diploma, and 65
or older. See Id. at 4, Table ES.1—Socially
Vulnerable Groups Analyzed in this Report.
24 Maldonado, J., Wang, I.F.C., Eningowuk, F. et
al. Addressing the challenges of climate-driven
community-led resettlement and site expansion:
knowledge sharing, storytelling, healing, and
collaborative coalition building, J Environ Stud Sci
11, 294–304 (2021), https://doi.org/10.1007/s13412021-00695-0.
25 Maldonado, J., Wang, I.F.C., Eningowuk, F. et
al, Addressing the challenges of climate-driven.
community-led resettlement and site expansion:
knowledge sharing, storytelling, healing, and
collaborative coalition building, J Environ Stud Sci
11, 294–304 (2021), https://doi.org/10.1007/s13412021-00695-0.
26 See The Hill, Disaster Housing Recovery: Time
for Congress to Act (November, 26, 2018) (‘‘FEMA
consistently creates barriers that prevent lowincome people from receiving assistance . . .
FEMA is unwilling and incapable of handling the

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3993

an analysis to determine if this was true
(Income Project).27 FEMA analyzed 5
years of disaster data (January 1, 2014–
December 31, 2018) which comprised
4.8 million registrations.
In July 2019, FEMA completed Phase
1 of the project.28 Phase 1 results
showed that of the FEMA registrants
during that time period, 62 percent were
‘‘lower income,’’ 10 percent were
‘‘middle income,’’ and 28 percent were
‘‘higher income.’’ 29 FEMA concluded
generally that lower income households
were more likely to receive an award,
or, in other words, have a higher award
rate under the Individuals and
Households Program, but that the
average award amount was lower for
those households than for higher
income households.
The data proved to be more varied at
the assistance type level. FEMA
compared the rate of applicants referred
to IHP for further consideration,30 award
housing needs of low-income disaster survivors,’’)
https://thehill.com/opinion/civil-rights/418175disaster-housing-recovery-time-for-congress-to-act
(last visited Nov. 29, 2021); Texas Housers, Lowincome Households Disproportionately Denied by
FEMA is a Sign of a System that is Failing the Most
Vulnerable (November 30, 2018) (‘‘Homeowner
households with fewer financial resources were
more likely to be denied FEMA assistance after
Harvey,’’) https://texashousers.org/2018/11/30/lowincome-households-disproportionately-denied-byfema-is-a-sign-of-a-system-that-is-failing-the-mostvulnerable/ (last visited Nov. 29, 2021); NPR, How
Federal Disaster Money Favors the Rich (March 5,
2019) (‘‘Disasters, and the federal aid that follows,
disproportionately benefit wealthier Americans’’)
https://www.npr.org/2019/03/05/688786177/howfederal-disaster-money-favors-the-rich (last visited
Nov. 29, 2021).
27 FEMA, Individuals & Households Program
Survivor Income Analysis (2019) and Survivor
Income Analysis: Phase 2—Drivers of variance in
IHP assistance across income groups (2019). See
Supporting & Related Material tab on
www.regulations.gov under Docket ID: FEMA–
2023–0003.
28 For Phase 1 of the Income Project, the average
repair/replacement award size for lower income
owners is $2,165 while the average award size for
higher income owners is $4,139. For Personal
Property Assistance, the average award size for
lower income owners is $819, while the average
award size for higher income owners $2,093. For
Personal Property Assistance, the average award
size for lower income renters is $900, while the
average award size for higher income renters is
$2,110.
29 FEMA, Individuals & Households Program
Survivor Income Analysis (2019) and Survivor
Income Analysis: Phase 2—Drivers of variance in
IHP assistance across income groups (2019). See
Supporting & Related Material tab on
www.regulations.gov under Docket ID: FEMA–
2023–0003. FEMA defines Lower income as a
combination of low, very low, and extremely lowincome. As defined by HUD, Extremely Low
income means Income at or below the national
poverty threshold or 30% of the Area Median
Income, whichever is less; Very Low income means
Income between >30% and 50% of AMI; and Low
Income means Income between >50% and 80% of
AMI. (See Page 5 of the Income Analysis).
30 The term ‘‘referred to IHP’’ reflects terminology
FEMA uses in the implementation of IHP.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

rates, and award amounts of lower
income households to higher income
households for home repair/
replacement financial assistance, rental
housing financial assistance, personal
property financial assistance, direct

housing assistance, and transitional
shelter assistance.
The data received indicates that lower
income households were referred for
assistance at a higher rate than were
higher income households for all types

of assistance except direct housing but
were awarded assistance in lower
amounts for repair and replacement
assistance and personal property.
Specifically, FEMA found the following:

Table 1- Percentages of Lower Income (LI) as Compared to Higher Income
Households for Referral Rates, Award Rates, and Award Amounts

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LI Award Rate
+49%
(4%)
(21%)
+80%
+84%

a lower award amount for personal
property assistance but FEMA could not
account for the reason why, although
home size might be a factor; and (6)
using a RPFVL per square foot threshold
instead of a flat RPFVL threshold for
direct housing would increase the
proportion of lower income owners and
decrease the proportion of higher
income owners who qualified for direct
housing.34

LI Award Amounts
(48%)
+2%
(62%)
+3%
+67%

In November 2019, FEMA completed
Phase 2 of the project in which it
focused on additional analysis of the
data to determine the cause of the
variance in results between lower and
higher income applicants. FEMA found
that: (1) higher income households were
less likely to receive an award for home
repair/replacement assistance because
they were more likely to have insurance
which covered their losses; (2) lower
income households received lower
award amounts for home repair/
replacement because they had lower
Real Property FEMA Verified Loss
(RPFVL),33 smaller homes, and were
more likely to live in mobile homes
which may be smaller or less expensive
than non-mobile homes; (3) lower
income households were less likely to
receive an award for rental assistance
because they were more likely to be
found ineligible as a result of their home
being habitable than higher income
households; (4) lower income
households were less likely to be
eligible for personal property assistance,
but the results were inconclusive and
FEMA could not identify the primary
driver of the difference; (5) lower
income households were likely to have

On January 20, 2021, President Joseph
R. Biden signed Executive Order 13985,
‘‘Advancing Racial Equity and Support
for Underserved Communities 35
Through the Federal Government.’’ 36
On January 20, 2021, President Joseph
R. Biden signed Executive Order 13990,
‘‘Protecting Public Health and the
Environment and Restoring Science To
Tackle the Climate Crisis.’’ 37 On
January 27, 2021, President Joseph R.
Biden signed Executive Order 14008,
‘‘Tackling the Climate Crisis at Home
and Abroad.’’ 38 And, on February 16,
2023, President Joseph R. Biden signed
Executive Order 14091, ‘‘Further
Advancing Racial Equity and Support

for Underserved Communities Through
the Federal Government.’’ 39
Consistent with those Executive
Orders and to gain additional
information on the issues identified in
the 2019 income project, on April 22,
2021, FEMA published a Request for
Information (RFI) on FEMA Programs,
Regulations, and Policies.40 FEMA
sought public input on its programs,
regulations, collections of information,
and policies for the agency to ensure
that its programs, regulations, and
policies contain necessary, properly
tailored, and up-to-date requirements
that effectively achieve FEMA’s mission
in a manner that furthers the goals of
advancing equity for all, including those
in underserved communities; bolstering
resilience from the impacts of climate
change, particularly for those
disproportionately impacted by climate
change; and environmental justice.
FEMA held public meetings and
extended the comment period on the
RFI to ensure all interested parties had
sufficient opportunity to provide
comments on FEMA’s programs.41 All
relevant comments received in response
to the request for information, including
those received during the public

Applicants fill out registrations and their answers
will determine some threshold eligibility factors
and what types of assistance they may need or what
unmet needs they have. At that point, the eligible
applications are routed to the FEMA employees
who process each type of assistance to make further
eligibility determinations.
31 This represents ‘‘10 times’’ or ‘‘10× more
likely’’ when it comes to personal property referrals
for lower income applicants.
32 The original analysis did not include a specific
breakdown for Transitional Sheltering Assistance
(TSA) referral rates, but FEMA believes the rate to
be in line with referral rates for non-lower-income
TSA applicants.
33 RPFVL is the total dollar amount of IHP eligible
disaster-caused damage to real property as verified
by FEMA.
34 For more information on FEMA’s Direct
Housing Assistance see page 93 of IAPPG 1.1.

https://www.fema.gov/sites/default/files/
documents/fema_iappg-1.1.pdf.
35 Section 2.b. of Executive Order 13985 defines
‘‘underserved communities’’ as populations sharing
a particular characteristic, as well as geographic
communities, that have been systematically denied
a full opportunity to participate in aspects of
economic, social, and civic life, as exemplified by
the list in the definition of ‘‘equity.’’ Section 10.a.
of Executive Order 14091 defines ‘‘equity’’ to mean
the consistent and systematic treatment of all
individuals in a fair, just, and impartial manner,
including individuals who belong to communities
that often have been denied such treatment, such
as Black, Latino, Indigenous and Native American,
Asian American, Native Hawaiian, and Pacific
Islander persons and other persons of color;
members of religious minorities; women and girls;
LGBTQI+ persons; persons with disabilities;
persons who live in rural areas; persons who live
in United States Territories; persons otherwise

adversely affected by persistent poverty or
inequality; and individuals who belong to multiple
such communities.
36 E.O. 13985, ‘‘Advancing Racial Equity and
Support for Underserved Communities Through the
Federal Government,’’ 86 FR 7009, Jan. 25, 2021.
37 E.O. 13990, ‘‘Protecting Public Health and the
Environment and Restoring Science to Tackle the
Climate Crisis,’’ 86 FR 7037, Jan. 25, 2021.
38 E.O. 14008, ‘‘Tackling the Climate Crisis at
Home and Abroad,’’ 86 FR 7619, Feb. 1, 2021.
39 E.O. 14091, ‘‘Further Advancing Racial Equity
and Support for Underserved Communities
Through the Federal Government.’’88 FR 10825,
Feb. 22, 2023.
40 86 FR 21325, Apr. 22, 2021.
41 See ‘‘Request for Information on FEMA
Programs, Regulations, and Policies; Public
Meetings; Extension of Comment Period,’’ 86 FR
30326, June 7, 2021.

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2. Equity RFI—IA Program Equity
Responses to Comments

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ER22JA24.000

LI Referral Rate
+8%
+8%
+l0x31
(45%)
Similar 32

Repair/Replacement
Rental
Personal Property
Direct Housing
Transitional Shelter Assistance

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
meetings, have been posted to the
public rulemaking docket on the Federal
eRulemaking portal at https://
www.regulations.gov/document/FEMA2021-0011-0001/comment.
Comments on the RFI that are relevant
to the IHP issues addressed in this rule
are discussed below. Comments
regarding other IA programs outside of
IHP, such as Disaster Legal Services,
other FEMA program areas, such as
Public Assistance, or that were
otherwise not directly relevant to this
rule, are not discussed.
Registration Period

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A few commenters raised issues
regarding the registration deadline for
FEMA programs, arguing that the
current deadline posed difficulties for
applicants—particularly for applicants
from underserved populations—and
should be extended.42 One commenter
stated applicants may have a wide
variety of valid reasons for registering
late and that requiring documentation to
justify the late filing is inappropriate
and unnecessary.43 This commenter
requested all registrations received
during the post-deadline grace period be
accepted without additional
documentation.44 Another commenter
recommended removing the registration
deadline altogether, saying that it was
arbitrary and discouraged disaster
survivors from registering.45 This
commenter also noted that disaster
survivors may not realize they need
assistance immediately and that even
once they do, it may be difficult for
them to meet the registration deadlines
due to the impacts of a disaster, such as
being displaced or losing telephone
service. Finally, this commenter argued
that FEMA should not impose a
registration deadline that ends before
the period of assistance for the disaster
ends.
We do not agree that a registration
deadline discourages disaster survivors
from registering. Rather, it provides
clear submission timeframes to help
disaster applicants.
FEMA’s regulations, at 44 CFR
206.112, provide that the standard
registration period is 60 days following
the date that the President declares an
incident a major disaster or an
emergency. FEMA may extend the
42 FEMA–2021–0011–0149, FEMA–2021–0011–
0236, FEMA–2021–0011–0277, and FEMA–2021–
0011–0295.
43 FEMA–2021–0011–0149.
44 The commenter referred to a 30-day grace
period after the registration period, but as described
below, FEMA actually accepts late applications for
60 days following the close of the registration
period.
45 FEMA–2021–0011–0295.

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registration period when the State 46
requests more time to collect
registrations from the affected
population. FEMA may also extend the
standard registration period when
necessary to establish the same
registration deadline for contiguous
counties or States. After the standard or
extended registration period ends,
FEMA accepts late registrations for an
additional 60 days. FEMA processed
late registrations for registrants that
provided suitable documentation 47 to
support and justify the reason for the
delay in their registration.
FEMA required the applicant to
submit a letter, signed by the applicant
or person who the applicant authorizes
to act on their behalf, explaining the
extenuating circumstances that
prevented them from applying for
assistance in a timely manner.
Acceptable documentation included
record of hospitalization, illness, or
disability of the applicant or an
immediate family member; record of
death for an immediate family member;
or proof of personal or business travel
that kept the applicant out of the area
for the full registration period.48
Based on comments indicating that
the level of documentation required to
justify a late application is
inappropriate and unnecessary, FEMA
is removing the requirement to provide
documentation. FEMA agrees that the
late application process should be
simplified to reduce the burden on
disaster survivors. Therefore, under this
rule, FEMA will only require that
registrants explain the reason for the
delay. This change is discussed in more
detail in the section-by-section analysis,
below.
FEMA believes these changes are
needed to the current regulations to
allow individual applicants to more
easily submit a late application, but the
regulations are generally sufficient to
ensure the majority of disaster survivors
have an adequate opportunity to register
for assistance during the registration
period. FEMA reaches out to survivors
and communities after disasters using
multiple tools, teams, and tactics to help
46 To improve readability, the term ‘‘State’’ will
be used in this rule to refer to State, Tribal, and
Territorial governments, as applicable. Where there
are relevant differences in how these governments
are treated under the Stafford Act or FEMA’s
regulations, they will be explained in more detail.
47 Page 71 of IAPPG 1.1 discusses late
applications and the types of acceptable
information FEMA required in order for the late
application to be considered. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
48 See page 71 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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applicants register for assistance, to
include placing staff who can register
applicants in disaster impacted areas
and shelters.49 Although disaster
survivors may face a range of challenges
in applying for assistance, the initial 60day period is generally sufficient for
most disasters, and for those specific
disasters where there may be additional
difficulties with timely filing, FEMA
may extend the period. Increasing the
default registration period or removing
limits on registration altogether could
lead to more applicants filing late,
slowing the delivery of assistance, and
increasing the administrative burden for
FEMA in processing those
applications.50 The flexibility to extend
the registration period on a disaster-bydisaster basis as appropriate allows
FEMA to avoid unnecessary delays in
program administration while still
giving applicants additional time when
needed, is why the registration period is
not arbitrary.
Data shows that over the last 10 years,
the registration period was extended
past the initial 60 days authorized in 44
CFR 206.112(a) in 42 percent of
Individual Assistance (IA) declarations.
In 44 CFR 206.112(b), FEMA still retains
the ability to extend the registration
period on an as-needed basis. FEMA, in
coordination with a State, Tribal, or
Territorial (STT) government, can
extend the registration period when
there are wide-spread obstacles that may
delay or impede disaster survivors’
ability to register, while maintaining the
authority to accept late registrations
from disaster survivors who may have
specific, individual circumstances that
impact their opportunity to register.
49 For more information see FEMA in the Field:
Disaster Survivor Assistance and Disaster Recovery
Centers, https://www.fema.gov/fact-sheet/femafield-disaster-survivor-assistance-and-disasterrecovery-centers. FEMA currently provides letters
in English and Spanish. FEMA recently updated
our English and Spanish letters to include a tagline
in six languages informing applicants how to
contact the Helpline for translation help. The six
languages are: English, Spanish, Russian,
Portuguese, Vietnamese, and Korean. FEMA knows
which language to provide letters in based on the
language that the Disaster Survivor selected on their
Disaster Assistance Registration.
50 In response to a disaster declaration, FEMA
scales up its resources including individuals
working the FEMA Helpline, inspectors deploying
to the field to conduct damage assessments, and
staff deploying to the field to assist the Region and
State in disaster recovery. Often, these individuals
will staff Disaster Recovery Centers (DRCs), which
are locations where individuals may register for
assistance, ask questions about their application,
provide documentation, etc. to FEMA or other
government representatives in person. Removing a
registration timeframe or increasing it beyond the
current periods established in the regulations
would increase the amount of time staff would need
to be deployed in these various roles.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

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Accessibility, Language Access, and
Effective Communication With People
With Disabilities
Numerous commenters provided
general statements about improving
applicant access to FEMA assistance
and the necessity for improving FEMA
staff training to assist with language and
accessibility needs across programs.
Eight of these comments raised concerns
about applicant accessibility within
FEMA’s IHP. Five commenters reasoned
that FEMA must improve its
communication access for applicants
who have a primary language other than
English with Limited English
Proficiency (LEP),51 as well as
applicants with low-literacy and those
with a disability who use another form
of communication (e.g., American Sign
Language). These commenters stated
that FEMA must provide effective
translation or local FEMA employees
that speak the applicant’s language and
can effectively explain the IHP process,
as well as provide multilingual staff that
can answer applicant questions during
inspections, throughout registration
intake, and in-person at DRCs.
Five commenters questioned FEMA’s
ability to adequately identify and meet
the reasonable accommodation and
reasonable modification needs of
applicants with disabilities across the
IHP service delivery process.52 These
commenters reasoned that FEMA failed
to establish a clear and transparent
public process for survivors to request
reasonable accommodations and
reasonable modifications. One
commenter stated that even if a disaster
survivor has requested an
accommodation or a modification,
FEMA has no system to indicate that
they are a survivor with a disability or
that they need an accommodation or a
modification other than another
undifferentiated note in their file.53
Commenters explained that,
consequently, these requests do not
automatically populate across IHP, so
FEMA staff are often unaware of an
applicant’s previously documented
accommodation, modification, or access
need. They argued that this lack of
planning and transparency denies
meaningful access to survivors with
disabilities and inhibits their ability to
access reasonable accommodations and
51 FEMA–2021–0011–0149, FEMA–2021–001–
0164, FEMA–2021–0011–0261, FEMA–2021–0011–
0282, and FEMA–2021–0011–0313.
52 FEMA–2021–0011–0152, FEMA–2021–0011–
0164, FEMA–2021–0011–0167, FEMA–2021–0011–
0205, and FEMA–2021–0011–0313.
53 FEMA–2021–0011–0152.

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reasonable modifications within all
aspects of IHP.
Two commenters stated that IHP did
not provide allowances for the inclusion
of accessibility-related items for preexisting or disaster acquired disabilities.
These commenters asserted that disaster
survivors with physical disabilities who
require accommodations or
modifications to access their home in
the wake of a disaster should receive
timely assistance to repair their
homes.54 Two commenters further
explained that FEMA’s habitability
standards are inequitable and deny IHP
assistance to applicants with disabilities
and survivors who have low income,
especially for applicants within these
underserved groups who also have
underlying health conditions. These
commenters asserted that a habitability
standard which assumes that what is
safe to occupy for one person is safe to
occupy for another person is wrong.
They explained that because IHP policy
has not considered the presence of mold
a condition that would prevent an
applicant from occupying a home safely,
applicants with immunocompromised
health conditions such as asthma,
cancer, or sickle cell disease, for whom
it was unsafe to live in a home with
mold, were routinely denied
assistance.55
FEMA acknowledges that voluntary
agencies and community organizations
are the first and last organizations to
provide survivors support services in a
community before and after a disaster.
Therefore, FEMA’s Voluntary Agency
Coordination Section provides technical
assistance, coordination, and subject
matter expertise to partners who are
addressing gaps in resources, providing
financial support and additional
support to survivors after government
assistance is exhausted. This assistance
is provided via FEMA’s Voluntary
Agency Liaison (VAL) staff. The
function of the VALs is to coordinate
voluntary activities between internal
FEMA partners, local, State, and Federal
Government entities and State and
National Voluntary Organizations
Active in Disaster; to support and build
the capability of disaster recovery for
current and future disasters; and to
support ongoing community recovery
activities even after the period of
assistance has ended. VALs work
directly with IA staff to ensure that all
disaster survivors to include those with
LEP are informed of FEMA assistance.
54 FEMA–2021–0011–0164 and FEMA–2021–
0011–0261.
55 FEMA–2021–0011–0152 and FEMA–2021–
0011–0164.

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FEMA has many ways to meet
survivors’ language needs. Many FEMA
employees are bilingual or multilingual
and can assist LEP survivors with
registration in their primary language by
phone and in-person at a DRC. All DRCs
have a sign posted in a visible location
with the phrase ‘‘If you do not speak
English’’ in over 40 languages. A DRC
staff member will use that sign to
determine what language the survivor
speaks and call for an interpreter to
assist them.
If an in-person interpreter is not
present at the DRC, FEMA staff will
connect the survivor with the FEMA
Helpline or video relay service so the
survivor is able to communicate with
the FEMA employee accurately. FEMA’s
Helpline has interpretation services
provided by qualified interpreters
available in 250 languages to assist LEP
disaster survivors.
FEMA recognizes that an applicant’s
ability to effectively communicate their
reasonable accommodation or
reasonable modification request is
essential. To improve FEMA’s ability to
assist applicants with disabilities with
requesting and receiving reasonable
accommodations and reasonable
modifications during registration, FEMA
recently updated its registration process
to better capture accommodations,
modifications, and access assistance
needs for applicants and their
household members. Specifically,
FEMA added questions to the Disaster
Assistance Registration forms to provide
applicants with an opportunity to
consider, document and differentiate
their household’s pre-disaster and
disaster-caused accommodation or
modification requests and access needs.
FEMA uses responses to registration
questions to provide reasonable
accommodations, reasonable
modifications, and assistance to
applicants throughout the IHP process.
These questions include whether the
applicant has a disability or language
need that requires an accommodation or
modification, or interpretation or
translation services to interact with
FEMA staff and/or access FEMA
programs; if the applicant or anyone in
their household has a disability that
affects their ability to perform daily
living activities or requires an assistive
device; and whether they have any
disability-related assistive devices or
medically required equipment/supplies/
support services damaged, destroyed,
lost, or disrupted because of the
disaster.56
56 This rulemaking clarifies that ONA includes
medical service costs for the loss or injury of a
service animal. See new 44 CFR 206.119(b)(3)(iv).

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
FEMA recently completed system
updates with the new question in 2018
to ensure information provided in
response to these questions at
registration or provided to staff at other
times are captured and easily accessible
to all staff in a consistent area in the
system. FEMA is also performing
additional outreach to applicants with
disabilities and language access needs to
assist them in understanding any
correspondence FEMA provides to
them.57 Applicants who state they have
a disability during the registration
process are placed in a prioritization
queue and, if later determined ineligible
for FEMA assistance, will be contacted
via phone to explain their ineligibility.
The field will also conduct their own
outreach via phone to applicants with
access and functional needs. FEMA
continues to explore new methods and
processes for documenting and
populating reasonable accommodation
and reasonable modification requests
across the IHP. Lastly, in this rule,
FEMA is revising the IHP Application
for Continued Temporary Housing
Assistance, FEMA Form FF–104–FY–21–
115, to include a question that provides
applicants with another opportunity to
identify any disability-related
household needs that might impact their
application or recertification for
temporary housing assistance.
As noted in the IAPPG 1.1, FEMA
may provide Home Repair Assistance
and Personal Property Assistance for
disaster-damaged accessibility-related
items. Nevertheless, in response to
public requests for IHP policy that
meets applicants’ disaster-caused
structural home modification needs,
FEMA recently amended its policy to
include Assistance for Disaster-Caused
Americans with Disabilities Act (ADA)
Real Property Needs. The September 2,
2021, Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum currently
allows FEMA to provide financial
assistance to applicants who incur a
disaster-caused disability and
consequently require the installation or
construction of accessibility-related real
property components at their damaged
dwelling to meet their needs. Home
Repair Assistance for specific
accessibility-related items is not limited
by a financial maximum award. The
following accessibility-related items are
57 FEMA currently provides letters in English and
Spanish. FEMA recently updated our English and
Spanish letters to include a tagline in six languages
informing applicants how to contact the Helpline
for translation help. The six languages are: English,
Spanish, Russian, Portuguese, Vietnamese, and
Korean.

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currently eligible under Home Repair
Assistance when the applicant or a
member of the household has a disastercaused disability:
• Exterior ramp.
• Grab bars.
• Paved path of travel to the primary
residential entrance (for accessible
ingress or egress from the applicant’s
vehicle to their dwelling).
In response to public comments,
FEMA is also making changes to the
regulatory text at 44 CFR 206.117(b)(2)
and adding a new 44 CFR 206.113(a)(9)
as a part of this rule. The changes allow
FEMA flexibility to provide financial
assistance to applicants for the
installation or construction of real
property items that were not present in
the home prior to the disaster.
Specifically, these changes allow IHP to
expand its existing policy, which
provides for the installation of ADA
related real property to applicants with
disaster-caused needs, to include Home
Repair Assistance for disaster survivors
with pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional when
any level of disaster-caused real
property damage occurs to the primary
residence.
In new 44 CFR 206.113(a)(9), FEMA
states that FEMA may provide
assistance with respect to home repair
for accessibility-related items, if an
applicant meets the following
conditions: (i) the applicant is either an
individual with a disability as defined
in 42 U.S.C. 5122 whose disability
existed prior to the disaster 58 and
whose primary residence was damaged
by the disaster, or an individual with a
disability as defined in 42 U.S.C. 5122
whose disability was caused by the
disaster and whose primary residence
was damaged by the disaster; (ii) the
real property component is necessary to
meet the accessibility-related need of
the household; and (iii) the real
property component is not covered by
insurance or any other source.
Via information collection at 1660–
0002, we are adding a documentation
requirement to tie the need for the home
repair accessibility-related items (which
currently includes only ramp, grab bars,
and/or paved pathway) to the preexisting disability to meet the
household’s access and functional need.
We are requiring that a medical, health
care, or rehabilitation professional
certify whether or not this is necessary;
58 FEMA generally will accept statements from
relevant medical providers, such as physical
therapists, occupational therapists, registered
nurses, physician assistants, etc.

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3997

as, they have the expertise to make that
determination or we will accept prior
medical, health care, or rehabilitation
professional documentation that
supports the need for the accessibilityrelated items.
FEMA is making the below changes to
Home Repair Assistance to respond to
four RFI comments,59 so that FEMA may
make the dwelling safe/sanitary for predisaster disabled applicants. For
example, this change will allow FEMA
to reimburse pre-disaster disabled
applicants for installation of
accessibility items, such as grab bars
and access ramps, if the primary
residence sustained disaster damage
regardless of whether or not the
applicant had grab bars or access ramps
pre-disaster.60
In 44 CFR 206.117(b)(2)(i), FEMA
states that FEMA may provide financial
assistance for the repair of an owneroccupied primary residence if: the
eligibility criteria in 44 CFR 206.113 are
met; FEMA determines the dwelling
was damaged by the disaster; and the
damage is not covered by insurance.
This provision is similar to the current
44 CFR 206.117(b)(2)(i), except FEMA is
removing the phrase ‘‘real property
components in’’ before ‘‘an owneroccupied primary residence;’’ adding
‘‘FEMA determines’’ after ‘‘met;’’
removing ‘‘to the component’’ after
‘‘damage’’ and replacing ‘‘component’’
with ‘‘dwelling,’’ as the Stafford Act
does not limit repairs to ‘‘components’’
and replacing ‘‘owner’s’’ with ‘‘owneroccupied’’ for consistency as owneroccupied is the defined term in 44 CFR
206.111; removing the current 44 CFR
206.117(b)(2)(i)(B) that ‘‘the component
was functional immediately before the
declared event’’ and removing current
44 CFR 206.117(b)(2)(i)(E) that ‘‘the
repair of the component is necessary to
ensure the safety or health of the
occupant or to make the residence
functional,’’ and removing the clause
‘‘and the damage was caused,’’ since
this rule will allow FEMA to pay for
pre-existing conditions if the
component itself was damaged by the
disaster.
In 44 CFR 206.117(b)(2)(ii), FEMA
states that FEMA may provide financial
assistance for the repair of the disaster
damaged dwelling to a safe and sanitary
living or functioning condition. This
59 FEMA–2021–0011–0152, FEMA–2021–0011–
0164, FEMA–2021–0011–0235, and FEMA–2021–
0011–0261.
60 If the FEMA assistance provided for these items
is less than the actual cost to the applicant, the
applicant may appeal for additional assistance.
FEMA will accept itemized bills, receipts, or
estimates to verify that there is a need for additional
assistance.

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clause is consistent with the current 44
CFR 206.117(b)(2)(ii), except FEMA is
adding ‘‘the disaster damaged dwelling
to a safe and sanitary living or
functioning condition including’’ after
‘‘of.’’ These additions align with the
changes that make it clear that only
disaster damaged dwellings (regardless
of their pre-disaster condition) may
receive repair assistance, as FEMA may
only pay to restore disaster damage to a
safe and sanitary living or functioning
condition. If the dwelling was not
touched by the disaster, it will not be
eligible for repair assistance; therefore,
the applicant would not be able to apply
for Home Repair Assistance for their
pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that would
make their home safe and functional.
The September 2, 2021, Amendment
to FEMA Policy (FP) 104–009–03,
Individual Assistance Program and
Policy Guide (IAPPG), Version 1.1
memorandum also amended the Home
Repair Assistance section in IAPPG 1.1
to include financial assistance to repair
real property components impacted by
disaster-caused mold growth.61 The
amendment’s expressed intent was to
support low income and other
underserved disaster survivors who may
not have the means to immediately
address disaster damage, particularly
when disasters are not declared
immediately or inspections are delayed.
However, all applicants with disastercaused mold damage may be eligible for
the assistance when they meet all other
conditions of eligibility. These
additional funds will be provided as
part of the Home Repair Assistance
award when applicable.

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Appeals
Sixteen commenters provided
responses about the IHP appeal process.
Ten of the commenters expressed
concern that the appeal process is
burdensome on applicants and must be
simpler in order for applicants of
varying backgrounds and communities
to successfully navigate the process.62
According to 3 of these 10 commenters,
filing a successful appeal for applicants
in traditionally underserved
populations often requires hard to find
61 See page 9 of the Amendment to FP 104–009–
03, Individual Assistance Program and Policy
Guide, Version 1.1 memorandum cites to Chapter
3, Section IV.E. of the IAPPG 1.1, which is on pages
85–88 of IAPPG 1.1. https://www.fema.gov/sites/
default/files/documents/fema_iappg-1.1.pdf.
62 FEMA–2021–0011–0151, FEMA–2021–0011–
0162, FEMA–2021–0011–0209, FEMA–2021–0011–
0235, FEMA–2021–0011–0237, FEMA–2021–0011–
0245, FEMA–2021–0011–0260, FEMA–2021–0011–
0261, FEMA–2021–0011–0273, and FEMA–2021–
0011–0292.

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or costly access to legal services.63 To
streamline the appeal process and
reduce the burden on disaster survivors,
these commenters suggested FEMA
expand methods for filing appeals,
including by:
• Allowing applicants to file appeals
online, by telephone, and in-person.64
• Providing a standard appeal form.65
• Reaching out directly to applicants
by phone to personally assist them with
the appeal process when they are
denied assistance.66
• Providing appeal status updates to
applicants through their online
applicant portals.67
Two additional commenters described
the appeal process as overly
complicated to navigate because of
challenges in other parts of the IHP
delivery process. Specifically, these
commenters asserted that IHP eligibility
notification letters provided unclear
explanations of the reason an applicant
is determined ineligible for assistance.
The commenters explained that when
applicants are unable to identify and
understand the cause of their denial for
assistance, they lack critical information
needed to pursue a successful appeal.68
Three commenters also discussed
obstacles disaster survivors face after
the trauma of a major disaster and
recommended that FEMA extend the
appeal deadline beyond the current 60
days.69 Two of these commenters
explained that by providing applicants
with a grace period for establishing
ownership and addressing other issues
that take time to obtain documentation,
FEMA could improve access to their
programs for applicants with low
income and applicants of color who are
disproportionately affected by heirownership (when a person inherited the
land or residence but does not hold
formal title to it) and other
documentation issues.
Three other commenters argued the
need for greater transparency in the
appeal process.70 One of the three
recommended that FEMA publish
appeal decisions online, while another
suggested that if an applicant pursues
an appeal and inspection documents
exist, FEMA should provide those
63 FEMA–2021–0011–0151, FEMA–2021–0011–
0245, and FEMA–2021–0011–0260.
64 FEMA–2021–0011–0149, FEMA–2021–0011–
0261, and FEMA–2021–0011–0292.
65 FEMA–2021–0011–0245.
66 FEMA–2021–0011–0261.
67 FEMA–2021–0011–0149.
68 FEMA–2021–0011–0237 and FEMA–2021–
0011–0275.
69 FEMA–2021–0011–0149, FEMA–2021–0011–
0208, and FEMA–2021–0011–0245.
70 FEMA–2021–0011–0162, FEMA–2021–0011–
0260, and FEMA–2021–0011–0295.

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documents to the applicant regardless of
the applicant’s appeal approval or
denial status. Four commenters
maintained that the issue went beyond
transparency and was instead a matter
of fairness. They asserted that the
existing appeal process is unfair because
FEMA serves as both the original
decision maker—determining applicant
eligibility or award amount, while
simultaneously serving as the final
decision maker—determining if those
same applicants have waged a
successful appeal to overturn FEMA’s
original eligibility and/or award
decisions.71 Three of these commenters
went on to reason that a right of legal
action in the courts, to include an oral
hearing and discovery, should be built
into the FEMA appeal process.
FEMA does not have the legal
authority to accept the commenters’
suggestions to create a right to challenge
FEMA’s eligibility decisions in court as
part of the appeal process, so that FEMA
is not both the original decision maker
and the final decision maker. The
United States is immune from suit
unless it consents to be sued.72 The
Stafford Act provides that FEMA shall
not be liable for any claim based upon
the exercise or performance of or the
failure to exercise or perform a
discretionary function or duty. 42 U.S.C.
5148. The appeal process applies to
FEMA’s eligibility decisions under IHP.
FEMA’s eligibility decisions are
discretionary determinations, which
means that they are not reviewable by
a court.73 However, FEMA has protocols
in place that guarantee appeals are not
reviewed by the same case worker who
made the original eligibility
determination.
FEMA similarly does not have the
legal authority to extend the 60-day
appeal time frame set forth in 42 U.S.C.
5189a(a). Nevertheless, as a part of this
rule, FEMA identified an opportunity to
71 FEMA–2021–0011–0235, FEMA–2021–0011–
0275, FEMA–2021–0011–0295, and FEMA–2021–
0011–0302.
72 See, e.g., United States v. Mitchell, 463 U.S.
206, 212 (1983).
73 See City of San Bruno v. FEMA, 181 F. Supp.
2d 1010, 1014–5 (N.D. Cal. 2001) (‘‘Distributing
limited funds is inherently a discretionary
responsibility.’’) Please note, while the eligibility
decisions underlying appeals are discretionary and
therefore immune from suit, the mandatory
provisions in 42 U.S.C. 5189a related to appeals are
not: FEMA is required to issue rules providing for
the fair and impartial consideration of appeals.
FEMA has discharged that responsibility by issuing
regulations although the content of those
regulations are also considered discretionary and
immune from suit. (Barbosa v. United States Dep’t
of Homeland Security, 916 F.3d 1068, 1073 (D.C.
Cir. 2019)) (‘‘We have little doubt that the statutory
requirement for regulations rely on the
discretionary judgment of FEMA; the range of
choice that FEMA can employ is quite wide’’).

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
codify additional flexibilities for
applicants in meeting this 60-day
deadline for appeals sent by mail. As is
currently done in practice, FEMA will
continue to accept and process any
appeal postmarked within 60 days of
the date on the applicant’s IHP decision
letter, even if FEMA receives the appeal
outside of the 60-day deadline.
FEMA can address comments to
simplify the appeal process by removing
the requirement to submit an appeal and
by creating an optional appeal form.
FEMA’s existing regulations, 44 CFR
206.115(b), require that appeals must be
in writing and explain the reason(s) for
the appeal. However, a written
explanation may not be necessary to
substantiate an appeal claim. Instead,
supporting documents, such as receipts,
bills, repair estimates, contractor
estimates, property titles, or deeds may
better demonstrate the reason(s) for the
appeal and provide justification for
FEMA to reconsider the applicant’s
original eligibility determination.
Nevertheless, to comply with the
existing regulations, FEMA does not
currently process appeals that do not
contain the required written and signed
letter of explanation, even if the
applicant provides adequate
documentation. To alleviate this
bureaucratic hurdle, FEMA is removing
the requirement that applicants must
submit a signed appeal letter explaining
the reason(s) for the appeal when they
have provided sufficient justification
through supporting documents. This
change will streamline the appeal
process and reduce additional
paperwork and correspondence between
the applicant and FEMA that may delay
the applicant’s recovery process.
To further assist applicants with
navigating the appeal process, as
suggested by a commenter, as part of
this rulemaking, FEMA has developed
an optional Appeal Request Form which
applicants may use to assist them when
submitting an appeal.74 This form,
which FEMA will accept as a written
explanation, will be available online at
www.DisasterAssistance.gov. These

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74 FEMA

is providing in this rule that appeals
must include a written explanation or verifiable
documentation for the appeal. This will give
disaster survivors the option to complete the
Appeal Request Form instead of drafting a written
appeal letter, or submit verifiable documentation
without the form or a letter. FEMA currently
provides letters in English and Spanish. FEMA
recently updated our English and Spanish letters to
include a tagline in six languages informing
applicants how to contact the Helpline for
translation help. The six languages are: English,
Spanish, Russian, Portuguese, Vietnamese, and
Korean. FEMA knows which language to provide
letters in based on the language that the Disaster
Survivor selected on their Disaster Assistance
Registration.

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changes are intended to provide a more
user-friendly, equitable, and efficient
appeal process that better meets the
needs of traditionally underserved
populations.
With respect to the additional
suggestions from commenters, FEMA
notes that under the current process,
applicants may access key information
online, including appeal status, letters,
and their personal appeal decision.
Applicants with an online account can
upload their appeal 75or check the status
of their appeal, by visiting
www.DisasterAssistance.gov and
selecting Check Your Application Status
or by calling FEMA’s Helpline at 800–
621–3362 (711 or VRS available).
Applicants who use a relay service,
such as a Videophone, InnoCaption, or
CapTel, are asked to provide the specific
number assigned to that service.
Individual applicants can reference
their personal appeal decisions and
letters online if they have created an
online account and selected electronic
correspondence from FEMA. FEMA
considered publishing appeals
information. Ultimately, FEMA declined
to do so, due to a concern that releasing
data of only appeal applicants would
appear to require greater public
exposure for appeal applicants than is
required for initial applicants.
Publication of appeal records could
discourage applicants from appealing,
or even appear to be a punitive measure
for individuals who appeal.
Our system does not have the
capability to display inspection reports
nor is it captured in FEMA’s National
Emergency Management Information
System (NEMIS) in a way that would
readily be understood by the public. As
part of FEMA’s development of a new
system,76 FEMA plans to improve the
amount of detail that can be provided to
applicants related to their inspection
results and eligibility.
In addition, under section 423 of the
Stafford Act, 42 U.S.C. 5189a, and
existing regulations governing FEMA
IHP, 44 CFR 206.115(d)–(f), an applicant
may ask for a copy of information in his
or her file by writing to FEMA. To
promote transparency, FEMA’s
regulations require the agency to give
the applicant a written notice of the
disposition of the appeal within 90 days
of receiving the appeal. The appeal
decision made by FEMA, or the State,
Tribal, or Territorial (STT) government
75 Applicants that create an online FEMA account
or use their login.gov account can upload
documents including appeal letters.
76 FEMA has been collecting suggestions from
various workshops and other feedback efforts to
ensure the new system, once built, meets all IHP
and applicant needs.

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3999

in instances where the STT government
has opted to process ONA, is final.
FEMA believes its current regulations
are sufficient to ensure that disaster
survivors can exercise their right to
appeal assistance decisions. The
existing regulations provide FEMA with
the flexibility needed to meet survivor
needs, while complying with privacy
and paperwork reduction laws,
intended to protect applicant
information and minimize burdens, and
avoiding the unnecessary expenditures
and delays that would be a part of
implementing the expanded appeal
process requested by commenters,
which included a litigation component
to the IHP appeal process.
Finally, FEMA makes every effort to
ensure that its correspondence is
written using plain language and that
eligibility notification letters provide
adequate explanation of the applicant’s
eligibility determination, award
decision, and next steps should the
applicant want to appeal the eligibility
determination or award amount.77 For
example, FEMA conducts periodic,
comprehensive reviews of our applicant
correspondence to make improvements
based on disaster survivor feedback. As
part of this process, FEMA hosts focus
groups with disaster survivors to give
them the opportunity to review
proposed changes to our letters 78 and to
provide us with feedback about how to
make the letters more understandable
and helpful. FEMA reviews the
feedback received from the focus groups
before finalizing changes to the letters.
FEMA held focus groups in 2016 and
2022.79
Prior to peak hurricane season in
2022, FEMA updated its applicant
letters based on focus group feedback,
with the intent of simplifying the letters
and making the appeal process clearer.
As one example of a change made based
on focus group input, FEMA further
clarified the relationship between SBA
and FEMA and how our processes
interact, after focus group members
77 FEMA currently provides letters in English and
Spanish. FEMA recently updated our English and
Spanish letters to include a tagline in six languages
informing applicants how to contact the Helpline
for translation help. The six languages are: English,
Spanish, Russian, Portuguese, Vietnamese, and
Korean.
78 In 2022, the focus groups reviewed the
following letters: Cover Letter sent to all applicants;
Continued Temporary Housing Assistance Letter;
Denial letter; Approval letter; Request For
Information letter; and Identity Theft/Bank Routing
letter.
79 At the 2016 focus group, 196 people agreed to
participate but only 76 actually attended the
feedback sessions. At the 2022 focus group, 102
people agreed to participate but only 18 actually
attended the feedback sessions.

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indicated that the SBA section of the
letters were confusing.
Applicants who need assistance with
understanding their eligibility
notification letter or the appeal process
can receive assistance by phone by
calling the FEMA Helpline at 800–621–
3362 (711 or VRS available). When
available, applicants may also receive
in-person assistance by visiting a local
DRC, where FEMA and SBA customer
representatives are available. FEMA will
continue to explore options for
simplifying the process for submitting
appeals and strives to continue to
identify ways to alleviate any disparate
impacts to underserved groups in the
IHP process.
Assistance by Default

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Two commenters suggested FEMA
implement proactive measures to
provide a broad delivery of disaster
assistance to residents in a declared area
in order to equitably deliver assistance
without regard to economic ability,
housing situation, or specific losses
attributed to the disaster.80 One of the
suggestions specified assistance should
be delivered as an opt-out method, with
a stronger focus on the housing needs of
parolees and unhoused individuals.
FEMA has a duty under section 408(i)
of the Stafford Act, 42 U.S.C. 5174(i), to
verify each applicant is eligible for
assistance. Additionally, section 696 of
the Post-Katrina Emergency
Management Reform Act of 2006
(PKEMRA), 6 U.S.C. 795, also requires
FEMA to develop and maintain proper
internal management controls to prevent
and detect fraud, waste, and abuse.
Accordingly, without a change to these
underlying statutory provisions, FEMA
cannot provide assistance without first
verifying the applicant’s specific
housing situation or losses.
While FEMA understands the
immediate need for assistance after
catastrophic events, FEMA also has to
balance its responsibility to ensure
assistance is provided only to eligible
individuals and for the purpose
allowable by statute. Therefore, FEMA
must verify disaster-caused loss or
expenses. Additional assistance
provided for in this rulemaking, such as
Serious Needs Assistance and
Displacement Assistance,81 will make
more funds immediately available and
80 FEMA–2021–0011–0259 and FEMA–2021–
0011–0274.
81 Applicants experiencing homelessness predisaster who can also verify occupancy at an
impacted location may also be considered for Initial
Rental Assistance only; LER; all types of ONA (this
includes Serious Needs Assistance, Displacement
Assistance, and Critical Needs Assistance (prior to
the IFR).)

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their eligibility criteria and uses are less
specific than most existing forms of IHP
assistance. It should also be noted that
there are other State or local agencies,
as well as volunteer organizations, that
may be able to provide more targeted
assistance to populations where needs
and challenges extend beyond disaster
caused impacts.
FEMA remains committed to ongoing
community engagement and
communication with our stakeholders to
better understand the needs of
traditionally underserved communities
and to share information regarding
disaster preparedness and recovery
assistance. We conduct tribal
engagement sessions on draft policies;
and we have held engagement sessions
with the public on letter updates. We
also engage with other stakeholders,
such as Congressional members and
staff, State and local officials, and
advocacy organizations to discuss their
concerns.
Citizenship
A few commenters raised issues
regarding immigration status-based
restrictions on FEMA IA, arguing that
FEMA should reform the IA Program to
ensure that undocumented residents are
eligible. Commenters noted that
undocumented families are unable to
access a range of benefits and therefore
are more likely to suffer lasting harm.82
One commenter stated that the FEMA
registration process asks for information
on all members of the household, not
just the eligible member(s). Non-eligible
parents who have survived disasters,
even if they have U.S. citizen children,
and other eligible survivors are not
applying for help for fear they or others
in their household may be turned in to
immigration enforcement authorities.83
This commenter also stated that FEMA
should repeal its alleged policy of
forwarding citizenship status to
immigration enforcement authorities or
any other Government agencies.
Another commenter stated that one of
the obstacles for disaster survivors
seeking FEMA assistance is that based
on the ‘‘Welfare Reform Act,’’ an
immigrant must have been designated a
legal immigrant for 5 years in order to
receive any Federal financial
assistance.84 Another commenter
suggested that FEMA should look into
creating and promoting programs
available for people who are not citizens
but pay taxes through work permits or
82 FEMA–2021–0011–0293 and FEMA–2021–
0011–0269.
83 FEMA–2021–0011–0245.
84 FEMA–2021–0011–0255.

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ITIN 85 numbers.86 Lastly, one
commenter stated that immigration and
naturalization status is one demographic
characteristic that is notably absent in
the RFI.87
Title IV of the Personal Responsibility
and Work Opportunity Reconciliation
Act of 1996, sometimes referred to as
the Welfare Reform Act, Pub. L. 104–
193, provides that noncitizens who are
not ‘‘qualified aliens’’ are not eligible for
Federal public benefits, which include
assistance provided under Section 408
of the Stafford Act, 42 U.S.C. 5174.
FEMA cannot alter this requirement
without a statutory change; however,
FEMA considers the citizenship status
of the entire household where someone
is applying for assistance. This means
that any adult household member who
is a U.S. citizen or qualified alien in the
household may apply for assistance, or
any undocumented immigrants with
children who are U.S. citizens may
apply on behalf of their child. Further,
regardless of citizenship status, disaster
survivors may be eligible for the
following FEMA programs that provide
services instead of financial assistance
to individuals:
• Mass Care/Emergency Assistance
(Section 403 of the Stafford Act, 42
U.S.C. 5170b) which addresses
sheltering needs immediately following
a disaster;
• Crisis Counseling Assistance and
Training Program (Section 416 of the
Stafford Act, 42 U.S.C. 5183) which is
a Federal-funded supplemental program
that enables State, local, Territorial, or
Tribal government agencies to provide
crisis counseling services or contract
with local mental health service
providers to provide services;
• Disaster Case Management (DCM)
(Section 426 of the Stafford Act, 42
U.S.C. 5189d) which is a Federal-funded
supplemental program that provides
financial assistance to State, local,
Territorial, or Tribal government
agencies, or qualified private
organizations, to enable non-Federal
entities to provide DCM services; and
• Disaster Legal Services (Section 415
of the Stafford Act, 42 U.S.C. 5182)
which via an agreement with the
American Bar Association provides free
legal help for survivors.
In 2017, FEMA updated the FEMA
registration language by removing
85 An ITIN, or Individual Taxpayer Identification
Number, is a tax processing number only available
for certain nonresident and resident aliens, their
spouses, and dependents who cannot get a Social
Security Number (SSN). It is a 9-digit number,
beginning with the number ‘‘9,’’ formatted like an
SSN (NNN–NN–NNNN).
86 FEMA–2021–0011–0275.
87 FEMA–2021–0011–0163.

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references to the Bureau of Immigration
and Customs Enforcement 88 and
clarifying the reasons FEMA would
share information. The current version
informs applicants that, consistent with
the Privacy Act, 5 U.S.C. 552a, FEMA
may share individuals’ information with
Federal, State, Tribal, and local agencies
and voluntary organizations to enable
individuals to receive additional
disaster assistance or to allow FEMA to
administer assistance.89
The topic of immigration is notably
absent in the RFI because citizenship
requirements for Federal assistance are
established by statute and cannot be
resolved via rulemaking. However,
FEMA has no policy of forwarding
individuals’ information particularly
pertaining to their citizenship status to
immigration enforcement authorities.
Accordingly, FEMA posts the following
language via a flyer in all DRC locations.
‘‘This location is a protected area
designated to provide emergency
response and relief. FEMA will not
proactively share your information with
immigration or law enforcement
agencies. U.S. Immigration and Customs
Enforcement (ICE) and U.S. Customs
and Border Protection (CBP) will not
conduct enforcement operations at or
near this location, except in the most
extraordinary of circumstances.’’

codes. FEMA does not have the capacity
to monitor and enforce a nationwide
minimum construction standard for
IHP. Moreover, FEMA does not have the
authority to fund costs of compliance of
any such code beyond the maximum
award amount, which would leave some
recipients in a situation where FEMA
would require repair work but would
not be able to provide sufficient funding
to cover it.
Cost Share
Two commenters raised issues
regarding the cost share requirement,
arguing that FEMA should reduce or
remove the requirement altogether.92
The commenters noted that the cost
share requirement can preclude many
communities from accessing resources
because they do not have the ability to
meet the cost share, specifically,
economically disadvantaged rural
communities and Tribal Nations.
Section 408(g) of the Stafford Act, 42
U.S.C. 5174(g), governs the IHP cost
share. Specifically, it states that the
Federal share of Housing Assistance
under the IHP will be 100 percent;
whereas, the Federal share for Other
Needs Assistance will be 75 percent and
the non-Federal share will be paid from
funds made available by the relevant
STT government.93 The statute at 48
U.S.C. 1469a(d) allows FEMA to waive
or adjust the cost share for disaster
grants in insular areas such as the Virgin
Islands, Guam, American Samoa, and
the Northern Mariana Islands. Outside
of this one specific flexibility, FEMA
does not have the ability to waive or
adjust the cost share for IHP assistance
through regulatory change, as it would
require a legislative change.

Codes and Standards
One comment was received
suggesting that FEMA should require
IHP applicants to adhere to minimum
construction standards for any
applicable repair to their disasterdamaged home, regardless of whether
the local community has adopted a
building code.90 While FEMA
recognizes the importance of building
codes and encourages all communities
to adopt and enforce modern building
codes,91 we do not believe it is
appropriate to establish a nationwide
minimum construction standard for IHP
at this time. FEMA provides funds to
IHP recipients to address disaster repair
needs, which may include costs to meet
applicable codes, up to the Housing
Assistance maximum award. Recipients
should rebuild or repair their damaged
homes in compliance with applicable
State and local codes, and are subject to
State and local enforcement of those

Two commenters expressed their
concerns with how applicant data is
shared from FEMA with local partners.
One of them commented that the way in
which FEMA shares data with local
partners seems to be inconsistent from
incident to incident.94 Additionally,
they asked that FEMA utilize Internal
Revenue Service (IRS) income data to
expedite the verification process.95 The
other commenter mentioned how
FEMA’s registration data needs to be
accurate and quickly made available to

88 The Bureau of Immigration and Customs
Enforcement is now referred to as the U.S.
Immigration & Customs Enforcement.
89 See ICR Reference No. 202201–1660–005, FF–
104–FY–21–122 (formerly 009–0–1) View
Information Collection Request (ICR) Package
(reginfo.gov).
90 FEMA–2021–0011–0307.
91 https://www.fema.gov/sites/default/files/
documents/fema_bcs-brochure_03-01-21_0.pdf.

92 FEMA–2021–0011–0265 and FEMA–2021–
0011–0289.
93 The Stafford Act definition of State in 42 U.S.C.
5122(4) incorporates the Territories and DC. The
‘‘References’’ provision in 42 U.S.C. 5123
incorporates Tribes into either the definition of
State or local government, depending on the role of
the Tribe.
94 FEMA–2021–0011–0187.
95 FEMA–2021–0011–0187.

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Data Sharing/Collection

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local partners, and that FEMA should
create procedures to safeguard
applicants’ information.96
FEMA recognizes that data sharing
might make it easier for survivors to
access assistance from other entities,
and FEMA is always looking for ways to
simplify IHP and speed the delivery of
assistance. However, collecting,
maintaining, and sharing data on a large
scale presents challenges with respect to
data security, and updating the rules on
data sharing with State and local
partners requires carefully balancing
those concerns against the benefits of
simplifying the program. FEMA
continues to work alongside its State,
local, Tribal, and Territorial partners to
ensure that disaster recovery resources
and services are not delayed or hindered
by data collection and sharing concerns.
Applicants can also access up to date
information on their individual
applications by setting up a Disaster
Assistance Center electronic account
with FEMA following a disaster.
Lastly, the IRS has indicated they
could not share data with FEMA
without statutory authorization.97 As
most forms of FEMA assistance are not
income dependent, however, using IRS
income data would not significantly
improve how quickly FEMA is able to
get initial assistance to applicants.
Applicants are asked to self-report their
income at Registration Intake to
determine if the applicant meets criteria
established by the SBA to indicate the
capability to repay a loan. Those
applicants determined potentially
capable of repaying a loan are referred
to the SBA and must complete an
application with the SBA before being
further considered by FEMA for SBAdependent ONA. Additionally, as part
of this rule, FEMA is removing the
requirement that applicants must apply
and be denied for an SBA disaster loan
before being considered for SBAdependent ONA, further minimizing
any potential benefits of information
sharing by the IRS.
Demographics
One commentor stated that Federal
funds should not be a roadmap but
rather a single point of engagement and
support, especially to underserved
communities or other communities who
may fall below the poverty line or
96 FEMA–2021–0011–0277.
97 See 26 U.S.C. 6103; IRS, Disclosure Laws (Oct.
5, 2022), https://www.irs.gov/government-entities/
federal-state-local-governments/disclosure-laws.
FEMA had multiple discussions with the IRS on
this subject, and representatives from the IRS stated
clearly that the agency believed that sharing this
type of data with FEMA would require a statutory
authorization.

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become homeless, and should ensure
quality of life before the disaster for
these communities.98 A few
commenters suggested that FEMA
should collect demographic data
especially of those residing in
vulnerable and underserved
communities to identify the
communities with the most need and
enhance equitable recovery.99 One of
those commenters also suggested that
FEMA should reconsider the constraints
of the Paperwork Reduction Act on how
FEMA collects and shares voluntary
demographical data.100 A few
commenters raised the issue of the type
of demographic data that FEMA should
collect for identifying the communities
which benefit most from FEMA
resources to include voluntary
household data (i.e., gender and race)
and how they intersect (e.g., Black
woman, Latino man); immigration and
nationalization status; ethnicity; race;
income; degree of rurality; and data that
represents the underserved and others
who may fall below the poverty line or
become homeless.101
With respect to acting as a single
point of engagement for underserved
communities’ broader quality of life
needs, FEMA is committed to providing
disaster assistance in a fair and
equitable manner. This rule’s changes to
how FEMA assesses habitability,
discussed in more depth below, will put
applicants in a better position to recover
from disasters while staying within the
bounds of FEMA statutory authority
under the Stafford Act.
With respect to demographic data, in
an effort to further understand the
distribution of awarded IHP assistance,
FEMA obtained Office of Management
and Budget’s (OMB) approval to gather
demographic information from disaster
survivors who choose to provide it.102

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98 FEMA–2021–0011–0159.
99 FEMA–2021–0011–0163, FEMA–2021–0011–
0224, FEMA–2021–0011–0261, FEMA–2021–0011–
0264, FEMA–2021–0011–0275, and FEMA–2021–
0011–0277.
100 FEMA–2021–0011–0163.
101 FEMA–2021–0011–0163, FEMA–2021–0011–
0259, FEMA–2021–0011–0261, and FEMA–2021–
0011–0275.
102 Information Collection 1660–0154, Generic
Clearance for Civil Rights and Equity. In the IHP,
FEMA already collects some demographics for
programmatic reasons (date of birth/age, income,
and disability via OMB Control Number: 1660–
0002, Disaster Assistance Registration). Under
1660–0154, new questions pertaining to race, Tribal
enrollment, ethnicity, education, gender, and
marital status are intended to be used in order to
conduct robust statistical analysis of the outcome of
IHP for various vulnerable populations. The data
will be used to understand intersectionality of
demographics and identify any issues with program
implementation that may be affecting a specific
group of individuals.

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This data will help FEMA assess 103
whether agency policies and actions
create or exacerbate barriers to full and
equal participation in our programs and
better understand program outcomes for
applicants.
Disaster Housing Assistance Program
A few commenters mentioned the
expired Disaster Housing Assistance
Program (DHAP), which initially was
created as a FEMA pilot program
administered by the U.S. Department of
Housing and Urban Development (HUD)
to assist applicants of Hurricanes
Katrina and Rita,104 later for Hurricanes
Ike and Gustav, and a small program for
Hurricane Sandy. One commenter
questioned why the previous
administration did not utilize this
program for any recent disasters.105 Two
other commenters requested the pilot
program be reinstated.106
Rather than reinstate DHAP,107 FEMA
has instead developed and implemented
another form of Direct Temporary
Housing Assistance called Direct Lease.
Direct Lease provides FEMA with the
ability to lease properties not generally
available to the public directly from the
landlord to provide temporary housing
to eligible survivors.108 Under Direct
Lease, eligible survivors pay no cost for
rent (not including utilities) for up to 18
months. FEMA matches survivors with
available housing that meets their needs
and FEMA is able to place applicants
into Direct Lease within 4 to 6 weeks
following a disaster declaration.109
Direct Housing
Several commenters mentioned Direct
Housing Assistance. Four commenters
recommended FEMA should change
regulations and policy to allow FEMA to
103 The supporting statement associated with
FEMA’s demographics data collection, 1660–0154,
indicates that FEMA will do analysis of the
demographic questions to determine if it is
necessary to continue to collect the data based on
our findings. We plan to complete this analysis after
2 years of data collection, in the fall of 2024, to
inform whether all six questions are still needed.
104 See https://www.huduser.gov/portal/
publications/destech/DHAP.html for a HUD
evaluation of DHAP that served Katrina and Rita.
105 FEMA–2021–0011–0149.
106 FEMA–2021–0011–0162 and FEMA–2021–
0011–0235.
107 Building off lessons learned from DHAP, HUD,
and FEMA had exploratory conversations regarding
development of a new pilot called Disaster
Assistance Supportive Housing (DASH). However,
DASH is not currently being pursued.
108 The property must be an existing residential
property, not typically available to the general
public (i.e., corporate apartments, vacation rentals,
and second homes) for use as temporary housing.
109 In situations where pre-disaster HUD
occupants are placed into a FEMA-provided direct
housing unit, HUD will engage with the pre-disaster
HUD assisted families to assist them in finding
permanent housing.

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provide permanent housing solutions
such as repairing and/or rebuilding the
applicant’s damaged/destroyed
dwelling.110 One commenter desired
more housing options outside of
Transportable Temporary Housing Units
under Direct Housing Assistance,111
whereas, another commenter wanted
FEMA to provide more help to
applicants on their permanent housing
plan.112 Lastly, one commenter wanted
to remind FEMA to ensure information
provided to applicants meet relevant
fair housing and civil rights laws and
notes that FEMA should enforce those
laws with entities with whom FEMA
partners.113
FEMA’s existing regulations at 44 CFR
206.117(b) and IAPPG 1.1 currently
allow for the following forms of Direct
Housing Assistance: Transportable
Temporary Housing Units, MLR, Direct
Lease, and PHC. Per 42 U.S.C.
5174(c)(4), FEMA may only provide
PHC assistance—in the form of direct
repairs or new construction—to
individuals and households to construct
permanent or semi-permanent housing
in insular areas outside the continental
United States. Per 42 U.S.C.
5174(c)(4)(A)–(B), FEMA may also
consider providing such assistance in
other locations where no alternative
housing resources are available and
other types of Temporary Housing
Assistance are unavailable, infeasible, or
not cost-effective.114 Such
circumstances are extremely rare: FEMA
has only authorized PHC in the
continental United States twice.115
FEMA supports all direct housing
occupants—owners and renters—in
achieving their Permanent Housing
Plans 116 through multiple channels,
including working with Voluntary
Agency Liaisons 117 and DCM specialists
110 FEMA 2021–0011–0157, FEMA 2021–0011–
0237, FEMA 2021–0011–0269, and FEMA 2021–
0011–0224.
111 FEMA 2021–0011–0261.
112 FEMA 2021–0011–0146.
113 FEMA 2021–0011–0235.
114 See 44 CFR 206.117(b)(4)(i)(F).
115 The factors that most commonly result in a
need for PHC outside the continental United States
are a lack of temporary housing resources and an
inability to bring temporary housing into an
affected area due to high transportation costs.
116 Currently, permanent housing plan is defined
at 44 CFR 206.111 to mean a realistic plan that,
within a reasonable timeframe, puts the disaster
victim back into permanent housing that is similar
to the victim’s pre-disaster housing situation. A
reasonable timeframe includes sufficient time for
securing funds, locating a permanent dwelling, and
moving into the dwelling.
117 Voluntary Agency Liaisons establish and
maintain relationships among Federal and SLTT
governments, as well as voluntary, faith-based and
community organizations active in preparedness,
response, and recovery; coordinate with Voluntary
Organizations Active in Disaster at the national,

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to identify and provide additional
individualized services and referrals for
occupants, coordinating with the
respective STT government to jointly
develop milestones for timely
completion of occupant transitions to
permanent housing, and maintaining
engagement with the STT government
and long-term recovery groups to
identify State or local housing programs
that can continue to support survivors
after FEMA’s direct housing mission
closes. Furthermore, FEMA complies
with and requires all housing entities
with whom the Agency contractually
partners to comply with Federal
housing and civil rights laws. Lastly, it
is important to note that FEMA is
undertaking an effort to improve and
streamline Direct Housing Assistance,
which may include further regulatory
reforms.118
Group Flood Insurance Policy

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One commenter stated that the IA
flood insurance requirements, which
attaches to property rather than people,
can be a burdensome expense for those
on limited and fixed incomes.119 The
commenter also raised concern about
FEMA’s policy of determining an
applicant ineligible for disaster
assistance when they have failed to
maintain flood insurance requirements
established when the applicant received
the initial FEMA financial assistance
that triggered the flood insurance
requirement. The commenter suggested
FEMA consider extending group flood
insurance coverage to poor communities
beyond 36 months.
FEMA does not have the authority to
remove the flood insurance requirement
absent a legislative change to the
National Flood Insurance Act of 1968
(NFIA). Under the Flood Disaster
Protection Act of 1973, FEMA may not
approve any financial assistance for
acquisition or construction purposes for
use in any Special Flood Hazard Area
(SFHA) where the sale of flood
insurance has been made available
under the NFIA, 42 U.S.C. 4001 et seq.,
unless the building or mobile home and
any personal property to which such
State, Territorial, Tribal, and local levels; assist
with translating and navigating Federal programs
for their stakeholders; provide technical guidance
and support with donations, unaffiliated and
spontaneous volunteer management; and
collaborate with and support non-government
organizations that deliver an array of disaster relief
services to affected jurisdictions.
118 Direct Housing field operations coordinate
with DCM and Voluntary Agency Liaisons by
hosting regular roundtable discussions to discuss
unmet needs and identify specific solutions for
occupants to help them achieve their permanent
housing plans.
119 FEMA–2021–0011–0275.

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financial assistance relates is covered by
flood insurance in an amount at least
equal to its development or project cost.
See 42 U.S.C. 4012a(a). As the
commenter notes, this requirement to
maintain flood insurance applies to the
property, regardless of whether
ownership is transferred.
While much of this comment touches
on the National Flood Insurance
Program (NFIP) and is outside the scope
of this IA rulemaking,120 FEMA
understands that flood insurance
policies may be cost prohibitive for
some disaster survivors as they are
trying to recover from a major disaster.
A GFIP is a form of assistance that can
help applicants who have trouble
affording an initial flood insurance
policy. FEMA establishes a GFIP for
each disaster declaration that results
from flooding and is authorized for IA.
FEMA’s existing regulations at 44 CFR
206.119(d) provide that individuals
identified by FEMA as eligible for ONA
as a result of flood damage caused by a
Presidentially-declared major disaster
and who reside in a SFHA may be
included in a GFIP established under
the NFIP regulations at 44 CFR 61.17.
Per IAPPG 1.1, FEMA directly
purchases GFIP certificates on behalf of
120 FEMA is working on many rulemakings to
help the public regarding the NFIP. See the
following rules on FEMA’s Unified Agenda (UA): 1)
1660–AB06, the National Flood Insurance Program:
Standard Flood Insurance Policy (SFIP),
Homeowner Flood Form. This rule would revise the
SFIP by adding a new Homeowner Flood Form and
five accompanying endorsements. The new
Homeowner Flood Form would replace the
Dwelling Form as a source of coverage for
homeowners of one-to-four family residences.
Together, the new Form and endorsements would
more closely align with property and casualty
homeowners’ insurance and provide increased
options and coverage in a more user-friendly and
comprehensible format. 2) 1660–AB11, NFIP’s
Floodplain Management Standards for Land
Management & Use, & an Assessment of the
Program’s Impact on Threatened and Endangered
Species & Their Habitats. FEMA issued a Request
for Information to receive the public’s input on
revisions to the NFIP’s floodplain management
standards for land management and use regulations.
FEMA’s authority under the NFIA requires the
agency to, from time to time, develop
comprehensive criteria designed to encourage the
adoption of adequate State and local measures. The
agency is reviewing potential actions to better align
the NFIP minimum floodplain management
standards with our current understanding of flood
risk, flood insurance premium rates, and risk
reduction approaches to make communities safer,
stronger, and more resilient to increased flooding.
FEMA is considering revisions to the minimum
standards to better protect people and property in
a nuanced manner that balances community needs
with the national scope of the NFIP while also
incorporating opportunities for improving
resilience in communities that have been
historically underserved. The agency is also
reviewing ways to further promote enhanced
resilience efforts through the Community Rating
System and to strengthen NFIP compliance with
Section 7 of the Endangered Species Act.

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applicants who are required to purchase
and maintain flood insurance but who
may not otherwise be able to purchase
a policy. This assistance is provided as
a part of the effort to reduce future
expenses from floods. As required by
existing regulations at 44 CFR
206.119(a), applicants must apply for
and be denied an SBA loan before
receiving a GFIP certificate under ONA.
This rule will remove this SBA
requirement, which increases the
number of applicants in SFHAs that are
eligible to receive a 3-year policy from
FEMA following a flood disaster.121
Habitability
A few commenters raised issues
regarding the definition of
‘‘uninhabitable,’’ recommending that
FEMA should revise the definition to
ensure it meets the needs of all disaster
survivors and underserved
communities.122 One commenter stated
that FEMA defines ‘‘uninhabitable’’ as a
dwelling that is not safe, sanitary, or fit
to occupy, but that FEMA has no
published standard that establishes
when a home is ‘‘safe, sanitary, and
functional.’’ This commenter stated
FEMA must clearly define what
constitutes a ‘‘safe, sanitary, and
functional home.’’ 123 Another
commenter stated that if a residence is
deemed ‘‘safe to occupy’’ the applicant
will be denied IHP assistance, as it is
presumed habitable, and that ‘‘One Size
Fits All’’ Habitability Standard is built
on the faulty assumption that what is
safe to occupy for one is safe to occupy
for all.124 This commenter also noted
that following Hurricane Harvey, FEMA
did not consider the presence of mold
as a condition which would prevent safe
occupation; therefore, many were
denied assistance. Another commenter
argued that part of the reason for fewer
awards to low-income disaster survivors
is likely based on the implicit bias and
inadequate training of its inspectors but
also that part of the reason lies in
FEMA’s standards for determining when
a disaster survivor’s home is ‘‘safe to
occupy.’’ 125 This commenter also noted
that despite applicants living in homes
with blue-tarped roofs, buckled floors,
nonexistent foundations, destroyed
septic systems, and gaping holes, they
were denied assistance as their dwelling
121 An applicant who accepts an SBA loan with
a flood insurance requirement will not be
considered for a FEMA-purchased GFIP certificate
in the same disaster as an applicant cannot hold
two flood insurance policies on one property.
122 FEMA–2021–0011–0260, FEMA–2021–0011–
0152, and FEMA–2021–0011–0286.
123 FEMA–2021–0011–0295.
124 FEMA–2021–0011–0152.
125 FEMA–2021–0011–0286.

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was determined ‘‘safe to occupy.’’
Lastly, another commenter stated that
FEMA lacks ascertainable standards for
equitable and impartial distribution of
Home Repair Assistance, which results
in arbitrary, subjective decisions about
who gets Home Repair Assistance and
how much assistance is provided in
each case.126
Section 408 of the Stafford Act, 42
U.S.C. 5174, authorizes FEMA to
provide Housing Assistance to
applicants who, as a direct result of a
major disaster, are displaced from their
pre-disaster primary residences or are
left with pre-disaster primary residences
that are ‘‘uninhabitable’’ or, with respect
to individuals with disabilities, are
‘‘uninhabitable or inaccessible.’’
FEMA’s regulations at 44 CFR 206.111
defines ‘‘uninhabitable’’ as a dwelling
that is not ‘‘safe, sanitary or fit to
occupy.’’ FEMA’s regulations at 44 CFR
206.111 further defines ‘‘safe’’ and
‘‘sanitary,’’ but does not define ‘‘fit to
occupy.’’ ‘‘Safe’’ means secure from
disaster-related hazards or threats to
occupants; ‘‘sanitary’’ means free of
disaster-related health hazards.
FEMA recognizes that current
regulations limit assistance to
applicants with residences that incurred
disaster-caused damage falling short of
immediate safety and sanitation
concerns and prevents FEMA from
addressing or assessing the general
livability issues when determining
Housing Assistance eligibility, and is
making changes that are expected to
address these concerns. FEMA is
revising the term ‘‘uninhabitable’’ to
mean the dwelling is not safe or
sanitary. FEMA is revising the term
‘‘safe’’ to mean secure from hazards or
threats to occupants, and FEMA is
revising the term ‘‘sanitary’’ to mean
free of health hazards. FEMA is also
removing the requirement for disasterdamaged real property components to
be functional immediately before the
disaster in order to provide assistance
for pre-existing damage exacerbated by
the disaster. This change will remove a
discretionary element for inspectors that
is not required by the Stafford Act.127
As a result, applicants with minimal
damage, who may be without the means
to pay for minimal repairs, or who are
unable to complete the work
themselves, will be eligible for Home
Repair Assistance.
126 FEMA–2021–0011–0310.
127 In coordination with the publication of this
rule, FEMA will ensure its training and
instructional materials are updated to ensure all
relevant FEMA staff are apprised of and are able to
implement the changes.

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Hazard Mitigation Under IHP
Eleven commenters stated that FEMA
should allow recovery funds to be used
toward making resilient upgrades that
offer greater protection against future
disasters, with one commenter
specifically noting that this would be
particularly helpful in flood prone
areas.128 Another commenter noted the
recent changes made to IHP assistance
provide funds toward hazard mitigation
measures; however, they stated that
these funds are specifically for wind
and flood events. This commentor
believed that these funds should also be
extended to wildfire and earthquake
events.129
FEMA recognizes that helping
disaster survivors address hazard
mitigation measures while repairing
their homes from disaster damage will
help make their homes more resilient.
Therefore, using our authority under
Section 408(c)(2)(A)(ii) of the Stafford
Act, 42 U.S.C. 5174(c)(2)(A)(ii), FEMA
began including additional assistance
for mitigation in Home Repair
Assistance awards for disasters declared
on or after May 26, 2021.130
Prior to this IFR, hazard mitigation
under IHP is awarded as part of Home
Repair Assistance for specific real
property components that existed and
were functional prior to the disaster—
roof, water heater, furnace, and main
electrical panel.131 Hazard mitigation
measures are intended to minimize
future damage to owner-occupied
residences and are subject to the IHP
maximum amount of Home Repair
Assistance. FEMA plans to expand
hazard mitigation under IHP in the
future to include funds for additional
mitigation measures, some targeted
toward additional disaster causes.
This IFR will allow FEMA to include
mitigation for components that were not
128 FEMA–2021–0011–0151, Attachment 1;
FEMA–2021–0011–0206; FEMA–2021–0011–0209;
FEMA–2021–0011–0221; FEMA–2021–0011–0224;
FEMA–2021–0011–0237; FEMA–2021–0011–0270;
FEMA–2021–0011–0271; FEMA–2021–0011–0278;
FEMA–2021–0011–0285; and FEMA–2021–0011–
0303.
129 FEMA–2021–0011–0261. At the time of this
comment, FEMA was only providing hazard
mitigation assistance for items in wind and flood
events. However, in August of 2022, FEMA added
two fire-specific hazard mitigation items, i.e.,
covering for attic vents, crawlspace vents, and vents
in enclosures below decks and non-combustible
gutter and leaf guards. FEMA continues to explore
hazard mitigation under the IHP to include funds
for additional mitigation measures, some targeted
toward additional disaster causes.
130 See pages 86–88 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
131 Prior to this IFR, in order to receive IHP
assistance toward hazard mitigation efforts, the
component needs to have been functional prior to
the disaster.

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functional prior to the disaster when the
damage to the component is worsened
by the disaster.
Home Repair Assistance
Seven commenters raised concern
regarding FEMA’s delivery of Home
Repair Assistance,132 specifically
focusing on how FEMA addresses preexisting damage.
Per Section 408 of the Stafford Act, 42
U.S.C. 5174, FEMA may provide
financial assistance for the repair of
owner-occupied private residences,
utilities, and residential infrastructure
(such as a private access routes)
damaged by a major disaster to a safe
and sanitary living or functioning
condition; and eligible hazard
mitigation measures that reduce the
likelihood of future damage to such
residences, utilities, or infrastructure.
As part of this rule, FEMA is
removing the requirement for real
property components to be functional
immediately before the disaster to
provide assistance for pre-existing
damage that has been further damaged
by the disaster. When a component of
the home with pre-existing damage is
further damaged by the disaster, FEMA
may provide assistance to fully repair or
replace the item (as appropriate) rather
than denying assistance solely because
not all damage was caused by the
disaster.
One comment suggested FEMA focus
its efforts on providing permanent
repairs to disaster-damaged homes using
a sliding scale benefit.133 FEMA has
limited statutory authority to provide
direct repairs via PHC—i.e., per Section
408(c)(4) of the Stafford Act, 42 U.S.C.
5174(c)(4), FEMA may only provide
financial assistance or direct
assistance—in the form of direct repairs
or new construction—to individuals and
households to construct permanent or
semi-permanent housing in insular
areas outside the continental United
States. or other areas where no
alternative housing resources are
available and other types of Temporary
Housing Assistance are unavailable,
infeasible, or not cost-effective. Because
FEMA is authorized under statute to
provide such assistance only in these
limited circumstances, FEMA has only
implemented this type of direct
assistance twice before in the
continental United States.
132 FEMA–2021–0011–0033, FEMA–2021–0011–
0149, FEMA–2021–0011–0194, FEMA–2021–0011–
0199, FEMA–2021–0011–0245, FEMA–2021–0011–
0277, and FEMA–2021–0011–0310.
133 FEMA–2021–0011–0269.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
Homelessness
Four commenters voiced concern over
the lack of FEMA guidance to State,
local, and Tribal governments on how to
handle people experiencing
homelessness during a disaster, the lack
of resources available for people
experiencing homelessness during or
after a disaster, and the need for more
programs dedicated to those
experiencing homelessness.134
Per Section 408(a)(1) of the Stafford
Act, 42 U.S.C. 5174(a)(1), FEMA’s IHP
assistance is intended to assist with
disaster-caused losses; therefore, issues
related to pre-disaster homelessness are
outside the scope of the program. FEMA
does not provide Housing Assistance
(Rental Assistance, Direct Assistance,
Home Repair Assistance, or Home
Replacement Assistance) to applicants
experiencing pre-disaster homelessness
if their need for housing or shelter was
not caused by the disaster. However,
applicants experiencing pre-disaster
homelessness may be eligible for certain
types of ONA (Transportation
Assistance, Medical and Dental
Assistance, Funeral Assistance, and
Child Care Assistance). Further,
applicants whose pre-disaster residence
was a tent or other form of
nontraditional housing could be
considered for limited housing
assistance (2-month initial Rental
Assistance and Lodging Expenses
Reimbursement) if a public official or
homelessness advocate verifies a
disaster survivor’s occupancy and if that
individual meets all other eligibility
requirements.
While FEMA may be limited in the
types of assistance it can provide to predisaster homeless individuals, there are
other Federal, State, or local government
resources that are more readily available
for this population, e.g., HUD’s
Emergency Solutions Grants Program or
HUD’s Rapid Unsheltered Survivor
Housing Program.
Applicants experiencing
homelessness as a result of the
disaster—for example, those whose predisaster residences were destroyed due
to a disaster—may be considered for
various types of financial Housing
Assistance to include Lodging Expense
Reimbursement, Rental Assistance,
Home Repair Assistance, and
Replacement Assistance, to meet their
disaster housing needs. Additionally, if
a direct housing mission is approved for
the disaster, they could be eligible for a
direct housing unit depending on the
level of damage incurred to their pre134 FEMA–2021–0011–0235, FEMA–2021–0011–
0277, FEMA–2021–0011–0295, and FEMA–2021–
0011–0310.

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disaster residence and on whether they
have not been able to use any FEMAprovided Rental Assistance.
IHP File
A few commenters raised issues
regarding FEMA’s process for applicants
to request a copy of their IHP file,
stating that it is unnecessarily
complex.135 One commenter argued that
it is excessive and unnecessarily
burdensome to require applicants to
obtain notary signatures or provide the
penalty of perjury statement in order to
access their IHP file. This commenter
reasoned that IHP file information
should be accessible through one online
portal.136 Another commenter argued
that when applicants request a copy of
their file, FEMA does not provide access
to all specific information used to make
FEMA’s decision such as pictures, home
and property damage descriptions, and
eligibility decisions, including include
how FEMA calculates the awards and
inspection line-item pricing. This
commentor also noted that to access this
type of information, applicants must file
a Freedom of Information Act
request.137 Lastly, one commenter stated
that FEMA should develop a
streamlined process including a central
point of contact for State-led agencies
and other disaster relief organizations to
obtain applicant information required to
provide further recovery assistance
years following the disaster
declaration.138
There are multiple statutes which
govern what information FEMA may
collect and how that information may be
shared. The Stafford Act allows FEMA
to collect personal information to
determine eligibility and administer
FEMA disaster assistance as a result of
an emergency or a Presidentially
declared disaster. See 42 U.S.C. 5121–
5207.
As outlined on page 67 of IAPPG 1.1,
applicants may submit a written, signed
request for a copy of FEMA’s records
related to their registration for IHP
assistance.139 The request must
specifically state what information the
applicant would like to receive (e.g.,
entire file copy, copy of all
correspondence from FEMA, etc.) 140
135 FEMA–2021–0011–0149 and FEMA–2021–
0011–0277.
136 FEMA–2021–0011–0149.
137 FEMA–2021–0011–0295.
138 FEMA–2021–0011–0275.
139 Applicants may alternatively choose to
complete, sign, and return the Authorization for the
Release of Information Under the Privacy Act form
(OMB No. 1660–0061) to request a copy of their file
and authorize the release of information.
140 Note that line-item pricing is not part of an
applicant’s IHP file and therefore is not included in
requests for copies of IHP files. While NEMIS can

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and who is to receive the requested
information (e.g., self, attorney, friend,
etc.). For identity verification purposes,
the request must include, among other
requirements, the applicant’s signature
with either a notary stamp or seal or the
statement: ‘‘I hereby declare under
penalty of perjury that the foregoing is
true and correct.’’ Applicants have the
ability to create an online account, via
www.DisasterAssistance.gov, where
they may access a high-level overview
of their application, including eligibility
determinations and letters provided by
FEMA, upload documentation, and
change some information. Current
system limitations prevent FEMA from
including information such as pictures,
home and property damage
descriptions, and inspection line-item
pricing. However, FEMA is developing
a new system with increased
capabilities.141 Once such increased
capabilities are developed, nothing in
this rule will prevent FEMA from
implementing them. Information on
how FEMA calculates awards and
determines eligibility are available to
the public via the IAPPG.
FEMA continues to work alongside its
State, local, Tribal and Territorial
partners to ensure that disaster recovery
resources and services are not delayed
or hindered by data collection and
sharing concerns. Following a disaster,
FEMA establishes a Joint Field Office
(JFO), which is the appropriate central
point to work with the State and
disaster-relief organizations for the
disaster. Once the JFO closes, those
duties would devolve to the FEMA
Region, unless a long-term field office is
set up to handle disaster-related
concerns. FEMA has processes in place
to assist States, Tribes, and Territories
with information sharing. These entities
work with the FEMA staff assigned to
coordinate with them for a specific
disaster. This is the standard process
that FEMA utilizes when responding to
disaster-specific requests of all types
from States, Tribes, and Territories.
Insurance
One commenter stated that the
Stafford Act needed to be amended so
that Federal assistance would not be
considered a duplication of benefits
provide a summary of the items viewed or noted
during inspection, it does not include the line-item
pricing.
141 FEMA is in the very early stages of the
Systems Engineering Lifecycle and Acquisition
process. The Agency is working to complete all
requisite documentation needed for gate reviews,
and have requested funding via the Program
Decision Option process to support completely
modernizing the functionality currently provided
by the legacy on-premises NEMIS–IA system. This
will be a multi-year effort.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

with received insurance proceeds.142
Statutory changes are outside the scope
of this rulemaking.
Loss Verification
Twenty-three comments were
received regarding FEMA’s loss
verification methods,143 referencing
FEMA’s inspection process and
describing it as slow, subject to human
error, costly, and disproportionally
impacting historically disadvantaged
populations. While three commenters
stated FEMA should utilize more
geospatial technology or develop remote
technology capabilities, one
commenter 144 noted concern over the
remote inspector process established by
FEMA during COVID–19, stating that it
disadvantaged disaster survivors by
creating additional documentation
burdens, which particularly impacted
those who were least able to access
technology or local assistance. Another
commenter noted their concern that the
loss verification process prioritized
property values rather than examining
the full impact of the housing loss,
thereby adversely impacting whether an
applicant would be considered eligible
for Direct Housing Assistance. Lastly,
one commenter specifically stated that
FEMA, during inspection, should count
damages to mobile homes as personal
property losses.
Once disaster survivors register for
assistance, FEMA is required to verify
losses to determine their eligibility for
IHP assistance. FEMA uses multiple loss
verification methods, including onsite
and geospatial inspections as well as
submitted documentation. FEMA may,
at its discretion, determine other
methods of verification (i.e., remote
inspections) that will be used to help
verify loss and deliver assistance.145
FEMA may also review and verify
documentation for disaster-caused

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142 FEMA–2021–0011–0153.
143 FEMA–2021–0011–0033, FEMA–2021–0011–
0147, FEMA–2021–0011–0151, FEMA–2021–0011–
0153, FEMA–2021–0011–0159, FEMA–2021–0011–
0162, FEMA–2021–0011–0163, FEMA–2021–0011–
0169, FEMA–2021–0011–0199, FEMA–2021–0011–
0206, FEMA–2021–0011–0208, FEMA–2021–0011–
0221, FEMA–2021–0011–0256, FEMA–2021–0011–
0261, FEMA–2021–0011–0270, FEMA–2021–0011–
0271, FEMA–2021–0011–0275, FEMA–2021–0011–
0277, FEMA–2021–0011–0282, FEMA–2021–0011–
0285, FEMA–2021–0011–0295, FEMA–2021–0011–
0302, and FEMA–2021–0011–0310.
144 FEMA–2021–0011–0169.
145 FEMA uses a variety of techniques and
technologies when conducting geospatial
inspections. This includes using aerial and satellite
photography and remote sensing technologies. For
remote inspections, FEMA inspectors will contact
applicants via phone and complete the standard
onsite inspection process remotely based on
responses from the applicant.

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losses that cannot be verified through
on-site or geospatial inspections.
FEMA inspectors are trained to
identify post-disaster damage and
record all appropriate evidence of any
disaster damage. Home and/or property
values are not considered during
damage verification. While there are
numerous checks and balances in place
to verify consistent and accurate damage
assessments, FEMA continues to
explore ways to improve its loss
verification methods.
Per IAPPG 1.1, FEMA may provide
financial assistance to repair an owneroccupied primary residence, utilities,
and residential infrastructure, including
private access routes damaged as a
result of a Presidentially-declared
disaster up to the financial Housing
Assistance maximum award. Home
Repair Assistance is intended to make
the damaged home safe, sanitary, or
functional. Damage to real property
components of the applicant’s home is
addressed under the IHP’s Home Repair
Assistance, regardless of the type of
home. Mobile homes have unique real
property components, and damage to
these items are captured during
inspection. Personal Property is not
dependent on the type of home and is
recorded under ONA.
Multifamily Lease and Repair
One commenter stated that FEMA
should make more effort to aid residents
of multifamily housing units in the
wake of disasters.146
Section 408 of the Stafford Act, 42
U.S.C. 5174, limits IHP assistance to
individuals and households; 147
therefore, in situations where
multifamily housing units, such as a
condominium, are damaged by a
disaster, FEMA only provides financial
Housing Assistance and ONA to owneroccupants for eligible disaster-caused
damages to areas the owner is
responsible for within their unit. These
types of assistance do not cover repair
for disaster-caused damage to
multifamily housing units for structural
elements (e.g., roof, exterior walls,
chimneys, and shared foundation) and
common areas shared by all residents
such as recreational facilities, outdoor
space, parking, landscaping, fences,
laundry rooms, and all other jointlyused space, unless these spaces are the
individual’s responsibility.
FEMA may provide Direct Temporary
Housing Assistance to eligible
applicants in the form of temporary
146 FEMA–2021–0011–0268.
147 44 CFR 206.113(b)(9) further limits assistance
by stating that FEMA may not provide IHP
assistance for business losses, including farm
businesses and self-employment.

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rental units made available through
repairs or improvements to existing,
vacant multifamily housing units (e.g.,
apartments). Under the Multifamily
Lease and Repair program, FEMA may
enter into lease agreements with owners
of multifamily properties located in a
disaster area and make repairs or
improvements (including to structural
elements and common areas of the
multifamily properties) to provide
temporary housing to eligible
applicants. FEMA may utilize units
repaired or improved under Multifamily
Lease and Repair as temporary housing
for eligible applicants who are unable to
use Rental Assistance due to a lack of
available resources. This type of Direct
Temporary Housing Assistance is
intended to repair or improve
individual units to re-house existing
tenants.148
Non-Traditional Housing
One commenter stated that FEMA
does not recognize applicants who live
in non-traditional housing such as
‘‘boats, yurts, and travel trailers.’’ The
commentor requested that FEMA
consider these as viable places of
residence and recognize them for
compensation.149
Per Chapter 3: II.B.10. of IAPPG
1.1,150 eligible applicants who live in
travel trailers and boats may be eligible
for Home Repair Assistance and Home
Replacement Assistance. Applicants
residing in yurts and other unique
homes may also receive Home Repair
Assistance for any damaged structural
elements of the home. However, Home
Repair Assistance and Home
Replacement Assistance is not available
for other non-traditional forms of
housing if they do not have structural
elements to assess and calculate a repair
or replacement award (e.g., tents). By
policy, FEMA defines non-traditional
housing as a form of dwelling void of
structural floor, structural walls, and
structural roof. Applicants who reside
in non-traditional housing who are able
to verify occupancy may be eligible for
initial Rental Assistance, Lodging
Expense Reimbursement, and all types
of Other Needs Assistance.
Ownership/Occupancy
All 26 comments received regarding
FEMA’s verification of applicant
ownership and/or occupancy of their
148 For additional information about Multifamily
Lease and Repair, please see pages 107 to 112 of
IAPPG 1.1. https://www.fema.gov/sites/default/
files/documents/fema_iappg-1.1.pdf.
149 FEMA–2021–0011–0149.
150 See page 62 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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disaster-damaged dwelling were
consistent with one concern: the
applicant’s burden of proving
ownership and/or occupancy, especially
in relation to properties being passed
down via heirship.151
Per IAPPG 1.1, FEMA verifies
occupancy through an automated public
records search or submitted documents.
In locations where automated
verification of public records is limited,
FEMA may partner with applicable
authorities from the State, local, Tribal,
or Territorial government to verify
ownership or occupancy. When FEMA
is unable to verify an applicant’s
occupancy of their disaster-damaged
primary residence, the applicant may
provide FEMA with documentation for
verification. Based on comments
submitted via the April 22, 2021 RFI,
FEMA updated its automated public
records criteria along with its policy to
provide more documentation
flexibilities for verifying occupancy.
Specifically, as outlined in the
Amendment to FEMA Policy (FP) 104–
009–03, Individual Assistance Program
and Policy Guide (IAPPG), Version 1.1
memorandum, dated September 2, 2021,
FEMA will now accept social service
organization documents, local school
documents, Federal or State benefit
documents, motor vehicle registration,
affidavits of residency or court
documentation, and mobile home park
documents in addition to the
documentation options listed in IAPPG
1.1 to verify occupancy. Furthermore, as
an option of last resort, FEMA may
accept a written self-declarative
statement from applicants whose predisaster residence was a mobile home or
travel trailer or from applicants living in
insular areas, islands, and Tribal lands.
Like occupancy, when FEMA is
unable to verify an applicant’s
ownership of their primary residence,
the applicant may provide FEMA with
documentation to prove ownership.
Based on comments submitted via the
RFI, FEMA also updated its policy to
provide more documentation
flexibilities in order to verify
ownership. Specifically, as outlined in
the Amendment to FEMA Policy (FP)
151 FEMA–2021–0011–0033, FEMA–2021–0011–
0149, FEMA–2021–0011–0153, FEMA–2021–0011–
0163, FEMA–2021–0011–0194, FEMA–2021–0011–
0199, FEMA–2021–0011–0207, FEMA–2021–0011–
0235, FEMA–2021–0011–0236, FEMA–2021–0011–
0245, FEMA–2021–0011–0255, FEMA–2021–0011–
0259, FEMA–2021–0011–0260, FEMA–2021–0011–
0261, FEMA–2021–0011–0265, FEMA–2021–0011–
0273, FEMA–2021–0011–0275, FEMA–2021–0011–
0276, FEMA–2021–0011–0277, FEMA–2021–0011–
0282, FEMA–2021–0011–0286, FEMA–2021–0011–
0293, FEMA–2021–0011–0302, FEMA–2021–0011–
0305, FEMA–2021–0011–0306, and FEMA–2021–
0011–0310.

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104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum, dated
September 2, 2021, FEMA will now
accept receipts for major repairs or
improvements, mobile home park
letters, court documents, and a public
official’s letter in addition to the
documentation options listed in IAPPG
1.1 to verify ownership. Furthermore, as
an option of last resort, FEMA may
accept a written self-declarative
statement from applicants whose predisaster residence was a mobile home or
travel trailer, from applicants living in
insular areas, islands, and Tribal lands,
and from applicants whose pre-disaster
residence was passed down via
heirship.152
Both occupancy and ownership
verification may be completed upon
inspection if the applicant is able to
show an acceptable document to the
inspector. FEMA inspectors, however,
will not accept self-declarative
statements; this option of last resort
must be mailed, uploaded to the
applicant’s online account, or submitted
in person at a DRC.153 For those
applicants who are still unable to prove
occupancy and ownership, FEMA will
conduct proactive outreach via
casework to ensure all eligible
applicants are able to receive assistance.
Period of Assistance
Five commenters requested that the
current period of assistance be extended
or for there to be options in which it
could be extended on an individual
disaster basis.154 One of the commenters
stated that some applicants who
received FEMA assistance to fix their
homes had contractors take money for
the repairs but not complete the work,
that FEMA should take on the burden of
the lost money, or otherwise ensure that
the work is properly completed, and
that assistance from FEMA should only
be complete when the people in a
household are fully, safely housed
again.155
Section 408(c)(1)(B)(iii) of the Stafford
Act, 42 U.S.C. 5174(c)(1)(B)(iii), limits
IHP assistance to 18 months following
the date of the disaster declaration. The
period of assistance begins at the date of
152 Please see FEMA’s Equity web page at Equity
| FEMA.gov (last visited July 2, 2022.)
153 FEMA inspectors do not have the ability to
upload documentation into an applicant’s file.
Applicants may submit a self-declarative statement
to FEMA by either mail, uploading the document
into their online www.disasterassistance.gov
account, or by visiting a DRC, where a FEMA
employee may upload the document into their file.
154 FEMA–2021–0011–0153, FEMA–2021–0011–
0163, FEMA–2021–0011–0253, FEMA–2021–0011–
0274, and FEMA–2021–0011–0277.
155 FEMA–2021–0011–0274.

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the Presidential disaster declaration and
not the date on which the disaster is
designated for IA. FEMA may extend
the period of IHP assistance beyond 18
months due to extraordinary
circumstances if an extension would be
in the public interest, and FEMA has
implemented this authority when
warranted.156 As the period of
assistance is established in statute, it
cannot be addressed in this rulemaking
effort.
FEMA assistance is intended for
disaster caused losses. Disputes between
contractors and individuals are private
civil matters, in which FEMA has no
authority to intercede. These should be
addressed by the applicant through
appropriate legal channels.
Rental Assistance
One commenter stated that FEMA
must include clear guidance in its
policies to ensure that multifamily
homes are treated in a fair and equitable
manner, including expanding the
definition of ‘‘household’’ so that
multiple families in one housing unit
are counted as separate households for
purposes of calculating aid and are
eligible for separate rental assistance
when needed.157 This situation is
addressed in current FEMA policy.158
FEMA may provide financial assistance
to pre-disaster homeowners or renters to
rent alternate housing if they are
displaced from their primary residence
as a result of a Presidentially-declared
disaster. While FEMA typically will
award Rental Assistance to the first
individual who registers for the
household, if a multifamily household
is unable to relocate together due to
extenuating circumstance, then FEMA
may provide additional Rental
Assistance to the other members of the
household. Additionally, through this
rule, FEMA is adding a new type of
assistance—Displacement Assistance—
that will provide an additional resource
to applicants who must temporarily
156 The President has delegated authority to the
Administrator of FEMA to determine whether due
to extraordinary circumstances an extension of IHP
assistance beyond the 18-month limit would be in
the public interest. See 42 U.S.C. 5174(c)(1)(B)(iii).
Executive Order 12148, Federal Emergency
Management, July 20, 1979 and Department of
Homeland Security Delegation 9001.1. The FEMA
Administrator has delegated authority to the
Assistant Administrator for the Recovery
Directorate to extend this period if they determine
that due to extraordinary circumstances an
extension would be in the public interest. See 44
CFR 206.110(e) and section G.4. of the Federal
Emergency Management Agency (FEMA) Delegation
Number: FDA 112–002a–1 Issue Date: Oct. 30, 2020.
157 FEMA–2021–0011–0295.
158 See page 57 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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relocate from their home as the result of
damage from a Presidentially-declared
disaster. Displacement Assistance will
be an award amount based on the daily
rate established by the STT government
and is intended to provide flexibility for
applicants to address their short-term
lodging needs via hotels, motels, friends
and family, or other available options.
Another commenter stated that it is
common in Puerto Rico for multiple
homes to be built on a single lot and to
have the same address and that this
leads to a denial of assistance for the
second family to apply due to suspected
duplication of benefits.159 Although
FEMA did previously encounter
difficulties distinguishing between
separate homes on a single lot due to
system limitations and lack of available
third-party data, we now have a better
understanding of these arrangements
and have improved our processes 160 to
ensure the appropriate assistance is
provided to each family when FEMA
can determine two separate homes exist
and the applicants meet all other
eligibility criteria.
Renter Assistance
Ten commenters stated that FEMA
assistance is prioritized for homeowners
and that programs and services need to
be expanded to include renters and/or
provide more assistance programs to
benefit renters.161 One commenter
stated that FEMA should afford
minority and poor families the
opportunity to move to neighborhoods
that are safer, the schools are better, and
jobs are more available.162 This
commenter also suggested that the
choice of where to live must be built
into FEMA housing programs. Another
commenter stated that FEMA provides
assistance for hotel stays, but there are
not many programs that provide rental
assistance, security deposits, and
application fees for survivors that have

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159 FEMA–2021–0011–0292.
160 There are processes available in these types of
unique situations where multiple households reside
in the same house or there are multiple separate
homes on the same property. In the case of multiple
separate homes on the same property, applicants
must demonstrate that the homes are separate
structures, and for multiple households in the same
home, they must demonstrate that they have a predisaster financial responsibility to the household,
such as a formal agreement supported by predisaster rent receipts, cancelled checks, or money
orders; pre-disaster lease, landlord’s written or
verbal statement, or rental agreement; or predisaster major utility bills.
161 FEMA–2021–0011–0293, FEMA–2021–0011–
0271, FEMA–2021–0011–0270, FEMA–2021–0011–
0285, FEMA–2021–0011–0206, FEMA–2021–0011–
0209, FEMA–2021–0011–0221, FEMA–2021–0011–
0262, FEMA–2021–0011–0274, and FEMA–2021–
0011–0187.
162 FEMA–2021–0011–0199.

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to relocate.163 This commenter also
stated that providing flexible funding
for renters to replace appliances,
furniture, clothing, and other necessary
goods would be more beneficial. One
commenter stated that the application
for continuing Rental Assistance is
onerous and difficult for survivors to
complete. Further, applicants must
continue to work toward obtaining
permanent housing to remain eligible
for continuing rental assistance.164
A few commenters suggested that
FEMA should partner with HUD to
design resilient and affordable housing
relocation solutions and follow a similar
approach to HUD’s Community
Development Block Grant—Disaster
Recovery (CDBG–DR) program for
clients who want to remain in their
communities while reducing disaster
risk.165 Lastly, two commenters
suggested longer-term, safe housing
solutions that are affordable to renters,
arguing that once the funds are
exhausted for renters, FEMA
transitional services are not timely or
are complex processes causing victims
to experience a period of
homelessness.166
Some of these comments misconstrue
FEMA policy. Per Section 408 of the
Stafford Act, 42 U.S.C. 5174, FEMA may
only provide financial assistance to
repair an owner-occupied primary
residence, utilities, and residential
infrastructure, including private access
routes damaged as a result of a
Presidentially-declared disaster. FEMA
does not have the authority to provide
repair assistance to renters or landlords
not occupying the damaged property as
their primary residence.
Section 408 of the Stafford Act, 42
U.S.C. 5174, also states that FEMA may
provide financial assistance, i.e., Rental
Assistance, to pre-disaster homeowners
or renters to rent alternate temporary
housing if they are displaced from their
primary residence as a result of a
Presidentially-declared disaster. FEMA
may also provide Continued Temporary
Housing Assistance (CTHA) to eligible
applicants who exhausted previously
awarded Rental Assistance (for its
intended use), are unable to return to
their pre-disaster residence because it is
uninhabitable, inaccessible, or not
available due to the disaster, and their
post disaster housing costs represent 30
percent or more of their post-disaster
household income.167 This assistance
163 FEMA–2021–0011–0275.
164 FEMA–2021–0011–0295.
165 FEMA–2021–0011–0231,

and 0264.
and 0296.
167 See page 81 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
166 FEMA–2021–0011–0256,

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may be provided for up to 18 months or
until the end of the 18-month period of
assistance, whichever comes first.168
FEMA will also award applicants one
additional month of rent when utilized
for a security deposit. FEMA does not
dictate where renters may choose
temporary housing; rather, renters may
choose where to live. Addressing the
suggestion that FEMA partner with HUD
to design a CDBG–DR equivalent, FEMA
notes that HUD is a separate Federal
agency with separate statutory
authorities that differ from FEMA’s both
in terms of the structure of the Agency’s
programs and the objectives of those
programs. Such a change is outside the
scope of this rulemaking. However,
FEMA is currently working with HUD
on several housing issues in an effort to
make better use of each agency’s
authorities in support of disaster
survivors.
FEMA agrees that renters should have
equitable access to IHP financial
assistance. One type of assistance
renters may currently qualify for is
Personal Property Assistance. Under
Section 408(e)(2) of the Stafford Act, 42
U.S.C. 5174(e)(2), FEMA may provide
financial assistance under the ONA
provision of the IHP to repair or replace
personal property damaged or destroyed
due to a disaster. FEMA assistance to
repair and replace personal property
may be provided for: appliances
(standard household appliances such as
refrigerator, washing machine, etc.);
clothing (essential clothing needed due
to overall loss, damage, or
contamination); room furnishings
(standard furnishings found in a
bedroom, kitchen, bathroom, and living
room); and essential tools (tools and
equipment required by an employer for
employment and items required for
education).
Additionally, FEMA is committed to
improving its Renter Assistance
program in those areas where equity
may be lacking. For example, as part of
this rule, FEMA is broadening the IHP
to encompass any damage to the
applicant’s primary residence that
causes the home to be unsuitable for
occupancy. This change allows more
renters with minimal damages to qualify
168 FEMA may certify pre-disaster renters, up to
18-months or the end of the 18-month period of
assistance, whichever comes first, for continued
rent assistance when adequate, alternate housing is
not available, or when they have not realized a
permanent housing plan through no fault of their
own. FEMA may certify pre-disaster owners for
continued rent assistance, up to 18-months or the
end of the 18-month period of assistance,
whichever comes first, when adequate, alternate
housing is not available, or when they have not
realized a permanent housing plan through no fault
of their own.

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for Rental Assistance if they must
relocate for a short time while repairs
are made to their apartment.
As is discussed further below, FEMA
is removing the requirement that
applicants must apply and be denied for
an SBA disaster loan before being
considered for SBA-dependent ONA.
Applicants may apply for an SBA loan
for additional funds if they have an
unmet need, but eligibility for Personal
Property Assistance, Transportation
Assistance, and Group Flood Insurance
Policies will no longer be contingent on
applying for and being denied for an
SBA loan making them available to
more renters.
Another example of how FEMA is
making strides towards equity involves
regulatory updates to CTHA. The rule
update will add flexibility regarding
FEMA’s ability to provide some
continued assistance without requiring
substantial documentation from the
applicant. FEMA is also making updates
to its CTHA policy and the Application
for CTHA forms so that applicants have
a better understanding of what
documentation is needed at each step of
the process. Plus, the applicant having
to work toward obtaining permanent
housing in order to remain eligible for
continued rental assistance increases
the likelihood of successful recovery
outcomes.
In addition, FEMA is implementing
two new types of assistance, Serious
Needs Assistance and Displacement
Assistance. Serious Needs Assistance
will provide funds to address immediate
needs related to sheltering, evacuation,
or other emergent disaster expenses.
Displacement Assistance is intended to
assist displaced applicants with the cost
of short-term living arrangements
immediately following a disaster.
SBA-Dependent ONA
The majority of commenters who
commented on this requirement raised
the same concern: FEMA should remove
the requirement for applicants to apply
for and be denied an SBA loan before
receiving consideration for IA grants.
The commenters stated the process is
unclear and places an unnecessary
burden on applicants; creates a
disproportionate barrier; and may, at
best, lead to a delay in the registration
process, or, at worst, effectively block
access to the grants.169 Two commenters
further expressed that forcing people to
apply for an SBA loan after the initial
registration is a barrier and deterrent to
applying for help, especially in senior
169 FEMA–2021–0011–0245, FEMA–2021–0011–
0251, FEMA–2021–0011–0255, FEMA–2021–0011–
0275, and FEMA–2021–0011–0277.

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citizen communities as they do not want
a loan and most are on a fixed income;
for black disaster survivors who face
their credit history being scrutinized
without receiving tangible assistance;
and for renters with low incomes, and
for members of underserved
communities, including people of color,
who, many times, have a greater need
than middle-income survivors.170
Another commenter argued that FEMA
should automatically qualify the
application and denial steps of the SBA
process for individuals who already
receive needs-based assistance such as
food stamps, Supplemental Security
Income, and Social Security Disability
Income to allow the most vulnerable to
receive assistance more quickly and
easily.171 A few commenters offered
solutions, such as that FEMA actively
coordinate with the SBA to conduct prescreening using SBA’s established credit
score and citizenship requirements
before referring applicants to the SBA,
and that FEMA’s staff receive training
on SBA-related issues and be able to
answer questions about any aspect of
the SBA’s process.172 One commenter
stated that FEMA underassesses the
needs of renters with low-incomes, and
for members of underserved
communities, including people of color,
who seek to recover damaged personal
property and vehicles by first requiring
an application for an SBA loan, which
causes delays in their application
process.173 Lastly, one commenter
remarked that requiring an SBA loan
denial as a prerequisite to receiving
emergency aid burdens the applicant
and paves the way for deeper poverty
for survivors of natural disasters. This
commentor further explained their
perception that the ease to extend debt
instruments (i.e., an SBA loan) is in
stark contrast to the denial of assistance
due to the lack of legal documentation
or a means to fight unjust denials.174
FEMA’s current regulations under 44
CFR 206.119(a)(1)–(3) state that FEMA
and the State may provide financial
assistance to individuals and
households who have other disasterrelated necessary expenses or serious
needs. Prior to this IFR, to qualify for
assistance under this section, an
applicant must also apply to the SBA
Disaster Home Loan Program for all
available assistance under that program;
and be declined for SBA Disaster Home
170 FEMA–2021–0011–0245 and FEMA–2021–
0011–0277.
171 FEMA–2021–0011–0245.
172 FEMA–2021–0011–0255 and FEMA–2021–
0011–0275.
173 FEMA–2021–0011–0277.
174 FEMA–2021–0011–0306.

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4009

Loan Program assistance; or
demonstrate that the SBA assistance
received does not satisfy their total
necessary expenses or serious needs
arising out of the major disaster.
FEMA’s current 44 CFR 206.191(d)
provides FEMA’s sequence of delivery
to ensure uniformity in preventing
duplication of benefits. The delivery
sequence pertains to that period of time
in the recovery phase when most of the
traditional disaster assistance programs
are available. The delivery sequence
includes in relevant part Housing
Assistance pursuant to Section 408 of
the Stafford Act, 42 U.S.C. 5174; SBA
and Farmers Home Administration 175
disaster loans; and then ONA, pursuant
to Section 408 of the Stafford Act, 42
U.S.C. 5174.
Prior to this IFR, FEMA’s regulations
required SBA referrals, but FEMA only
required applicants whose self-reported
income meets the SBA’s minimum
income requirements to apply for and be
denied an SBA disaster loan before
receiving consideration for SBAdependent ONA, in an effort to
minimize the burden on and expedite
assistance to applicants whose income
did not meet SBA’s minimum income
requirements. Based on comments
submitted via the RFI, the SBA, in
coordination with FEMA, raised the
minimum income threshold so that
more eligible lower income applicants
could be assisted by FEMA as opposed
to referred to SBA for a loan.
With this rule, FEMA is removing the
requirement entirely that applicants
must apply and be denied for an SBA
disaster loan before being considered for
SBA-dependent ONA. Removing this
requirement will ensure low income
and other vulnerable disaster survivors
who may not have the means to obtain
or repay a disaster loan due to their
financial condition have equitable
access to disaster assistance while also
leveraging new ways to prevent
duplication of benefits.176
Just because an applicant already
receives needs-based assistance such as
food stamps, SSI, and SSDI does not
mean that they will be eligible for
FEMA assistance. The applicant will
have to meet the IHP eligibility
175 The Farmers Home Administration is now
administered by the successor agencies of the
Farmers Home Administration. The Farmers Home
Administration disaster loans are now the
Department of Agriculture disaster loans.
176 FEMA currently shares relevant data with the
SBA, and will continue to do so to ensure FEMA
and the SBA continue to remain good partners and
stewards of taxpayer dollars. FEMA and the SBA
will continue to coordinate to ensure that FEMA
assistance and SBA disaster loans do not cause a
duplication of benefits for the same type of
assistance.

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requirements which have no link to
income for the majority of IHP
assistance. Therefore, FEMA cannot
automatically qualify applicants for IHP
assistance based upon their already
receiving food stamps, SSI, and SSDI.
Self-Employed Workers

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Two commenters stated that gig
workers, artists, and other selfemployed individuals do not receive the
same assistance as other applicants.177
One of those commenters detailed that
FEMA should correct the inequity by
extending eligibility to self-employed
individuals for necessary expenses and
serious needs for repair or replacement
of tools, specialized or protective
clothing and equipment required by an
employer as a condition of employment.
The commenter also stated that FEMA
could streamline the process to remove
obstacles that delay assistance to selfemployed workers by eliminating the
FEMA requirement for applicants to
first apply for and be denied an SBA
disaster loan before self-employed
workers are eligible for Personal
Property Assistance for necessary
expenses and serious needs.178
Prior to this IFR, per 44 CFR
206.113(b)(9), FEMA may not provide
IHP assistance for business losses,
including farm businesses and selfemployment. Under current policy, selfemployed individuals are eligible for
FEMA assistance for their personal
losses except for necessary expenses
and serious needs related to business
losses.179 Business losses include costs
for essential tools, such as tool repair or
replacement, computing devices,
supplies, and uniforms, which may
include specialized or protective
clothing.
As part of this rule and in response to
comments received during the Agency’s
RFI, FEMA is amending its regulations
to allow FEMA to provide selfemployed applicants with IHP financial
assistance for necessary expenses and
serious needs as it relates to selfemployed applicants seeking assistance
for the replacement of essential tools.180
177 FEMA–2021–0011–0187 and FEMA–2021–
0011–0200.
178 FEMA–2021–0011–0200.
179 See page 168 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
180 For self-employed applicants FEMA is
requiring a written statement from the applicant,
including an itemized list of essential tools,
specialized or protective clothing, computing
devices, and equipment required for selfemployment, and verifying their need for the items.
The statement must include ‘‘I hereby declare under
penalty of perjury that the foregoing is true and
correct,’’ and be signed by the applicant. Tax return
documentation are required to establish self-

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FEMA is also adding a new definition
at 44 CFR 206.111 of ‘‘essential tools’’
to mean tools and equipment required
for employment and items required for
education. The changes will allow
FEMA to provide assistance for disasterdamaged tools and equipment, or other
items required for a specific trade or
profession, for self-employed
applicants, in their individual capacity.
In addition, this rule will remove the
requirement for applicants to apply for
and be denied an SBA loan before
receiving ONA. For additional
information, refer to the SBA-Dependent
ONA discussion in section III.D.2 of this
rule.
Single Application for Federal
Assistance
Twenty-one commenters recommend
merging the information collection
authorities that govern over 19 other
Federal agencies in order to form a
single registration for disaster
assistance.181 These commenters point
out how each of the separate registration
processes of the various agencies places
an unnecessary burden on the survivor
as they try to recover from a disaster.
One commentor also stated that the
current documentation requirements
and duplicative registration processes
prevents them from receiving aid they
would otherwise be eligible to
receive.182
FEMA recognizes the complexities
caused by multiple disaster registration
processes and that data sharing might
make it easier for survivors to access
assistance. FEMA has previously
examined whether a streamlined, onestop shop application could be created
and has identified statutory and
administrative barriers that would
prevent a single agency from collecting
and sharing as wide a range of
information as would be required for a
unified application. A recent
Government Accountability Office
(GAO) report highlighted the potential
benefits of a single application, but
noted concerns about the feasibility of
such an application and about whether
it would actually reduce the complexity
of Federal disaster recovery
employment (e.g., Form 1040 or 1040–SR, Schedule
C, etc.).
181 FEMA–2021–0011–0033; FEMA–2021–0011–
0151 Attachment 1; FEMA–2021–0011–0153;
FEMA–2021–0011–0157; FEMA–2021–0011–0159;
FEMA–2021–0011–0187; FEMA–2021–0011–0204;
FEMA–2021–0011–0206; FEMA–2021–0011–0209;
FEMA–2021–0011–0221; FEMA–2021–0011–0235;
FEMA–2021–0011–0236; FEMA–2021–0011–0237;
FEMA–2021–0011–0256; FEMA–2021–0011–0270;
FEMA–2021–0011–0271; FEMA–2021–0011–0277;
FEMA–2021–0011–0285; FEMA–2021–0011–0293;
FEMA–2021–0011–0295; FEMA–2021–0011–0302.
182 FEMA–2021–0011–0295.

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programs.183 However, within the spirit
of these comments, and aligned with
existing authorities, FEMA is
streamlining the application process to
reduce the burden on applicants, and
plans to implement the streamlined
process by the end of this year.184 This
effort will also help prepare FEMA’s
technology platform to integrate with
other Federal agency application
platforms in the future, but such
integration will likely still require
multiple years of systems development.
Nonetheless, FEMA continually assesses
its application process and is open to
other changes that would make it
simpler or less burdensome for
applicants.
Transparency
Eight commenters raised transparency
concerns regarding FEMA’s IHP policy
and guidance. The comments focused
mainly on how FEMA should make
public the policy and determination
process it uses before IA decisions are
made.185 Five commenters stated that
FEMA should make FEMA’s
determination process for IA more
transparent and accessible and that
FEMA regulations should be easier to
find.186 Two of those commenters also
stated that there is a general lack of
transparency around FEMA’s inspection
process.187 One commenter stated that
FEMA denial codes used during
Hurricane Harvey offer only vague
reasons for a denial of renters and lowincome homeowners.188 This
commenter also believes FEMA made
processing mistakes during Hurricane
Harvey and is refusing to release the
data to allow for a proper determination
if a significant number of these denials
were made incorrectly. One commenter
also noted that FEMA’s eligibility codes
are not publicly accessible, and when
found, they do not provide a detailed
183 GAO–23–104956, Disaster Recovery: Actions
Needed to Improve the Federal Approach
(November 15, 2022).
184 Once the streamlined applicant process is
implemented, survivors applying for disaster
assistance will have the ability to select the type of
assistance they require and only have to answer
questions directly related to the specific types of
assistance they need. This will decrease the number
of questions survivors need to answer and reduce
the time to complete their disaster application
online or at a FEMA Disaster Recovery Center.
185 FEMA–2021–0011–0206, FEMA–2021–0011–
0209, FEMA–2021–0011–0221, FEMA–2021–0011–
0237, FEMA–2021–0011–0270, FEMA–2021–0011–
0271, FEMA–2021–0011–0286, and FEMA–2021–
0011–0295.
186 FEMA–2021–0011–0033, FEMA–2021–0011–
0245, FEMA–2021–0011–0157, FEMA–2021–0011–
0285 and FEMA–2021–0011–0277.
187 FEMA–2021–0011–0277 and FEMA–2021–
0011–0285.
188 FEMA–2021–0011–0277.

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explanation of the code.189 Another
commenter stated that FEMA should
publicize the RSMeans amounts.190
Lastly, another commenter suggested
that FEMA should release information
about the contracting process for IA in
a transparent and more equitable
way.191
The Stafford Act and FEMA’s
regulations at 42 U.S.C. 5174 and 44
CFR 206.101–120 govern IHP’s
eligibility criteria. The Stafford Act and
FEMA regulations are publicly available
and can be found online by searching on
www.fema.gov and www.ecfr.gov.
FEMA embraces the tenets of
transparency, participation, and
collaboration to support citizens and
first responders to increase government
accountability, innovation, and
effectiveness. To provide greater
transparency on the IHP, FEMA released
the Individuals and Households
Program Unified Guidance (IHPUG) on
September 30, 2016. The IHPUG
compiled FEMA policy for each type of
assistance under the IHP into one
comprehensive document and was
intended to serve as a singular policy
resource for State, local, Territorial, and
Tribal governments, and other entities
who assist disaster survivors with postdisaster recovery. The IHPUG was
eventually superseded by the Individual
Assistance Program and Policy Guide,
which was released on January 19, 2019.
The IAPPG consolidated policy
statements from all IA Programs to
include IHP, Mass Care and Emergency
Assistance, and the Community
Services. On May 26, 2021, FEMA
released FP 104–009–03, IAPPG 1.1,
which supersedes the IAPPG, Version
1.0. IAPPG 1.1 192 incorporates policy
changes to the IHP resulting from
Disaster Recovery Reform Act of 2018
(DRRA),193 and provides an updated
guide to programs and activities
available to an affected State, local,
Territorial, or Tribal government
following a disaster. Chapter 3.III.B. of
the IAPPG includes information of how
FEMA verifies losses via inspections.
To increase consistency in
implementation, collaboration, and
knowledge sharing between State, local,
Territorial, or Tribal governments,
FEMA, and other Federal and nonFederal entities who assist disaster
survivors, FEMA conducts a
189 FEMA–2021–0011–0199.

comprehensive review of IA policies no
less than every 3 years. If FEMA
determines it necessary to release new
or updated policy language before the
next scheduled update, FEMA will
update the electronic version of the
IAPPG, issue a memorandum describing
the additions or updates, and post both
documents at www.fema.gov.
FEMA continuously seeks to improve
public awareness and understanding of
FEMA’s programs. Some of the
comments underestimate the
transparency of FEMA policy. Uniform
eligibility criteria are currently in place
and available to the public. FEMA
makes all policies, fact sheets, guidance,
news, and multimedia content available
online at www.fema.gov. FEMA
continually updates and assesses the
clarity and effectiveness of its IHP
eligibility letters to ensure applicants
are properly informed of the reasons for
and consequences of FEMA’s eligibility
determinations, and how the decision
may be appealed. Applicants who do
not understand FEMA’s determination
process or have additional questions
after receiving an eligibility letter can
call FEMA’s Helpline to request
additional information.
Existing technology for dissemination
of disaster data includes OpenFEMA.194
Building off of the DHS Open
Government plan,195 the OpenFEMA
initiative proactively publishes data
relevant to its mission and in open
formats that are easily accessible to the
public. FEMA has a long history of
engaging non-profits, local communities
and non-governmental organizations
(NGOs) and private entities to prepare
for, protect from, respond to, recover
from and mitigate hazards. This
initiative aims to ensure FEMA is
providing timely, usable, and accurate
data in a raw format to constituents.
This enables stakeholders to leverage
the data in innovative and value-added
ways. The OpenFEMA database is
widely used, receiving approximately 8
million requests for data from roughly
64,000 unique visitors each month.
Most importantly, by proactively
releasing information on an ongoing
basis, this initiative makes it easier to
operationalize live data during a
disaster. FEMA will continue to
leverage innovative methods to collect
and share data while adhering to all
applicable laws and policies.

190 FEMA–2021–0011–0260.
191 FEMA–2021–0011–0275.
192 See

page 7 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
193 Disaster Recovery Reform Act of 2018, Public
Law 115–254, 132 Stat. 3448 (Oct. 5, 2018), 42
U.S.C. 5174(h).

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194 See OpenFEMA, https://www.fema.gov/about/
reports-and-data/openfema.
195 DHS, Open Government Plan 2016–2018 (Oct.
21, 2016), available at https://www.dhs.gov/sites/
default/files/publications/
2016%20Open%20Government%20Plan_
vFinal.pdf.

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RSMeans, http://www.rsmeans.com,
is one of a number of commercial
sources that produces industry-accepted
guides of construction cost information
to support estimating the repair or
replacement cost of a building. Under
FEMA’s contract with RSMeans, the
company identifies some of the costs to
repair or replace damaged real and
personal property based on geographic
area. FEMA may not share RSMeans
amounts, however, because the contract
does not permit us to publicly post the
company’s proprietary data.
Some of the comments touch on Mass
Care and Direct Housing changes, which
are outside the scope of this rule. A
separate effort is underway to improve
Direct Housing and other areas of IA
that involve contracting.
Also, in an effort to advance equity
and improve program administration, in
August of 2022, FEMA began gathering
demographic information from disaster
survivors that choose to provide it. This
data will be used to assess the impact
of IA Programs on underserved
populations.
Transportation Assistance
One commenter noted that FEMA
should provide resources to help
displaced households without access to
cars obtain funding for increased
transportation costs (e.g., the use of
Uber or Lyft).196 Another commenter
stated that FEMA should provide
transportation assistance to applicants
to use public transportation services
(i.e., bus, metro).197
Per Section 408(e)(2) of the Stafford
Act, 42 U.S.C. 5174(e)(2), and as
outlined on page 170 of the IAPPG 1.1,
FEMA may provide financial assistance
under the ONA provision of the IHP to
individuals and households with
disaster-caused vehicle repair or
replacement expenses. Unlike most
other forms of IHP assistance, an
applicant seeking Transportation
Assistance does not need to live in the
Presidentially-declared area to be
considered for assistance.198 The
affected STT government establishes the
maximum amount of Transportation
Assistance (i.e., Transportation Repair
and Transportation Replacement) that
may be awarded. The amount of
Transportation Repair and Replacement
Assistance awarded is based on the
degree of damage and the STT
government’s repair and replacement
maximum.
196 FEMA–2021–0011–0235.
197 FEMA–2021–0011–0244.
198 See page 170 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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Understanding that applicants have
serious and immediate needs after a
disaster, including for transportation
costs, this rule revises FEMA’s
regulations in order to establish Serious
Needs Assistance. Through these
changes, FEMA will provide more
immediate financial assistance under
the ONA provision of the IHP to
applicants who have necessary expenses
or serious needs as a result of a disaster.
Serious needs may include but are not
limited to: water, food, first aid, infant
formula, diapers, personal hygiene
items, and fuel for or the cost of
transportation. FEMA’s implementation
of Serious Needs Assistance will also
provide funds to address immediate
needs related to sheltering, evacuating,
or other emergent disaster expenses. As
this assistance is intended to provide
applicants the financial means to
address immediate serious needs prior
to FEMA’s evaluation of their eligibility
for other disaster assistance programs,
FEMA will limit assistance to those
applicants who are displaced from their
pre-disaster primary residence as a
result of the disaster or who are
sheltering in their pre-disaster residence
and report a need to shelter elsewhere,
and who assert they have a serious need
at registration and request financial
assistance for those needs and expenses.
Utilities
One commenter stated that FEMA
needed to provide more assistance to
applicants to ensure their utility bills
are paid.199 FEMA may provide
assistance toward utility bills in limited
circumstances. For example, FEMA may
provide financial assistance to predisaster homeowners or renters to rent
alternate temporary housing if they are
displaced from their primary residence
as a result of a Presidentially-declared
disaster. FEMA awards eligible
applicants initial Rental Assistance
based on the Fair Market Rent (FMR)
established by HUD for the county,
parish, Tribal land, municipality,
village, or district where the pre-disaster
residence is located and the number of
bedrooms the household requires.
Utility costs are factored into the FMR
rate established by HUD. Additionally,
should an applicant need continued
rental assistance, the cost of utilities is
factored into the CTHA award amount
provided. Homeowners may also
provide their pre-disaster housing costs
(to include utilities) in order to show a
continued financial need for CTHA.
Under section 408 of the Stafford Act,
42 U.S.C. 5174(c)(1)(A), however,
FEMA, is not able to provide assistance
199 FEMA–2021–0011–0033.

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for pre-disaster utility bills or for any
utility bills from the residence from
which the applicant was displaced.
Other Comments on IHP Delivery
One commenter raised the issue that
FEMA’s assistance is often times
proportional to the survivor’s predisaster financial condition. This
commenter, and a few others, expressed
that FEMA should prioritize assistance
to individuals with fewer resources or
capabilities 200 including underserved
communities and individuals who are
near or below the poverty level and
cannot afford insurance.201 Multiple
commenters expressed concern that
FEMA’s housing programs are overly
complex to navigate,202 especially for
survivors whose first language is not
English.203
Two of those commenters suggested
that FEMA should proactively go into
communities disproportionately
impacted by emergencies to assist
survivors in navigating the process and
accessing resources. Specifically, these
commenters noted that disaster
survivors should be able to access these
resources without the need to apply for
FEMA assistance.204
One commenter noted that survivors
with LEP experience delays in recovery
and often times receive denials for
disaster assistance caused by
miscommunications and
misunderstandings of document
requirements and lack of services to
obtain equitable access to resources and
assistance.205 Another commenter
expressed that FEMA should provide
assistance to local governments so that
local officials could work within the
community to ensure disaster survivors
understand where and how to obtain
disaster assistance. Alternatively,
another commenter believed that FEMA
should provide better outreach to
underserved communities in order to
inform and help survivors access and
apply for FEMA’s programs.206
Three commenters suggested that
FEMA should develop an internal
program and policy evaluation capacity
which would reduce the need for
external review boards and inspector
general audits that are more costly to the
U.S. taxpayer and burdensome to FEMA
200 FEMA–2021–0011–0005, FEMA–2021–0011–
0159, and FEMA–2021–0011–0236.
201 FEMA–2021–0011–0159.
202 FEMA–2021–0011–0159, FEMA–2021–0011–
0265, and FEMA–2021–0011–0276.
203 FEMA–2021–0011–0276.
204 FEMA–2021–0011–0159, and FEMA–2021–
0011–0265.
205 FEMA–2021–0011–0193.
206 FEMA–2021–0011–0287.

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personnel but results in little to no
improvements in program equity.207
Two commenters expressed that
FEMA should apply the least restrictive
guidance regarding documentation
requirements across all jurisdictions to
minimize administrative time,
confusion, and inconsistencies from
disaster to disaster, expressing that one
way to start is for FEMA to apply more
flexibility in its ‘‘use of funds’’ policy
which would allow survivors to
repurpose their rental assistance for
home repair or vice versa in order to
prioritize their own recovery needs.208
Two commenters expressed that
FEMA’s ‘‘use of funds’’ guidance leads
to long wait times for FEMA assistance,
communicates distrust between
government and residents, and leaves
owners and renters of substandard/
damaged dwellings waiting for
assistance especially for lower-income
and underserved groups. A third
commenter presented another example
indicating that FEMA’s strategy to
provide limited assistance for temporary
home repairs puts vulnerable
communities at a greater risk to
experience additional disasters due to
climate change, and these vulnerable
communities would greatly benefit from
FEMA’s consideration for permanent
repairs to include minor cosmetic
damage that can lead to further damage
if left unrepaired.209 A fourth
commenter noted that requiring
applicants to have a bank account is an
example of how FEMA’s regulations
and/or policies are complicated and
negatively impact accessing assistance
for underserved communities.210 In
addition to the previous four examples,
one commenter raised the issue that
FEMA’s annual adjustments of
maximum IHP assistance should
consider local rent control and
stabilization protection limits.
A commenter stated that FEMA
should include subsistence activities
under ONA.211 Furthering that issue,
another commenter expressed that
climate injustice impacts indigenous
people namely harvesters (fisher
people), stating FEMA does not
recognize them as businesses and denies
assistance although they are registered
within their Tribes as harvesters. This
commenter also highlighted the
difficulties experienced by black
communities in receiving prompt
207 FEMA–2021–0011–0163, FEMA–2021–0011–
0224, and FEMA–2021–0011–0254.
208 FEMA–2021–0011–0235 and FEMA–2021–
0011–0281.
209 FEMA–2021–0011–0270, FEMA–2021–0011–
0271, and FEMA–2021–0011–0285.
210 FEMA–2021–0011–0281.
211 FEMA–2021–0011–0246.

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assistance and communicating with
FEMA during Hurricanes Laura and
Delta, noting that the New York Times
recently cited a study showing that the
higher the rate of black households in a
ZIP code, the less likely they are to
receive an inspection.212 This
commenter also expressed the need for
FEMA to provide housing assistance to
unhoused or paroled individuals.213
Another commenter raised the issue
that the process between registration
and receipt of assistance is too long,
confusing, and biased against persons or
families in underserved communities,
including people of color, and
especially for the elderly/disabled
individuals who have to wait on
insurance adjustments in order to
complete and collect documents
required for FEMA’s eligibility
process.214 This commenter also
suggested that FEMA consider
subsidized air filters, cooling, and other
assistance for pregnant individuals.215
One commenter suggested that FEMA
track and analyze who starts but does
not finish the registration process to
better understand barriers experienced
by applicants seeking disaster
assistance. This commenter raised the
issue that FEMA’s registration and the
CTHA processes are burdensome, due to
the length of the forms and instructions
and the lack of a list of required
documents, especially for survivors in
poverty who may not be residing in
traditional housing or not under a
traditional written lease. This
commenter suggested that FEMA
completely remove its documentation
requirements as applicants already have
to certify the information provided is
true and correct.216
Similarly, another commenter noted
that survivors have difficulty after a
disaster with collecting required
documentation to complete a disaster
registration and/or provide eligibility
documentation after they have
registered. This commenter also stated
that FEMA should change its authorities
to allow temporary to permanent
housing solutions instead of just
temporary housing assistance. Lastly,
they remind FEMA that disaster
assistance must be fair, equitable, and
based upon an objective assessment of
need.217
212 FEMA generally conducts an inspection
(onsite and/or geospatial) and considers
documentation as methods to verify losses, which
is required to determine eligibility for assistance.
See IAPPG p. 72.
213 FEMA–2021–0011–0274.
214 FEMA–2021–0011–0256.
215 FEMA–2021–0011–0258.
216 FEMA–2021–0011–0275.
217 FEMA–2021–0011–0277.

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One commenter raised the suggestion
for FEMA to provide two-way travel
support to evacuated residents who
want to return to their homes and
provided examples of the challenges
faced in Puerto Rico to include that
some travel support was only available
for residents who wanted to leave
Puerto Rico and had the resources to
start anew somewhere else, but others
who lacked those resources experienced
an insurmountable barrier to returning
due to one-way travel restrictions.218
One commenter raised the issue that
due to the lack of development for postdisaster replacement housing or existing
overcrowding in Tribal communities,
temporary housing often becomes de
facto permanent housing, leaving many
families to never recover or regain their
housing and become permanently
displaced.219 This commenter proposes
implementing post-disaster temporaryto-permanent housing solutions in
communities, with an emphasis on
tribal communities. One commenter
stated that FEMA mandates applicants
leave their residences as a condition of
eligibility in order to receive disaster
assistance and requested the removal of
this requirement.220 Another
commenter expressed that IA should
mimic Public Assistance’s decision to
remove the obtain/maintain flood
insurance requirement for applicants
who receive less than $5,000 to repair
their damaged structure located in a
SFHA.221
FEMA provides IHP assistance
without concern to socioeconomic
factors or gender, race, or ethnicity. IHP
assistance provides financial assistance
and direct services to eligible
individuals and households who have
uninsured or underinsured necessary
expenses and serious needs caused by a
disaster; it is intended to meet basic
needs and supplement disaster recovery
efforts. IHP assistance is not a substitute
for insurance and cannot compensate
for all losses.
As outlined in Section 408(h) of the
Stafford Act, 42 U.S.C. 5174(h), the
amount of financial assistance an
individual or household may receive
under IHP is limited. Financial Housing
Assistance and ONA have independent
and equal financial maximums, and
FEMA adjusts these maximum awards
each fiscal year based on the CPI–U.
Temporary Housing Assistance,
including Lodging Expense
Reimbursement, Rental Assistance, and
CTHA, are not counted toward the
218 FEMA–2021–0011–0292.
219 FEMA–2021–0011–0293.

financial Housing Assistance maximum
award.
FEMA understands that an applicant’s
pre-disaster financial and living
situation may impact their post-disaster
resources or capabilities, and increasing
equity in disaster assistance outcomes is
an area of focus for FEMA. As part of
this rule, and as discussed above, FEMA
is removing the requirement for
disaster-damaged real property
components to be functional
immediately before the disaster to
provide assistance for pre-existing
damage exacerbated by the disaster.
Applicants without the means to pay for
minimal damage, or who are unable to
complete the work themselves—often
low-income or other underserved
populations—may be eligible for repair
assistance under the changes. The intent
is still to limit assistance to disaster
damage impacting the home.
One comment mentioned the
disproportionate distribution of
assistance based on an individual’s or
household’s financial situation prior to
the disaster.222 While the value of an
applicant’s home prior to the disaster is
not a consideration for FEMA
assistance, FEMA recognizes that lower
income survivors may have smaller
homes with fewer rooms leading to
smaller average awards than more
wealthy applicants with larger homes.
The self-reported income at Registration
Intake is used to determine whether the
applicant meets the SBA disaster loan
income requirements to be considered
for a disaster loan for SBA-dependent
ONA. Based on comments submitted via
the RFI, the SBA, in coordination with
FEMA, raised their minimum income
threshold so that more eligible lower
income applicants could be assisted by
FEMA as opposed to referred to SBA for
a loan. Additionally, as part of this rule,
FEMA is removing the requirement that
applicants must apply and be denied for
an SBA disaster loan before being
considered for SBA-dependent ONA.
Applicants may apply for an SBA loan
for additional funds if they have an
unmet need, but eligibility for Personal
Property Assistance, Transportation
Assistance, and Group Flood Insurance
Policies will no longer be contingent on
applying for and being denied for an
SBA loan.
The September 2, 2021, Amendment
to FEMA Policy (FP) 104–009–03,
Individual Assistance Program and
Policy Guide (IAPPG), Version 1.1
memorandum also amended the Home
Repair Assistance section in IAPPG 1.1
to include financial assistance to repair
real property components impacted by

220 FEMA–2021–0011–0295.
221 FEMA–2021–0011–0303.

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222 FEMA–2021–0011–0005.

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disaster-caused mold growth. The
amendment’s expressed intent was to
support low income and other
underserved disaster survivors who may
not have the means to immediately
address disaster damage, particularly
when disasters are not declared
immediately or inspections are delayed.
However, all applicants with disastercaused mold damage may be eligible for
the assistance when they meet all other
conditions of eligibility. These
additional funds are provided as part of
the Home Repair Assistance award
when applicable.
Also, as part of this rule, FEMA is
making changes to the current
regulations, at 44 CFR 206.111, that will
broaden its definition of
‘‘uninhabitable’’ as discussed below in
section III.D. of this IFR. The changes to
44 CFR 206.117 will remove the
requirement for disaster-damaged real
property components to be functional
immediately before the disaster. These
changes will allow IHP to provide
assistance for pre-existing damage
exacerbated by the disaster, which will
create more flexibility within the
program to meet disaster survivors’
unique recovery needs.
Another example of how FEMA is
seeking to improve equity involves the
regulatory updates to CTHA. This rule
will add flexibility regarding FEMA’s
ability to provide some continued
assistance without requiring substantial
documentation from the applicant,
while simplifying assistance delivery
and reducing processing time. FEMA is
making updates to its CTHA policy by
adding a new form, the IHP
Supplemental Application for CTHA
form,223 and revising the IHP
Application for CTHA form 224 so that
applicants have a better understanding
of what documentation is needed at
each step of the process.
The updates to CTHA policy and the
applicable CTHA forms are intended to
address to concerns raised by
organizations and the public in general
about the CTHA process. All changes—
working together—are intended to better
assist applicants in obtaining a
permanent housing solution by the 18month period of assistance.
With respect to internal program and
policy evaluation, FEMA is committed
to improving our programs and internal
processing capabilities, and previously
established the IA Audit Section. This
Section evaluates internal controls and
makes recommendations for operational
improvements within IA disaster
assistance activities. The improvement
223 FF–104–FY–21–115.
224 FF–104–FY–21–115.

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recommendations are the results of
thorough internal audits, studies, and
investigations. The Audit Section’s
focus is to ensure compliance with the
Stafford Act and other applicable laws
and regulations. FEMA also has a
Recovery Reporting and Analytics
Division (RAD). This Division serves as
the primary resource pool for analytical
efforts and is focused on providing
analysis and information that is targeted
to inform specific operational or
strategic decisions. FEMA also has a
Continuous Improvement Division that
routinely conducts reviews and issues
internal after-action reports/
recommendations on a variety of
issues.225
FEMA also recently reviewed our
policies and processes to improve the
application process. Based on comments
submitted via the RFI, FEMA updated
its policy to provide more
documentation flexibilities in order to
verify occupancy. Specifically, as
outlined in the Amendment to FEMA
Policy (FP) 104–009–03, Individual
Assistance Program and Policy Guide
(IAPPG), Version 1.1 memorandum,
dated September 2, 2021, FEMA will
now accept social service organization
documents, local school documents,
Federal or State benefit documents,
motor vehicle registration, affidavits of
residency or court documentation, and
mobile home park documents in
addition to the documentation options
listed in the IAPPG 1.1 to verify
occupancy. Furthermore, as an option of
last resort, FEMA may accept a written
self-declarative statement from
applicants whose pre-disaster residence
was a mobile home or travel trailer or
from applicants living in insular areas,
islands, and Tribal lands.
Like occupancy, when FEMA is
unable to verify an applicant’s
ownership of their primary residence,
the applicant may provide FEMA with
documentation to prove ownership.
Based on comments submitted via the
RFI, FEMA also updated its policy to
provide more documentation
flexibilities in order to verify
ownership. Specifically, as outlined in
the Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
225 Due to the scope and nature of after-action
review products, these reports are intended for
internal FEMA use and are often not applicable to
external audiences. However, to contribute to a
larger body of knowledge and foster lessons learned
sharing within the emergency management
community, after-action review products can be
made available to jurisdictions and other Federal
agencies that request them or as directed by the
Regional Administrators, where appropriate. The
general public release of after-action review reports
only occurs for reports of national significance as
deemed by Agency leadership.

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Program and Policy Guide (IAPPG),
Version 1.1 memorandum, dated
September 2, 2021, FEMA will now
accept receipts for major repairs or
improvements, mobile home park
letters, court documents, and a public
official’s letter in addition to the
documentation options listed in IAPPG
1.1 to verify ownership. Furthermore, as
an option of last resort, FEMA may
accept a written self-declarative
statement from applicants whose predisaster residence was a mobile home or
travel trailer, from applicants living in
insular areas, islands, and Tribal lands,
and from applicants whose pre-disaster
residence was passed down via
heirship.
Both occupancy and ownership
verification may be completed upon
inspection if the applicant is able to
show an acceptable document to the
inspector. FEMA inspectors, however,
will not be able to accept selfdeclarative statements as they are an
option of last resort.
FEMA recognizes that effective
communication access regarding FEMA
programs is essential in the recovery
process, including during inspection,
for all disaster survivors. FEMA has
many ways to meet survivors’ language
needs. Many FEMA employees are
bilingual or multilingual and can assist
LEP survivors with registration in their
primary language by phone and inperson at a DRC. When survivors visit
a DRC there is a sign with the phrase ‘‘If
you do not speak English’’ in over 40
languages. A DRC staff member will use
that sign to determine what language the
LEP survivor speaks and call for an
interpreter to assist them. Applicants
may also request language access by
contacting FEMA’s Helpline at 800–
621–3362 (711 or VRS available).
FEMA’s Helpline has translation and
interpretation services (provided by
qualified translators and interpreters)
available in 250 languages to assist LEP
disaster survivors. FEMA often sends
Disaster Assistance Teams into the
affected communities to help survivors
apply for IHP assistance. Or, FEMA may
provide Mobile Registration Intake
Centers which ease disaster survivor
burden with registration as they provide
survivors a way to perform initial
registration, some technical assistance
on current registrations, and allow them
to have documents scanned into their
case files. FEMA may also coordinate
with the State, local, Tribal, or
Territorial government to send staff into
emergency shelters to assist survivors.
FEMA staff are equipped with
computers or similar devices to assist
survivors with registering for IHP

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
assistance or providing them referrals to
other resources.
FEMA remains committed to ongoing
community engagement and
communication with our stakeholders to
better understand the needs of
traditionally underserved communities
and sharing information regarding
disaster preparedness and recovery
assistance. FEMA has focused on hiring
more bilingual employees, including
hiring local staff in affected areas with
large Spanish-speaking populations.
One commenter appeared to
misunderstand FEMA’s Section 425, 42
U.S.C. 5189c, Transportation Assistance
policy, implying that FEMA only
provides assistance for survivors to
evacuate their homes and not assistance
to return. As outlined in Appendix A of
IAPPG 1.1, the Stafford Act authorizes
FEMA to provide assistance, when
approved, to relocate individuals
displaced from their pre-disaster
primary residences as a result of a major
disaster or emergency or otherwise
transported from their pre-disaster
residence under Section 403(a)(3) or
Section 502 of the Stafford Act, 42
U.S.C. 5170b(a)(3) and 42 U.S.C. 5192,
to and from alternative locations for
short or long-term accommodation or to
return an individual or household to
their pre-disaster primary residence or
alternative location. Contrary to the
comment, per IAPPG 1.1, eligible
expenses may include one round trip
airfare for all pre-disaster household
members and household pets and
service animals.
A few other commenters also
misconstrued other areas of IHP
policy.226 For instance, applicants do
not need to have a bank account in
order to receive FEMA assistance. In
addition to providing assistance via
direct deposit, applicants can opt to
receive assistance via check.
Additionally, there are only a few types
of assistance that are contingent on
whether an applicant has relocated from
their damaged dwelling (i.e., Lodging
Expense Reimbursement, Rental
Assistance, and Critical Needs
Assistance (CNA)). Regardless of
whether an applicant chooses to
relocate from their disaster-damaged
dwelling, applicants may be eligible to
receive Home Repair Assistance or
Home Replacement Assistance, along
with other types of ONA such as
Personal Property Assistance. Lastly,
one commenter mentioned FEMA’s use
of funds policy.227 Section 314 of the
Stafford Act, 42 U.S.C. 5157, governs
226 FEMA–2021–0011–0235, FEMA–2021–0011–
0281, and FEMA–2021–0011–0295.
227 FEMA–2021–0011–0235.

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FEMA’s misuse of funds provision to
state that individuals who knowingly
misapply the proceeds of assistance
provided via the Stafford Act shall be
penalized. FEMA has limited discretion
in how it implements this statutory
provision. Even if the problems
identified by the commenter, such as
long wait times, are the result of the use
of funds policy, FEMA lacks the
authority to remove this limitation.
Nevertheless, there are still some
flexibilities with how an applicant may
use their IHP assistance. For example,
an applicant who receives Home Repair
or Home Replacement Assistance may
use the funds to either repair their
disaster damaged dwelling or for the
purchase of a home in a different
location. Similarly, applicants who
receive Rental Assistance may choose to
use that assistance in any location
around the United States.
With respect to the comment that IA
should remove the obtain/maintain
flood insurance requirement for
applicants who receive less than $5,000
to repair their damaged structure
located in a SFHA, FEMA’s discretion to
waive this requirement is limited by
certain statutory provisions. Under the
Flood Disaster Protection Act of 1973,
FEMA may not approve any financial
assistance for acquisition or
construction purposes for use in any
SFHA where the sale of flood insurance
has been made available under the
NFIA, 42 U.S.C. 4001 et seq., unless the
building or mobile home and any
personal property to which such
financial assistance relates is covered by
flood insurance in an amount at least
equal to its development or project cost.
See 42 U.S.C. 4012a(a). FEMA
understands that flood insurance
policies may be cost prohibitive for
some disaster survivors as they are
trying to recover from a major disaster.
A GFIP is a form of assistance that can
help applicants who have trouble
affording an initial flood insurance
policy. FEMA establishes a GFIP for
each disaster declaration that results
from flooding and is authorized for IA.
FEMA’s existing regulations at 44 CFR
206.119(d) provide that individuals
identified by FEMA as eligible for ONA
as a result of flood damage caused by a
Presidentially-declared major disaster
and who reside in a SFHA may be
included in a GFIP established under
the NFIP regulations at 44 CFR 61.17. A
GFIP has a 3-year policy term and
payments to cover the premium
amounts for each applicant are
necessary expenses eligible under ONA.
Covering the first 3 years of applicants’
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maintain that coverage even when
dealing with other disaster-related
expenses that might otherwise prevent
them from being insured.
D. Changes in Policy Positions To
Increase Equity in IHP
As directed by Executive Order 13985
on ‘‘Advancing Racial Equity and
Support for Underserved Communities
Through the Federal Government’’ and
Executive Order 14091, ‘‘Further
Advancing Racial Equity and Support
for Underserved Communities Through
the Federal Government.’’ FEMA
assessed whether underserved
communities and their members face
systemic barriers in accessing benefits
under IHP and how any such barriers
could be reduced. FEMA’s assessment
was informed by longstanding
challenges individuals have reported
facing in navigating IHP, the income
project,228 and comments its
stakeholders made in response to the
equity RFI. FEMA balanced these
potential changes with the statutory
requirement that financial assistance
under the Stafford Act should be a
supplemental form of assistance that
addresses disaster-related necessary
expenses and serious needs and may not
duplicate other forms of assistance. As
a result of this assessment, FEMA
determined it needed to re-visit and
change position on certain policy
positions that have resulted in
inequities in the delivery of IHP.229 This
section identifies prior policy positions
FEMA has articulated for specific areas
of IHP that have had the unintended
consequence of creating inequities in
the program and will be remedied with
this IFR.
1. Treatment of Insurance Proceeds
FEMA provides IHP financial
assistance to applicants for uninsured or
underinsured disaster-caused expenses
up to the IHP cap for the applicable
form of assistance. Pursuant to existing
regulations at 44 CFR 206.113(a)(4) and
(a)(6), however, insured applicants are
only eligible for such assistance if the
net insurance settlement amount from
insurance is: (1) less than the maximum
228 FEMA, Individuals & Households Program
Survivor Income Analysis (2019) and Survivor
Income Analysis: Phase 2—Drivers of variance in
IHP assistance across income groups (2019). See
Docket ID FEMA–2023–0003 on
www.regulations.gov.
229 FEMA also determined it needed to expand or
improve existing forms of assistance under IHP to
better address disaster needs and to simplify
processes and documentation requirements that
serve as barriers to equal opportunity. Those
changes are addressed in Section IV’s Discussion of
the Interim Final Rule but do not require the
additional analysis provided here because they are
not changes in policy position.

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amount of assistance FEMA can
authorize under IHP; and (2) insufficient
to cover the insured applicant’s
necessary expenses or serious needs.
FEMA introduced the current language
in 2002 through an NPRM 230 proposing
regulations creating the IHP to
implement amendments to the Stafford
Act from the Disaster Mitigation Act of
2000 (DMA2K).231
DMA2K amended the Stafford Act
primarily to authorize a program for
predisaster mitigation, but also to
streamline the administration of disaster
relief and control the Federal costs of
disaster assistance.232 For example,
DMA2K enumerated the types of
housing assistance available to
individuals and set, for the first time via
statute, sub-caps for repair and
replacement assistance that were
relatively low—$5,000 for repair
assistance and $10,000 for replacement
assistance.233 FEMA had to determine
how to implement DMA2K within this
context and within the context of the
existing duplication of benefits
provision in the Stafford Act which
prohibits FEMA from providing
assistance to individuals that duplicates
assistance that has been provided under
any other program or from insurance or
any other source.234
FEMA did not specifically provide a
rationale for, or consider any
alternatives to, comparing the amount of
insurance proceeds to the IHP cap in the
preamble to its 2002 regulation;
however, by making it a condition of
eligibility that the amount of the

insurance proceeds an individual
receives must be less than the maximum
amount of IHP assistance available,
FEMA essentially determined that any
insurance payout an applicant receives
should be deducted from the amount of
the FEMA Verified Loss as if it were
automatically duplicative of the
assistance FEMA might be authorized to
provide. The Stafford Act does not
require this result: FEMA is authorized
to provide financial assistance, and, if
necessary, direct services, to individuals
and households who, as a direct result
of a major disaster, have necessary
expenses and serious needs that they are
unable to meet through other means.235
FEMA’s 2002 interpretation may have
made sense in the context of DMA2K in
which Congress expressed intent to
control the costs of disaster assistance
and established, for the first time via
statute, low sub-caps on repair and
replacement assistance.236 However,
Congress has since indicated clear
intent to increase the amount of
assistance FEMA provides to
individuals and households. For
example, in PKEMRA, Congress
removed the $5,000 and $10,000 caps
on repair and replacement assistance
and expanded other forms of assistance
under IHP.237 In DRRA, Congress more
than doubled the amount of assistance
available under IHP and removed the
caps for accessibility-related real and
personal property items for applicants
with disabilities.238 However, despite
235 42

U.S.C. 5174(a)(1).
Law 106–390, 114 Stat. 1552 (Oct. 30,

236 Public
230 67

FR 3412, Jan 23, 2002.
Law 106–390, 114 Stat. 1552 (Oct. 30,

231 Public

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2000).
232 Id.
233 Id. FEMA noted in the 2002 NPRM that these
caps were newly imposed via statute whereas
FEMA had previously imposed caps
administratively. 67 FR 3412, Jan 23, 2002. FEMA
further noted that there appeared to be some
‘‘confusion’’ in the legislative history whether the
$5,000 repair cap was also intended to encompass
the costs for hazard mitigation measures and
specifically requested comment on whether the cap
might ‘‘imprudently tie [FEMA’s] hands’’ in the
implementation of the program. FEMA received
comments agreeing that the cap was too limiting
and stated it would seek legislative modifications.
67 FR 61446, Sept. 30, 2002.
234 42 U.S.C. 5155; Section 206 of DMA2K also
addressed the duplication of benefits provision
specifically as it related to repair assistance noting
that FEMA should not require an individual to
show that the assistance can be met through other
means, ‘‘except insurance proceeds.’’

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2000).
237 Post-Katrina Emergency Management Reform
Act of 2006, 109–295, 120 Stat. 1452 (Oct. 4, 2006)
at Section 689d expanding IHP to authorize
payments for security deposits and utilities; Section
689f authorizing transportation and case
management services to individuals and
households; and Section 689i authorizing a pilot
program to repair multifamily rental housing for the
purpose of temporarily housing disaster survivors.
238 Specifically, DRRA: (1) removed temporary
housing assistance from the calculation of the
maximum amount of financial assistance available
to applicants; (2) doubled the total amount of
assistance available to applicants under the
remainder of IHP by separating the maximum
amount of financial assistance for HA and ONA
from one cap to two equal, independent caps; and
(3) removed the financial assistance maximum
award limits for accessibility-related real and
personal property items for applicants with
disabilities. See Disaster Recovery Reform Act of
2018, Public Law 115–254, 132 Stat. 3448 (Oct. 5,
2018), 42 U.S.C. 5174(h).

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this clear Congressional intent to
increase the amount of assistance FEMA
provides to individuals and households,
FEMA never re-visited its prior
interpretation that any insurance
proceeds should be automatically
deducted from the total amount it
provides to individuals.
This has resulted in an
implementation inequity that penalizes
the applicants with the most insurance
coverage. Eligible applicants may
receive the difference between the net
insurance settlement amount and the
amount of FEMA verified loss, up to the
IHP cap. When an applicant’s net
insurance settlement amount from
insurance is equal to or exceeds the IHP
cap, FEMA determines that the
applicant’s need has been met by
insurance and will not provide any
additional assistance. In practice, what
this means is that even when an
applicant’s net insurance settlement
amount is less than the loss amount
verified by FEMA (i.e., the applicant has
an unmet need), an applicant is not
eligible for IHP assistance if their net
insurance settlement exceeds the IHP
cap. Conversely, a similarly situated
applicant with a net insurance
settlement amount less than the IHP cap
is eligible to receive IHP assistance to
address their remaining unmet need in
an amount up to the full IHP cap.
Excluding from IHP financial
assistance those insured applicants with
a net insurance settlement amount that
is equal to or exceeds the IHP cap can
pose a significant obstacle to them
achieving a permanent housing
solution, especially for homeowners. An
ineligible insured homeowner whose
home is underinsured may be unable to
afford the unmet financial need to repair
the home. An ineligible renter may also
find it difficult to obtain a permanent
housing solution when faced with the
cost of underinsured losses for personal
property. In Table 2 below, which
assumes an IHP cap for housing
assistance of $42,500, both Applicants A
and B have the same unmet need for
home repairs, but only Applicant B is
eligible for IHP financial assistance for
no other reason than that their net
insurance settlement amount is less
than the IHP cap.

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Table 2-Insurance Proceeds

FEMA Verified Loss
Settlement Amount
Deductible Amount
Net Insurance Settlement
Unmet Need
IHP Eli2ibility Amount

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This potential inequity is
compounded by the fact that the IHP
cap for an eligible insured applicant is
not reduced by the amount of their net
insurance settlement. The end result is
that, while Applicant A is not eligible
for any IHP financial assistance (because
their net insurance settlement amount
exceeds the IHP cap), Applicant B is
eligible for IHP assistance up to the full
amount of the IHP cap. Furthermore,
Applicant B is treated the same as
Applicant C, an uninsured applicant;
both applicants are eligible for IHP
financial assistance to address their
unmet need up to the full amount of the
IHP cap. This further compounds the
inequity for Applicant A, who had the
most insurance protection.
FEMA’s use of the IHP cap to limit
eligibility for insured applicants creates
challenges for disaster survivor recovery
by limiting the ability of some
applicants to achieve a permanent
housing solution. Applicants that
cannot fund the full repair costs of their
homes are, notionally, more likely to
remain in temporary housing for
extended periods of time. Ultimately, by
making these additional funds available
to applicants under the IHP cap, the
Agency may save funds currently used
for financial or direct temporary
housing of this population.
To help equitably address the unmet
needs of insured applicants, and to
more effectively assist them to achieve
permanent housing solutions, FEMA
considered the following options: (1)
remove the IHP cap as a condition of

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Applicant B
$73,500
$32,000
$1,000
$31,000
$42,500
$42,500

eligibility for insured applicants; or (2)
make the cost of the deductible eligible
for insured applicants. Under the first
option, FEMA would discontinue its
application of the IHP cap against an
applicant’s net insurance settlement
amount for the purpose of determining
eligibility for IHP financial assistance.
Instead, all insured applicants would be
potentially eligible for IHP assistance
irrespective of whether their net
insurance settlement amount exceeds
the IHP cap. The IHP cap would
continue to limit the amount of IHP
financial assistance that eligible
applicants could receive to address their
unmet need. During a 5-year period,
only 0.4 percent of applicants with realproperty insurance settlements were
found to be ineligible for IHP assistance
due to their net settlement amounts
exceeding the IHP cap. Under this
option, each of these ineligible
applicants would have received
approximately $24,000 in IHP financial
assistance. Total costs to FEMA would
have been approximately $398,000
($365,000 in financial assistance and
$33,000 for the cost of increased
inspections). However, it may be the
case that many potential applicants with
net settlement insurance amounts
greater than the IHP cap simply do not
apply for IHP assistance. In that case,
the total costs to FEMA could be
significantly higher. Regardless, the
impact to these applicants will be
significant compared to uninsured IHP
recipients and those with low levels of
damage.

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Applicant C
$73,500
$0
$0
$0
$73,500
$42,500

Under the second option, FEMA
would authorize eligible applicants to
receive IHP financial assistance to
address the cost of their deductible,
irrespective of their FEMA verified loss.
Based on insurance documentation,
FEMA could pay applicants for the
amount of their deductible. In cases
where the insured applicant does not
feel they have an unmet need, no FEMA
inspection would be required.
Applicants with an unmet need would
receive funds to address their unmet
need, as determined by their FEMA
verified loss, and their deductible. In
many cases, FEMA provides a lower
amount of IHP funds to repair elements
of a home than an insurance company
provides. Therefore, addressing
applicants’ unmet needs and
deductibles could help insured
applicants recover more quickly postdisaster. It could also incentivize
applicants to choose higher dollar
deductibles, which does not align with
Agency goals to increase insurance
coverage in the general population.
This option could be implemented
individually or in conjunction with
Option 1. While this option is easy to
understand, in some cases, it may
require FEMA to overpay applicants’
unmet needs based on Table 3 below.
Applicant D has no unmet need per
FEMA’s calculations, but will still
receive payment for their deductible.
Applicant E has an unmet need and
receives payment for that need and the
amount of their deductible.

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ER22JA24.001

Applicant A
$73,500
$44,000
$1,000
$43,000
$30,500
$0

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Table 3-Insurance Proceeds

FEMA ultimately determined that
removing the IHP cap as a condition of
eligibility for insured applicants would
be the most equitable in meeting the
recovery needs of all applicants to assist
them in recovering from the impacts of
disasters by achieving permanent
housing solutions more effectively.
FEMA’s post-DMA2K interpretation that
the IHP cap should act as a condition of
eligibility may have been reasonable
given that the purpose of DMA2K was
to control the costs of disaster
assistance. However, the continued
application of this policy position
despite clear Congressional intent to
increase assistance to individuals and
households, and the inequitable
treatment of applicants with varying
levels of insurance coverage has led
FEMA to reconsider. FEMA did not
consider options that would provide
less assistance to applicants than we
already provide because it would
contravene Congressional intent.
In addition to equity, FEMA’s intent
is to reduce the complexity of our
program so that it is more
straightforward and user-friendly to
navigate for all disaster survivors. As
such, it makes sense to remove an
arbitrary test that is difficult to explain
or defend and instead provide
assistance, up to the cap, for the unmet
need not covered by insurance.
Although the second option might
increase the amount of assistance that
insured applicants receive, it will not
remedy the implementation inequity in
which applicants who have more
insurance coverage may receive less
assistance to address unmet needs. The
selected option increases assistance for
insured applicants and will not decrease
assistance for any other category of
applicants; as such, there are no reliance
interests FEMA must consider in
making the change.
2. SBA Loan Requirement

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Applicant D
$42,500
$47,500
$5,000
$42,500
$0
$5,000

Through their authorizing statutes,
both FEMA 239 and the SBA 240 may
provide financial assistance to address
personal property, transportation, and
other necessary expenses resulting from
a major disaster. FEMA provides this
assistance through the ONA provision of
the IHP and refers to these types of ONA
collectively as ‘‘SBA-dependent ONA.’’
FEMA and the SBA coordinate on the
delivery of SBA-dependent ONA to
ensure compliance with two of FEMA’s
regulations: (1) 44 CFR 206.191 which
sets forth a sequence of delivery to
prevent a duplication of benefits with
assistance received from another
source; 241 and (2) 44 CFR 206.119(a)(1)
through (3) which sets out the
requirement that applicants apply and
be declined for an SBA Disaster Home
Loan before being considered for FEMA
SBA-dependent ONA.242
When applying for FEMA assistance,
applicants who indicate a need for SBAdependent ONA are asked to provide
their approximate annual household
income and number of dependents.
FEMA’s NEMIS performs an automated
comparison of the applicant’s
information to the SBA’s minimum
income table to determine whether the
applicant could potentially qualify for
an SBA loan to cover their SBAdependent ONA need. Applicants
whose income and number of
dependents do not meet the SBA’s
minimum threshold are not referred to
the SBA and are considered for FEMA
SBA-dependent ONA. For internal
tracking purposes, FEMA and the SBA
categorize these applicants as Failed
Income Test (FIT). FEMA does not take
additional steps to verify FIT applicants’
income or dependent information before
awarding funds for verified SBA239 Robert T. Stafford Disaster Relief and
Emergency Assistance Act, Public Law 93–288 as
amended, Section 408(e)(2), 42 U.S.C. 5174(e)(2).
240 Section 9 of the Small Business Act, Public
Law 93–24, 87 Stat. 25, (April 20, 1973), as
amended, 15 U.S.C. 636 et seq.
241 Prior to this IFR, 44 CFR 206.191, Duplication
of benefits. See paragraph (c)(1) and (d)(2)(iii).
242 Prior to this IFR, 44 CFR 206.119(a)(1)–(3).

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Applicant E
$47,500
$47,500
$5,000
$42,500
$5,000
$10,000
dependent ONA expenses; these
expenses may include Personal Property
Assistance, Transportation Assistance,
and Group Flood Insurance Policies.
Applicants whose income and
dependent information meet the SBA’s
minimum income threshold are referred
to the SBA to complete the loan
application process. The SBA’s loan
application process consists of multiple
steps at which the applicant’s income,
credit score, and debt-to-earnings ratio
are assessed and, in certain cases,
verified with the IRS and a private
credit reporting agency. If at any point
during the process the applicant is
declined for a loan, the applicant is
referred back to FEMA for consideration
for SBA-dependent ONA.
The requirement to apply to the SBA
for a loan before an applicant may be
eligible for certain types of disaster
assistance is a holdover regulatory
requirement dating back to the
implementation of the Disaster Relief
Act of 1974 243 before FEMA existed and
when disaster assistance was
administered by a component of HUD
called the Federal Disaster Assistance
Administration (FDAA). The Disaster
Relief Act of 1974 authorized disaster
assistance to individuals and
households through two separate
sections—one section addressed
temporary housing and the other set up
the Individual and Family Grant
Program (IFG), which preceded the
IHP.244
The IFG was a grant the FDAA could
provide to States to administer to
individuals and households, subject to
national criteria, standards, and
procedures established via regulation.
The original implementing regulations
did not include a requirement to apply
to the SBA for a loan as a condition of
eligibility before receipt of a grant under
the IFG.245 The FDAA first proposed a
243 Public Law 93–288, 88 Stat. 143 (May 22,
1974).
244 Id at Sections 404 and 408.
245 39 FR 28212, Aug. 5, 1974; 40 FR 23252, May
28, 1975. The implementing regulations did require
that individuals or households applying to the State

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Proposal 2 Outcomes
FEMA Verified Loss
Settlement Amount
Deductible Amount
Net Insurance Settlement
Unmet Need
IHP Eligibility Amount

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

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loan requirement in 1977, but it was
limited to ‘‘farmers, ranchers, and
persons engaged in aquaculture’’ who
were required to apply to the Farmers
Home Administration (FmHA) and
provide proof of the denial of such loan
assistance before they were considered
eligible for assistance under the IFG.246
The FDAA revised the requirement in
1978 to add the SBA to reflect an
agreement between FmHA and SBA in
which the SBA would make housing or
personal property loans in a disaster
when farmers had suffered production
and farm losses as well as housing and
personal property losses.247 The FDAA
did not specifically provide a rationale
for, or consider any alternatives to, this
requirement.
In 1988, the President signed the
Robert T. Stafford Disaster Relief and
Emergency Assistance Act of 1988 248
into law. FEMA 249 issued a
rulemaking 250 to implement the
changes in which it added new parts
206 and 207 to 44 CFR to govern
assistance for disasters or emergencies
declared on or after November 23, 1988.
The section of the regulations governing
the IFG was moved to 44 CFR 206.131.
FEMA made reference in several parts of
the IFG section to processes for
applicants who were required to apply
to the SBA or the FmHA before being
eligible for IFG assistance,251 but the
regulation no longer identified who was
subject to the requirement or
maintained the specific identification of
the population of applicants who were
required to apply for a loan as ‘‘farmers,
ranchers, and persons who engaged in
aquaculture.’’ 252 Instead, FEMA was
silent as to applicability. However, one
section referred back to the general
requirement in 44 CFR
206.131(d)(1)(i)(A) that an individual or
for assistance under the program certify that they
had sought assistance for any necessary expense or
serious need through other available disaster
assistance programs, and either been denied for
such assistance or demonstrate it had not satisfied
their need, as a condition of eligibility.
246 42 FR 5094, Jan. 27, 1977; On July 11, 1977,
42 FR 35643, 35644.
247 On May 23, 1978, 43 FR 22029, 22030.
248 Public Law 100–707, 102 Stat. 4689 (Nov. 23,
1988).
249 FEMA was established effective April 1, 1979,
and the regulations governing the disaster
assistance programs administered by the FDAA
were redesignated without change from 24 CFR
Chapter XIII to 44 CFR Chapter I (44 FR 56172,
Sept. 28, 1979). The language related to the FmHA
and SBA loan requirement for ‘‘farmers, ranchers,
and persons engaged in aquaculture’’ were moved
to 44 CFR 205.48 without change or a rationale for,
or consideration of any alternatives to, the loan
requirement.
250 54 FR 11610, March 21, 1989.
251 Id. at 44 CFR 206.131(d)(1)(iii)(D);
206.131(d)(4); 206.131(j)(1)(ii)).
252 Id. at 44 CFR 206.131(d)(1)(iii)(D).

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family must apply for all applicable
available governmental disaster
assistance programs before being
eligible for the IFG, beginning the
current practice without explicitly
determining that a loan from the SBA or
FmHA constituted such ‘‘applicable
available governmental disaster
assistance.’’ At that time, FEMA also
added 44 CFR 206.191 governing
duplication of benefits and containing
the first iteration of the sequence of
delivery that is found in FEMA’s current
regulations listing disaster loans from
the SBA and FmHA as required to be
provided before the provision of
assistance from the IFG.
In 2000, DMA2K 253 amended section
408 of the Stafford Act to combine the
two sections authorizing temporary
housing and the IFG into one section
setting forth one program for
individuals and households. DMA2K
acknowledged FEMA’s longstanding
position related to SBA loans,
specifically prohibiting FEMA from
denying assistance to individuals for
temporary housing, home replacement,
or permanent housing construction
solely because of the SBA loan
requirement.254 FEMA issued an
NPRM 255 proposing regulations to
establish the IHP to implement these
amendments. At that time, FEMA
introduced 44 CFR 206.119 which
specifically requires that an applicant
for IHP apply to the SBA for all
available assistance under that program
and either: (1) be declined for such
assistance; or (2) demonstrate that the
SBA assistance the applicant received
failed to satisfy their disaster need
before they are eligible for ONA.
Neither the FDAA nor FEMA ever
provided a specific rationale for, or
considered any alternatives to, the
determination that applicants must
apply to the SBA for loans and be
denied or demonstrate the assistance
provided fails to meet their needs as a
condition of eligibility for ONA. It is
clear from the rulemaking documents
and the placement of the language
related to SBA loans in 44 CFR 206.191
that FEMA views the types of assistance
both it and the SBA may provide as
potentially duplicative and therefore
believes it is necessary to establish
procedures to prevent such a
duplication. However, there is no
specific explanation in the rulemaking
documents which sets forth why the
FDAA and FEMA decided that loans
253 Public Law 106–390, 114 Stat. 1552 (Oct. 30,
2000).
254 Id. at Section 206; see also 42 U.S.C.
5174(a)(2).
255 67 FR 3412, Jan 23, 2002.

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4019

from the FmHA or SBA had to precede
the delivery of ONA assistance in the
sequence of delivery. It may be that
FEMA viewed the SBA as required to be
first in the sequence of delivery because
the Stafford Act requires FEMA to
provide assistance to individuals under
IHP if the individuals have necessary
expenses and serious needs which they
are ‘‘unable to meet through other
means’’ 256 and the availability of an
SBA loan could constitute those ‘‘other
means;’’ however, that has never been
explicitly stated as the rationale for the
regulatory requirements.
In practice, the SBA requirement has
created such a significant barrier to
assistance that it has resulted in
millions of potentially eligible
applicants walking away from the
disaster assistance process and therefore
unable to address their necessary
disaster expenses or serious needs.
Based on data 257 from all declared
disasters from the last 10 years,
3,887,049 applicants have been referred
to the SBA and, of those applicants,
2,140,115 that could have received an
SBA loan or been eligible but chose not
to take the loan, did not receive SBAdependent ONA awards (55 percent).
During the last 10 years, the remaining
1,746,934 applicants received SBAdependent ONA awards and, of those,
approximately 364,334 were SBA
denied, which is about 21 percent.
The GAO completed a review of the
IHP in 2020 and described the
challenges and barriers associated with
the SBA loan requirement as a problem
that requires a solution.258 The GAO
found that survivors may not complete
the SBA loan application because they
do not understand it is a requirement
that governs eligibility for IHP.259
Multiple officials from SLTTs and NGOs
confirmed that survivors did not
understand or were confused by the
requirement to complete an SBA
disaster loan application to qualify for
some types of assistance from FEMA’s
IHP.260 In addition to officials from
SLTTs and NGOs, multiple FEMA staff
members reported that survivors had
challenges understanding the
requirement to apply for an SBA loan
and that the requirement has been a
long-standing issue with the program.261
The GAO states that the process creates
an additional burden on disaster
256 42

U.S.C. 5174(a).
is for all declared disasters from January
1, 2010 through December 31, 2019.
258 GAO–20–503, Disaster Assistance: Additional
Actions Needed to Strengthen FEMA’s Individuals
and Households Program (September 30, 2020).
259 Id. at 36.
260 Id.
261 Id.
257 Data

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survivors because survivors who do not
have much experience in dealing with
the Federal bureaucracy are required to
interact with multiple Federal agencies
and fill out multiple forms (many of
which ask the same questions).262
According to the GAO, the confusion
and delays associated with this
requirement may have created a barrier
that prevented many potentially lowincome IHP applicants with FEMAverified personal property losses from
being considered for personal property
assistance.263 The GAO recommended
that the FEMA Administrator assess the
extent to which its process for
determining an applicant’s eligibility for
SBA-dependent ONA limits or prevents
survivors’ access to IHP assistance, and
work with SBA to identify options to
simplify and streamline the disaster
assistance application process for
survivors.
The GAO report accurately identified
the requirement to apply for an SBA
loan as a longstanding issue. FEMA was
sued in the wake of Hurricane Katrina
where plaintiffs alleged, among other
claims, that FEMA had violated 42
U.S.C. 5174(a)(2) when it unlawfully
denied applicants temporary housing
assistance by inaccurately telling them
they had to first apply to the SBA for a
loan.264 The Court found that while
FEMA may not have actually denied
disaster applicants for temporary
housing as a result of their failure to
apply to the SBA for a loan, it failed to
properly communicate to individuals
that the requirement only applied to the
provision of certain types of ONA and
that individuals could still receive
temporary housing assistance even if
they were seeking ONA and had not yet
applied to the SBA. Plaintiffs alleged
that the requirement, even if not applied
to the denial of temporary housing
assistance, was onerous and
burdensome and caused extensive
delays of necessary assistance. The
Court found that a press release FEMA
had issued to attempt to clear up the
confusion only exacerbated it and
issued a permanent injunction
prohibiting FEMA from requiring
applicants to complete an SBA loan
application as a prerequisite for receipt
of temporary housing assistance and
from miscommunicating the nature of
Federal assistance under the Stafford
Act.
FEMA has attempted to remedy the
confusion regarding the SBA
requirement by explaining it in
262 Id.

at 40.
at 39.
264 McWaters v. FEMA, 436 F. Supp. 2d 802 (E.D.
La. 2006).
263 Id.

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guidance documents, fact sheets, press
releases, and videos.265 The message is
not simple: FEMA must communicate
that some applicants may be referred to
the SBA, that those applicants must
complete an application for a loan if
they are referred, that if the referred
applicants do not apply, they may be
denied for some assistance, but they
only might be denied for ONA and not
for temporary housing. It is not
surprising that the confusion and barrier
to assistance has persisted.
FEMA RFI commenters also identified
the SBA loan requirement as an
inequitable barrier to entry into the
program. The commenters stated the
process is unclear and places an
unnecessary burden on applicants;
creates a disproportionate barrier; and
may, at best, lead to a delay or, at worst,
cause a functional barrier in the
registration process.266 Specifically, the
commenters stated that: (1) forcing
people to apply for an SBA loan after
the initial registration is a barrier and
deterrent to applying for help,
especially for members of senior citizen
communities who do not want a loan
and may be on a fixed income; for black
disaster survivors who face their credit
history being scrutinized without
receiving tangible assistance; and for
renters with low-incomes and for
members of underserved communities,
including people of color, who many
times have a greater need than middleincome survivors; 267 (2) FEMA
underassesses the needs of renters with
low-incomes and members of
underserved communities, including
people of color, who seek to recover
damaged personal property and vehicles
by first requiring an application for an
265 See pages 7, 45, 141–142, 145–146, 149, 166,
173, IAPPG 1.1. Individual Assistance Program and
Policy Guide | FEMA.gov; see also, e.g., Fact Sheets
| FEMA.gov in which search of term ‘‘SBA’’
produces 187 results as of May 4, 2023 covering
data dating back to January 20, 2021 with some of
the following representative fact sheets describing
SBA requirement (Frequently Asked Questions
About FEMA Disaster Assistance | FEMA.gov;
FEMA Assistance Provides for Basic Needs |
FEMA.gov Renters Can Apply for FEMA Assistance
| FEMA.gov; Questions and Answers About
Individual Assistance | FEMA.gov) see also, e.g.,
representative video FEMA Accessible: Three Ways
to Register for FEMA Disaster Assistance—
YouTube; see also, e.g., Press Releases | FEMA.gov
in which search of term ‘‘SBA’’ produces 375
results as of May 4, 2023 covering data dating back
to January 20, 2021 with some of the following
representative fact sheets describing SBA
requirement (SBA Helps Arkansas Businesses
Impacted by Severe Storms and Tornadoes |
FEMA.gov; Oklahoma Survivors in McClain and
Pottawatomie Counties Can Apply for Possible
FEMA Assistance | FEMA.gov).
266 FEMA–2021–0011–0245, FEMA–2021–0011–
0251, FEMA–2021–0011–0255, FEMA–2021–0011–
0275, and FEMA–2021–0011–0277.
267 FEMA–2021–0011–0277.

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SBA loan, which causes delays in their
application process; 268 and, (3) the SBA
requirement burdens the applicant and
paves the way for deeper poverty for
survivors of natural disasters and the
ease to extend debt solutions (i.e., an
SBA loan) to individuals greatly
contrasts with the denial of assistance
due to the lack of legal documentation
or a means to fight unjust appeals.269 A
few commenters offered solutions to
include that FEMA actively coordinate
with the SBA to conduct pre-screening
using SBA’s established credit score and
citizenship requirements before
referring applicants to the SBA and that
FEMA’s staff receive training on SBArelated issues and be able to answer
questions about any aspect of the SBA’s
process.270 Another commenter argued
that FEMA should automate the
application and denial steps of the SBA
process for individuals who already
receive needs-based assistance such as
food stamps, Supplemental Security
Income, and Social Security Disability
Income to allow the most vulnerable to
receive assistance more quickly and
with less complexity.271
Contrarily, the Department of
Homeland Security’s Office of Inspector
General (DHS–OIG) criticized FEMA for
not instituting enough controls over the
SBA loan requirement process and
recommended that FEMA collect and
verify more documentation from
disaster survivors, which would add
more complexity to the process.272
DHS–OIG asserted that by not taking
additional steps to verify a FIT
applicant’s self-reported income and
dependent information, FEMA made
improper payments.
FEMA explored multiple options to
improve its verification of self-reported
income in response to DHS–OIG’s
concerns. FEMA first considered
whether it could require applicants to
submit more documentation to verify
income. Examples of acceptable
documentation would include the
previous year’s tax returns or payrelated documents from an applicant’s
employer. Applicants whose
documentation indicated that their
income and dependent information met
the SBA’s minimum threshold would be
referred to the SBA for loan
consideration.273 However, creating an
268 FEMA–2021–0011–0277.
269 FEMA–2021–0011–0306.
270 FEMA–2021–0011–0255 and FEMA–2021–
0011–0275.
271 FEMA–2021–0011–0245.
272 DHS–OIG FEMA Has Paid Billions in
Improper Payments in SBA Dependent Other Needs
Assistance Since 2003, OIG–20–60, page 1.
273 As with each of the options FEMA evaluated,
the SBA would need to update their application

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additional administrative hurdle in the
immediate aftermath of a disaster would
greatly increase the applicant’s postdisaster stress and strain FEMA’s caseprocessing resources. FEMA continually
attempts to minimize the forms of
assistance that require documentation
and manual review prior to award.
Typically, most SBA-dependent ONA
can be auto-processed by NEMIS postinspection with no required staff
interaction. Auto-processed awards can
be received by applicants that select an
electronic funds transfer within 24
hours of their inspection. Most
applicants receive automated payments
within 1 to 2 weeks of applying for
assistance, while manual payments take
a few months to be processed and
received by applicants, especially in
larger disasters. Increasing the manual
workload would further increase the
time and/or cost required to make
manual payments.
FEMA could take steps to verify
income for FIT applicants in
coordination with external government
partners. This involves certain legal
challenges FEMA would have to
overcome. The SBA has specific
legislative authority, which FEMA does
not have, to verify an applicant’s
income with the IRS as part of its loan
application process. The IRS has
indicated they could only pursue data
sharing if there were specific statutory
authority for it.274 If FEMA overcame
this legal hurdle, this option would
appear to be less burdensome for the
applicant, as FEMA would undertake
the initial step of verifying the
applicant’s income and dependent
information from the previous tax year;
however it would still add some time
and additional documentation
requirements to the IHP registration
process.
FEMA could purchase the services of
a privately operated credit reporting
company which can verify real-time
employment and income data for an
individual. This would require FEMA to
make system changes to interface with
the company’s data and add this
additional verification against the selfreported income. The service provided
evaluation process to ensure these referred-basedon-verification applicants were not referred back to
FEMA based solely on their self-reported income.
The SBA also relies on self-reporting during the
initial loan application process. The SBA uses this
information to calculate an income/number of
dependents to debt ratio and compares it to a
minimum threshold. The SBA only verifies the
income of those applicants that pass this initial
threshold, which it accomplishes by coordinating
with the IRS and reviewing applicants’ credit score.
274 See 26 U.S.C. 6103; IRS, Disclosure Laws (Oct.
5, 2022), https://www.irs.gov/government-entities/
federal-state-local-governments/disclosure-laws.

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by the company may be able to provide
an applicant’s current income, but it is
unclear if that would accurately portray
the household’s annual income.
Variance in household income
immediately after a disaster is very
common and there are a multitude of
reasons why an applicant’s reported
income immediately after a disaster
would not exactly match what is
reported by the private sector credit
reporting company. This option would
not have a significant impact on the
timing of the applicant’s assistance,
unless the private sector credit reporting
company returns a higher income than
what the applicant self-reported, in
which case, the applicant would have to
apply to SBA.
FEMA also explored utilizing a credit
check to determine which applicants
should be referred to the SBA, rather
than solely the FIT table. The SBA
currently uses a credit check in the later
stages of their loan application process
and FEMA could mirror the credit score
thresholds that the SBA has already
developed to determine which
applicants should be referred to SBA for
further evaluation. FEMA would need to
establish a contract with a third-party
vendor that provides credit scores.
Unlike the SBA, which utilizes detailed
information from the credit report on
the applicant’s debts, FEMA would only
need the credit score. As the credit
check can be performed electronically
and completed in real-time, it should
not delay assistance to applicants.
However, FEMA would need to inform
applicants their credit may be checked
when they apply for disaster assistance
which could cause hesitation for some
applicants to participate in the FEMA
disaster assistance process and increase
the barrier to assistance.
Ultimately, none of the options FEMA
explored to further verify applicant
information will eliminate the
longstanding inequitable barrier to
access to the IHP presented by the SBA
loan requirement. The requirement
causes delay and confusion. FEMA has
attempted to communicate the
requirement more clearly; however, the
confusion surrounding it has persisted.
The historically low percentage of
applicants with SBA-dependent needs
identified at inspection who choose to
apply for and accept an SBA loan for
these needs indicates a gap in the
correct recovery process which this
change would address. Removal of the
requirement addresses FEMA’s
obligation under Executive Order 13985
and Executive Order 14091 to identify
and address barriers to opportunities
and benefits and aligns with the goal of
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instill equity as a foundation of
emergency management by removing
barriers to FEMA programs through a
people first approach and achieving
equitable outcomes for those we
serve.275 Removal of the requirement
also aligns with certain of the comments
received from the RFI and the
conclusions reached by the GAO and
will simplify applicant messaging for
both FEMA and the SBA. Finally,
removal of the requirement will allow
applicants to receive the disaster
assistance for which they have applied
without being re-routed to fill out an
SBA loan application first. Applicants
will still have the option of applying for
an SBA loan if the disaster assistance
they receive does not meet their needs;
as such, nothing is being taken away
from disaster applicants and there are
no reliance interests FEMA must
consider in making the change.
3. Housing Assistance
Section 408 of the Stafford Act, 42
U.S.C. 5174, authorizes FEMA to
provide housing assistance to applicants
to respond to the disaster-related
housing needs of individuals and
households who are displaced from
their predisaster primary residences or
whose predisaster primary residences
are rendered uninhabitable, or with
respect to individuals with disabilities,
rendered inaccessible or uninhabitable,
as a result of damage caused by a major
disaster. A subcategory of housing
assistance is home repair assistance
which FEMA may provide to repair
disaster-damaged owner-occupied
primary residences to a safe and
sanitary living or functioning condition.
Prior to the changes in this IFR, 44
CFR 206.111 defined ‘‘uninhabitable’’ to
mean the dwelling is not safe, sanitary
or fit to occupy, but did not directly
define ‘‘habitable’’ or ‘‘fit to occupy.’’
FEMA defined ‘‘safe’’ as secure from
disaster-related hazards or threats to
occupants. FEMA defined ‘‘sanitary’’ as
free of disaster-related health hazards.
FEMA defined ‘‘functional’’ as an item
or home capable of being used for its
intended purpose. In 44 CFR
206.117(b)(2)(ii), FEMA provided a list
of components of the home for which it
would provide repair assistance. In 44
CFR 206.117(b)(2)(i), FEMA provided
that FEMA will repair each component
275 Strategic Goal 3.1 of the 2018–2022 FEMA
Strategic Plan was to reduce the complexity of
FEMA and to streamline the disaster survivor and
grantee experience, which also would be furthered
by these changes. The IFR also aligns with the
2022–2026 FEMA Strategic Plan, Goal 2: Lead
whole of community in climate resilience; and Goal
3: Promote and sustain a ready FEMA and prepared
Nation.

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if it was functional immediately before
the disaster, damaged by the disaster,
not covered by insurance, and the repair
of the component was necessary to
ensure the safety or health of the
occupant or to make the residence
functional. Repairs were limited to
restoration of the dwelling to a safe and
sanitary living or functioning condition.
Repair assistance would only be
provided to the extent that the work
makes the component functional. 44
CFR 206.117(b)(2)(iii). Components that
were functional immediately before the
declared event may have been eligible
for repair assistance if the damage to the
component was caused by the disaster
and the component was no longer
functional. 44 CFR 206.117(b)(2)(iv).
These regulations reflected FEMA’s
interpretation that the Stafford Act’s
requirement that housing assistance be
provided for ‘‘disaster-related’’ needs
prohibits FEMA from providing home
repair assistance for pre-existing
damage, which is where applicants have
damage to their homes that occurred
prior to the disaster and was not a result
of the disaster or worsened by the
disaster. FEMA has also referred to preexisting damage as ‘‘deferred
maintenance.’’
A version of the current language has
been in place since 2002 when FEMA
issued an NPRM 276 proposing
regulations creating the IHP to
implement amendments to the Stafford
Act from DMA2K.277 However, FEMA’s
2002 version of the regulations
governing home repair assistance was
not explicit regarding FEMA’s
interpretation that the Stafford Act
requires FEMA to identify and exclude
pre-existing damage when calculating
awards for home repair assistance.278 In
2008, FEMA was sued by disaster
survivors from Hurricane Dolly who
were denied home repair assistance as
a result of FEMA’s deferred
maintenance determinations.279 The
lawsuit alleged that FEMA’s ‘‘hidden
and vague rules’’ effectively prevented
low-income families from accessing
home repair assistance’’ and
‘‘institutionalize[d] economic
discrimination.’’ 280 The Court held that
FEMA had violated the APA by failing
to publish the deferred maintenance
276 67 FR 3412, Jan 23, 2002. The NPRM was
implemented via an IFR. See 67 FR 61446, Sept. 30,
2002.
277 Public Law 106–390, 114 Stat. 1552 (Oct. 30,
2000).
278 67 FR 3412, Jan 23, 2002 at proposed 44 CFR
206.108(b)(2) and 44 CFR 206.108(c)(1).
279 La Union del Pueblo Entero (Lupe) v. FEMA,
2009 U.S. Dist. LEXIS 40368 (S.D. Tex., May 13,
2009).
280 Id.

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policy and forbade FEMA to use it to
adversely affect Hurricane Dolly disaster
applicants.281
In 2012, FEMA issued a Notice of
Proposed Rulemaking (NPRM) 282 to
clarify its interpretation of the statutory
requirement that housing assistance
under the Stafford Act be ‘‘disasterrelated’’ by adding more specific
limiting language to 44 CFR
206.117(b)(2) and explaining how it
applied this interpretation to home
repair assistance determinations.
According to FEMA, the proposed text
did not add new requirements; instead,
it clarified the existing requirements.283
FEMA stated that it historically
interpreted the requirement that damage
must be ‘‘disaster-related’’ as it applied
to components of a home by breaking
the evaluation into two parts: (1) the
component must have been functional
immediately before the event; 284 and (2)
the component must have been
damaged and made not functional by
the event.285 FEMA added new language
noting that the repair assistance would
be provided ‘‘only to the extent that it
makes the component functional,’’
stating ‘‘FEMA does not provide repairs
or replacement to further improve a
component beyond making it
functional.’’ 286 FEMA expanded on its
general view of IHP by stating ‘‘IHP is
not a loss indemnification program and
does not ensure that applicants are
returned to their pre-disaster living
conditions.’’ 287
These limitations have been a regular
source of frustration for survivors and
disaster recovery community
members,288 highlighting the gap
between FEMA’s regulations and the
expectation of what disaster assistance
should, or could, cover.289 The
281 Id.
282 77 FR 44562, July 30, 2012. The NPRM was
implemented via a Final Rule. See 78 FR 66852,
Nov. 7, 2013.
283 Id.
284 FEMA later expanded on this in the proposed
rule to state that components did not need to be
‘‘fully functional,’’ nor was it ‘‘disqualifying if the
component posed a risk before the event.’’ In
FEMA’s view the key was that the component must
have had some functionality before the event and
incurred a change in functionality (must become
unfunctional) as a result of the event.
285 Id.
286 Id.
287 Id.
288 See La Union del Pueblo Entero v. FEMA,
2009 U.S. Dist. LEXIS 40368 (S.D. Tex., May 13,
2009); Barbosa v. United States Dep’t of Homeland
Security, 916 F.3d 1068, 1073 (D.C. Cir. 2019).
289 FEMA guidance also previously interpreted
the requirement that the damage be ‘‘caused by the
disaster’’ to exclude assistance for secondary effects
of the disaster (e.g., mold, damage to subflooring,
removing wet drywall to prevent water wicking
further up and causing mold). FEMA’s position was
that mold is not a direct result of the disaster, rather

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limitations associated with pre-existing
conditions means repair assistance has
been limited to applicants with
residences that incurred disaster
damage but fall short of immediate
safety and sanitation concerns without
directly addressing or assessing the
general livability issues. For example,
certain components such as roofs may
have sustained disaster damage but may
also still leak from another area with
pre-existing damage. Under its prior
approach, FEMA would only pay to
repair the disaster damage to the roof,
not the pre-existing damage, which did
not restore the home to a safe, sanitary
living or functioning condition.
At the time FEMA made these
determinations, it may have made sense
to limit assistance under IHP; however,
Congress has since indicated clear
intent to increase the amount of
assistance FEMA provides to
individuals and households.290 FEMA
considered whether its approach could
be altered to better address the needs of
disaster survivors and to address
livability issues. FEMA considered two
options: (1) define ‘‘fit to occupy’’ in
guidance ensure consideration of
general livability conditions at the time
of inspection that, if left unaddressed,
could potentially impact the home’s
habitability later in the disaster or after
inspection, and authorize replacement
for components that could not be
repaired when considering the overall
condition of the component; or (2)
amend the regulations to remove the
requirement for real property
components to be functional
immediately prior to the disaster so that
FEMA could repair a component that
sustained disaster damage to a safe,
sanitary, and functioning condition
without attempting to determine
whether the component had pre-existing
damage.
a secondary effect caused by not removing,
adequately drying out, or cleaning wet materials in
the home, and thus not ‘‘directly caused by the
disaster.’’ As such, FEMA only authorized a limited
amount of assistance to remove damaged elements
that might cause mold. However, FEMA’s position
on this was too narrow given that secondary effects
would not occur but for the underlying disastercaused damage. In 2021, FEMA reversed this policy
position and authorized assistance to address
secondary effects, such as mold. See page 9 of the
Amendment to FP 104–009–03, Individual
Assistance Program and Policy Guide, Version 1.1
memorandum cites to Chapter 3, Section IV.E. of
the IAPPG 1.1, which is on pages 85–88 of IAPPG
1.1. https://www.fema.gov/sites/default/files/
documents/fema_iappg-1.1.pdf.
290 See Public Law 106–390, 114 Stat. 1552 (Oct.
30, 2000); Post-Katrina Emergency Management
Reform Act of 2006, 109–295, 120 Stat. 1452 (Oct.
4, 2006) Disaster Recovery Reform Act of 2018,
Public Law 115–254, 132 Stat. 3448 (Oct. 5, 2018),
42 U.S.C. 5174(h) supra, at notes 242–244.

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In the first option, FEMA considered
putting forth a policy interpretation of
what might make a residence ‘‘unfit’’ to
occupy.291 Unfit is defined in legal
terms as ‘‘unsuitable; or not adapted or
qualified for a particular use or
service.’’ 292 In non-legal terms, unfit
generally means ‘‘not of the necessary
quality or standard to meet a particular
purpose;’’ ‘‘below the required
standard;’’ ‘‘in poor condition;’’ or ‘‘not
suitable; inappropriate.’’ 293 FEMA
could have defined ‘‘fit to occupy’’ in
guidance to address unsanitary or poor
conditions that made a disaster damage
home unsuitable for occupancy
associated with the disaster-related
impacts to the general livability
conditions of the home to increase
clarity for FEMA housing inspectors and
disaster survivors. FEMA also
considered whether it could authorize
replacement for disaster-damaged
components that had pre-existing
damage, but could not be partially
repaired. However, this approach would
not fully remove the subjectivity
associated with making habitability and
repair decisions and would potentially
overcompensate disaster survivors to
replace items with pre-existing damage
that could be repaired to a safe, sanitary
living or functioning condition.
In the second option, FEMA
considered amending its regulations to
remove the specific requirements
related to pre-existing damage so that it
could better address livability
conditions. This required FEMA to revisit its earlier interpretations of
statutory authority. Although the
Stafford Act uses the term disasterrelated, it is not applied specifically to
the subcategory of repair assistance;
instead, it applies generally to the initial
determination of whether to provide
housing assistance at all.294 FEMA may
provide housing assistance to respond
to the disaster-related needs of
individuals who are displaced from
their predisaster primary residences or
whose predisaster residences are
rendered uninhabitable as a result of
damage caused by a major disaster.
After FEMA determines that an
291 As noted above, in regulation, FEMA defined
‘‘uninhabitable’’ to mean the dwelling is not safe,
sanitary or fit to occupy, but did not define ‘‘fit to
occupy.’’ FEMA defined ‘‘safe’’ as secure from
disaster-related hazards or threats to occupants.
FEMA defined ‘‘sanitary’’ as free of disaster-related
health hazards.
292 Black’s Law Dictionary (4th pocket ed. 2011);
see also Barron’s Legal Guides Law Dictionary (2nd
ed. 1984).
293 Webster’s Collegiate Dictionary (11th ed.
2003); Collins English Dictionary—Complete and
Unabridged (12th ed. 2014); and American Heritage
Dictionary of the English Language (5th ed. 2016).
294 42 U.S.C. 5174(b)(1).

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applicant has cleared this initial hurdle,
it determines the appropriate types of
housing assistance to be provided to the
applicant based on factors such as costeffectiveness and convenience to the
individual.295 As it applies specifically
to home repair assistance, the Stafford
Act states that FEMA may provide
financial assistance for the repair of
dwellings that were damaged by a major
disaster to a safe and sanitary living or
functioning condition.296 This does not
require FEMA to discount pre-existing
damage; FEMA could read the Act to
mean that uninhabitable dwellings
which sustained some disaster damage
could be repaired ‘‘to’’ a safe and
sanitary living condition. Simply, as
FEMA has accomplished with this IFR,
FEMA may provide assistance to repair
a dwelling with a mix of disaster
damage and pre-existing damage on a
dwelling component to a safe and
sanitary living condition. Finally, FEMA
previously interpreted functioning to
mean ‘‘functional’’ means and applied it
in a component-by-component fashion
FEMA could instead acknowledge that
the Stafford Act uses the term
‘‘functioning’’ as one of the options for
the desired end state of the dwelling by
authorizing FEMA to provide assistance
to repair a disaster-damaged dwelling to
a safe and sanitary living ‘‘or’’
functioning condition.
This IFR’s changes to the definitions
of ‘‘uninhabitable,’’ ‘‘safe,’’ and
‘‘sanitary,’’ and the eligibility criteria for
home repair assistance remove the
regulatory limitations associated with
pre-existing damage. Addressing this
issue via amendment to the regulations
more appropriately meets congressional
intent that FEMA’s assistance allows
applicants to repair homes ‘‘to’’ a safe
and sanitary living or functioning
condition. Applicants will be in a better
position to realistically recover from the
disaster by receiving assistance to repair
or replace real property components of
the home that are not covered by
insurance and are necessary to ensure
the safety or health of the occupant. As
a result, applicants will be less reliant
on FEMA’s other forms of housing
assistance, such as temporary housing
assistance, and will be able to return
more quickly to a safe and functioning
residence. This will expand assistance
and address longstanding complaints
that FEMA assistance does not
adequately address survivor needs; as
such, there are no reliance interests that
FEMA considered in making these
changes.
295 42
296 42

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4. Serious Needs Assistance and
Displacement Assistance
FEMA has the authority under
Section 408(e)(2) of the Stafford Act, 42
U.S.C. 5174(e)(2), implemented as ONA
at current 44 CFR 206.119(c)(6)(ii),
which provides that FEMA in
consultation with the State may provide
financial assistance for ‘‘necessary
expenses or serious needs.’’ FEMA has
determined that the most pressing
necessary expenses and serious needs
generally occur during the immediate
aftermath of disasters. Individuals and
households displaced from their homes
often need immediate assistance to be
able to pay for short-term lodging or
serious needs. In some instances, the
immediate funds would be sufficient to
address the short-term needs and the
individuals may be able to return to
their pre-disaster residences without
additional support.
FEMA has established some shortterm solutions for housing such as LER
and initial rental assistance under its
Stafford Act authority to provide
temporary housing assistance at Section
408(c)(1)(A)(i), and it has offered
expedited assistance for serious needs
under its ONA authority at Section
408(e)(2) in the form of debit cards, or
CNA. FEMA has, however, attached
certain criteria to the eligibility for or
expenditure of such assistance that has
had the unintended consequence of
impacting longer-term needs or
resulting in the inequitable distribution
of such benefits. FEMA provides LER
via reimbursement for hotels, motels, or
other short-term lodging while an
applicant is displaced from his or her
primary residence,297 which requires
disaster applicants to have up-front
funding for such expenses. FEMA
provides initial rental assistance to
eligible applicants but will only
recertify applicants for continued rent
assistance if they can submit rent
receipts to show that they have
exhausted the FEMA rent funds on
rent.298 FEMA’s statutory authority to
provide temporary housing assistance
requires that the financial assistance be
used to rent ‘‘alternate housing
accommodations, existing rental units,
manufactured housing, recreational
vehicles or other readily fabricated
dwellings;’’ 299 as such, the
requirements FEMA has placed upon
applicants to prove that such assistance
is, in fact, used for rent is a reasonable
interpretation of the statute.
297 See page 44 IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.
298 44 CFR 206.114(b)(2).
299 42 U.S.C. 5174(c)(1)(A)(i).

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However, FEMA’s previous
interpretation has produced inequities
in disaster events; FEMA has been sued
by disaster applicants alleging that
FEMA provided them with initial rental
assistance without clearly explaining
the purpose of the funds and, when
applicants spent the funds on other
necessities, FEMA denied them for
continued temporary housing assistance
because they could not produce receipts
verifying the funds were spent on
rent.300 While FEMA has continued to
communicate the appropriate uses of
initial rental assistance, the problem
remains that disaster applicants have
post-disaster serious needs aside from
housing for which they need assistance.
FEMA determined it could improve
upon and expand its existing authority
by establishing two new types of
assistance to address immediate unmet
needs under the IHP’s ONA provision:
Serious Needs Assistance and
Displacement Assistance. Serious Needs
Assistance and Displacement Assistance
would both be subject to the ONA cost
share and available for every disaster in
which IHP is authorized. Applicants
will have to meet all standard IHP
eligibility criteria under 44 CFR
206.113. FEMA will not require receipts
documenting the use of the funds for
either form of assistance. Serious Needs
Assistance will take the place of CNA,
and, in this improved version, FEMA
may provide funds to eligible survivors
to assist with the additional costs they
incur due to being impacted or
displaced by a disaster (including
evacuation). Survivors would be able to
use the funds for immediate or serious
needs such as water, food, first aid,
infant formula, diapers, personal
hygiene items, or fuel for transportation.
These needs will vary according to each
applicant and FEMA will not require
receipts documenting the use of this
assistance. Serious Needs Assistance
will be available for every disaster in
which IHP is authorized instead of only
being available in specific geographic
areas upon the request of STT
government.301 FEMA examined its past
300 Ridgley v. Fed. Emergency Mgmt. Agency,
2007 U.S. Dist. LEXIS 43002 (E.D. La., June 13,
2007).
301 Prior to this IFR, FEMA only provided CNA
for a limited number of disasters and only in
specific geographic areas when the STT government
submits a written request, with justification, within
14 days from the date of the disaster declaration.
See page 164 IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.
The STT government must demonstrate that
applicants are displaced due to restrictions placed
by STT government officials; shelters in the area do
not meet the needs of the displaced population; and
community and life-sustaining services within a
reasonable distance are limited due to disastercaused impact. Id.

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practice in providing similar payments
and considered setting the assistance
amount at the current amount provided
for CNA ($500) or increasing it to $750
or $1000. At this time, FEMA believes
increasing the amount to $750 302 would
better cover immediate post-disaster
serious needs based upon our prior
experience with CNA.
FEMA is establishing Displacement
Assistance to provide funds for shortterm living arrangements based on a
timeframe established by FEMA and a
nightly room rate approved in the State
Administrative Option as required in
§ 206.120(b). Displacement Assistance
will be available for eligible survivors
whose homes are uninhabitable to assist
them with securing temporary lodging
while they make repairs or pursue
temporary housing. Applicants who
receive Displacement Assistance can
still request and receive Initial Rental
Assistance when they are ready to move
into temporary housing; however,
FEMA created this assistance to fill a
gap for disaster survivors who may not
need long-term rental assistance.
FEMA considered two options for
limiting Serious Needs Assistance and
Displacement Assistance. FEMA
considered: (1) limiting the population
who could receive Serious Needs
Assistance to only those applicants who
had been displaced by a disaster or who
reported a need for shelter as a result of
the disaster; or (2) limiting the
geographic area that might be eligible
for Serious Needs Assistance to only
those areas with certain impacts. The
first option would not meet the needs of
disaster applicants who have
immediate, unmet needs that are not
caused by displacement. For example, if
there are widespread power outages in
an area that did not cause an applicant
to be displaced, but might have caused
refrigerated food or medicine to expire,
an applicant might need immediate
assistance to replace those necessary
items. The second option would
potentially delay the disbursement of
Serious Needs Assistance beyond the
initial disaster period to allow FEMA to
gather information about the geographic
impacts of the disaster. FEMA often
does not have the detailed information
necessary about the impacts of a disaster
in its immediate aftermath to make such
geographic determinations. Such a delay
would frustrate the intent to provide
immediate assistance and may
compound the effects of unmet serious
needs.
302 FEMA will adjust the amount of SNA to reflect
changes in the CPI for all Urban Consumers that the
Department of Labor publishes annually. 44 CFR
206.119(b)(1).

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There are multiple benefits to
improving FEMA’s implementation of
these types of immediate needs
assistance. Lower-income groups and
minorities suffer disproportionately
from disaster and recover less quickly
than more privileged residents. Natural
disasters can compound existing
inequities and act as tipping points,
consuming savings, and pushing
households into financial and economic
insecurity. According to the Federal
Reserve, 32 percent of Americans could
not cover an emergency expense of $400
with cash or its equivalent, with 11
percent saying they would be unable to
pay the expense by any means.303
FEMA’s establishment of Serious Needs
Assistance and Displacement Assistance
will allow eligible disaster applicants to
apply for and quickly receive an initial
tranche of each form of assistance to
help with the immediate serious needs
and necessary expenses after a disaster.
Disaster applicants will have more
flexibility to choose the form of shortterm lodging that best suits their needs,
to include staying with friends and
family and offsetting their expenses,
which should decrease shelter usage.
Displacement assistance is a more
equitable and efficient way of providing
short-term lodging assistance than
LER,304 which is an administratively
burdensome reimbursement action that
benefits those who have the means to
pay their hotel bills up front, rather than
those applicants who do not have such
funds available. FEMA hopes to address
the need many disaster survivors have
for short-term transitional assistance,
when there is no need for longer-term
rental assistance. The changes align
with the 2022–2026 FEMA Strategic
Goal 1 to instill equity as a foundation
of emergency management by removing
barriers to FEMA programs through a
people first approach and achieving
equitable outcomes for those we
serve.305 The changes also support IA
303 Federal Reserve Board, Report on the
Economic Well-Being of U.S. Households 2021,
Figures 19 and 20, https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm.
304 FEMA in this IFR states that Displacement
Assistance is in lieu of LER and only those
displaced applicants who do not receive
Displacement Assistance may receive LER.
305 Strategic Goal 3.1 of the 2018–2022 FEMA
Strategic Plan, to streamline the disaster survivor
and grantee experience, also would be furthered by
these changes. The IFR also aligns with the 2022–
2026 FEMA Strategic Plan, Goal 2: Lead whole of
community in climate resilience; and Goal 3:

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
Strategic Plan Objective 1.1 to prioritize
and evolve service delivery, and IA
Strategic Plan Objective 1.3 to enhance
program delivery. These changes will
expand assistance and address
complaints that FEMA assistance does
not adequately address immediate,
unmet applicant needs; as such, there
are no disaster applicant reliance
interests that FEMA considered in
making these changes. STTs cannot
allege a reliance interest associated with
future benefits they might request in a
discretionary disaster grant program.
IV. Discussion of the Interim Final Rule

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A. Section 206.101—Temporary
Housing Assistance for Emergencies and
Major Disasters Declared on or Before
October 14, 2002
On September 30, 2002, FEMA issued
regulations on the then-new Individuals
and Households Program.306 The rule
implemented DMA2K 307 and added
§§ 206.110–120 to subpart D of part 206
of FEMA’s regulations.308 The previous
regulations, relating to the superseded
Individual and Family Grant Program,
were retained in § 206.101, but revised
to apply only to disasters declared
before October 15, 2002, the
applicability date of the new
Individuals and Households Program
regulations.309 Since these old
regulations are now outdated and no
longer necessary, FEMA removes and
reserves § 206.101. Sections 206.102
through 206.109 are currently reserved,
so removing and reserving § 206.101
will extend the existing reservation to
§§ 206.101–109.
B. Section 206.110—Federal Assistance
to Individuals and Households
In the first sentence of § 206.110(a),
FEMA states that this section
implements the policy and procedures
set forth in the Robert T. Stafford
Disaster Relief and Emergency
Assistance Act, as amended (Stafford
Act), 42 U.S.C. 5174. This is consistent
with the first sentence of current
§ 206.110(a), except for FEMA removing
‘‘section 408 of;’’ adding ‘‘as amended
(Stafford Act)’’ for clarity; and removing
‘‘as amended by the Disaster Mitigation
Act of 2000’’ for clarity. FEMA makes
these edits for public ease of reference,
as a United States Code cite is more
accessible to the public and referencing
the section of the Stafford Act only
Promote and sustain a ready FEMA and prepared
Nation.
306 67 FR 61446, Sept 30, 2002.
307 Public Law 106–390, 114 Stat. 1552 (Oct. 30,
2000).
308 See 67 FR 61446, 61452.
309 See Id. at 61460.

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increases the length of the regulation.
Plus, there have been many
amendments to the Stafford Act since
DMA2K. Instead of including all of the
amendments to the Stafford Act, FEMA
removes the reference to DMA2K and
uses ‘‘as amended.’’
In the first sentence of § 206.110(b),
FEMA states that no individual or
household will receive financial
assistance greater than $25,000 under
subpart D with respect to a single major
disaster or emergency for the repair or
replacement of their pre-disaster
primary residence. This is consistent
with the first sentence of current
§ 206.110(b), except for FEMA adding
the phrase ‘‘for the repair or
replacement of their pre-disaster
primary residence’’ to codify section
1212 of the DRRA which amended
408(h) of the Stafford Act, 42 U.S.C.
5174, to remove Temporary Housing
Assistance from any financial maximum
retroactive to disasters declared on or
after August 1, 2017. Thereby, financial
assistance for temporary housing
expenses are no longer limited to a
maximum award amount. Financial
assistance for home repair and
replacement for owner-occupied homes
is still limited to a maximum award
amount.
FEMA adds a new second sentence to
§ 206.110(b), FEMA states that no
individual or household will receive
financial assistance greater than $25,000
under subpart D with respect to a single
major disaster or emergency for Other
Needs Assistance. FEMA adds this new
language for clarity since section 1212
of the DRRA amended 408(h) of the
Stafford Act, 42 U.S.C. 5174, by
separating ONA, so ONA and Home
Repair Assistance/Home Replacement
Assistance have equal, independent
financial maximums retroactive to
disasters declared on or after August 1,
2017.
In the third sentence (currently the
second sentence) of § 206.110(b), FEMA
states that FEMA will adjust the $25,000
limits annually to reflect changes in the
Consumer Price Index (CPI) for All
Urban Consumers that the Department
of Labor publishes. This is consistent
with the current second sentence of
§ 206.110(b), except for FEMA replacing
‘‘limit’’ with ‘‘limits’’ for grammar
purposes, since there are multiple
$25,000 limits that FEMA adjusts
annually.
FEMA adds a new paragraph (b)(1) to
§ 206.110 stating that the maximum
amount of financial assistance excludes
rental assistance under § 206.117(b)(1)(i)
and lodging expense reimbursement
under § 206.117(b)(1)(i). FEMA adds
this new language for clarity; as, Rental

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Assistance and Lodging Expense
Reimbursement are not counted toward
the financial housing assistance
maximum award.
FEMA adds a new paragraph (b)(2) to
§ 206.110 stating that the maximum
amount of financial assistance excludes
expenses to repair or replace eligible
damaged accessibility-related real
property improvements and personal
property for individuals with
disabilities. FEMA adds this new
language for clarity since section 1212
of the DRRA removed financial
assistance maximum award limits for
accessibility-related real and personal
property items for applicants with
disabilities. IAPPG 1.1 references
specific disaster-damaged accessibility
real property items that can be paid in
addition to the financial assistance
maximum award amount for Housing
Assistance (Chapter 3: IV.E. Home
Repair Assistance).310 Also, IAPPG 1.1
currently references specific disasterdamaged accessibility personal property
items that can be paid in addition to the
financial assistance maximum award
amount for ONA (Chapter 3: VI.A.1.
Amount of Assistance.) 311
In the second sentence of § 206.110(c),
FEMA states that FEMA will determine
the appropriate types of housing
assistance to be provided under
§ 206.110 based on considerations of
cost effectiveness, convenience to the
individuals and households and the
suitability and availability of the types
of assistance. This is consistent with the
current second sentence of § 206.110(c),
except for FEMA revising ‘‘shall’’ to
‘‘will’’ for purposes of plain language.
In the fourth sentence of § 206.110(c),
FEMA states that temporary housing
and repair assistance must be utilized to
the fullest extent practicable before
other types of housing assistance. This
is consistent with the current fourth
sentence of § 206.110(c), except for
FEMA revising ‘‘shall’’ to ‘‘must’’ for
purposes of plain language.
In § 206.110(d), FEMA states that
eligibility for Federal assistance under
subpart D is limited to losses or
expenses resulting from damage that
occurred during the dates of the
incident period established in a
presidential declaration that a major
disaster or emergency exists, except that
reasonable lodging expenses that are
incurred in anticipation of and
immediately preceding such event may
be eligible for Federal assistance under
310 See page 86 IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.
311 See page 146 IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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Chapter I. This is consistent with
current § 206.110(d), except for FEMA
replacing ‘‘will begin on’’ with ‘‘is
limited to losses or expenses resulting
from damage that occurred during the
dates’’ and replacing ‘‘that results’’ with
‘‘period established’’ for clarity. With
these edits FEMA is trying to identify
that the damage must have occurred in
the incident period, not necessarily all
the losses or expenses.
In the second sentence of § 206.110(e),
FEMA states that the Assistant
Administrator for the Recovery
Directorate may extend the period of
assistance if he/she determines that due
to extraordinary circumstances an
extension would be in the public
interest. This is consistent with current
second sentence § 206.110(e), except for
FEMA’s technical edit of replacing
‘‘Disaster Assistance’’ with ‘‘Recovery,’’
as it represents a past FEMA
organization change and replacing ‘‘this
period’’ with ‘‘the period of assistance’’
to align with the paragraph heading (e),
period of assistance.
In the first sentence of § 206.110(h),
FEMA states that in accordance with the
requirements of the Stafford Act, 42
U.S.C. 5155, FEMA will not provide
assistance under subpart D when any
other source has already provided such
assistance or when such assistance is
available from any other source. This is
consistent with the first sentence of
current § 206.110(h), except for FEMA
removing ‘‘section 312 of’’ since
referencing the section of the Stafford
Act just increases the length of the
regulation.
FEMA removes current
§ 206.110(h)(2), which states
‘‘applicable benefits are exhausted,’’ as
it is unnecessary, since an applicant
does not have to exhaust benefits as a
condition for FEMA to provide
assistance to insured applicants under
subpart D. FEMA’s current regulations
assume this is necessary to prevent a
duplication of benefits, but FEMA will
only be providing assistance for items or
repairs that are not covered or
adequately addressed by the applicant’s
insurance, so it should not be necessary
for them to exhaust their insurance
benefits before they receive IA.
FEMA is not providing applicants all
of the money they need for their
recovery. The eligibility factor
regulations at § 206.113(a)(5) already
ensure that applicants accept all
assistance from other sources for which
they are eligible and that they accept all
assistance from their insurance, if they
have any.
Section 206.110(h)(2) is consistent
with current § 206.110(h)(3), except for
the change to the paragraph structure.

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In § 206.110(h)(3), FEMA states that,
among other exceptions to the principle
that FEMA will not provide assistance
when assistance is available from any
other source, FEMA may provide
assistance to insured applicants when
applicants cannot use their insurance
because there is no housing on the
private market. This is consistent with
current § 206.110(h)(4), except FEMA
replaced ‘‘housing is not available’’ with
‘‘applicants cannot use their insurance
because there is no housing’’ for clarity.
In § 206.110(i)(1), FEMA states that
except as provided in § 206.110(i)(2),
the Federal share of eligible costs paid
under subpart D is 100 percent. This is
consistent with current § 206.110(i)(1),
except for FEMA replacing ‘‘shall be’’
with ‘‘is’’ for purposes of plain
language.
In § 206.110(i)(2) through the first
sentence of § 206.110(i)(2)(ii), FEMA
states that Federal and State cost shares
for ‘‘Other Needs’’ assistance under the
Stafford Act, 42 U.S.C. 5174(e) and (f),
are as follows: the Federal share is 75
percent; and the non-Federal share is 25
percent and must be paid from funds
made available by the State. This is
consistent with the current
§ 206.110(i)(2) through the first sentence
of § 206.110(i)(2)(ii), except for FEMA
removing ‘‘subsections 408 (e) and (f)
of’’ and adding ‘‘42 U.S.C. 5174(e) and
(f),’’ for public accessibility; replacing
‘‘will be’’ with ‘‘are,’’ ‘‘shall be’’ with
‘‘is,’’ and ‘‘replacing ‘‘shall’’ with
‘‘must’’ for purposes of plain language;
and adding ‘‘is 25 percent and’’ after
‘‘non-Federal share’’ for clarity.
In the second sentence of
§ 206.110(i)(2)(ii), FEMA states that if
the State does not provide the nonFederal share to FEMA before FEMA
begins to provide assistance to
individuals and households under the
Stafford Act, 42 U.S.C. 5174(e), FEMA
will still process applications. This is
consistent with the second sentence in
current § 206.110(i)(2)(ii), except for
FEMA removing ‘‘subsection 408(e) of’’
and adding ‘‘42 U.S.C. 5174(e),’’ for ease
of reference, as a United States Code cite
is more accessible to the public and
referencing the section of the Stafford
Act just increases the length of the
regulation.
In the fourth sentence of
§ 206.110(i)(2)(ii), FEMA states that if
the State does not provide such
reimbursement on a monthly basis, then
FEMA will issue a billing notice to the
State on a monthly basis for the
duration of the program. This is
consistent with the fourth sentence of
current § 206.110(i)(2)(ii), except for
FEMA replacing ‘‘Bill for Collection’’
with ‘‘billing notice’’ for clarity. The

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United States Treasury Department
(Treasury) tends to use the term ‘‘billing
notices’’ when referring to these
documents,312 so FEMA is adopting that
term here to avoid confusion.
In the fifth sentence of
§ 206.110(i)(2)(ii), FEMA states that
FEMA will charge interest, penalties,
and administrative costs on delinquent
billing notices in accordance with the
Debt Collection Improvement Act. This
is consistent with the fifth sentence of
current § 206.110(i)(2)(ii), except for
FEMA replacing ‘‘administrative fees’’
with ‘‘administrative costs’’ and
replacing ‘‘Bills for Collection’’ with
‘‘billing notices’’ for clarity. Treasury
uses the terms ‘‘costs’’ and
‘‘administrative costs’’ instead of ‘‘fees’’
and ‘‘administrative fees’’ in the debt
collection context,313 so FEMA is
adopting that terminology here to avoid
confusion.
In the sixth sentence of
§ 206.110(i)(2)(ii), FEMA states that cost
shared funds, interest, penalties and
administrative costs owed to FEMA
through delinquent billing notices may
be offset from other FEMA disaster
assistance programs (i.e., Public
Assistance) from which the State is
receiving assistance, or future grant
awards from FEMA or other Federal
Agencies. This is consistent with the
sixth sentence in current
§ 206.110(i)(2)(ii), except for FEMA
replacing ‘‘fees’’ with ‘‘administrative
costs,’’ replacing ‘‘Bills for Collections’’
with ‘‘billing notices,’’ and adding
‘‘assistance’’ after ‘‘receiving’’ for
clarity.
In § 206.110(j)(2), FEMA states that
under the Stafford Act, 42 U.S.C.
5174(f)(2), FEMA must share applicant
information with States in order for the
States to make available any additional
State and local disaster assistance to
individuals and households. This is
consistent with current § 206.110(j)(2),
except for FEMA removing ‘‘section
408(f)(2) of’’ since referencing the
section of the Stafford Act only
increases the length of the regulation.
In § 206.110(j)(2)(ii), FEMA states that
States receiving such applicant
information must not further disclose
the information to other entities, and
must not use it for purposes other than
providing additional State or local
disaster assistance to individuals and
households. This is consistent with
current § 206.110(j)(2)(ii), except for
FEMA replacing ‘‘must’’ with ‘‘shall’’ in
312 See, e.g., Treasury Dept., Managing Federal
Receivables, Chapter 6: Delinquent Debt
Transparency, at 6–4 (March 2015), https://
fiscal.treasury.gov/files/dms/chapter6.pdf.
313 See, e.g., Id. at 6–15; 31 U.S.C. 3717(e)(1); and
31 CFR 901.9(c).

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
two places in the sentence for purposes
of plain language.
In the first sentence of § 206.110(k)(2),
FEMA states that individuals or
households that are located in a special
flood hazard area may not receive
Federal Assistance for National Flood
Insurance Program (NFIP)—insurable
real and/or personal property, damaged
by a flood, unless the community in
which the property is located is
participating in the NFIP (See 44 CFR
59.1), or the exception in 42 U.S.C.
4105(d) applies. This is consistent with
the first sentence in current
§ 206.110(k)(2), except for FEMA
replacing ‘‘(See 44 CFR part 59.1)’’ with
‘‘(See 44 CFR 59.1)’’ as a technical
correction since the cross cite is a
section and not a part.
In the first sentence of
§ 206.110(k)(3)(i), FEMA states that as a
condition of the assistance and in order
to receive any Federal assistance for
future flood damage to any insurable
property, individuals and households
named by FEMA as eligible recipients
under the Stafford Act, 42 U.S.C. 5174,
who receive assistance, due to flood
damage, for acquisition or construction
purposes under subpart D must buy and
maintain flood insurance, as required in
42 U.S.C. 4012a, for at least the
assistance amount. This is consistent
with the current first sentence of
§ 206.110(k)(3)(i), except for FEMA
removing ‘‘section 408 of’’ to decrease
the length of the regulations; adding ‘‘42
U.S.C. 5174’’ for accessibility; and
revising ‘‘damages’’ to ‘‘damage’’ for
grammar purposes.
In the first sentence of
§ 206.110(k)(3)(i)(A), FEMA states that if
the applicant is a homeowner, flood
insurance coverage must be maintained
at the address of the flood-damaged
property for as long as there is a
residential building (See 44 CFR 59.1) at
the address. This is consistent with the
current first sentence of
§ 206.110(k)(3)(i)(A), except for FEMA
adding ‘‘there is a residential building
(See 44 CFR 59.1) at’’ before ‘‘the
address’’ and removing ‘‘exists’’ for
clarity. An address does not ‘‘exist.’’
Rather, the language, for as long as there
is a residential building at the address,
is more precise.
In § 206.110(m), FEMA states that
assistance provided under subpart D
generally does not have the potential to
affect historic properties and thus
FEMA has no further obligations under
the National Historic Preservation Act,
54 U.S.C. 306108, with the exception of
ground disturbing activities and
construction related to
§§ 206.117(b)(1)(ii) (direct housing),
206.117(b)(2)(ii)(F) (repair assistance for

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privately owned roads and bridges),
206.117(b)(3) (replacement assistance),
and 206.117(b)(4) (permanent housing
construction.) This is consistent with
current § 206.110(m), except for FEMA
replacing ‘‘is exempted from review in
accordance with section 106 of’’ with
‘‘FEMA has no further obligations
under’’ for clarity and since referencing
the section of the National Historic
Preservation Act only increases the
length of the regulation; adding ‘‘54
U.S.C. 306108’’ for ease of reference;
replacing ‘‘Temporary’’ with ‘‘direct,’’
adding ‘‘206.117(b)(2)(ii)(F) (repair
assistance for privately owned roads
and bridges),’’ and replacing
‘‘Replacement housing’’ with
‘‘replacement assistance’’ for clarity;
and replacing ‘‘Permanent housing
construction’’ with ‘‘permanent housing
construction’’ to align with section
formatting.
With regard to the changes in
§ 206.110(m), the National Historic
Preservation Act, 54 U.S.C. 306108,
states that the head of any Federal
agency having direct or indirect
jurisdiction over a proposed Federal
undertaking or federally assisted
undertaking in any State, prior to the
approval of the expenditure, shall take
into account the effect of the
undertaking on any historic property. If
the undertaking is a type of activity that
does not have the potential to cause
effects on historic properties, assuming
such historic properties were present,
the agency official has no further
obligations under Section 106 of the
National Historic Preservation Act.
Based on over 20 years of practice, since
§ 206.110(m) was published, FEMA has
determined that the proposed
undertaking, excluding the stated
exceptions, does not have the potential
to cause effects on historic properties.
Therefore, FEMA changes the language
in § 206.110(m) to align it with the
applicable statutory and regulatory
language (i.e., 36 CFR 800.3(a)(1)).
In § 206.110(n), FEMA adds a new
paragraph heading of ‘‘Severability’’ for
consistency with standards established
by the Federal Register. FEMA is
adding new paragraph § 206.110(n)
stating any provision of subpart D held
to be invalid or unenforceable as
applied to any person or circumstance
should be construed so as to continue to
give the maximum effect to the
provision permitted by law, including
as applied to persons not similarly
situated or to dissimilar circumstances,
unless such holding is that the
provision of subpart D is invalid and
unenforceable in all circumstances, in
which event the provision should be
severable from the remainder of subpart

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D and should not affect the remainder
thereof.
A severability clause is a standard
legal provision. It indicates FEMA’s
intent that if a court finds that a specific
provision of a rule is unlawful, the court
should allow the remainder of the rule
to survive. Those provisions that are
unaffected by a legal ruling can be
implemented by an agency without
requiring a new round of rulemaking
simply to promulgate provisions that are
not subject to a court ruling.
FEMA is publishing this IFR to amend
its regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
FEMA believes that its authority to
implement each of these provisions is
well-supported in law and practice and
should be upheld in any legal challenge.
FEMA also believes that its exercise of
its authority reflects sound policy.
However, in the event that any portion
of the interim final rule is declared
invalid, FEMA intends that the various
provisions be severable. The provisions
are not so interconnected that the rule’s
efficacy depends on every one of them
remaining in place—implementation of
the different provisions is sufficiently
distinct that FEMA’s aim of increasing
equity and easing entry to the IA
Program would still be furthered by

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maintaining the other provisions. For
example, if a court were to find
unlawful the changes to insurance
proceeds, the remaining provisions of
the interim final rule, such as those on
CTHA and security deposit payments,
could still function sensibly and FEMA
would still intend them to stand.
C. Section 206.111—Definitions
In § 206.111, FEMA adds terms for
‘‘Destroyed,’’ ‘‘Essential tools,’’
‘‘Recertification,’’ ‘‘Repairs,’’ and
‘‘State’’ and to revise the definitions of
‘‘Alternative housing resources,’’
‘‘Dependent,’’ ‘‘Displaced applicant,’’
‘‘Eligible hazard mitigation measures,’’
‘‘Fair market rent,’’ ‘‘Financial ability,’’
‘‘Functioning,’’ ‘‘Housing costs,’’
‘‘Manufactured housing sites,’’ ‘‘Owneroccupied,’’ ‘‘Permanent housing plan,’’
‘‘Reasonable commuting distance,’’
‘‘Safe,’’ ‘‘Sanitary,’’ ‘‘Serious need,’’ and
‘‘Uninhabitable.’’
Alternative housing resources. FEMA
revises the term ‘‘Alternative housing
resources’’ to mean any housing that is
available or can quickly be made
available in lieu of permanent housing
construction and is cost-effective when
compared to permanent construction
costs. Some examples are rental
resources, manufactured housing units,
and travel trailers. This is consistent
with the current definition of
‘‘Alternative housing resources’’ except
for FEMA replacing ‘‘mobile homes’’
with ‘‘manufactured housing units,’’
after ‘‘rental resources.’’ FEMA makes
these changes to align with HUD’s
regulations and FEMA has moved away
from the term ‘‘mobile home’’ generally,
except when referring to a pre-disaster
mobile home that an applicant may
have occupied and to add an Oxford
comma to the list of examples for
grammar purposes.
Dependent. FEMA revises the term
‘‘Dependent’’ to mean someone who is
normally claimed as such on the Federal
tax return of another, according to the
Internal Revenue Code. It may also
mean the minor children of a couple not
living together, where the children live
in the affected residence with the parent
or guardian who does not claim them on
the tax return. This is consistent with
the current definition of ‘‘Dependent,’’
except for FEMA removing ‘‘actually’’
before ‘‘claim’’ for clarity.
Destroyed. FEMA defines the term
‘‘Destroyed’’ to mean the primary
residence is a total loss or damaged to
such an extent that repairs are
infeasible. IAPPG 1.1 at Chapter 3:
IV.G.1. considers a residence destroyed
when: disaster-caused damage
necessitates the replacement of the
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components (e.g., basement walls/
foundation, load-bearing walls, or roof
assembly have collapsed); the disaster
has completely removed the abovegrade structure and only the foundation
remains; flood waters have reached the
roof, inundating the majority of the
structure’s living area; the dwelling is in
imminent threat of collapse because of
disaster-caused damages; in the case of
mobile homes and or travel trailers,
when the frame is visibly bent or
twisted and releveling is not possible; or
repair is not feasible, and replacement is
necessary to ensure the safety or health
of the occupant or make the residence
functional.314 FEMA knows that the
IAPPG 1.1 definition is too long for a
regulatory definition, so FEMA drafted
the more succinct definition of
‘‘destroyed.’’
Displaced applicant. FEMA revises
the term ‘‘Displaced applicant’’ to mean
one whose disaster-damaged primary
residence is uninhabitable, inaccessible,
or made unavailable by the landlord.
This is consistent with the current
definition of the term ‘‘Displaced
applicant,’’ except for FEMA adding
‘‘disaster damaged’’ before ‘‘primary
residence’’ for clarity as the Stafford Act
requires the home to be rendered
‘‘uninhabitable’’ by disaster damage;
adding ‘‘or’’ before the clause ‘‘made
unavailable by the landlord’’ for clarity;
and removing the clauses ‘‘(to meet their
disaster housing need)’’ and ‘‘or not
functional as a direct result of the
disaster and has no other housing
available in the area, i.e., a secondary
home or vacation home.’’ The removal
of the clauses have two different
reasons. FEMA’s definition of
‘‘Uninhabitable’’ (not safe, sanitary or fit
to occupy) does not mention
functioning or functional as a factor for
determining whether the home is
uninhabitable. The Stafford Act makes
‘‘functioning condition’’ a part of the
habitability standard for repair
assistance. Specifically, repairs must
restore the home to a safe, sanitary or
functioning condition. There is no
requirement for the home to be not
functioning; only that the home be
owner-occupied as the primary
residence before the disaster and
rendered uninhabitable by the disaster
damage. Secondly, since the ineligibility
factors are included in § 206.113, it
seems unnecessary and repetitive to
include the additional explanatory
information of ‘‘i.e., a secondary home
or vacation home’’ in the definition of
displaced applicant.
314 See

page 91 IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.

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Eligible hazard mitigation measures.
FEMA revises the term ‘‘Eligible hazard
mitigation measures’’ to mean home
improvements that an applicant can
accomplish in order to reduce or
prevent future disaster damage to the
primary residence, utilities, or
infrastructure. This is consistent with
the current definition of ‘‘Eligible
hazard mitigation measures,’’ except for
FEMA replacing the phrase ‘‘essential
components of the home’’ with ‘‘the
primary residence, utilities, or
infrastructure’’ for clarity. FEMA does
not have a definition for the phrase
‘‘essential components of the home,’’
but § 206.117(b)(2)(ii)(H) currently refers
to ‘‘eligible hazard mitigation measures’’
and includes the clarifying words ‘‘that
reduce the likelihood of future damage
to the residence, utilities, or
infrastructure.’’ FEMA is replacing the
undefined phrase in § 206.111, with the
phrase that FEMA has been using in
§ 206.117(b)(2)(ii)(H), ‘‘the residence,
utilities, or infrastructure,’’ with the
small revision of adding ‘‘primary’’
before ‘‘residence’’ as ‘‘primary
residence’’ is the defined term in the
IHP regulations.
Essential tools. FEMA defines the
term ‘‘Essential tools’’ to mean tools and
equipment required for employment
and items required for education. This
definition of ‘‘Essential tools’’ is
consistent with the current definition of
Essential tools in Chapter 3: VI.C.1. of
IAPPG 1.1 except that it replaces the
phrases ‘‘required by an employer as a
condition of’’ and ‘‘required as a
condition of an applicant’s or household
member’s’’ with ‘‘required for’’ so that it
parallels the ONA regulatory text at
§§ 206.119(b)(6)(iv) and 206.119(b)(6)(v)
for consistency.315
Fair market rent. FEMA revises the
term ‘‘Fair market rent’’ to mean
estimates of rent plus the cost of
utilities, except telephone, identified by
the Department of Housing and Urban
Development as being adequate for
existing rental housing in a particular
geographic area. This is consistent with
the current definition of fair market
rent, except for FEMA removing the
following part of the current first
sentence of the definition: ‘‘housing
market wide estimates of rents that
provide opportunities to rent standard
quality housing throughout the
geographic area in which rental housing
units are in competition’’ for simplicity
and removing the following phrase from
the beginning of the current second
sentence of the definition, ‘‘the fair
315 See page 167 IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
market’’ for simplicity; adding the
phrase ‘‘estimates of rent plus the cost
of utilities, except telephone’’ to more
closely mirror HUD’s definition of FMR
and adding ‘‘geographic’’ before ‘‘area’’
for clarity.
Financial ability. Currently, FEMA’s
definition of ‘‘Financial ability’’ only
applies to the requirement that
applicants whose incomes were
impacted by the disaster can afford to
pay 30 percent of their income toward
housing. Applicants whose income was
not impacted are expected to be able to
pay the dollar amount they paid predisaster. When computing financial
ability, extreme or unusual financial
circumstances may be considered by the
RA. FEMA has been applying the
concept that all applicants requesting
Continued Temporary Housing
Assistance have the financial ability to
pay up to 30 percent of their income
toward housing to all applicants
requesting CTHA since 2002, to treat
applicants consistently.
FEMA revises the term ‘‘Financial
ability’’ to mean the applicant’s
capability to pay 30 percent of gross
post-disaster household income for
housing. When computing financial
ability, extreme or unusual financial
circumstances may be considered by
FEMA. This is consistent with the
current definition of the term ‘‘Financial
ability,’’ except for FEMA moving the
clause ‘‘30 percent of gross post-disaster
income for housing’’ to earlier in the
definition, replacing ‘‘the Regional
Administrator’’ with ‘‘FEMA’’ to ensure
continued consistency in processing
across disasters at the national level
when computing ‘‘Financial ability’’ in
extreme or unusual financial
circumstances, and removing the second
and third sentences of the current
definition.
Functioning. FEMA revises the term
from ‘‘Functional’’ to ‘‘Functioning’’ for
clarity and FEMA states that the
definition remains the same.
Functioning means an item or home
capable of being used for its intended
purpose.
Housing costs. FEMA revises the term
‘‘Housing costs’’ to mean rent and
mortgage payments, including principal,
interest, real estate taxes, real property
insurance, homeowners or
condominium association fees, and
utility costs. This is consistent with the
current definition of the term ‘‘Housing
costs,’’ except for FEMA adding
‘‘homeowners or condominium
association fees’’ to codify the current
practice.
Manufactured housing sites. FEMA
revises the term ‘‘Manufactured housing
sites’’ to mean those sites used for the

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placement of travel trailers and other
manufactured housing units, including:
(1) Commercial site, a site customarily
leased for a fee, which is fully equipped
to accommodate a housing unit;
(2) Private site, a site that the
applicant provides or obtains at no cost
to the Federal Government, complete
with utilities; and
(3) Group site, a site provided by the
State or local government or FEMA, if
determined that such site would be
more economical or accessible than one
that the State or local government
provides, that accommodates two or
more units and is complete with
utilities.
This is consistent with the current
definition of the term ‘‘Manufactured
housing sites,’’ except for FEMA
removing the phrase ‘‘government or
privately owned mobile homes’’ for
clarity and deleting the comma after
‘‘travel trailers’’ for grammar purposes.
FEMA deletes ‘‘government or privately
owned’’ as there is not something other
than government or privately owned.
FEMA deletes ‘‘mobile homes’’ to align
with HUD’s regulations and as FEMA
has moved away from the term ‘‘mobile
home’’ generally, except when referring
to a pre-disaster mobile home that an
applicant may have occupied.
Also, the above definition is
consistent with the current definition of
the subterm ‘‘Group site,’’ except for
FEMA adding ‘‘or FEMA, if determined
that such site would be more
economical or accessible than one that
the State or local government provides’’
before ‘‘that’’ for clarity and
consistency. Currently,
§ 206.117(b)(1)(ii)(E)(4) covers a group
site provided by FEMA and it includes
the language that ‘‘such a site would be
more economical or accessible than one
that the State or local government
provides,’’ so for consistency FEMA
adds the limitations of when FEMA will
provide a group site to the revisions to
the definition.
Owner-occupied. FEMA revises the
term ‘‘Owner-occupied’’ to mean that
the residence is occupied by:
(1) The legal owner with verifiable
documentation; or
(2) A person who does not hold
formal title to the residence and pays no
rent, but can produce verifiable
documentation demonstrative of legal
responsibility including tax payment
receipts; receipts for major repairs,
maintenance, or improvements of the
residence; court documents, a letter
from a public official, or, for mobile
home or travel trailer owners residing in
a commercial park, a letter from the
mobile home park owner or manager; or

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(3) A person who has verifiable
documentation of lifetime occupancy
rights with formal title vested in
another.
This is consistent with the current
term ‘‘Owner-occupied,’’ except for
FEMA adding ‘‘with verifiable
documentation; or ’’ after ‘‘legal owner’’
in paragraph (1) for clarity and to avoid
being overly limiting; adding ‘‘verifiable
documentation of ’’ before ‘‘lifetime’’ in
paragraph (3) for clarity; and replacing
‘‘is responsible for the payment of taxes
or maintenance of the residence’’ with
‘‘can produce verifiable documentation
demonstrative of legal responsibility
including tax payment receipts; receipts
for major repairs, maintenance, or
improvements of the residence; court
documents, a letter from a public
official, or, for mobile home or travel
trailer owners residing in a commercial
park, a letter from the mobile home park
owner or manager’’ in subparagraph (2)
for clarity. FEMA has already
implemented all of the proposed
changes to the definition of the term
‘‘Owner-occupied’’ via the September 2,
2021, Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum; therefore,
FEMA is only codifying existing
practice in our revisions to this term.
Permanent housing plan. FEMA
revises the term ‘‘Permanent housing
plan’’ to mean a realistic plan that,
within a reasonable timeframe, puts the
displaced applicant back into
permanent housing that is similar to
their pre-disaster housing situation. A
reasonable timeframe includes sufficient
time within the period of assistance for
securing funds and services to repair the
home, completing repairs or locating a
permanent dwelling, and moving into
the dwelling. This is consistent with the
current definition of the term
‘‘Permanent housing plan,’’ except for
FEMA replacing ‘‘disaster victim’’ with
‘‘displaced applicant’’ and replacing
‘‘the victim’s’’ with ‘‘their’’ for
consistency and adding the phrase
‘‘within the period of assistance,’’ the
clause ‘‘and services to repair the
home,’’ and the clause ‘‘completing
repairs or’’ for clarity.
Reasonable commuting distance.
FEMA revises the term ‘‘Reasonable
commuting distance’’ to mean a
distance that does not place undue
hardship 316 on an applicant. It also
316 The following are the types of circumstances
that FEMA would consider as an ‘‘undue
hardship.’’ FEMA takes into consideration the
travel time involved due to road conditions and
disaster-related impacts to commuting patterns in
the area. For example, during the Oso mudslides,

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takes into consideration the traveling
time involved due to road conditions,
e.g., mountainous regions or road
closures and the normal commuting
patterns of the area. This is consistent
with the current definition of
‘‘Reasonable commuting distance,’’
except for FEMA replacing ‘‘bridges
out’’ with ‘‘road closures’’ for grammar
purposes; as, ‘‘bridges out’’ is not
grammatically correct.
Recertification. FEMA defines the
term ‘‘Recertification’’ to mean the
process that FEMA uses to evaluate an
applicant’s eligibility for continued
temporary housing assistance under
§ 206.114. Currently, the recertification
process is discussed in various places in
the IAPPG.317 FEMA describes
recertification as when FEMA reevaluates the occupant’s eligibility on a
periodic basis, and the eligibility for the
entire period of assistance is subject to
the occupant continuing to meet
recertification requirements. FEMA
defines the term ‘‘Recertification’’ in the
IFR for clarity.
Repairs. FEMA defines the term
‘‘Repairs’’ to mean repairs of a quality
necessary for a safe and sanitary living
or functioning condition. This is a new
definition that FEMA aligns with the
Stafford Act language at 42 U.S.C. 5174
and is consistent with the edits FEMA
made in the below repair section.
Safe. FEMA revises the term ‘‘Safe’’ to
mean secure from hazards or threats to
occupants. This is consistent with the
current definition of the term ‘‘safe,’’
except for FEMA removing ‘‘disasterrelated’’ from the definition.
Sanitary. FEMA revises the term
‘‘Sanitary’’ to mean free of health
hazards. This is consistent with the
current definition of the term
‘‘sanitary,’’ except for FEMA removing
‘‘disaster-related’’ from the definition.
Under FEMA’s current regulations, if
an applicant’s primary residence had
existing health hazards prior to a
disaster, the applicant would not be
eligible for assistance to repair those
hazards. The changes to the definitions
of ‘‘safe’’ and of ‘‘sanitary’’ allow FEMA
to provide assistance for repairing those
hazards. For example, under the
changes, if an applicant’s primary
residence had a leaky roof prior to a
disaster, that leak will be eligible for
a main thoroughfare was destroyed due to the
disaster and the only alternative for residents was
to take a mountainous road that increased
applicants commute time by 2 hours. Similar
situations have also occurred in Hawaii due to lavaflow, where entire roadways were impassible and
severely impacted the community.
317 See pages 98, 99, and 103 of IAPPG 1.1.
https://www.fema.gov/sites/default/files/
documents/fema_iappg-1.1.pdf.

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repair as long as the primary residence
incurred some disaster damage and
repair or replacement of the roof was
required to make the home sanitary.
This is consistent with 42 U.S.C. 5174
and will help FEMA provide disaster
assistance in a more fair and equitable
manner.
Serious need. FEMA revises the term
‘‘Serious need’’ to mean the requirement
for an item, or service, that is necessary
to an applicant’s ability to prevent,
mitigate, or overcome a disaster-related
hardship, injury or adverse condition.
This is consistent with the current
definition of the term ‘‘Serious need,’’
except for FEMA replacing ‘‘essential’’
with ‘‘necessary’’ for consistency with
the Stafford Act at 42 U.S.C. 5174. The
current regulation uses ‘‘essential,’’
which is defined as ‘‘absolutely
necessary,’’ so that is something more
than necessary. With this change, FEMA
is aligning with the statutory language
more closely, especially where
‘‘necessary’’ can be interpreted as less of
a bar for applicants to reach than
‘‘essential.’’
State. FEMA defines the term ‘‘State’’
to mean for the purposes of subpart D
and where consistent with the
requirements of the Stafford Act, any
State as defined in § 206.2(a)(22) 318 or
‘‘Indian tribal government’’ as defined
in the Stafford Act (42 U.S.C. 5122(6)).
FEMA adds the defined term ‘‘State’’
which includes Tribes for clarity.
Uninhabitable. FEMA revises the term
‘‘Uninhabitable’’ to mean the dwelling
is not safe or sanitary. This is consistent
with the current definition of
‘‘Uninhabitable,’’ except for FEMA
adding ‘‘or’’ before ‘‘sanitary’’ and
removing ‘‘or fit to occupy,’’ since the
Stafford Act at 42 U.S.C. 5174 does not
define uninhabitable but only uses safe
and sanitary as a habitability standard.
D. Section 206.112—Registration Period
In the first sentence of § 206.112(b),
FEMA states that FEMA may extend the
registration period when the State
requests more time to collect
registrations from the affected
population. This is consistent with the
first sentence of current § 206.112(b),
except for FEMA replacing ‘‘the regional
administrator or his/her designee’’ with
‘‘FEMA’’ to ensure continued
consistency in processing across
disasters at the national level.
In the second sentence of
§ 206.112(b), FEMA states that FEMA
may also extend the standard
318 State: Any State of the United States, the
District of Columbia, Puerto Rico, the Virgin
Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.

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registration period when necessary to
establish the same registration deadline
for contiguous counties or States. This
is consistent with the second sentence
of current § 206.112(b), except for FEMA
replacing ‘‘the Regional Administrator
or his/her designee’’ with ‘‘FEMA’’ to
ensure continued consistency in
processing across disasters at the
national level.
In § 206.112(c), FEMA adds a new
paragraph heading of ‘‘Reopening of the
registration period’’ for consistency with
standards established by the Federal
Register. FEMA adds a new paragraph
206.112(c) which states that after the
registration period for the major disaster
or emergency has expired, FEMA may
reopen the registration period for 60
days only when the President’s
declaration is amended to include
additional counties and only for the
additional counties. The intent is to
limit a reopened registration period to
60 days and just for the areas included
in the add-on after the registration
period already ended.
In the second sentence of
§ 206.112(d), FEMA states that we will
process late registrations for those
registrants who explain the reason for
the delay in their registration. This is
consistent with the second sentence of
current § 206.112(c), except for FEMA
replacing ‘‘provide suitable
documentation to support and justify’’
with ‘‘explain’’ as requiring
documentation places a burden on
applicants to produce the documents
and can slow the provision of assistance
to applicants. It is also generally
accepted that underserved populations
are most likely to struggle with
producing suitable documentation.
FEMA’s current policy 319 states that
applicants who apply late must submit
a letter that explains the extenuating
circumstances that prevented them from
applying for assistance in a timely
manner and signed by the applicant or
person who the applicant authorizes to
act on their behalf. The letter should
also include documentation justifying
the extenuating circumstances. The
documentation provided must be dated
immediately prior to or within the
FEMA registration period. Acceptable
documentation may include:
• Record of hospitalization, illness, or
disability of the applicant or an
immediate family member;
• Record of death for an immediate
family member; or
319 Page 71 of the Individual Assistance Program
and Policy Guide, version 1.1 (Individual
Assistance Program and Policy Guide (IAPPG)
(fema.gov) discusses late applications and the types
of acceptable information FEMA requires in order
for the late application to be considered.

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• Proof of personal or business travel
that kept the applicant out of the area
for the full application period.
Additionally, FEMA received the
following comment in response to the
RFI:

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The barriers for an applicant to access
FEMA assistance should be as minimal as
possible. To that end, [the commenter]
requests that Congress accept any and all
applications received during the thirty-day
grace period after the deadline has passed.
Currently, CFR requirements state that an
applicant must provide ‘‘suitable
documentation’’ to justify the late
application. There are myriads of valid
reasons why applicants may be late to apply
and forcing them to justify why their
particular reason should count is
inappropriate and unnecessary.320

In the past 10 years, FEMA has
approved 51 percent of the late
applications received. In many
disasters, the disaster staff worked
closely with survivors who submitted
late applications to explain the
necessary documentation and help
gather it from the applicant. Simplifying
the process for applicants will also
allow this staff more time to support
other elements of disaster recovery and
applicants with other ineligibility
reasons.
The language surrounding ‘‘suitable
documentation’’ has been in FEMA’s
regulations since the IHP regulations
went into effect in 2002. Generally,
requiring documentation has been a
means for FEMA to validate that there
is a disaster-related need. However, any
applicants approved for further
consideration based on their late
application status still have to meet all
the eligibility requirements required of
applicants who applied during the
application period (i.e., occupancy and
ownership, citizenship, and identity
verification, assistance eligibility
criteria, etc.). Ultimately, survivors who
apply during the late application period
will only receive funds if they have
disaster-caused damages or losses.
This change ultimately benefits
applicants and lowers the
documentation burden for receiving
eligibility consideration for IHP
assistance for any disaster survivor who
registers during the late application
period, while also providing FEMA the
ability to ensure there is a disasterrelated reason for the late application.
There are no expected negative impacts
for disaster survivors in making this
change.
FEMA has also decided to accept
more reasons from applicants for late
applications. These include:
320 FEMA–2021–0011–0149.

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• Incarceration;
• Victim of human trafficking;
• On-going domestic situations where
persons in the same household posed an
immediate threat to other family
members, resulting in a separation of
the family unit; or
• Major life events that occurred
during the initial registration period
(e.g., birth or adoption of a child, foster
care placement, marriage, gender
transition, transition of a family member
into or out of a residential or mental
health care facility) that led to a late
application.
FEMA considered the following
policy alternatives: making no change;
updating the language to no longer
require suitable documentation; or
removing the requirement for applicants
to justify their late application at all.
Making no change maintains a
substantial applicant burden that slows
the provision of assistance and likely
impacts underserved populations
disproportionately. While the current
documentation requirement impacts a
relatively small population’s eligibility,
it ultimately denies access to any form
of FEMA IHP assistance if the applicant
cannot provide documentation
justifying the reason for their late
application. Removing the requirement
for any justification, verbal or otherwise,
essentially removes any difference
between the standard application period
and the late application period which
are identified as separate and distinct
time periods.
E. Section 206.113—Eligibility Factors
In the first sentence of § 206.113(a),
FEMA states that in general, FEMA may
provide assistance to individuals and
households who qualify for such
assistance under the Stafford Act, 42
U.S.C. 5174, and subpart D. This is
consistent with the first sentence of
current § 206.113(a), except for FEMA
removing ‘‘section 408 of’’ and adding
‘‘42 U.S.C. 5174’’ after ‘‘the Stafford
Act,’’ for clarity and public ease of
reference.
In § 206.113(a)(1), FEMA states that
FEMA may only provide assistance
when the individual or household has
incurred a disaster-related necessary
expense and serious need in the State in
which the disaster has been declared,
without regard to their residency in that
State. This is consistent with current
§ 206.113(a)(1), except for FEMA
replacing ‘‘or’’ with ‘‘and’’ before
‘‘serious need,’’ as a codification of a
current existing policy and practice
since FEMA has always allowed
applicants to receive assistance for both
a necessary expense and a serious need
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State and FEMA capitalizing ‘‘State’’ in
§ 206.113(a)(1), when used as a noun.
FEMA removes the current sentence
at § 206.113(a)(4), which states that an
eligibility factor under which FEMA
may provide assistance is in a situation
where the applicant has insurance,
when the insured individual or
household’s insurance proceeds are less
than the maximum amount of assistance
FEMA can authorize and the proceeds
are insufficient to cover the necessary
expenses or serious needs. FEMA
removes current § 206.113(a)(4), as an
applicant may only receive assistance
for real or personal property through the
IHP when their insurance proceeds are
less than the FEMA Verified Loss (FVL)
and the applicable HA or ONA
maximum. Per 42 U.S.C. 5174, FEMA
can assist underinsured applicants, but
the current regulations limit the
assistance to applicants who receive less
than $42,500 in real or personal
property from their insurance company.
FEMA identified the need to update
FEMA’s current regulations to allow for
more equity in the IHP when FEMA
determines the unmet needs of
applicants by comparing their net
insurance settlements to the FVL. For
the reasons described earlier, the IFR
limits the requirement to compare
insurance proceeds to the financial HA
or ONA maximum.
In § 206.113(a)(4), FEMA states that
an eligibility factor under which FEMA
may provide assistance is in a situation
where the applicant has insurance, but
the applicant cannot use their insurance
because housing is not available on the
private market. In § 206.113(a)(4), FEMA
is consistent with current
§ 206.113(a)(5), except for FEMA adding
‘‘but the applicant cannot use their
insurance’’ after ‘‘insurance,’’ and
replacing ‘‘when’’ with ‘‘because’’ for
clarity. FEMA is incorporating this
clarifying language to apply to
applicants who have insurance but are
unable to use their Additional Living
Expenses or Loss of Use coverage, as
there is no housing available on the
private market.
In § 206.113(a)(5), FEMA states that
an eligibility factor under which FEMA
may provide assistance is in a situation
where the applicant has insurance,
when the insured individual or
household has accepted all assistance
from other sources for which he, she, or
they are eligible, including insurance,
and that assistance and insurance is
insufficient to cover the necessary
expense and serious need. In
§ 206.113(a)(5), FEMA is consistent with
current § 206.113(a)(6), except for FEMA
replacing the phrase ‘‘when the insured
individual or household’s insurance

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proceeds and all other assistance are
less than the maximum amount of
assistance FEMA can authorize and the
proceeds’’ with the phrase ‘‘and that
assistance and insurance is’’ before
‘‘insufficient’’ to allow for more equity
and to more fully address the unmet
needs of applicants, replacing ‘‘or’’ with
‘‘and’’ before ‘‘serious’’ for clarity, and
replacing ‘‘needs’’ with ‘‘need’’ for
grammar purposes. We note that the
changes from ‘‘or’’ to ‘‘and’’ has no
practical effect. Section 408(a)(1) of the
Stafford Act, 42 U.S.C. 5174, uses ‘‘and’’
for overarching eligibility criteria, but
Section 408(e) of the Stafford Act, 42
U.S.C. 5174 uses ‘‘or’’ to describe
eligibility criteria for ONA. FEMA used
the word ‘‘or’’ in the current regulations
to avoid being overly limiting; however,
current § 206.111 defines ‘‘necessary
expense’’ to be, essentially, whatever it
costs to fix a ‘‘serious need.’’ This
means that although the regulations use
‘‘or,’’ FEMA always treated the phrase
as an ‘‘and.’’
Section 206.113(a)(6) is consistent
with current § 206.113(a)(7), except for
the changes to the paragraph structure.
Section 206.113(a)(7) is consistent with
current § 206.113(a)(8), except for the
changes to the paragraph structure and
the removal of ‘‘and’’ at the end of the
paragraph. Section 206.113(a)(8) is
consistent with current § 206.113(a)(9),
except for the changes to the paragraph
structure and the addition of ‘‘; and’’ at
the end of the paragraph to allow for a
new paragraph § 206.113(a)(9).
In new § 206.113(a)(9), FEMA states
that FEMA may provide assistance with
respect to home repair for accessibilityrelated items, if an applicant meets the
following conditions: (i) the applicant is
either an individual with a disability as
defined in 42 U.S.C. 5122 whose
disability existed prior to the disaster
and whose primary residence was
damaged by the disaster, or an
individual with a disability as defined
in 42 U.S.C. 5122 whose disability was
caused by the disaster and whose
primary residence was damaged by the
disaster; (ii) the real property
component is necessary to meet the
accessibility-related need of the
household; and (iii) the real property
component is not covered by insurance
or any other source.
In response to public comments,
FEMA has also changed the regulatory
text at § 206.117(b)(2) and a new
§ 206.113(a)(9) as a part of this IFR. The
changes will allow FEMA flexibility to
provide financial assistance to
applicants for the installation or
construction of real property items that
were not present in the home prior to
the disaster. Specifically, these changes

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allow IHP to expand its existing
policy,321 which provides for the
installation of ADA related real property
to applicants with disaster-caused
needs, to include Home Repair
Assistance for disaster survivors with
pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional when
any level of disaster-caused real
property damage occurs to the primary
residence.
Not only does the new regulatory text
at § 206.113(a)(9) list the home repair for
accessibility-related items eligibility
factors, but it also clarifies that FEMA
uses the term an ‘‘individual with a
disability’’ as defined in section 102(7)
of the Stafford Act, 42 U.S.C. 5122.
Unfortunately, section 102(7) of the
Stafford Act is outdated and states that
the term ‘‘individual with a disability’’
means an individual with a disability as
defined in Section 3(2) of the Americans
with the Disabilities Act of 1990 (42
U.S.C. 12102(2)). The ADA was
amended in 2008 and the definition of
disability was moved from
subparagraph (2) to subparagraph (1).
Congress has not amended the Stafford
Act to reflect this change; therefore,
FEMA is interpreting the language in
section 102(7) of the Stafford Act, 42
U.S.C. 5122, to mean that FEMA should
use the ADA definition of disability
with respect to an individual at 42
U.S.C. 12102(1).
If FEMA did not interpret section
102(7) of the Stafford Act, 42 U.S.C.
5122, to mean that the term ‘‘individual
with a disability’’ means an individual
with a disability as defined in the ADA
at current 42 U.S.C. 12102(1) and
instead relied on the ADA crossreference that is currently listed in the
Stafford Act, 42 U.S.C. 12102(2), then
FEMA will define ‘‘individual with a
disability’’ based on the ADA definition
of the term ‘‘major life activities’’ which
is illogical. FEMA assumes that
Congress will amend the Stafford Act to
cross-reference to the correct paragraph
of the ADA.
Via information collection 1660–0002,
we are adding a documentation
requirement to tie the need for the home
repair accessibility-related items: ramp,
grab bars, and/or paved pathway to the
pre-existing disability to meet the
household’s access and functional need.
We are requiring that a medical, health
care, or rehabilitation professional
certify whether or not this is necessary;
321 September 2, 2021, Amendment to FEMA
Policy (FP) 104–009–03, Individual Assistance
Program and Policy Guide (IAPPG), Version 1.1
memorandum.

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as, they have the expertise to make that
determination or we will accept prior
medical, health care, or rehabilitation
professional documentation that
supports the need for the accessibilityrelated items.
FEMA is making changes to Home
Repair Assistance to adjudicate four RFI
comments,322 so that FEMA may make
the dwelling safe/sanitary for predisaster disabled applicants. For
example, this change will allow FEMA
to reimburse pre-disaster disabled
applicants for accessibility items, such
as grab bars and access ramps, if the
primary residence sustained disaster
damage regardless of whether or not the
applicant had grab bars or access ramps
pre-disaster.
In § 206.117(b)(2)(i), FEMA states that
FEMA may provide financial assistance
for the repair of an owner-occupied
primary residence if: the eligibility
criteria in § 206.113 are met; FEMA
determines the dwelling was damaged
by the disaster; and the damage is not
covered by insurance. This sentence is
consistent with the current
§ 206.117(b)(2)(i), except for FEMA
removing the phrase ‘‘real property
components in’’ before ‘‘an owneroccupied primary residence;’’ adding
‘‘FEMA determines’’ after ‘‘met;’’
removing ‘‘to the component’’ after
‘‘damage’’ and replacing ‘‘component’’
with ‘‘dwelling,’’ as the Stafford Act
does not limit repairs to ‘‘components’’
and replacing ‘‘owner’s’’ with ‘‘owneroccupied’’ for consistency as owneroccupied is the defined term in
§ 206.111; removing the current
§ 206.117(b)(2)(i)(B) that ‘‘the
component was functional immediately
before the declared event’’ and
removing current § 206.117(b)(2)(i)(E)
that ‘‘the repair of the component is
necessary to ensure the safety or health
of the occupant or to make the residence
functional,’’ and removing the clause
‘‘and the damage was caused,’’ since
FEMA is paying for pre-existing
conditions if the component itself was
damaged by the disaster.
In § 206.117(b)(2)(ii), FEMA states
that FEMA may provide financial
assistance for the repair of the disaster
damaged dwelling to a safe and sanitary
living or functioning condition. This
clause is consistent with the current
§ 206.117(b)(2)(ii), except for FEMA
adding ‘‘the disaster damaged dwelling
to a safe and sanitary living or
functioning condition including’’ after
‘‘of.’’ These additions align with the
changes that make it clear that only
322 FEMA–2021–0011–0152, FEMA–2021–0011–
0164, FEMA–2021–0011–0235, and FEMA–2021–
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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
disaster damaged dwellings (regardless
of their pre-disaster condition) may
receive repair assistance, as FEMA may
only pay to restore disaster damage to a
safe and sanitary living or functioning
condition. If the dwelling was not
touched by the disaster, it will not be
eligible for repair assistance; therefore,
the applicant will not be able to apply
for Home Repair Assistance for their
pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional.
In § 206.113(b)(1), FEMA states that
FEMA may not provide assistance under
subpart D for housing or displacement
assistance, to individuals or households
who are displaced from other than their
pre-disaster primary residence. This is
consistent with the current
§ 206.113(b)(1), except for FEMA adding
‘‘or displacement’’ before ‘‘assistance’’
for clarity, since we added displacement
assistance to the ONA regulations in
§ 206.119(b)(2).
In § 206.113(b)(2), FEMA states that
FEMA may not provide assistance under
subpart D for temporary housing or
displacement assistance, to individuals
or households who have adequate rentfree housing accommodations. This is
consistent with the current
§ 206.113(b)(2), except for FEMA adding
‘‘temporary’’ before ‘‘housing’’ and
adding ‘‘or displacement’’ before
‘‘assistance’’ for clarity. FEMA may
provide assistance to repair an
applicant’s home, but FEMA will not
provide the applicant with rental
assistance or direct housing assistance,
while the applicant’s repairs are made
because the applicant has somewhere
else they can temporarily live.
In § 206.113(b)(3), FEMA states that
FEMA may not provide assistance under
subpart D for temporary housing or
displacement assistance, to individuals
or households who own a secondary or
vacation residence within reasonable
commuting distance to the disaster area,
or who own available rental property
that meets their temporary housing
needs. This is consistent with the
current § 206.113(b)(3), except for
FEMA adding ‘‘temporary’’ before
‘‘housing’’ and adding ‘‘or
displacement’’ before ‘‘assistance’’ for
clarity. See the explanation in the above
discussion of § 206.113(b)(2).
In § 206.113(b)(4), FEMA states that
FEMA may not provide assistance under
subpart D for temporary housing or
displacement assistance to individuals
or households who evacuated the
residence in response to official
warnings solely as a precautionary
measure and are able to return to and
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immediately after the incident. This is
consistent with the current
§ 206.113(b)(4), except for FEMA adding
‘‘temporary’’ before ‘‘housing’’ adding
‘‘or displacement’’ before ‘‘assistance,’’
see the explanation in the above
discussion of § 206.113(b)(2), removing
‘‘who’’ before ‘‘are,’’ and adding ‘‘and
safely occupy’’ before ‘‘the residence
immediately after the incident’’ for
clarity and equity. This is intended to
apply to applicants that did not receive
damage that impacted habitability and
can safely return and live in their home
immediately. However, lodging expense
reimbursement is available to
individuals or households who
evacuated the residence in response to
official warnings solely as a
precautionary measure and did not
receive temporary housing or
displacement assistance. See
§ 206.110(d).
In § 206.113(b)(5), FEMA states that
FEMA may not provide assistance under
subpart D for housing assistance, for
improvements or additions to the predisaster condition of property, except
for the following: (i) improvements or
additions required to make repairs that
comply with local and State ordinances;
(ii) eligible hazard mitigation measures;
or (iii) accessibility-related items for
individuals with disabilities, consistent
with § 206.113(a)(9). This is consistent
with the current § 206.113(b)(5), except
for FEMA adding ‘‘for the following:’’
after ‘‘except’’ and giving the exceptions
in a list format across paragraphs
(b)(5)(i)–(iii), for clarity; replacing
‘‘those’’ with ‘‘improvements or
additions’’ for clarity; adding ‘‘hazard’’
to ‘‘Eligible hazard mitigation
measures’’ for clarity since that is the
defined term in § 206.111; adding to
‘‘make repairs that’’ before ‘‘comply’’ for
clarity; and adding an exception for
accessibility-related items for
individuals with disabilities, for
consistency with the changes to
§ 206.113(a)(9).
In § 206.113(b)(9), FEMA states that
FEMA may not provide assistance under
subpart D for business losses, including
farm businesses. This is consistent with
the current § 206.113(b)(9), except for
FEMA removing ‘‘and self-employment’’
in order to allow the self-employed
eligibility for essential tools. Currently,
the self-employed are ineligible for IHP
grants; so, artists and gig workers cannot
apply for ONA personal property
assistance for their self-employed
personal property assistance items
damaged in the disaster. Businesses will
continue to be ineligible for business
losses under 206.113(b)(9). Therefore,
FEMA is allowing a self-employed
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the ONA portion of the IHP for personal
property losses under 206.119(b)(6)(iv)
in their individual capacity. For
example, under our changes, a gig
worker could apply for personal
property assistance for disaster damaged
essential tools that are required for their
livelihood. So, if they are a guitar
player, then they could apply for ONA
personal property assistance for
repairing/replacing the guitar,
whichever is needed.
For self-employed individuals, FEMA
relies on the individual to self-certify
the items required for their job.323 Two
RFI commenters 324 address challenges
faced by self-employed individuals that
participate in the ‘‘gig economy.’’ These
individuals that have no employees
other than themselves are classified by
the U.S. Census Bureau as
‘‘nonemployer businesses’’ may face
challenges identifying the types of
assistance for which they qualify at
FEMA and other Federal Agencies.
In Senate Report 115–283, which
accompanied the Fiscal Year (FY) 2019
DHS Appropriations Act (Pub. L. 116–
6) included the requirement that FEMA
review its reimbursement policy,
including in relation to Small Business
Loans, for expenses incurred as a result
of a major disaster or emergency by selfemployed or freelance workers for tool
repair or replacement, specialized or
protective clothing, or other
requirement equipment, for fairness in
relation to other reimbursement
policies. The Senate Report also
requested a cost estimate.
FEMA’s Individuals and Households
Program Assistance for Occupational
Tools FY 2019 Report to Congress (FY
2019 Report) found that FEMA IHP
assistance is not a substitute for
insurance and cannot compensate for all
losses caused by a disaster. The IHP is
intended to meet basic needs and
supplement disaster recovery efforts.
FEMA believed that it was appropriate
to continue to direct businesses,
including self-employed persons, to
SBA so that they can secure low-interest
loans for their disaster-related losses.
Self-employment business losses are
ineligible for FEMA assistance, meaning
that FEMA does not record business323 For self-employed applicants FEMA requires,
a written statement from the applicant, including an
itemized list of essential tools, specialized or
protective clothing, computing devices, and
equipment required for self-employment, verifying
their need for the items. The statement must
include, ‘‘I hereby declare under penalty of perjury
that the foregoing is true and correct,’’ and be
signed by the applicant. Tax return documentation
would be required to establish self-employment
(e.g., Form 1040 or 1040–SR, Schedule C, etc.).
324 FEMA–2021–0011–0187 and FEMA–2021–
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related losses including occupational
tool loss, from IHP applicants who selfreport that their household’s primary
source of income is self-employment.
Because of this ineligibility, FEMA
could not provide a cost estimate about
self-employment business losses from
IHP applicants in the FY 2019 Report.
Currently, self-employed individuals
are eligible for all FEMA assistance for
their personal losses, except for
necessary expenses and serious needs
related to business losses. Non-selfemployed individuals may receive
assistance for disaster related costs for
occupational tools, such as tool repair or
replacement, essential computer, and
uniforms, which may include
specialized or protective clothing, but
these are currently considered business
losses for the self-employed, which
makes them ineligible. The IFR changes
this by removing ‘‘self-employment’’
from the list of conditions of
ineligibility.
This IFR removes the requirement
that applicants apply and receive an
SBA loan denial before FEMA considers
them for personal property assistance.
FEMA assists self-employed
individuals, solely related to their
personal essential tools, without ever
requiring them to seek loan assistance
from SBA for these losses. In order to
implement this change, FEMA is
removing ‘‘self-employment’’ as a
condition of ineligibility for business
losses.
FEMA is making this policy change as
there is stakeholder interest in such. Not
only did FEMA receive two RFI
comments on this matter, but obviously
there is Congressional interest, since
Senate Report 115–283 asked FEMA to
review its policy.
In § 206.113(b)(10), FEMA states that
FEMA may not provide assistance under
subpart D for any items not otherwise
authorized by §§ 206.117 and 206.119.
This is consistent with current
§ 206.113(b)(10), except for FEMA
replacing ‘‘this section’’ with
‘‘§§ 206.117 and 206.119,’’ for clarity
since § 206.113 does not actually
authorize any items.
F. Section 206.114—Criteria for
Continued or Additional Assistance
FEMA revises § 206.114’s heading of
‘‘Criteria for continued assistance’’ to
‘‘Criteria for continued or additional
assistance’’ for clarity since it does not
only cover ‘‘Criteria for continued
assistance.’’
In § 206.114(a), FEMA adds a new
paragraph heading of ‘‘General’’ for
consistency since the rest of the
paragraphs at this level have paragraph
headings and to comply with the

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Federal Register Document Drafting
Handbook.
In the second sentence of § 206.114(a),
FEMA states that FEMA may provide
initial and continued temporary housing
assistance, financial or direct, upon
request during the period of assistance,
based on need, and generally only when
adequate, alternate housing is not
available or when the permanent
housing plan has not been fulfilled
through no fault of the applicant. This
sentence is consistent with the current
second sentence of § 206.114(a), except
for FEMA providing clarifying language
by adding ‘‘initial and’’ before
‘‘continued’’ for clarity; adding
‘‘temporary’’ between ‘‘continued
housing’’ for consistency throughout the
section; adding ‘‘financial or direct,
upon request’’ before ‘‘during,’’ to
clarify that ‘‘continued temporary
housing assistance’’ covers both
financial or direct assistance and to
clarify that applicants must request
CTHA; and removing the clause ‘‘but
not to exceed the maximum amount of
assistance for the program.’’ FEMA
deletes the clause, as section 1212 of the
DRRA authorized changes to the
provision of IHP Assistance by
removing the financial assistance
maximum award limits for temporary
housing assistance. These changes were
retroactive to disasters declared on or
after August 1, 2017.
‘‘Upon request’’ refers to the required
income and housing costs
documentation applicants in need of
continued temporary housing assistance
will have to complete to request
additional assistance. Applicants may
complete the IHP Application for
Continued Temporary Housing
Assistance, FEMA Form FF–104–FY–
21–115, and the Supplemental
Application for Continued Temporary
Housing Assistance, FEMA Form FF–
XXXXX, to request additional
assistance. FEMA uses the information
collected on the Application for
Continued Temporary Housing
Assistance to verify that an applicant
continues to have a disaster-caused
need for CTHA and to determine how
much rental assistance the applicant
may be eligible to receive.
For an applicant that is a homeowner
and if the applicant’s FEMA verified
real property loss exceeds the amount of
initial rental assistance awarded, FEMA
will automatically mail the Application
for Continued Temporary Housing
Assistance after the initial rental
assistance award. If the recorded FEMAverified real property loss does not
exceed the amount of initial rental
assistance awarded, the applicant must
call FEMA’s Helpline to request an

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Application for Continued Temporary
Housing Assistance. For an applicant
that is a renter, the applicant must call
FEMA’s helpline to request an
Application for Continued Temporary
Housing Assistance. In § 206.114(b),
FEMA replaces the paragraph heading
of ‘‘Additional criteria for continued
assistance’’ with ‘‘Rental assistance’’ for
clarity.
In § 206.114(b), FEMA adds a new
paragraph that states that FEMA may
provide initial financial assistance for
rent, also known as initial rental
assistance, as described in
§ 206.117(b)(1)(i), to displaced eligible
applicants to rent alternate housing
accommodations for an initial time
period established by FEMA.
FEMA reorganizes our current
regulations at § 206.114(b)(1) through
(5), as FEMA found that having the
eligibility, non-eligibility, and criteria
for continued assistance categories
separate from the specific types of
assistance made for very difficult
reading. Therefore, FEMA instead of
conflating the regulations into one
paragraph, separates them into two
paragraphs: ‘‘Rental assistance’’ and
‘‘Direct housing assistance.’’ There are
no substantive changes in the
reorganization, as we simply introduce
initial and continued assistance for both
rental and direct assistance in a clearer
way.
In § 206.114(b)(1), we state that FEMA
may periodically recertify all displaced
applicants who received initial rental
assistance and request continued rental
assistance. All displaced applicants
requesting continued rental assistance
must take the following actions at
certain points throughout the
recertification process: submit rent
receipts to show that they have
exhausted or will exhaust previously
provided funds; provide documentation
demonstrating they lack the financial
ability to pay their post-disaster housing
costs and have a continued need for
rental assistance; establish a realistic
permanent housing plan; and provide
documentation showing that they are
making efforts to obtain permanent
housing.
In the first new sentence of
§ 206.114(b)(1), FEMA clarifies that in
order for displaced applicants to receive
CTHA they must have been awarded
initial rental assistance.
In the second sentence of
§ 206.114(b)(1), FEMA states that all
displaced applicants requesting
continued rental assistance must take
the following actions at certain points
throughout the recertification process.
This sentence is not consistent with the
current second sentence of

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
§ 206.114(b)(1) as FEMA currently
requires that all applicants must
establish a realistic permanent housing
plan no later than the first certification
for continued assistance. In this IFR,
FEMA splits the recertification process
into several timeframes and allow
applicants to build upon their
preliminary documentation as the
disaster recovery continues. For
example, within the first two payments
of CTHA, FEMA will only require
applicants to identify a plan for
permanent housing. After the second
two payments of CTHA, FEMA will

require applicants to present
documentation showing progress
toward achieving their permanent
housing plan and to identify any
obstacles impeding the achievement of
the plan. FEMA will use these
submissions to conduct additional
outreach to applicants who are
encountering obstacles or to refer such
applicants to voluntary organizations to
assist them.
In order to help FEMA provide
appropriate resources and assistance to
applicants throughout their housing
recovery process, applicants will select
from a list of permanent housing plans

4035

on the Application for Continued
Housing Assistance form based on their
pre-disaster housing status.
The type of documentation that will
be required to establish a permanent
housing plan will be variable and
flexible depending on an applicant’s
specific circumstances. For example, the
following table provides a nonexhaustive list of the varying types of
documentation that might be required
based on the applicant’s plan to achieve
a permanent housing solution and predisaster status.
BILLING CODE 9111–24–P

• Declarative statement, estimating the timeline for
completion with supporting receipts of materials
purchased
• Contractor estimates, agreements, or other
documents identifying timelines for
repairs/construction
• Permits
• Declarative statement, estimating the timeline for
completion with supporting receipts of materials
purchased
• Contractor estimates, agreements, or other
documents identifying timelines for
repairs/construction
• Permits
• Information on proof of progress, such as
hiring a realtor, homes visited, offers
submitted, closin date
• Commitment from landlord/property management to
repair pre-disaster rental unit
• Updates on repair progress from
landlord/property management/public
housing authority
• Proof of affordable rental housing search-rental resources contacted
• Verifiable reason(s) unit unacceptable (not within
financial ability, not accessible to one or more
household members with disabilities, reasonable
commuting distance, etc.)
• Statement from family/friend that will be serving as
landlord estimating the timeline for the move and
agreeing applicant can live at the home

As post-disaster recovery can be a
challenge for all applicants, FEMA will

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engage more closely to assist applicants
in achieving a recovery outcome by the

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end of the period of assistance. FEMA
will work with applicants through all

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Table 4-Documentation by Permanent Housing Plan (PHP) Type

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

recertification phases to review their
progress toward their PHP and identify

specific resources to assist the applicant
in achieving their recovery goals.

Table 5-Continued Temporary Housing Assistance Timeframes 325

Initial
Recertification
Phase:
First two
payments of
CTHA
Intermediate
Recertification
Phase:
Second two
payments of
CTHA

•

Applicants identify PHP on CTHA form.

•

Applicants provide full documentation showing progress toward
their PHP.
Applicants identify any obstacles that may impede their progress
due to no fault of their own.

•

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BILLING CODE 9111–24–C

In § 206.114(b)(1)(i), FEMA states that
displaced applicants requesting
continued rental assistance must submit
rent receipts to show exhaustion of
previously provided funds. This
sentence is generally consistent with the
current first sentence of § 206.114(b)(2),
except for FEMA adding ‘‘displaced’’

before ‘‘applicants’’ for consistency; and
replacing ‘‘they have exhausted the
FEMA rent funds and’’ with less
limiting language ‘‘that they have
exhausted or will exhaust previously
provided funds.’’ While this is less
limiting, it is still the Program’s intent
that the applicant must exhaust their
funds. However, funds may be awarded

prior to exhaustion to prevent a gap in
assistance.
In § 206.114(b)(1)(ii), FEMA states
that displaced applicants requesting
continued rental assistance must
provide documentation demonstrating
they lack the financial ability to pay
their post-disaster housing costs and
have a continued need for rental

325 Depending on the size and scope of the
disaster(s), FEMA may adjust the timeframes in the
table, as needed. FEMA will continue to engage

applicants throughout the recertification process,
especially those who continue to receive assistance
toward the end of disaster in order to ensure they

are able to better transition into a non-FEMA
provided housing solution.

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ER22JA24.004

Note: Based on the iriformation submitted, FEMA will identify
applicants who may need additional assistance and refer them to
resources such as a Disaster Case Management Program, when
authorized and available for the disaster; voluntary organizations,
when available for the disaster; and other available resources and
programs, as needed If applicants are not showing progress towards
completing their PHP, FEMA may deny further recertification until
the applicant show progress. Applicants may appeal FEMA 's
decision.
Concluding
• Applicants provide documentation showing continued progress
Recertification
towards completing their PHP.
Phase:
• Applicants identify any obstacles that may impede progress due to
Final
no fault of their own.
payments of
CTHAand
Note: FEMA will conduct outreach to applicants still receiving
any extension CTHA at this point to ensure the applicant's PHP is still achievable
of the period by the end of the period of assistance and identify any additional
of assistance assistance applicants may need to achieve their PHP. FEMA will
continue to refer applicants to available resources to assist them as
needed. Based on the information submitted, FEMA may deny
a licants who do not show su 1cient ro ress.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
assistance. The only part of
§ 206.114(b)(1) that currently exists is
the clause to ‘‘provide documentation,’’
in current § 206.114(b)(2). The language,
‘‘provide documentation,’’ refers to the
submission of the current recertification
form, FEMA Form 104–FY–21–115, IHP
Application for Continued Temporary
Housing Assistance, as described in
Chapter 3: IV.C.2. of IAPPG 1.1.326
Thereby, the way the displaced
applicant provides documentation that
they lack the financial ability to pay
their post-disaster housing costs and
have a continued need for assistance is
by completing the CTHA application
and providing any additional
documentation, as needed.
In § 206.114(b)(1)(iii), FEMA states
that displaced applicants requesting
continued rental assistance must
establish a realistic permanent housing
plan, which is consistent with current
§ 206.114(b)(1) except for the timing of
the realistic permanent housing plan.
Currently, the realistic permanent
housing plan is required no later than
the first certification for continued
assistance. In this IFR, FEMA no longer
requires the realistic housing plan at the
first certification for continued
assistance.
In § 206.114(b)(1)(iv), FEMA states
that displaced applicants requesting
continued rental assistance must
provide documentation showing that
they are making efforts to obtain
permanent housing, which is consistent
with current § 206.114(b)(1).
In the first sentence of § 206.114(b)(2),
FEMA states that FEMA expects that
pre-disaster renters will use their initial
rental assistance to obtain permanent
housing. This is consistent with the
current first sentence of § 206.114(b)(3),
except for FEMA removing ‘‘generally’’
before ‘‘expects’’ for clarity. FEMA does
not want to suggest that in some cases
applicants should not seek to obtain
permanent housing.
In the second sentence of
§ 206.114(b)(2), we state that FEMA may
provide continued rental assistance to
pre-disaster renters with a continuing
disaster-related housing need. This is
consistent with the current second
sentence of 206.114(b)(3), except for
FEMA replacing ‘‘we’’ with ‘‘FEMA’’ for
clarity; replacing ‘‘may certify them
during the period of assistance, for’’
with ‘‘may provide’’ before ‘‘continued’’
for clarity; replacing ‘‘rent’’ with
‘‘rental’’ before assistance; and replacing
‘‘when adequate, alternate housing is
not available, or when they have not
realized a permanent housing plan
326 See

page 82 of IAPPG 1.1 Individual
Assistance Program and Policy Guide | FEMA.gov.

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through no fault of their own’’ with ‘‘to
pre-disaster renters with a continuing
disaster-related housing need’’ for
clarity. FEMA’s language is closer to the
Stafford Act language at 42 U.S.C. 5174
which is our authorizing statute.
Currently, § 206.114 discusses rental
assistance and direct housing assistance
in the same paragraph. But, in this IFR
we separate rental assistance from direct
housing assistance. There will be
repetitive language in 206.114(b) and
(c), in order to clarify to the public what
the requirements are for rental
assistance and direct housing assistance.
In § 206.114(c), FEMA adds a new
paragraph heading ‘‘Direct housing
assistance,’’ for consistency since the
rest of the paragraphs at this level have
paragraph headings and to comply with
the Federal Register Document Drafting
Handbook.
In § 206.114(c), FEMA states that
FEMA may provide direct housing
assistance as described in
§ 206.117(b)(1)(ii), to displaced eligible
applicants who are unable to make use
of financial assistance to rent adequate
alternate housing. FEMA may
periodically recertify all displaced
applicants receiving direct housing
assistance for continued direct housing
assistance. All displaced applicants who
need continued direct housing
assistance must take the following
actions at certain points throughout the
recertification process: (1) establish a
realistic permanent housing plan; and
(2) provide documentation showing that
they are making efforts to obtain
permanent housing throughout the
recertification process. The clause in
§ 206.114(c)(1) is generally consistent
with the current first sentence of
§ 206.114(b)(1), except for FEMA
removing the phrase ‘‘no later than the
first certification for continued
assistance.’’ The clause in
§ 206.114(c)(2) is generally consistent
with the current second sentence of
§ 206.114(b)(1), except for FEMA adding
‘‘throughout the recertification process’’
after ‘‘permanent housing.’’
In § 206.114(d), FEMA adds a new
paragraph heading ‘‘Other assistance,’’
for consistency since the rest of the
paragraphs at this level have paragraph
headings and to comply with the
Federal Register Document Drafting
Handbook.
In § 206.114(d) through (1), FEMA
adds a new paragraph to state that
FEMA may provide repairs or housing
replacement assistance, as described in
§ 206.117(b)(2) and § 206.117(b)(3),
lodging expense reimbursement, as
described in § 206.117(b)(1)(i), or other
needs assistance, as described in
§ 206.119, to eligible applicants. If

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4037

FEMA requires more information to
process an applicant’s initial request for
assistance, it may request additional
information. This new language is
intentionally broad in case FEMA finds
an alternate way to contact applicants to
request additional information in the
future (e.g., via text) and it codifies
Chapter 3: C.2. of IAPPG 1.1, which is
a narrower, as it states that an applicant
may receive a letter requesting
additional information.327
In § 206.114(d)(2), FEMA states that
after the initial award of assistance,
applicants requesting additional
assistance for repairs, housing
replacement, lodging expense
reimbursement, personal property,
transportation, child care, medical,
dental, funeral, moving and storage, or
other necessary expenses and serious
needs may submit an appeal as outlined
in § 206.115 and will be required to
submit information and/or verifiable
documentation established via guidance
identifying the additional need. In
§ 206.114(d)(2), FEMA combines current
§ 206.114(b)(5) and § 206.114(b)(6) into
one sentence, so as not to have to repeat
the following language twice as it is
used in both current § 206.114(b)(5) and
current § 206.114(b)(6): ‘‘individuals or
households requesting additional’’ and
‘‘will be required to submit information
and/or documentation identifying the
continuing need.’’ Section 206.114(d)(2)
is consistent with combining current
§ 206.114(b)(5) and § 206.114(b)(6),
except for FEMA adding ‘‘After the
initial award of assistance’’ to the
beginning of § 206.114(d)(2) for clarity;
replacing ‘‘Individual or households’’
with ‘‘Applicants for consistency;’’
adding ‘‘repairs, housing replacement,
lodging expense reimbursement’’ before
‘‘personal’’ for clarity and consistency;
adding ‘‘child care’’ before ‘‘medical;’’
adding ‘‘may submit an appeal as
outlined in § 206.115 and’’ before ‘‘will
be’’ for clarity; adding ‘‘verifiable’’
before ‘‘documentation;’’ adding
‘‘established via guidance’’ before
‘‘identifying;’’ and replacing
‘‘continuing’’ with ‘‘additional’’ at the
end of the sentence for clarity purposes.
‘‘Continuing need’’ is not appropriate in
the sentence as there is not a
‘‘continuing need’’ for repair assistance,
rather an ‘‘additional’’ need of repair
assistance is more appropriate. FEMA
adds child care; as section 1108 of the
Sandy Recovery Improvement Act of
327 See page 76 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

2013 (SRIA) 328 established child care as
an eligible expense under the ONA
provision of the IHP.329 This is a
clarifying edit; as, currently FEMA
implements child care assistance
through Chapter 3: VI.B.3. of IAPPG
1.1.330 FEMA adds ‘‘verifiable’’
documentation at § 206.114(d)(2), as per

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328 Sandy Recovery Improvement Act of 2013,
Pub. L. 113–2, 127 Stat. 47 (Jan. 29, 2013), 42 U.S.C.
5174(e)(1).
329 Initially, the Recovery Policy, Disaster
Assistance for Child Care 9461.1, Jan. 17, 2014 was
the controlling policy, https://www.fema.gov/sites/
default/files/2020-07/recovery-policy_
disaster%20assistance-child-care.pdf.
330 See pages 155–160 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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PKEMRA FEMA has a responsibility for
identifying fraud, waste, and abuse.
Therefore, FEMA is making this
provision, for clarity and transparency
to allow the public to know that the
documentation they submit to support
their requests for CTHA must be
verifiable. FEMA will call service
providers as applicable to validate the
veracity of the supporting
documentation that applicants submit to
FEMA.
FEMA adds ‘‘may submit an appeal as
outlined in § 206.115’’ for clarity;
however, this is the current process so
it will not change anything for
applicants. Page 66, Chapter 3: II.C. 2.
of the IAPPG 1.1 says that applicants

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may submit a written appeal if they
disagree with any FEMA determination.
This is in line with what FEMA states
in 206.114(d)(2). Page 68, Chapter 3:
II.C.5. of the IAPPG 1.1, states that the
appeal letter should be accompanied by
documentation to support the appeal
request, such as repair estimates,
contractor estimates, or other supporting
documentation. Table 6 lists supporting
documentation that must be submitted
to FEMA to demonstrate current
housing costs and the use of the
previously awarded rental assistance or
CTHA funds.
BILLING CODE 9111–24–P

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4039

Table 6-Continued Temporary Housing Assistance Documentation

Copy of current lease or
rental agreement signed
by the landlord and tenant

The lease or rental agreement should include location of the unit,
amount of rent, duration of lease, and number of occupants.
•
•

Proof prior Rental
Assistance provided by
FEMA has been used for
temporary housing

•
•

•

Examples include, but are not limited to:
•
•
•
•
•

If still responsible for
costs related to predisaster home: Proof of
current housing costs for
the pre-disaster home, if
applicable

BILLING CODE 9111–24–C

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Upon subsequent requests for CTHA,
applicants will only need to submit
supporting documentation for income
and housing costs if the household’s
income or housing costs have changed.
See 44 CFR 206.114(b).
G. Section 206.115—Appeals
In the first sentence of § 206.115(a),
FEMA states that under the provisions
of the Stafford Act, 42 U.S.C. 5189a,
applicants for assistance under subpart
D may appeal any determination of
eligibility for assistance made under
subpart D. This sentence is consistent
with the current first sentence of
§ 206.115(a), except for FEMA removing

18:45 Jan 19, 2024

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•
•

•

Recent pay stubs.
W-2 forms or tax returns from the most recent tax year.
Documentation of self-employment, if applicable.
Documentation of government assistance, including Social
Security.
Statement of no income, if applicable.
Mortgage statement or lease/rental agreement for the
disaster-damaged primary residence.
Real estate tax statement and homeowners or renters'
insurance statement, if paid separately from the
mortgage.
Essential utility bill(s) for the disaster-damaged primary
residence: as, electric, oil, trash, water, and sewer.

‘‘section 423 of’’ and inserting ‘‘42
U.S.C. 5189a,’’ before applicants. FEMA
makes these edits for public ease of
reference, as a United States Code cite
is more accessible to the public and
referencing the section of the Stafford
Act just increases the length of the
regulation.
In the first sentence of § 206.115(b),
FEMA states that appeals must include
a written explanation or verifiable
documentation for the appeal and meet
the requirements of § 206.117, as
applicable. This sentence is consistent
with the current first two words of the
first sentence of § 206.115(b). In the first
sentence of § 206.115(b), FEMA replaces

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the clause ‘‘be in writing and explain
the reason(s) for the appeal’’ with
‘‘include a written explanation or
verifiable documentation for the
appeal’’ to reduce the complexity, to
streamline the process, to reduce FEMA
processing time, and to decrease the
burden on applicants to successfully
appeal a determination. This language
allows applicants to continue to submit
a written letter of explanation to
enhance their appeal, if they choose,
and establishes the requirement to
submit either a written appeal or
verifiable documentation—thus
reducing the need for additional letters
requesting this information from

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ER22JA24.005

Proof of current postdisaster income for all
members of the
household 18 years and
older

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Rent receipts showing date, location of rental unit, and time
period for which the payment applies.
If separate from the rent, receipts showing payment of
essential utilities. Essential utilities are gas, electric,
water, oil, trash, and sewer.
If applicable, receipt showing payment of security deposit for
up to one month's rent.
In instances where rent receipts are not available, the lease or
rental agreement may serve as proof of use of prior Rental
Assistance.
Hotel/motel receipts showing date, address of hotel/motel,
and time period for which payment applies. Only the cost of
the room and taxes charged by the hotel will be considered
toward acce table exhaustion of Rental Assistance.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

applicants. Finally, FEMA adds a cross
reference for consistency to the end of
the first sentence of § 206.115(b) ‘‘and
meet the requirements of § 206.117, as
applicable’’ since FEMA’s current
regulations at §§ 206.117(b)(2)(vii),
206.117(b)(3)(iv), and 206.117(b)(4)(iii)
include cross references to the appeals
procedures in § 206.115.
In the second sentence of
§ 206.115(b), FEMA states ‘‘See
§§ 206.117(b)(2)(vi), 206.117(b)(3)(iv),
and 206.117(b)(4)(iii).’’ FEMA makes
this addition to the current regulations
for clarity; as, the cross references to the
appeals procedures in § 206.115 already
exist in FEMA’s current regulations at
§§ 206.117(b)(2)(vii), 206.117(b)(3)(iv),
and 206.117(b)(4)(iii).
In the third sentence of § 206.115(b),
FEMA states that if someone other than
the applicant files the appeal, then the
applicant must also submit a signed
statement giving that person authority to
represent them. This sentence is
consistent with the current third
sentence in § 206.115(b), except for
FEMA removing ‘‘his, her, or’’ before
‘‘them’’ as ‘‘his or her’’ is redundant.
In the fourth sentence of § 206.115(b),
FEMA states that if a written
explanation is submitted, it must be
signed by the applicant or a person the
applicant designates to represent them.
This sentence is consistent with the
intent of the current second sentence in
§ 206.115(b). This sentence is trying to
ensure that the public understands that
if a written explanation is submitted, it
has to be signed either by the applicant
or the person the applicant chooses to
represent them. If the applicant submits
verifiable documentation no signature is
necessary.
In § 206.115(c), FEMA states that
applicants must appeal to FEMA for
decisions made under subpart D, unless
FEMA has made a grant to the State to
provide assistance to individuals and
households under § 206.120(a), State
administration of other needs
assistance; then the applicant must
appeal to the State. This is consistent
with the current § 206.115(c), except for
FEMA replacing ‘‘the Regional
Administrator or his/her designee’’ with
‘‘FEMA’’ to ensure continued
consistency in processing across
disasters at the national level. This
change also aligns regulations with
current practices that already streamline
the appeals process to eliminate delays.
In the second sentence of
§ 206.115(d), FEMA states that if
someone other than the applicant is
submitting the request, then the
applicant must also submit a signed
statement giving that person authority to
represent them. This is consistent with

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the current second sentence of
§ 206.115(d), except for FEMA placing
‘‘him or her’’ with ‘‘them’’ for
consistency with the edits suggested in
the third sentence of § 206.115(b).
FEMA removes current § 206.115(e),
which states that the appropriate FEMA
or State program official will notify the
applicant in writing of the receipt of the
appeal. FEMA removes current
§ 206.115(e), to codify the current
practice that the applicant is not
notified in writing of receipt of the
appeal.
In the first sentence of § 206.115(e),
FEMA states that FEMA or the
appropriate State official will review the
original decision after receiving the
appeal. This sentence is consistent with
the current first sentence § 206.115(f),
except for FEMA replacing ‘‘the
Regional Administrator or his/her
designee’’ with ‘‘FEMA’’ to ensure
continued consistency in processing
across disasters at the national level and
adding ‘‘the’’ before ‘‘appropriate’’ for
grammar purposes.
In the second sentence of § 206.115(e),
FEMA states that FEMA or the State, as
appropriate, will give the appellant a
written notice of the disposition of the
appeal and a reason for the
determination within 90 days of
receiving the appeal. This sentence is
consistent with the current second
sentence of § 206.115(f), except for
FEMA removing ‘‘the’’ before
‘‘receiving’’ for grammar purposes and
adding ‘‘and a reason for the
determination’’ for clarity and
transparency; as, it is currently FEMA’s
practice to provide a reason in the
written notice of the disposition of the
appeal.
In the third sentence of § 206.115(e),
FEMA states that the decision of the
FEMA or State appellate authority is
final. This sentence is consistent with
the current third sentence of
§ 206.115(f), except for FEMA adding a
clarifying phrase ‘‘FEMA or State’’
before ‘‘appellate.’’
H. Section 206.117—Housing Assistance
In § 206.117(a), FEMA removes the
definition ‘‘Caused by the disaster’’
since FEMA is paying for pre-existing
conditions if the component itself was
damaged by the disaster, adding the
term ‘‘Multifamily Rental Housing,’’ and
revising the definition of ‘‘Real Property
Component’’ or ‘‘Component,’’ as
follows.
Multifamily Rental Housing. FEMA
defines the term ‘‘Multifamily Rental
Housing’’ to mean a rental property that
contains three or more dwelling units
contained within one building, each
such unit providing complete and

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independent living facilities for one or
more persons, including permanent
provisions for living, sleeping, cooking,
and sanitation. FEMA has used this
definition since the January 1, 2019,
release of the Individual Assistance
Program and Policy Guide at Chapter 3:
V.D.1.331 Section 1103 of SRIA 332
established FEMA’s authority to lease
and repair rental units located in areas
covered by a major disaster declaration
for temporary housing of applicants,
and section 1213 of DRRA 333 reaffirmed
this authority. Currently, FEMA has no
regulations specific to the selection of
properties to be leased and repaired, the
types of repairs that may be funded, or
the intention that these rental units are
to be used as a type of Direct Temporary
Housing Assistance. Therefore, this IFR
will detail the requirements of
implementing Multifamily Lease and
Repair as a form of Direct Temporary
Housing Assistance including addition
of the definition of ‘‘Multifamily Rental
Housing.’’
However, FEMA currently has a
definition of ‘‘Multifamily Rental
Housing’’ in the IAPPG 1.1 at Chapter 3:
V.E.1.334 that is consistent with the
definition of ‘‘Multifamily Rental
Housing’’ here except for the clarifying
phrase ‘‘contained within one
building.’’ This phrase was added to
clarify that the definition of multifamily
rental housing is limited to rental
properties contained within one
building, such as apartments, and does
not include rental properties composed
of multiple separate dwelling units on
the same plot of land.
Prior to the definition of ‘‘Multifamily
Rental Housing’’ in the 2019 version of
the IAPPG, FEMA followed the HUD
regulations at 12 CFR 1282.1(b), which
states multifamily housing means a
residence consisting of more than four
dwelling units. However, during DR–
4277–LA, the available housing market
of multifamily buildings proved
insufficient to meet the demand for
temporary housing in the affected area.
FEMA received hundreds of calls and
emails from property owners interested
in MLR. Despite a growing need for
temporary housing and interest in MLR,
many properties were immediately
excluded based solely on the fact that
the buildings had four or fewer units.
Based on this experience, FEMA
331 See page 105 of IAPPG. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.
332 42 U.S.C. 5174(c)(1)(B).
333 Disaster Recover Reform Act of 2018, Public
Law 115–254, 132 Stat. 3448 (Oct. 5, 2018), 42
U.S.C. 5174(c)(1)(B).
334 See page 107 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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decided to expand the criteria to
include three or more dwelling units
because the risk of diminishing returns
on the time and labor required to assess
and scope potential properties was more
than offset by making MLR viable in
communities where three- and four-unit
buildings were prevalent and larger
multifamily properties were scarce.
When provided the authority to repair
or make improvements to existing
multifamily housing units as a form of
direct temporary housing assistance via
SRIA, FEMA initially defined
‘‘multifamily housing’’ as ‘‘a property
that consists of not less than five
dwelling units in one site, each such
unit providing complete living facilities
including provisions for cooking, eating,
and sanitation within the unit.’’ 335
FEMA specifically seeks public
comment on whether its definition is
appropriate, or should be changed from
‘‘three or more dwelling units contained
within one building’’ to ‘‘two or more
dwelling units contained within one
building.’’
Real Property Component or
Component. FEMA revises the term
‘‘Real Property Component’’ or
‘‘Component’’ to mean each individual
part of a dwelling as enumerated in
paragraph (b)(2)(ii) of § 206.117. This is
consistent with the definition of ‘‘Real
Property Component’’ or ‘‘Component’’
in current § 206.117(a) except for FEMA
removing the phrase ‘‘that makes it
habitable,’’ as whether or not the
component makes the dwelling
habitable is now immaterial in the
definition. The overarching eligibility
requirement for housing assistance is
whether or not the applicant’s home is
uninhabitable. Once an applicant has
hit that threshold, FEMA is simplifying
the program to pay for all components
listed in paragraph (b)(2)(ii) of § 206.117
as long as the component incurred some
disaster damage and then repair those
components ‘‘to’’ a safe and sanitary
living or functioning condition.
FEMA revises subparagraph heading
(i) of § 206.117(b)(1) from ‘‘Financial’’ to
‘‘Rental’’ assistance for clarity. In the
first sentence of § 206.117(b)(1)(i),
FEMA states that eligible displaced
applicants may receive rental assistance
to rent alternate housing resources. This
sentence is consistent with the current
first sentence of § 206.117(b)(1)(i),
except for FEMA replacing ‘‘individuals
and households’’ with ‘‘displaced
applicants’’ for clarity; replacing
‘‘financial’’ with ‘‘rental’’ for clarity; and
335 See page 73 of the Individuals and Households
Program Unified Guidance, released on September
30, 2016, at FEMA Individuals and Households
Program Unified Guidance.

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removing ‘‘existing rental units,
manufactured housing, recreational
vehicles, or other readily fabricated
dwellings’’ for clarity. There is no
reason to list the definition of
‘‘Alternate housing resources’’ in the
sentence after using the defined term.
Finally, in the third sentence of
§ 206.117(b)(1)(i), FEMA states that this
may include lodging expense
reimbursement for reasonable shortterm lodging expenses for individuals or
households who have not received
displacement assistance (See
§ 206.119(b)(2)) in the immediate
aftermath of a disaster. This is
consistent with the third sentence of
current § 206.117(b)(1)(i), except for
FEMA replacing ‘‘includes’’ with ‘‘may
include,’’ adding ‘‘lodging expense’’
before ‘‘reimbursement,’’ replacing
‘‘that’’ with ‘‘for,’’ and adding ‘‘who
have not received displacement
assistance (See § 206.119(b)(2))’’ after
‘‘households,’’ and removing ‘‘incur’’ for
clarity. FEMA adds the cross-reference
to the displacement assistance
regulations for ease of review.
In § 206.117(b)(1)(i)(A), FEMA states
that FEMA will include all members of
a pre-disaster household in a single
registration and will provide assistance
for one temporary housing residence,
unless FEMA determines that the size or
nature of the household requires that we
provide assistance for more than one
residence. This sentence is consistent
with the current § 206.117(b)(1)(i)(A),
except for FEMA replacing ‘‘the
Regional Administrator or his/her
designee’’ with ‘‘FEMA’’ for
consistency.
In the first sentence of
§ 206.117(b)(1)(i)(B), FEMA states that
FEMA will base the amount of
assistance on the current fair market
rent for existing rental units. This
sentence is consistent with the current
first sentence of § 206.117(b)(1)(i)(B),
except for FEMA replacing ‘‘rental’’
with ‘‘amount of’’ for clarity; removing
‘‘Department of Housing and Urban
Development’s,’’ as it is duplicative; and
replacing ‘‘rates’’ with ‘‘rent’’ for clarity.
FEMA replaces ‘‘fair market rates’’ with
‘‘fair market rent’’ as the defined term at
§ 206.111 is ‘‘fair market rent.’’
Additionally, the definition of ‘‘fair
market rent’’ states that the fair market
rental rates applied are those identified
by the Department of Housing and
Urban Development as being adequate
for existing rental housing in a
particular area; since the term provides
that the rates are identified by HUD,
FEMA does not need to repeat that in
the first sentence of § 206.117(b)(1)(i)(B).
In the second sentence of
§ 206.117(b)(1)(i)(B), FEMA states that

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FEMA will further base the applicable
rate on the location of the rental unit
and the number of bedrooms the
household requires, as determined by
FEMA. This sentence is consistent with
the current second sentence of
§ 206.117(b)(1)(i)(B), except for FEMA
removing the phrase ‘‘household’s
bedroom requirement and the’’ from the
beginning of the sentence and replacing
it with the clarifying phrase ‘‘and the
number of bedrooms the households
requires, as determined by FEMA’’ to
the end of the sentence. This will codify
existing policy and practice that FEMA
determines the number of bedrooms a
household requires, for clarity.336
In § 206.117(b)(1)(i)(C), FEMA states
that rental assistance may include the
payment of the cost of utilities,
excluding telephone, cable, television,
and internet service. This sentence is
not consistent with current
§ 206.117(b)(1)(i)(C), as the current
regulations state that all utility costs and
utility security deposits are the
responsibility of the occupant except
where the utility does not meter utility
services separately and utility services
are part of the rental charge. Section
689d of PKEMRA 337 updated section
408 of the Stafford Act, at 42 U.S.C.
5174(c)(1)(A), to allow for the payment
of the cost of utilities, excluding
telephone service. This currently is
implemented via the IAPPG 1.1 at
Chapter 3: IV.B. which further explains
this distinction between essential and
non-essential utilities and clarifies that
cable, TV, and internet service are also
excluded.338 The IFR will codify this
provision of the IAPPG 1.1.
In § 206.117(b)(1)(i)(D), FEMA states
that rental assistance may include the
payment of the cost of security deposits,
not to exceed an amount equal to the
fair market rent for one month, as
determined under paragraph (b)(1)(i)(B)
of § 206.117. This sentence is not
consistent with the current two
sentences of § 206.117(b)(1)(i)(D), as the
current regulations state that the
occupant is responsible for all housing
security deposits and that in
extraordinary circumstances, the
Regional Administrator or his/her
designee may authorize the payment of
security deposits; however, the owner or
occupant must reimburse the full
336 See the ‘‘fair market rent’’ box on page 109 of
Chapter 3: V.E.2. of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
337 Post-Katrina Emergency Management Reform
Act of 2006, 109–295, 120 Stat. 1452 (Oct. 4, 2006),
6 U.S.C. 701 note.
338 See page 80 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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amount of the security deposit to the
Federal Government before or at the
time that the temporary housing
assistance ends. Section 689d of
PKEMRA updated the Stafford Act, at
42 U.S.C. 5174(c)(1)(A), to allow for the
payment of security deposits. Currently,
FEMA implements Section 689d of
PKEMRA via the IAPPG 1.1 at Chapter
3: IV.C.2.,339 and FEMA limits security
deposits to the amount equal to one
month’s rent, if applicable. Therefore,
the changes at § 206.117(b)(1)(i)(D) are
more limiting then the PKEMRA
amendment, but consistent with current
practice.
In § 206.117(b)(1)(i)(E), FEMA states
that applicants that receive
displacement assistance under
§ 206.119(b)(2) must request rental
assistance if their disaster-caused
temporary housing needs continue once
displacement assistance is exhausted.
This new paragraph is for public
transparency. With the new
displacement assistance, if an applicant
wants to receive rental assistance after
receiving displacement assistance, they
now have to contact FEMA to let FEMA
know that they need continued
temporary housing assistance in the
form of rental assistance. If FEMA did
not propose § 206.117(b)(1)(i)(E), the
only notification the public would have
of this would be from the second
sentence of § 206.114(a), which says that
FEMA may provide initial and CTHA,
financial or direct, upon request during
the period assistance.
In § 206.117(b)(1)(ii)(A), FEMA states
that FEMA may provide direct
assistance in the form of purchased or
leased temporary housing units directly
to displaced applicants who lack
available housing resources and are
unable to make use of the assistance
provided under paragraph (b)(1)(i) of
§ 206.117. This sentence is consistent
with the current § 206.117(b)(1)(ii)(A),
except for FEMA replacing ‘‘individuals
or households’’ with ‘‘displaced
applicants’’ and replacing ‘‘would be’’
with ‘‘are’’ for clarity.
In § 206.117(b)(1)(ii)(B), FEMA states
that FEMA will include all members of
a pre-disaster household in a single
application and will provide assistance
for one temporary housing unit, unless
FEMA determines that the size or nature
of the household requires that we
provide assistance for more than one
temporary housing unit. This is
consistent with current
§ 206.117(b)(1)(ii)(B), except for FEMA
replacing ‘‘residence’’ with ‘‘unit;’’
339 See page 84 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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replacing ‘‘the Regional Administrator
or his/her designee’’ with ‘‘FEMA;’’ and
replacing ‘‘residence’’ with ‘‘temporary
housing unit,’’ for clarity and
consistency.
In § 206.117(b)(1)(ii)(C), FEMA states
that any site upon which a FEMAprovided temporary housing unit is
placed must comply with applicable
State and local codes and ordinances, as
well as 44 CFR part 9, Floodplain
Management and Protection of
Wetlands, and all other applicable
environmental and historic preservation
laws, regulations, Executive orders, and
agency policy. This is consistent with
current § 206.117(b)(1)(ii)(C), except for
FEMA adding ‘‘temporary’’ before
‘‘housing’’ for consistency and replacing
‘‘Orders’’ with ‘‘orders’’ for formatting
purposes.
In § 206.117(b)(1)(ii)(E), FEMA states
that FEMA-provided or funded
temporary housing units may be placed
in the locations, listed in subparagraphs
(1)–(4). This is consistent with current
§ 206.117(b)(1)(ii)(E), except that for
consistency FEMA adding ‘‘temporary’’
before ‘‘housing.’’
In § 206.117(b)(1)(ii)(E)(1), FEMA
states that FEMA-provided or funded
temporary housing units may be placed
at a commercial site that is complete
with utilities, when FEMA determines
that the upgrading of commercial sites,
or installation of utilities on such sites,
will provide more cost-effective, timely
and suitable temporary housing than
other types of resources. This is
consistent with current
§ 206.117(b)(1)(ii)(E)(1), except for
FEMA replacing ‘‘the Regional
Administrator or his/her designee’’ with
‘‘FEMA’’ for consistency and removing
the superfluous clause ‘‘then Federal
assistance may be authorized for such
actions.’’
In § 206.117(b)(1)(ii)(E)(2), FEMA
states that FEMA-provided or funded
temporary housing units may be placed
at a private site that an applicant
provides, complete with utilities, when
FEMA determines that the cost of
installation or repairs of essential
utilities on private sites will provide
more cost effective, timely, and suitable
temporary housing than other types of
resources. This is consistent with
current § 206.117(b)(1)(ii)(E)(2), except
for FEMA replacing ‘‘the Regional
Administrator or his/her designee’’ with
‘‘FEMA’’ for consistency and removing
the superfluous clause ‘‘then Federal
assistance may be authorized for such
actions.’’
In § 206.117(b)(1)(ii)(E)(3), FEMA
states that FEMA-provided or funded
temporary housing units may be placed
at a group site that accommodates two

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or more temporary housing units and is
complete with utilities, provided by the
State or local government, when FEMA
determines that the cost of developing a
group site provided by the State or local
government, to include installation or
repairs of essential utilities on the sites,
will provide more cost effective, timely,
and suitable temporary housing than
other types of resources. This is
consistent with current
§ 206.117(b)(1)(ii)(E)(3), except for
clarity and consistency FEMA adds
‘‘temporary housing’’ before ‘‘units,’’
replaces ‘‘the Regional Administrator or
his/her designee’’ with ‘‘FEMA,’’
removes the superfluous clause ‘‘then
Federal assistance may be authorized for
such actions,’’ and reorganizes the first
portion of subparagraph (3) for clarity
and consistency.
In § 206.117(b)(1)(ii)(E)(4), FEMA
states that FEMA-provided or funded
temporary housing units may be placed
at a group site provided by FEMA, if
determined that such a site would be
more economical or accessible than one
that the State or local government
provides. This is consistent with current
§ 206.117(b)(1)(ii)(E)(4), except for
FEMA replacing ‘‘the Regional
Administrator or his/her designee’’ with
‘‘FEMA’’ for consistency and replacing
‘‘determines’’ with ‘‘determined’’ for
grammar purposes.
In § 206.117(b)(1)(ii)(F), FEMA states
that if FEMA determines it would be a
cost-effective alternative to other
temporary housing options, FEMA may
enter into lease agreements with owners
of multifamily rental housing properties
to house displaced applicants eligible
for assistance under subpart D.
In § 206.117(b)(1)(ii)(F)(1), FEMA
states that FEMA may only enter into
lease agreements with owners of
multifamily rental housing properties
impacted by a major disaster or located
in areas covered by a major disaster
declaration.
In § 206.117(b)(1)(ii)(F)(2), FEMA
states that FEMA may make repairs or
improvements to properties under such
lease agreements, to the extent
necessary to serve as temporary
housing, provided, however, that the
value of the improvements or repairs
must be deducted from the value of the
lease agreement.
FEMA is adding these subparagraphs
since section 1103 of SRIA 340
established FEMA’s authority to lease
and repair rental units located in areas
covered by a major disaster declaration
for temporary housing of applicants,
340 42

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and section 1213 of DRRA 341 reaffirmed
this authority.342 Currently, FEMA has
no regulations specific to the selection
of properties to be leased and repaired,
the types of repairs that may be funded,
or the intention that these rental units
are to be used as a type of Direct
Temporary Housing Assistance.
Therefore, this IFR will detail the
requirements of implementing
Multifamily Lease and Repair as a form
of Direct Temporary Housing
Assistance.
However, FEMA currently has
guidance regarding MLR that is
consistent with § 206.117(b)(1)(ii)(F).
The IAPPG 1.1 at Chapter 3: V.E.2.
added reference to an updated two-tier
approval process for determining costeffectiveness of MLR.343 Under this
process, FEMA determines the costeffectiveness of a potential MLR
property, compared to other forms of
Direct Temporary Housing Assistance,
by estimating the cost of repairs or
improvements to the property,
estimating the value of the lease
agreement, and calculating the net perunit cost to FEMA. MLR property
repairs may be approved by the RA or
the Federal Coordinating Officer, if the
RA has delegated the authority to the
Federal Coordinating Officer, if the per
unit cost does not exceed the average
per unit acquisition cost of the smallest
mobile housing unit in FEMA’s
inventory. If the per unit cost of the
MLR property repairs does exceed this
threshold amount, they must be
approved by the IA Division Director
and the RA or the Federal Coordinating
Officer must provide a justification for
why increasing MLR property costs
above the per unit cost threshold is a
more feasible, cost-effective, and
survivor-centric solution.
Additionally, FEMA currently has
guidance regarding MLR that is
consistent with § 206.117(b)(1)(ii)(F)(1).
On page 107 of the IAPPG 1.1 at Chapter
3: V.E.1., FEMA states that properties
eligible for MLR must be located in a
county/jurisdiction designated for
Individual Assistance.344
FEMA also currently has guidance
regarding MLR that is consistent with
§ 206.117(b)(1)(ii)(F)(2). On page 109 of
the IAPPG 1.1 at Chapter 3: V.E.2.,
341 Disaster Recovery Reform Act of 2018, Pub. L.
115–254, 132 Stat. 3448 (Oct. 5, 2018), 42 U.S.C.
5174 (c)(1)(B).
342 The DRRA added authorization for FEMA to
lease and repair property impacted by a major
disaster.
343 See page 109 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
344 Page 107 of IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.

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FEMA states that under the terms of any
lease agreement for potential MLR
property, the value of the improvements
or repairs shall be deducted from the
value of the lease agreement.345
In the first sentence of
§ 206.117(b)(1)(ii)(G), FEMA states that
after the end of the 18-month period of
assistance, FEMA may begin to charge
up to the fair market rent for each
temporary housing unit provided. This
sentence is consistent with the current
first sentence of § 206.117(b)(1)(ii)(F),
except for FEMA removing ‘‘rate’’ from
‘‘fair market rent rate,’’ since the defined
term at § 206.111 is ‘‘fair market rent’’
not ‘‘fair market rent rate.’’
The second and third sentences of
§ 206.117(b)(1)(ii)(G) are consistent with
the second and third sentences of
current § 206.117(b)(1)(ii)(F), except for
the change to the paragraph structure.
Section 206.117(b)(1)(ii)(H) is
consistent with current
§ 206.117(b)(1)(ii)(G), except for the
change to the paragraph structure.
Section 206.117(b)(1)(ii)(H)(1) through
(3) is consistent with current
§ 206.117(b)(1)(ii)(G)(1) through (3),
except for the changes to the paragraph
structure. In § 206.117(b)(1)(ii)(H)(4)
through (5), FEMA states that FEMA
may terminate direct assistance for
reasons that include, but are not limited
to the following: the occupant(s) failed
to comply with any term of the lease/
rental agreement or other rules of the
site where the temporary housing unit is
located; or the occupant(s) does not
provide evidence documenting that they
are working towards a permanent
housing plan. This is consistent with
current § 206.117(b)(1)(ii)(G)(4) through
(5), except for FEMA adding ‘‘temporary
housing’’ before ‘‘unit’’ for consistency
and adding ‘‘semicolon or’’ after
‘‘located’’ as a technical correction.
The first sentence of
§ 206.117(b)(1)(ii)(I) is consistent with
current § 206.117(b)(1)(ii)(H), except for
the changes to the paragraph structure.
In the second sentence of
§ 206.117(b)(1)(ii)(I), FEMA states that
this notice will specify the reasons for
termination of assistance and
occupancy, the date of termination, the
procedure for appealing the
determination, and the occupant’s
liability for such additional charges as
FEMA deems appropriate after the
termination date, including fair market
rent for the unit. This sentence is
consistent with the current second
sentence of § 206.117(b)(1)(ii)(H), except
for FEMA replacing ‘‘the Regional
Administrator or his/her designee’’ with
345 Page 109 of IAPPG 1.1. https://www.fema.gov/
sites/default/files/documents/fema_iappg-1.1.pdf.

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‘‘FEMA’’ to ensure continued
consistency in processing across
disasters at the national level.
Section 206.117(b)(1)(ii)(J) through
(b)(2) is consistent with current
§ 206.117(b)(1)(ii)(I) through (b)(2),
except for the changes to the paragraph
structure.
In § 206.117(b)(2)(i), FEMA states that
FEMA may provide financial assistance
for the repair of an owner-occupied
primary residence if: the eligibility
criteria in § 206.113 are met; FEMA
determines the dwelling was damaged
by the disaster; and the damage is not
covered by insurance. This sentence is
consistent with the current
§ 206.117(b)(2)(i), except for FEMA
removing the phrase ‘‘real property
components in’’ before ‘‘an owneroccupied primary residence;’’ adding
‘‘FEMA determines’’ after ‘‘met;’’
removing ‘‘to the component’’ after
‘‘damage’’ and replacing ‘‘component’’
with ‘‘dwelling,’’ as the Stafford Act
does not limit repairs to ‘‘components’’
and replacing ‘‘owner’s’’ with ‘‘owneroccupied’’ for consistency as owneroccupied is the defined term in
§ 206.111; removing the current
§ 206.117(b)(2)(i)(B) that ‘‘the
component was functional immediately
before the declared event’’ and
removing current § 206.117(b)(2)(i)(E)
that the ‘‘repair of the component is
necessary to ensure the safety or health
of the occupant or to make the residence
functional,’’ and removing the clause
‘‘and the damage was caused,’’ since
FEMA is paying for pre-existing
conditions if the component itself was
damaged by the disaster.
In § 206.117(b)(2)(ii), FEMA states
that FEMA may provide financial
assistance for the repair of the disaster
damaged dwelling to a safe and sanitary
living or functioning condition. This
clause is consistent with the current
§ 206.117(b)(2)(ii), except for FEMA
adding ‘‘the disaster damaged dwelling
to a safe and sanitary living or
functioning condition including’’ after
‘‘of.’’ These additions align with the
changes that make it clear that only
disaster damaged dwellings (regardless
of their pre-disaster condition) may
receive repair assistance, as FEMA may
only pay to restore disaster damage to a
safe and sanitary living or functioning
condition. If the dwelling was not
touched by the disaster, it will not be
eligible for repair assistance.
In response to public comments,
FEMA is also changing the regulatory
text at § 206.117(b)(2) and a new
§ 206.113(a)(9) as a part of this IFR. The
changes will allow FEMA flexibility to
provide financial assistance to
applicants for the installation or

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construction of real property items that
were not present in the home prior to
the disaster. Specifically, these changes
will allow IHP to expand its existing
policy, which provides for the
installation of ADA related real property
to applicants with disaster-caused
needs, to include Home Repair
Assistance for disaster survivors with
pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional when
any level of disaster-caused real
property damage occurs to the primary
residence.
In new § 206.113(a)(9), FEMA states
that FEMA may provide assistance with
respect to home repair for accessibilityrelated items, if an applicant meets the
following conditions: (i) the applicant is
either an individual with a disability as
defined in 42 U.S.C. 5122 whose
disability existed prior to the disaster
and whose primary residence was
damaged by the disaster, or an
individual with a disability as defined
in 42 U.S.C. 5122 whose disability was
caused by the disaster and whose
primary residence was damaged by the
disaster; (ii) the real property
component is necessary to meet the
accessibility-related need of the
household; and (iii) the real property
component is not covered by insurance
or any other source.
Via information collection 1660–0002,
we are adding a documentation
requirement to tie the need for the home
repair accessibility-related items: ramp,
grab bars, and/or paved pathway to the
pre-existing disability to meet the
household’s access and functional need.
We are requiring that a medical, health
care, or rehabilitation professional
certify whether or not this is necessary;
as, they have the expertise to make that
determination or, we will accept prior
medical, health care, or rehabilitation
professional documentation that
supports the need for the accessibilityrelated items. FEMA requests comment
on whether this is the appropriate level
of documentation needed to confirm the
necessity of accessibility-related items
or if FEMA should pursue less
burdensome documentation
requirements.
FEMA makes the below changes to
Home Repair Assistance to adjudicate
four RFI comments,346 so that FEMA
may make the dwelling safe/sanitary for
pre-disaster disabled applicants. For
example, this change will allow FEMA
to reimburse pre-disaster disabled
346 FEMA–2021–0011–0152, FEMA–2021–0011–
0164, FEMA–2021–0011–0235, and FEMA–2021–
0011–0261.

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applicants for accessibility items, such
as grab bars and access ramps, if the
primary residence sustained disaster
damage regardless of whether or not the
applicant had grab bars or access ramps
pre-disaster. If the dwelling was not
touched by the disaster, it will not be
eligible for repair assistance; therefore,
the applicant will not be able to apply
for Home Repair Assistance for their
pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional.
In § 206.117(b)(2)(ii)(H), FEMA states
that FEMA may provide financial
assistance for eligible hazard mitigation
measures. This is consistent with
current § 206.117(b)(2)(ii)(H), except for
FEMA removing the phrase ‘‘items or
services determined to be’’ for clarity, as
FEMA never defined what ‘‘items or
services’’ meant in context of mitigation
measures and the removing of the
phrase ‘‘that reduce the likelihood of
future damage to the residence, utilities,
or infrastructure’’ as that is now part of
the defined term ‘‘Eligible hazard
mitigation measures.’’
In the first sentence of
§ 206.117(b)(2)(iii), FEMA states that
FEMA financial assistance for the repair
of disaster damage will be limited to
repairs of quality necessary for a safe
and sanitary living or functioning
condition. This is not consistent with
current § 206.117(b)(2)(iii), as FEMA has
changed its position regarding preexisting conditions. Rather, FEMA now
repairs the home to a safe and sanitary
living or functioning condition to align
with the ‘‘functioning condition’’
provision listed in 42 U.S.C. 5174
(c)(2)(A)(i) of the Stafford Act.
In the second sentence of
§ 206.117(b)(2)(iii), FEMA states that in
some instances, when the extent of the
damage is unclear, FEMA may provide
assistance for the average cost of a
licensed technician’s professional
assessment. The second sentence of
§ 206.117(b)(2)(iii) is new regulatory text
which indicates that FEMA may pay for
the average cost of a licensed
technician’s professional assessment in
some situations when the extent of the
damage is unclear. While that situation
has typically presented itself when
FEMA is considering providing
assistance for damages to more complex
items that affect the habitability of the
home, like furnaces, wells, septic
systems, roads, bridges, or retaining
walls, there may be other situations in
which we will need that kind of
assessment. So, FEMA has left
§ 206.117(b)(2)(iii) general to allow for
flexibility.

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Currently, under page 86 of the IAPPG
1.1, FEMA lists that for wells, furnaces,
and septic systems, FEMA may provide
assistance or reimbursement for the cost
of a licensed technician’s professional
assessment associated with the repair or
replacement of those components.
Additionally, when verifiable receipts
or estimates are submitted on appeal,
FEMA may pay up to the actual cost of
the receipt or estimate for wells,
furnaces, and septic systems. Thus, the
new regulatory text for the second
sentence of § 206.117(b)(2)(iii), will
codify FEMA’s policy and practice, in
place since 2000, of providing
assistance for the average cost of a
licensed technician’s professional
assessment.
In the third sentence of
§ 206.117(b)(2)(iii), FEMA states that
FEMA may provide for the replacement
of a component if repair is not feasible.
This is consistent with the fourth
sentence of current § 206.117(b)(2)(iii),
except for FEMA adding an ‘‘a’’ after
‘‘of’’ for clarity and replacing
‘‘components’’ with ‘‘component’’ for
grammar purposes.
FEMA removes the current
§ 206.117(b)(2)(iv) that states that
components that were functional
immediately before the declared event
may be eligible for repair assistance if
the damage to the component was
caused by the disaster and the
component is no longer functional. The
reason for the removal is FEMA’s policy
change. In this IFR, FEMA will provide
assistance to repair or replace a disasterdamaged component, room, or area as
long as the dwelling incurred disaster
damage, including damage that was
exacerbated by the disaster and requires
repair or replacement to make the home
habitable. If the dwelling was not
touched by the disaster, it will not be
eligible for repair assistance.
In § 206.117(b)(2)(iv), FEMA states
that eligible individuals or households
may receive up to the maximum amount
of assistance (See § 206.110(b)) to repair
damage to their primary residence
irrespective of other financial resources,
except insurance proceeds. This
sentence is consistent with the current
§ 206.117(b)(2)(v), except for FEMA
removing the italicization of ‘‘See’’ to
correct a formatting error, removing ‘‘of
this part’’ as to conform with the
Federal Register Document Drafting
Handbook regarding cross-referencing,
and revising ‘‘damages’’ to ‘‘damage’’ for
clarity.
Section 206.117(b)(2)(v) is consistent
with current § 206.117(b)(2)(vi), except
for the change to the paragraph
structure.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
In the first sentence of
§ 206.117(b)(2)(vi), FEMA states that if
the applicant disputes a determination
made by FEMA regarding eligibility for
repair assistance, the applicant may
appeal that determination pursuant to
the procedures in § 206.115. This is
consistent with current
§ 206.117(b)(2)(vii), except for changing
the paragraph structure and removing of
‘‘of this part.’’ The removal of ‘‘of this
part’’ is to conform with the Federal
Register Document Drafting Handbook
regarding cross-referencing.
In the second sentence of
§ 206.117(b)(2)(vi), FEMA states that in
addition to the requirements in
§ 206.115, the applicant must provide
proof that the component meets the
requirements of paragraph (b)(2)(i) of
§ 206.117. This sentence is consistent
with the second sentence of current
§ 206.117(b)(2)(vii), except for FEMA
removing the clause ‘‘including that the
component was functional before the
declared event and proof that the
declared event caused the component to
stop functioning.’’ The reason for the
clause’s removal is that FEMA is making
a policy change that only disaster
damaged components (regardless of
their pre-disaster condition) may receive
repair assistance, as FEMA may only
pay to restore disaster damage to a safe
and sanitary living or functioning
condition.
The third sentence of
§ 206.117(b)(2)(vi) is consistent with
current § 206.117(b)(2)(vii), except for
the change to the paragraph structure.
In § 206.117(b)(3)(i), FEMA states that
FEMA may provide financial assistance
for the replacement of an owneroccupied primary residence if: the
eligibility criteria in § 206.113 are met;
the residence was destroyed by the
disaster; and the damage to the
residence is not covered by insurance.
This sentence is consistent with current
§ 206.117(b)(3)(i), except for FEMA
replacing ‘‘owner’s’’ with ‘‘owneroccupied’’ before ‘‘primary residence;’’
removing ‘‘of this part’’ from current
§ 206.117(b)(3)(i)(A) for consistency;
removing the current
§ 206.117(b)(3)(i)(B), which states that
the residence was functional
immediately before the disaster;
removing the following clause from the
current § 206.117(b)(3)(i)(C) ‘‘and the
damage was caused;’’ removing the
current § 206.117(b)(3)(i)(E), which
states that repair is not feasible, will not
ensure the safety or health of the
occupant, or will not make the
residence functional; and removing the
current § 206.117(b)(3)(i)(F), which
states that replacement is necessary to
ensure the safety or health of the

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occupant. These additions align with
the policy changes that the residence
does not have to be functional
immediately before the disaster and that
all of the damage to the residence need
not have been caused by the disaster
since FEMA is paying for pre-existing
damage.
In the first sentence of
§ 206.117(b)(3)(ii), FEMA replaces the
first sentence with the second sentence
of current § 206.117(b)(3)(ii), except for
FEMA removing the italicization of
‘‘See’’ to correct a formatting error and
removing ‘‘of this part’’ for consistency.
FEMA is removing the first sentence of
current § 206.117(b)(3)(ii), which states
that all replacement assistance awards
must be approved by the Regional
Administrator or his/her designee to
ensure continued consistency in
processing across disasters at the
national level.
In § 206.117(b)(3)(iii), FEMA states
that housing replacement assistance will
be based on the average replacement
cost established by FEMA for the type
of residence destroyed, or the statutory
maximum (See § 206.110(b)), whichever
is less. This sentence is consistent with
current § 206.117(b)(3)(iii), except for
FEMA replacing ‘‘verified disaster
related level of damage to the dwelling’’
with ‘‘average replacement cost
established by FEMA for the type of
residence destroyed’’ and removing ‘‘of
this part’’ for consistency. FEMA’s
clarifying revisions are to help the
public understand that since FEMA has
already said that the residence must be
destroyed or cannot be repaired, that
FEMA will pay replacement assistance
based on the average replacement cost
established by FEMA for the type of
residence destroyed.
In the first sentence of
§ 206.117(b)(3)(iv), FEMA states that if
the applicant disputes a determination
made by FEMA regarding eligibility for
replacement assistance, the applicant
may appeal that determination pursuant
to the procedures in § 206.115. This
sentence is consistent with the current
first sentence of § 206.117(b)(3)(iv),
except for FEMA removing ‘‘of this
part’’ to conform with the Federal
Register Document Drafting Handbook
regarding cross-referencing.
In the second sentence of
§ 206.117(b)(3)(iv), FEMA states that in
addition to the requirements in
§ 206.115, the applicant must provide
proof that repair is not feasible, or will
not ensure the safety or health of the
occupant. This sentence is consistent
with the current second sentence of
§ 206.117(b)(3)(iv), except for FEMA
removing the clause ‘‘or make the
residence functional’’ based on the

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policy changes that FEMA has
previously discussed in this IFR that the
residence no longer has to be functional
pre-disaster.
In § 206.117(b)(4)(i)(A), FEMA states
that FEMA may provide financial or
direct assistance to applicants for the
purpose of constructing permanent and
semi-permanent housing if the
eligibility criteria in § 206.113 are met.
This is consistent with current
§ 206.117(b)(4)(i)(A), except for FEMA
removing ‘‘of this part’’ to conform with
the Federal Register Document Drafting
Handbook regarding cross-referencing.
In § 206.117(b)(4)(i)(B), FEMA deletes
the current § 206.117(b)(4)(i)(B), which
states that the residence was functional
immediately before the declared event,
based upon the policy changes that the
residence no longer has to be
functioning immediately before the
declared event.
Section 206.117(b)(4)(i)(B) through (D)
is consistent with current
§ 206.117(b)(4)(i)(C) through (E), except
for changing the paragraph structure.
In § 206.117(b)(4)(i)(E), FEMA states
that FEMA may provide financial or
direct assistance to applicants to
construct permanent and semipermanent housing if the residence is in
a location where alternate housing
resources are not available and the types
of financial or direct temporary housing
assistance described in paragraph
§ 206.117(b)(1), (2), and (3) are
unavailable, infeasible, or not costeffective. This is consistent with current
§ 206.117(b)(4)(i)(F), except for FEMA
removing ‘‘located’’ as it is repetitive
and replacing the phrase ‘‘an insular
area outside the continental United
States or in another’’ with ‘‘a’’ before
‘‘location’’ as a simplifying edit for
clarity. There is no reason to include the
phrase, as the point of the sentence is
that the residence is in a location where
no alternative housing resources are
available.
In the first sentence of
§ 206.117(b)(4)(iii), FEMA states that if
the applicant disputes a determination
made by FEMA regarding eligibility for
construction assistance, the applicant
may appeal that determination pursuant
to the procedures in § 206.115. This is
consistent with the first sentence in
current § 206.117(b)(4)(iii), except for
FEMA removing ‘‘of this part’’ to
conform with the Federal Register
Document Drafting Handbook regarding
cross-referencing.
In the second sentence of
§ 206.117(b)(4)(iii), FEMA states that in
addition to the requirements in
§ 206.115, the applicant must provide
proof that the property is in a location
where alternative housing resources are

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not available. This is consistent with
current § 206.117(b)(4)(iii), except for
FEMA removing the phrase ‘‘either
located in an insular area outside the
continental United States or’’ as a
simplifying edit for clarity. There is no
reason to include the phrase as the point
of the sentence is that the residence is
in a location where no alternative
housing resources are available.
I. Section 206.118—Disposal of Housing
Units
In § 206.118(a) through (1), FEMA
states that FEMA may sell temporary
housing units purchased under
§ 206.117(b)(1)(ii), Temporary housing,
direct assistance, as follows: sale to an
occupant. This is consistent with the
current § 206.118(a) through (1), except
for FEMA adding ‘‘temporary’’ before
‘‘housing units’’ for clarity and
replacing ‘‘applicant’’ with ‘‘occupant’’
for clarity in reference to those who
attempt to purchase the temporary
housing unit they occupy during their
period of FEMA individual assistance.
In § 206.118(a)(1)(i), FEMA states that
FEMA may sell a temporary housing
unit to the occupant, if they lack
permanent housing and have a site that
complies with local codes and
ordinances and 44 CFR part 9. This is
consistent with the current
§ 206.118(a)(1)(i), except for FEMA
replacing ‘‘sale’’ with the clause ‘‘FEMA
may sell a temporary housing unit;’’
replacing ‘‘individual or household’’
with ‘‘occupant;’’ removing ‘‘occupying
the unit;’’ replacing ‘‘the occupant’’
with ‘‘they;’’ replacing ‘‘lacks’’ with
‘‘lack’’ for grammar purposes; replacing
the ‘‘comma’’ after ‘‘permanent
housing’’ with ‘‘and;’’ and replacing
‘‘has’’ with ‘‘have’’ for grammar
purposes. These changes are for clarity
and consistency.
In § 206.118(a)(1)(ii), FEMA removes
the paragraph heading ‘‘adjustment to
the sales price’’ for consistency and to
comply with the Federal Register
Document Drafting Handbook, as the
rest of the paragraphs at that level do
not have paragraph headings.
In § 206.118(a)(1)(ii), FEMA states that
FEMA may approve adjustments to the
sales price when selling a temporary
housing unit to the occupant if the
occupant is unable to pay the fair
market value of the temporary housing
unit and when doing so is in the best
interest of the occupant and FEMA. This
is consistent with current
§ 206.118(a)(1)(ii), except for FEMA
adding ‘‘temporary’’ before ‘‘housing
unit’’ for clarity; removing ‘‘of a unit;’’
replacing ‘‘purchaser’’ with ‘‘occupant’’
for consistency and because ‘‘occupant’’
is a defined term in § 206.111; replacing

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‘‘home or’’ with ‘‘temporary housing
unit;’’ and replacing ‘‘applicant’’ with
‘‘occupant’’ for consistency.
In § 206.118(a)(1)(iii), FEMA states
that FEMA may sell a temporary
housing unit to the occupant only on
the condition that the purchaser agrees
to obtain and maintain hazard
insurance, as well as flood insurance on
the temporary housing unit if it is or
will be in a designated Special Flood
Hazard Area. This is consistent with
current § 206.118(a)(1)(iii), except for
FEMA adding ‘‘temporary’’ before
‘‘housing unit’’ and ‘‘temporary
housing’’ before ‘‘unit’’ for consistency.
In § 206.118(a)(2), FEMA replaces a
colon with a period for grammar
purposes. In the first sentence of
§ 206.118(a)(2)(i), FEMA states that
FEMA may sell, transfer, donate, or
otherwise make a temporary housing
unit available directly to a State or other
governmental entity, or to a voluntary
organization, for the sole purpose of
providing temporary housing to eligible
displaced applicants in major disasters
and emergencies. This is consistent with
the first sentence of current
§ 206.118(a)(2)(i), except for FEMA
adding ‘‘temporary housing’’ before
‘‘unit’’ for consistency and replacing
‘‘disaster victims’’ with ‘‘eligible
displaced applicants’’ for consistency
and clarity.
In § 206.118(a)(2)(i)(B), FEMA states
that the State, governmental entity, or
voluntary organization must agree to
obtain and maintain hazard insurance
on the temporary housing unit, as well
as flood insurance if the housing unit is
or will be in a designated Special Flood
Hazard Area. This is consistent with
current § 206.118(a)(2)(i)(B), except for
FEMA adding ‘‘temporary housing’’
before ‘‘unit’’ for consistency.
In § 206.118(a)(2)(ii), FEMA states that
FEMA may also sell temporary housing
units at a fair market value to any other
person. This is consistent with current
§ 206.118(a)(2)(ii), except for FEMA
adding ‘‘temporary’’ before ‘‘housing
units’’ for consistency.
In the first sentence of § 206.118(b),
FEMA states that a temporary housing
unit will be sold ‘‘as is, where is,’’
except for repairs FEMA deems
necessary to protect health or safety,
which are to be completed before the
sale. This is consistent with current
§ 206.118(b), except for FEMA adding
‘‘temporary housing’’ before ‘‘unit’’ for
consistency.
In the third sentence of § 206.118(b),
FEMA states that in addition, FEMA
will inform the purchaser that they may
have to bring the installation of the
temporary housing unit up to codes and
standards that are applicable at the

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proposed site. This is consistent with
the third sentence of § 206.118(b),
except for FEMA replacing ‘‘he/she’’
with ‘‘they’’ and for adding ‘‘temporary
housing’’ before ‘‘unit’’ for consistency.
Plus, we are making these changes for
clarity; as FEMA has always meant
‘‘temporary housing unit’’ when we
used ‘‘unit’’ and FEMA has always
meant that the installation of the
temporary housing unit has to be up to
codes and standards.
J. Section 206.119—Financial
Assistance To Address Other Needs
In § 206.119(a), FEMA states that
FEMA and the State may provide
financial assistance to individuals and
households who are adversely affected
by a major disaster and have other
verifiable, documented disaster-related
necessary expenses or serious needs.
This is consistent with current
§ 206.119(a), except for FEMA adding
the clause ‘‘are adversely affected by a
major disaster and’’ after ‘‘households
who’’ for clarity; adding ‘‘verifiable,
documented’’ before ‘‘disaster-related’’
for clarification; and removing the
current second sentence of § 206.119(a)
and removing the current subparagraphs
(a)(1) through (3) which state that to
qualify for assistance under § 206.119,
an applicant must also: apply to the
United States Small Business
Administration’s (SBA) Disaster Home
Loan Program for all available assistance
under that program; and be declined for
SBA Disaster Home Loan Program
assistance; or demonstrate that the SBA
assistance received does not satisfy their
total necessary expenses or serious
needs arising out of the major disaster.
FEMA removes the above-mentioned
regulatory text, as the removal of the
designation of ‘‘SBA-dependent ONA’’
allows FEMA to provide all eligible
applicants ONA regardless of loan
repayment worthiness.
This aligns with the goal of the 2022–
2026 FEMA Strategic Plan to instill
equity as a foundation of emergency
management by removing barriers to
FEMA programs through a people first
approach and achieving equitable
outcomes for those we serve.347 The
historically low percentage of applicants
with SBA-dependent needs identified at
inspection who choose to apply for and
accept an SBA loan for these needs
347 Strategic Goal 3.1 2018–2022 FEMA Strategic
Plan was to reduce the complexity of FEMA and to
streamline the disaster survivor and grantee
experience, which also would be furthered by these
changes. The IFR also aligns with the 2022–2026
FEMA Strategic Plan, Goal 2: Lead whole of
community in climate resilience; and Goal 3:
Promote and sustain a ready FEMA and prepared
Nation.

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indicates a gap in the correct recovery
process which this change would
address. This also assists the IA
Division in responding to GAO 20–503
on FEMA’s Individuals and Households
Program.348 This solution will also
simplify applicant messaging for both
FEMA and the SBA.
FEMA is removing the SBA
requirement in order to streamline the
application process and ensure all
applicants can access assistance.
However, we also recognize that doing
so would allow applicants who might
otherwise qualify for an SBA loan to
instead receive a grant, thus increasing
the cost of disaster assistance from the
Disaster Relief Fund and reducing the
potential for repayment of assistance.
FEMA specifically seeks comment on
the removal of the requirement to apply
to the SBA to qualify for certain
categories of assistance under ONA and
whether FEMA should seek statutory
authority for alternative ways to ensure
higher income applicants first pursue
SBA loans for this and other categories
of assistance. From § 206.119(b) onward,
FEMA reorganizes the order of the types
of assistance to first cover the two new
types of assistance: serious needs and
displacement. FEMA states that the new
types of assistance should go first as
they are first in the delivery sequence
and these two types of assistance have
specific registration deadlines. FEMA
also employees new paragraph headings
of ‘‘Serious needs’’ and ‘‘Displacement’’
at § 206.119(b)(1) and § 206.119(b)(2),
respectively.
In § 206.119(b)(1), FEMA states that
serious needs assistance is the necessary
expenses to assist applicants who report
they are displaced as a result of the
disaster, who report a need for shelter
as a result of the disaster, or who have
other emergency disaster expenses.
These needs will vary according to each
applicant and FEMA will not require
receipts documenting the use of this
assistance. FEMA will adjust the
amount of this assistance to reflect
changes in the CPI for all Urban
Consumers that the Department of Labor
publishes.
In § 206.111, FEMA revises the
definition of displaced applicant to
mean one whose disaster-damaged
348 GAO 20–503 touched on the confusion created
by the current regulatory requirement that
applicants apply for an SBA disaster loan prior to
being considered for SBA-dependent ONA. The
GAO made a formal recommendation that the
FEMA Administrator should assess the extent to
which its process for determining an applicant’s
eligibility for SBA-dependent other needs
assistance limits or prevents survivors’ access to
IHP assistance, and work with SBA to identify
options to simplify and streamline the disaster
assistance application process for survivors.

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primary residence is uninhabitable,
inaccessible, or made unavailable by the
landlord. All that is required by ONA is
that the applicant is adversely affected
by a disaster. In the ONA revisions at
§ 206.119(b)(1), an applicant does not
have to be displaced to receive the
serious needs assistance which is why
we did not limit the new serious needs
to displaced applicants.
In § 206.119(b)(2), FEMA states that
displacement assistance is the necessary
expenses to assist displaced applicants
with short-term living arrangements
immediately following a disaster.
Applicants must have registered within
the 60-day or extended registration
period. The award amount is based on
a time period established by FEMA and
approved in the State Administrative
Option, as required by § 206.120(b).
FEMA will not require receipts
documenting the use of this assistance.
In § 206.119(b)(2), FEMA states the
difference between lodging expense
reimbursement and displacement
assistance. Section 206.119(b)(2) does
not require receipts for the new
displacement assistance; while, lodging
expense reimbursement does require
receipts. Also, the new displacement
assistance refers to the revised term
displaced applicant which means one
whose disaster-damaged primary
residence is uninhabitable, inaccessible,
or made unavailable by the landlord. By
contrast, lodging expense
reimbursement is for individuals or
households who have not received
displacement assistance under this
section.
In § 206.119(b)(3), FEMA revises the
paragraph heading to Medical and
dental. This paragraph heading is
consistent with the current
§ 206.119(c)(3), paragraph heading
except for FEMA removing ‘‘expenses’’
and adding ‘‘and dental.’’ By changing
the format of the paragraph headings in
this section, FEMA is adding
consistency in how each type of
assistance is referred to.
Also, in § 206.119(b)(3), when
describing eligible medical and dental
assistance, FEMA states necessary
expenses to assist applicants with
medical and dental costs, which may
include the following: medical service
costs; dental service costs; repair or
replacement of medical or dental
equipment; loss or injury of a service
animal; and costs for prescription
medicines related to eligible medical or
dental services, or which need to be
replaced due to the disaster. This
sentence is consistent with current
§ 206.119(c)(3), except for FEMA
replacing ‘‘medical’’ with ‘‘necessary’’
before ‘‘expenses’’ for clarity; adding the

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clause ‘‘to assist applicants with
medical and dental costs which’’ after
‘‘expenses’’ for clarity; removing ‘‘are
generally’’ and ‘‘limited to’’ and adding
‘‘may include’’ for clarity; adding
‘‘service’’ between ‘‘medical costs’’ and
‘‘dental costs’’ for clarity and
consistency; adding ‘‘or dental’’ before
‘‘equipment;’’ and adding the following
new language ‘‘loss or injury of a service
animal; and costs for prescription
medicines related to eligible medical or
dental services, or which need to be
replaced due to the disaster’’ for clarity.
FEMA currently covers the loss of
prescription drugs in Chapter 3: VI.B.2.
of the IAPPG 1.1,349 so it was not
essential that we added the regulatory
text, but we did so for clarity that these
eligible costs may include medical
services and prescription drugs.
Currently, in Chapter 3: VI.B.2. of
IAPPG 1.1 350 FEMA interprets current
§ 206.119(c)(3)(iii) to include service
animals. For clarity we are adding ‘‘loss
or injury of a service animal.’’
In § 206.119(b)(4), FEMA adds a
paragraph heading of ‘‘child care.’’ This
is a new paragraph with a new
paragraph heading. Currently, FEMA
does not have child care expenses ONA
regulations.
In § 206.119(b)(4), FEMA states that
child care assistance is for necessary
expenses to assist applicants with child
care costs, which may include the
following: standard child care service
fees, including personal assistance
services that support activities of daily
living for children with disabilities and
registration and health inventory fees
for applicants who require a new child
care provider. FEMA adds child care
expenses under ONA; as section 1108 of
SRIA 351 established child care as an
eligible expense under the ONA
provision of the IHP.352 This is a
codification of a current existing policy
and practice, as, currently FEMA
implements child care assistance
through the IAPPG 1.1.353
Currently, § 206.119(c)(4) paragraph
heading is ‘‘funeral expenses.’’ In
§ 206.119(b)(5), FEMA changes the
paragraph heading to ‘‘funeral’’ for
349 See page 153 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
350 See page 153 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.
351 42 U.S.C. 5174(e)(1).
352 Initially, the Recovery Policy, Disaster
Assistance for Child Care 9461.1, Jan. 17, 2014, was
the controlling policy. https://www.fema.gov/sites/
default/files/2020-07/recovery-policy_
disaster%20assistance-child-care.pdf.
353 See pages 155–160, Child Care Assistance, of
IAPPG 1.1. https://www.fema.gov/sites/default/
files/documents/fema_iappg-1.1.pdf.

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consistency with the other paragraph
headings at that paragraph level.
In § 206.119(b)(5), FEMA states that
funeral assistance is necessary expenses
to assist applicants with funeral costs,
which may include the following:
funeral services; burial or cremation;
and other related funeral expenses. This
is consistent with the current
§ 206.119(c)(4), except for FEMA
replacing ‘‘funeral’’ with ‘‘necessary’’
before ‘‘expenses’’ for clarity, adding the
clause ‘‘to assist applicants with funeral
costs which’’ after ‘‘expenses’’ for
clarity, removing ‘‘are generally limited
to’’ and adding ‘‘may include’’ for
clarity and to parallel the language in
§ 206.119(b)(3).
In § 206.119(b)(6), when describing
eligible personal property assistance,
FEMA includes necessary expenses to
assist applicants whose primary
residences were damaged by the disaster
with personal property costs, which
may include the following: clothing;
household items, furnishings or
appliances; computing devices;
essential tools, specialized or protective
clothing, computing devices, and
equipment required for employment;
computing devices, uniforms,
schoolbooks and supplies required for
educational purposes; and cleaning or
sanitizing any eligible personal property
item.354 This is consistent with the
current § 206.119(c)(1), except for FEMA
replacing ‘‘and serious needs for repair
or replacement of’’ with ‘‘to assist
applicants whose primary residences
were damaged by the disaster with’’
after ‘‘necessary expenses’’ for clarity,
adding ‘‘costs’’ after ‘‘personal
property’’ for clarity, replacing ‘‘are
generally limited to’’ with ‘‘may
include’’ before the ‘‘the following’’ for
clarity and to parallel the language in
§ 206.119(b)(3), adding a new
subparagraph (iii) which includes
‘‘computing devices’’ to provide
additional assistance under ONA
personal property for one household
computing device not related to
employment or education, adding
‘‘Essential’’ before ‘‘tools’’ as FEMA
adds a new definition of ‘‘Essential
tools’’ in § 206.111, adding ‘‘computing
devices’’ after ‘‘protective clothing,’’ to
allow them as eligible costs if the
computing devices are for employment,
replacing the phrase ‘‘by an employer as
a condition of’’ with ‘‘for’’ before
354 When the damages are not captured at
inspection, an applicant must provide: an itemized
receipt, estimate, or bill for repair or replacement
of the disaster-damaged items; a written statement
signed by the applicant verifying that the items
were disaster-damaged and the written statement
includes: ‘‘I declare under penalty of perjury that
the information I provided is true and correct.’’

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‘‘employment’’ to reflect FEMA’s policy
change regarding self-employed
essential tools; and replacing
‘‘computers’’ with ‘‘computing devices’’
in 206.119(b)(6)(iv) for consistency
since we are replacing ‘‘computers’’
with ‘‘computing devices’’ in the other
subparagraphs in 206.119(b)(6).
While FEMA had previously provided
assistance for damaged computers, it
was limited to those computers that
were required for educational purposes
or as a condition of employment.
Recognizing that technology continues
to have an increasing role in how
households communicate, manage
finances, and facilitate many other
necessary aspects of daily living, FEMA,
via IHP, is expanding Personal Property
Assistance so that a household may
receive financial assistance for a disaster
damaged computing device, regardless
of its intended use. Applicants may
receive financial assistance for
additional damaged computing devices
that are needed for educational
purposes or as a condition of
employment, to include self-employed
individuals.
In § 206.119(b)(6), FEMA clarifies that
the personal property was in a predisaster primary residence in a declared
disaster area when FEMA adds the
clause ‘‘to assist applicants whose
primary residences were damaged by
the disaster.’’
The paragraph heading § 206.119(b)(7)
is the same as current § 206.119(c)(2),
except for the change to the paragraph
structure.
In § 206.119(b)(7), when describing
eligible transportation assistance, FEMA
states that FEMA and the State may
provide financial assistance to
individuals and households including
necessary expenses to assist applicants
with transportation costs, which may
include the following: repairing or
replacing vehicles; public
transportation; and other transportation
related costs or services. This is
consistent with the current
§ 206.119(c)(2), except for FEMA
removing ‘‘or serious needs’’ after
‘‘necessary expenses’’ and removing
‘‘for’’ before ‘‘transportation’’ for clarity;
adding the clause ‘‘to assist applicants
with’’ before ‘‘transportation’’ and
adding ‘‘costs’’ after ‘‘transportation’’ for
clarity; removing ‘‘are generally limited
to’’ and adding ‘‘which may include’’
before ‘‘the following’’ for clarity and to
parallel the language in § 206.119(b)(3);
and removing ‘‘and’’ in current
§ 206.119(c)(2)(i), removing ‘‘financial
assistance for’’ before ‘‘public,’’
removing ‘‘any;’’ moving the clause
‘‘other transportation related costs or

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services’’ from current § 206.119(c)(2)(ii)
to § 206.119(b)(7)(iii).
The heading of § 206.119(b)(8)
addresses moving and storage. This is
consistent with current § 206.119(c)(5),
except the heading does not include
‘‘expenses.’’ In § 206.119(b)(8), when
describing eligible moving and storage
assistance, FEMA states that FEMA and
the State may provide financial
assistance to individuals and
households including necessary
expenses to assist applicants whose
primary residences were damaged by
the disaster with costs related to moving
and storing personal property, which
may include the following: moving and
storing personal property to avoid
additional disaster damage; storage of
personal property while disaster-related
repairs are being made to the primary
residence; and return of the personal
property to the individual or
household’s primary residence. This is
consistent with current § 206.119(c)(5),
except for FEMA reorganizing this
paragraph to include three
subparagraphs so that it follows the
format of the other paragraphs in this
section. Also, § 206.119(b)(8), removes
‘‘and serious needs’’ after ‘‘necessary
expenses,’’ and adds the clause ‘‘to
assist applicants whose primary
residences were damaged by the disaster
with costs’’ before ‘‘related to moving
and storing personal property’’ for
clarity and replaces ‘‘generally’’ with
‘‘may.’’
In § 206.119(b)(9), the paragraph
heading is Group Flood Insurance
purchase, which is consistent with the
current paragraph heading at
§ 206.119(d), except for the paragraph
structure. Since Group Flood Insurance
is a type of assistance, it should be
listed with the other types of assistance
listed in § 206.119(b) instead of, as
currently stands, its own separate
paragraph. In § 206.119(b)(9), FEMA
states that individuals identified by
FEMA as eligible for assistance for flood
insurable damage under the Stafford
Act, 42 U.S.C. 5174, as a result of flood
damage caused by a Presidentiallydeclared major disaster and who reside
in a special flood hazard area (SFHA)
may be included in a Group Flood
Insurance Policy (GFIP) established
under the National Flood Insurance
Program (NFIP) regulations at 44 CFR
61.17. This sentence is consistent with
current § 206.119(d), except for FEMA
replacing ‘‘Other Needs assistance’’ with
‘‘assistance for flood insurable damage’’
for clarity; removing ‘‘section 408 of’’
and adding ‘‘42 U.S.C. 5174’’ for clarity
and public ease of reference.
The first sentence of § 206.119(b)(9)(i)
is consistent with the current first

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sentence of § 206.119(d)(1), except for
the paragraph structure. Currently, the
first sentence of § 206.119(d)(1), states
that the premium for the GFIP is a
necessary expense within the meaning
of § 206.119. In the second sentence of
§ 206.119(b)(9)(i), FEMA states that
FEMA or the State must withhold this
portion of the Other Needs award and
provide it to the NFIP on behalf of
individuals and households who are
eligible for coverage. This is consistent
with the current second sentence of
§ 206.119(d)(1), except for FEMA
replacing ‘‘shall’’ for ‘‘must’’ for
purposes of plain language. In the third
sentence of § 206.119(b)(9)(i), FEMA
states that the coverage must be
equivalent to the maximum assistance
amount established under the Stafford
Act, 42 U.S.C. 5174. The is consistent
with the current third sentence of
§ 206.119(d)(1), except for FEMA
replacing ‘‘shall’’ with ‘‘must’’ for
purposes of plain language and
removing ‘‘section 408 of’’ and adding
‘‘42 U.S.C. 5174’’ for clarity and public
ease of reference.
In the first sentence of
§ 206.119(b)(9)(ii), FEMA states that
FEMA or the State IHP staff must
provide the NFIP with records of
individuals who received assistance for
flood-insurable losses within a SFHA
and are to be insured through the GFIP.
This is consistent with the current first
sentence of § 206.119(d)(2), except for
FEMA replacing ‘‘shall’’ with ‘‘must’’
for purposes of plain language and
replacing ‘‘an ‘‘Other Needs’’ award’’
with ‘‘assistance for flood-insurable
losses within a SFHA’’ for clarity. In the
second sentence of § 206.119(b)(9)(ii),
FEMA states that records of applicants
to be insured must be accompanied by
payments to cover the premium
amounts for each applicant for the 3year policy term. This is consistent with
the current second sentence of
§ 206.119(d)(2), except for FEMA
removing ‘‘Other Needs’’ for clarity and
replacing ‘‘shall’’ with ‘‘must’’ for
purposes of plain language. The third
and fourth sentences in
§ 206.119(b)(9)(ii) are consistent with
the third and fourth sentences in the
current § 206.119(d)(2).
Section 206.119(b)(9)(iii) is consistent
with current § 206.119(d)(3), except for
the paragraph structure.
In § 206.119(b)(10), when describing
eligible miscellaneous assistance, FEMA
states that FEMA may provide
assistance for other miscellaneous items
or services that FEMA, in consultation
with the State, determines are necessary
expenses and serious needs. Section
206.119(b)(10) is consistent with current
§ 206.119(c)(6)(ii), except for FEMA

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adding a paragraph heading of
‘‘Miscellaneous’’ to § 206.119(b)(10).
This last paragraph for section 206.119
serves as a ‘‘catch all’’ for types of
assistance under the necessary expenses
and serious needs provisions of the
Stafford Act.
K. Section 206.131—Individual and
Family Grant Program for Major
Disasters Declared on or Before October
14, 2002
On September 30, 2002, FEMA issued
regulations on the then-new Individuals
and Households Program. The rule
implemented the DMA2K and added
§§ 206.110–120 to subpart D of part 206
of FEMA’s regulations. The previous
regulations, relating to the superseded
Individual and Family Grant Program,
were retained in § 206.131, but revised
to apply only to disasters declared
before October 15, 2002, the effective
date of the new Individuals and
Households Program regulations. Since
these old regulations are now outdated
and no longer necessary, FEMA removes
and reserves § 206.131. Sections 206.132
through 206.140 are currently reserved,
so removing and reserving § 206.131
extends the existing reservation to
§§ 206.131–140.
Since FEMA is removing § 206.131
and reserving § 206.131, FEMA also is
revising the Subpart E—heading from
‘‘Individual and Family Grant Programs’
to ‘‘Reserved’’ for clarity.
L. Section 206.191—Duplication of
Benefits
In the first sentence of § 206.191(a),
FEMA states that § 206.191 establishes
the policies for implementing the
Stafford Act, 42 U.S.C. 5155, entitled
Duplication of Benefits. This sentence is
consistent with current § 206.191(a),
except for FEMA removing ‘‘section 312
of’’ and adding ‘‘42 U.S.C. 5155’’ after
‘‘the Stafford Act.’’ FEMA makes these
edits for public ease of reference, as a
United States Code cite is more
accessible to the public and referencing
the section of the Stafford Act just
increases the length of the regulation.
In the first sentence of § 206.191(b)(1),
FEMA states that Federal agencies
providing disaster assistance under the
Act or under their own authorities
triggered by the Act, must cooperate to
prevent and rectify duplication of
benefits, according to the general policy
guidance of the Federal Emergency
Management Agency. This sentence is
consistent with the first sentence of
current § 206.191(b)(1), except for
FEMA replacing ‘‘shall’’ with ‘‘must’’
for purposes of plain language.
In the second sentence of
§ 206.191(b)(1), FEMA states that the

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agencies must establish appropriate
agency policies and procedures to
prevent duplication of benefits. This
sentence is consistent with the second
sentence of current § 206.191(b)(1),
except for FEMA replacing ‘‘shall’’ with
‘‘must’’ for purposes of plain language.
In § 206.191(d)(2), FEMA states that
the delivery sequence is, in order of
delivery: volunteer agencies’ emergency
assistance (except expendable items
such as clothes, linens, and basic
kitchenware); insurance (including
flood insurance); housing assistance
pursuant to the Stafford Act, 42 U.S.C.
5174; Other Needs assistance, pursuant
to the Stafford Act, 42 U.S.C. 5174;
Small Business Administration and
Department of Agriculture disaster
loans; Volunteer agencies’ ‘‘additional
assistance’’ programs; and the ‘‘Cora
Brown Fund.’’ This is consistent with
current § 206.191(d)(2), except for
FEMA removing the Stafford Act section
cites and replacing them with United
States Code cites, which are more
accessible to the public and switching
the delivery sequence, so that FEMA
disaster survivors do not have to go to
SBA before seeking ONA assistance
from FEMA. Also, FEMA removes
‘‘Farmers Home Administration’’ and
replaces it with ‘‘Department of
Agriculture’’ since the Farmers Home
Administration is now administered by
the successor agencies of the Farmers
Home Administration, so the ‘‘Farmers
Home Administration disaster loans’’
are now the ‘‘Department of Agriculture
disaster loans.’’
In the first sentence of § 206.191(d)(4),
FEMA states that if following the
delivery sequence concept would
adversely affect the timely receipt of
essential assistance by an individual or
household, an agency may offer
assistance which is the primary
responsibility of another agency. This
sentence is consistent with current
§ 206.191(d)(4), except for FEMA
replacing ‘‘a disaster victim’’ with ‘‘an
individual or household’’ for
consistency and clarity.
In the § 206.191(d)(4)(ii), FEMA states
that in the case where the individual or
household has refused assistance from
Agency A, Agency A must notify
Agency B that it must recover assistance
previously provided. This sentence is
consistent with current
§ 206.191(d)(4)(ii), except for FEMA
replacing ‘‘disaster victim’’ with
‘‘individual or household’’ for
consistency and adding the clarifying
phrase ‘‘Agency A must’’ before ‘‘notify
Agency B.’’
In § 206.191(e)(1)(i), FEMA states that
in making an eligibility determination,
FEMA, in the case of federally operated

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programs, or the State, in the case of
State operated programs, must
determine whether assistance is the
primary responsibility of another agency
to provide, according to the delivery
sequence; and determine whether that
primary response agency can provide
assistance in a timely way. This
sentence is consistent with current
§ 206.191(e)(1)(i), except for FEMA
revising ‘‘the FEMA Regional
Administrator’’ to ‘‘FEMA’’ for
consistency and revising ‘‘shall’’ with
‘‘must’’ for purposes of plain language.
In § 206.191(e)(2), FEMA states that in
making an eligibility determination,
FEMA or the State must remind the
applicant about his/her responsibility to
pursue an adequate settlement. In the
second sentence of § 206.191(e)(2)(iii),
FEMA states that where flood insurance
is involved, FEMA must coordinate
with the Federal Insurance
Administration. These sentences are
consistent with current § 206.191(e)(2)
and the second sentence of
§ 206.191(e)(2)(iii), except for FEMA
revising ‘‘the FEMA Regional
Administrator’’ to ‘‘FEMA,’’ as the RA is
not involved; adding ‘‘the’’ before State
for grammar purposes; and revising
‘‘shall’’ to ‘‘must’’ for purposes of plain
language.
In the first sentences of
§ 206.191(e)(3), FEMA states that each
disaster assistance agency is responsible
for preventing and rectifying
duplication of benefits under the
general authority of the Stafford Act, 42
U.S.C. 5155. This sentence is consistent
with current § 206.191(e)(3), except for
FEMA removing the phrase ‘‘the
coordination of the Federal
Coordinating Officer (FCO) and,’’ as
field leadership does not coordinate the
rectification of duplication of benefits;
and revising ‘‘section 312’’ to ‘‘the
Stafford Act, 42 U.S.C. 5155’’ for clarity
and public ease of reference.
In the second sentence of
§ 206.191(e)(3), FEMA states that to
determine whether duplication has
occurred and established procedures
have been followed, FEMA must, within
90 days after the close of the disaster
assistance program’s application period,
for selected disaster declarations,
examine on a random sample basis,
FEMA’s and other government and
voluntary agencies’ case files and
document the findings in writing. This
sentence is consistent with the current
second sentence of § 206.191(e)(3),
except for FEMA replacing ‘‘the
Regional Administrator’’ with ‘‘FEMA’’
for consistency, replacing ‘‘shall’’ with
‘‘must’’ for purposes of plain language,
and replacing ‘‘programs’’ with
‘‘program’s’’ for grammar purposes.

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In § 206.191(e)(4), FEMA states that if
duplication is discovered, FEMA must
determine whether the duplicating
agency followed its own remedial
procedures. This is consistent with
current § 206.191(e)(4), except for FEMA
replacing ‘‘the Regional Administrator’’
with ‘‘FEMA’’ for consistency and
replacing ‘‘shall’’ with ‘‘must’’ for
purposes of plain language.
In the first sentence of
§ 206.191(e)(4)(i), FEMA states that if
the duplicating agency followed its
procedures and was successful in
correcting the duplication, FEMA will
take no further action. This is consistent
with current first sentence of
§ 206.191(e)(4)(i), except for FEMA
replacing ‘‘the Regional Administrator’’
with ‘‘FEMA’’ for consistency.
In the second sentence of
§ 206.191(e)(4)(i), FEMA states that if
the agency was not successful in
correcting the duplication, and FEMA is
satisfied that the duplicating agency
followed its remedial procedures, no
further action will be taken. This is
consistent with the current second
sentence of § 206.191(e)(4)(i), except for
FEMA replacing ‘‘the Regional
Administrator’’ with ‘‘FEMA,’’ as the
RA is not involved.
In the first sentence of
§ 206.191(e)(4)(ii), FEMA states that if
the duplicating agency did not follow its
duplication of benefits procedures, or
FEMA is not satisfied that the
procedures were followed in an
acceptable manner, then FEMA must
provide an opportunity for the agency to
take the required corrective action. This
is consistent with the current first
sentence of § 206.191(e)(4)(ii), except for
FEMA twice replacing ‘‘the Regional
Administrator’’ with ‘‘FEMA,’’ as the
RA is not involved and replacing
‘‘shall’’ with ‘‘must’’ for purposes of
plain language.
In the second sentence of
§ 206.191(e)(4)(ii), FEMA states that if
the agency cannot fulfill its
responsibilities for remedial action,
FEMA must notify the recipient of the
excess assistance, and after examining
the debt, then as appropriate, take those
recovery actions in conjunction with
agency representatives for each
identified case in the random sample (or
larger universe, at FEMA’s discretion).
This is consistent with the current
second sentence of § 206.191(e)(4)(ii),
except for FEMA replacing ‘‘the
Regional Administrator’’ with ‘‘FEMA,’’
as the RA is not involved; replacing
‘‘shall’’ with ‘‘must’’ for purposes of
plain language; replacing ‘‘if it is
determined that the likelihood of
collecting the debt and the best interests
of the Federal Government justify taking

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the necessary recovery actions, then’’
with ‘‘then as appropriate,’’ and
replacing ‘‘the Regional
Administrator’s’’ with ‘‘FEMA’s,’’ as the
RA’s discretion is not involved.
In the first sentence of § 206.191(e)(5),
FEMA states that when the random
sample shows evidence that duplication
has occurred and corrective action is
required, FEMA must urge the
duplicating agency to follow its own
procedures to take corrective action, and
must work with the agency toward that
end. This is consistent with the current
first sentence of § 206.191(e)(5), except
for FEMA replacing ‘‘the Regional
Administrator and the FCO’’ with
‘‘FEMA,’’ as the RA and the FCO are not
involved and replacing ‘‘shall’’ with
‘‘must’’ for purposes of plain language.
In the second sentence of
§ 206.191(e)(5), FEMA states that under
its authority in the Stafford Act, 42
U.S.C. 5155, FEMA must require the
duplicating agency to report to FEMA
on the agency’s attempt to correct the
duplications identified in the sample.
This is consistent with the current
second sentence of § 206.191(e)(5),
except for FEMA replacing ‘‘his/her’’
with ‘‘its;’’ replacing ‘‘section 312’’ with
‘‘the Stafford Act, 42 U.S.C. 5155,’’ for
clarity and public ease of reference;
replacing ‘‘the Regional Administrator’’
with ‘‘FEMA,’’ as the RA is not involved
in duplication of assistance when
assistance under other authorities is
involved; replacing ‘‘shall’’ with ‘‘must’’
for purposes of plain language;
replacing ‘‘him/her’’ with ‘‘FEMA;’’ and
replacing ‘‘its’’ with ‘‘the agency’s’’ for
clarity.
In the first sentence of § 206.191(f),
FEMA states that funds due to FEMA
are recovered in accordance with the
Department of Homeland Security’s
Debt Collection Regulations (6 CFR part
11—Claims) and the Federal Claims
Collection Standards (Department of the
Treasury—Department of Justice) (31
CFR chapter IX). This is consistent with
the current first sentence of § 206.191(f),
except for FEMA adding the follow
clause at the end of the sentence ‘‘and
the Federal Claims Collection Standards
(Department of the Treasury—
Department of Justice) (31 CFR chapter
IX).’’ FEMA is adding the additional
cross reference as much of 44 CFR part
11 uses the joint Department of the
Treasury (Treasury)/Department of
Justice (DOJ) regulations and there are
provisions in the Treasury/DOJ
regulations that are not addressed in the
DHS regulations.

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In the second sentence of § 206.191(f),
FEMA states that section 1216 of DRRA,
42 U.S.C. 5174a, also provides FEMA
the authority to waive debts owed by
individuals and households who
received assistance under subpart D of
part 206. FEMA is adding a new second
sentence at § 206.191(f) for clarity and
transparency, since section 1216 of the
DRRA directs FEMA to (1) waive debt
owed by individuals and households
who received assistance through the IHP
where the assistance was distributed in
error by FEMA; and (2) waive debt owed
to the United States related to covered
assistance that is subject to a claim or
legal action, in accordance with section
317 of the Stafford Act, 42 U.S.C.
5160.355 Waiver is not permitted in
either instance if the debt involves
fraud, the presentation of a false claim,
or misrepresentation by the debtor or
any party having an interest in the
claim.356 Due to passage of section 1216
of DRRA, FEMA updated its debt
collection processes for Individual
Assistance recipients.
In § 206.191(g), FEMA adds a new
paragraph heading of ‘‘Severability’’ for
consistency with standards established
by the Federal Register. FEMA is
adding a new paragraph (g) in § 206.191
stating any provision of § 206.191 held
to be invalid or unenforceable as
applied to any person or circumstance
should be construed so as to continue to
give the maximum effect to the
provision permitted by law, including
as applied to persons not similarly
situated or to dissimilar circumstances,
unless such holding is that the
provision of § 206.191 is invalid and
unenforceable in all circumstances, in
which event the provision should be
severable from the remainder of
§ 206.191 and should not affect the
remainder thereof.
A severability clause is a standard
legal provision. It indicates FEMA’s
intent that if a court finds that a specific
provision of a rule is unlawful, the court
should allow the remainder of the rule
to survive. Those provisions that are
unaffected by a legal ruling can be
implemented by an agency without
requiring a new round of rulemaking
simply to promulgate provisions that are
not subject to a court ruling.
FEMA believes that its authority to
implement the provisions of this IFR is
well-supported in law and practice and
should be upheld in any legal challenge.
355 Disaster Recovery Reform Act of 2018, Public
Law 115–254, 132 Stat. 3449 (Oct. 5, 2018), as
amended by the James M. Inhofe National Defense
Authorization Act for Fiscal Year 2023, Public Law
117–263, 136 Stat. 3404 (Dec. 23, 2022), 42 U.S.C.
5174.
356 Id.

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FEMA also believes that its exercise of
its authority reflects sound policy.
However, in the event that any portion
of the IFR is declared invalid, FEMA
intends that the various provisions be
severable. The provisions are not so
interconnected that the rule’s efficacy
depends on every one of them
remaining in place—implementation of
the different provisions is sufficiently
distinct that FEMA’s aim of increasing
equity and easing entry to the IA
Program would still be furthered by
maintaining the other provisions. For
example, if a court were to find
unlawful the change to the sequence of
delivery in paragraph (d), the remaining
provisions of the IFR, such as those on
debt waiver in paragraph (f), could still
function sensibly and FEMA would still
intend them to stand.
V. Regulatory Analyses
A. Administrative Procedure Act
The Administrative Procedure Act 357
(APA) governs the process by which
Federal agencies develop and issue
regulations. Generally, when an agency
promulgates legislative rules, the
exercise of that authority is governed by
the informal rulemaking procedures
outlined in 5 U.S.C. 553, which include
publishing notices of proposed
rulemaking and providing the
opportunity for interested persons to
submit comments.358 However, the APA
provides an unqualified exemption for
all rules relating to ‘‘public property,
loans, grants, benefits, or contracts’’
(sometimes also referred to as the
‘‘proprietary exemption’’) from the
procedural rulemaking requirements of
Section 553.359 The exemption includes
‘‘all federally supported ‘subsidy
programs’ and ‘grants-in-aid programs
under which the [F]ederal [G]overnment
makes payment to [S]tate and local
governments’ as well as private
individuals and entities.’’ 360 The
exemption covers both narrow
‘‘managerial’’ proprietary decisions and
broader proprietary ‘‘matters of
interpretation and policy.’’ 361 The case
law interpreting the requirement sets
forth a relatively brief framework for
analysis: namely, that the exempted
subject matters are ‘‘clearly and
357 5

U.S.C. 551 et seq.
5 U.S.C. 553(b) and (c).
359 Id. Section 553(a)(2).
360 Sierra Club v. Atlanta Reg’l Comm’n, 255 F.
Supp. 2d 1319 (GA N.D. 2002) (citing STEIN,
MITCHELL & MEZINES, ADMINISTRATIVE LAW
§ 1502[4][e] (quoting ATTORNEY GENERAL’S
MANUAL ON THE APA 27–28 (1947)).
361 Alphapointe v. Dep’t of Veterans Affairs, 416
F. Supp. 3d (D.D.C. 2019) (quoting Nat’l Wildlife
Fed’n v. Snow, 561 F.2d 227, 231–32 (D.C. Cir.
1976)).
358 See

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4051

directly’’ implicated in the rulemaking
at issue.362
As described more fully in the
background section, supra, this IFR is
clearly and directly related to a grant
program, the IHP, which authorizes
FEMA to provide financial assistance
and direct services to individuals and
households who, as a direct result of a
major disaster, have necessary expenses
and serious needs in cases in which the
individuals and households are unable
to meet such expenses or needs through
other means.363 As such, this rule is
exempt from the APA’s notice and
comment requirement.
However, FEMA did not end its
analysis here. FEMA’s regulations on
rulemaking provide that its general
policy is to provide for public
participation in rulemaking despite the
APA exemption unless it determines
that circumstances warrant a departure
from that general policy.364 FEMA
identified specific circumstances which
warrant such a departure, such as for its
annual grant programs which are subject
to annual appropriations and potential
revisions to their requirements, and
more general circumstances, such as
situations in which it requires flexibility
to adapt quickly to legal and policy
mandates. FEMA retained its general
policy in favor of public participation in
rulemaking.
In light of the increasing climaterelated disasters facing the Nation, it is
vital to implement these program
improvements now to ensure IHP meets
the increasing need for assistance to
individuals and families recovering
from disasters. Some impacts of climate
change are already being felt as extreme
weather events have increased in
362 Humana of S.C., Inc. v. Califano, 191 U.S.
App. D.C. 368, 590 F.2d 1070, 1082 (1978) (That the
governmental function is not strictly ‘‘proprietary,’’
or the regulation’s character is not ‘‘mechanical,’’
does not curtail Section 553(a)(2)’s permissive
effect. Public policy may be sorely affected, and the
wisdom of public input manifest, but the statutory
exemption still prevails when ‘‘grants,’’ ‘‘benefits,’’
or other named subjects are ‘‘clearly and directly’’
implicated.)
363 42 U.S.C. 5174.
364 44 CFR 1.3(a) and (c). Until recently, FEMA
waived the exemption afforded to grant programs
under the APA and treated its programs as if they
were subject to traditional notice and comment
requirements. On March 3, 2022, FEMA published
a final rule clarifying its position regarding notice
and comment rulemaking for its grant programs.
See 87 FR 11971, Mar. 3, 2022. FEMA determined
that removal of the waiver of the exemption
streamlined the regulations and ensured that the
agency retained the flexibility to utilize a range of
public engagement options in advance of
rulemaking where appropriate. FEMA noted that it
would retain its general policy in favor of public
participation in rulemaking but would retain
discretion to depart from this policy as
circumstances warrant.

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intensity as well as frequency,365 and
those impacts will worsen as climate
change intensifies in the future.366 Such
impacts have elevated the need for IHP
assistance and will continue to require
greater efficiency in the delivery of
disaster services, particularly for
disadvantaged communities, which are
disproportionately impacted.367 This
rule increases equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
FEMA has balanced the need for
flexibility to adapt quickly to legal and
policy mandates with its general policy
favoring public participation in
rulemaking. FEMA sought input on
regulatory changes to the IHP through
an RFI, published on April 22, 2021,
seeking public input on its programs,
regulations, collections of information,
and policies to ensure they effectively
achieve FEMA’s mission in a manner
that furthers the goals of advancing
equity for all, including those in
underserved communities; bolstering
resilience from the impacts of climate
change, particularly for those
disproportionately impacted by climate
change; and environmental justice.368
FEMA held public meetings and
extended the comment period on the
RFI to ensure all interested parties had
sufficient opportunity to provide
comments.369 Commenters raised
equitable concerns that FEMA

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365 See Economic Report of the President at 275
(March 2023), https://www.whitehouse.gov/wpcontent/uploads/2023/03/ERP-2023.pdf.
366 See CRS Rep. 46694, Climate Change
Adaptation: Department of the Interior, at 1 (2021),
available at https://crsreports.congress.gov/product/
pdf/R/R46694; Maldonado, J., Wang, I.F.C.,
Eningowuk, F. et al. Addressing the challenges of
climate-driven, community-led resettlement and
site expansion: knowledge sharing, storytelling,
healing, and collaborative coalition building. J.
Environ. Stud. Sci. 11, 294–304 (2021). https://
doi.org/10.1007/s13412-021-00695-0.
367 See, e.g., EPA, Climate Change and Social
Vulnerability in the United States: A Focus on Six
Impacts (September 2021), https://www.epa.gov/
cira/social-vulnerability-report.
368 86 FR 21325, Apr. 22, 2021.
369 See ‘‘Request for Information on FEMA
Programs, Regulations, and Policies; Public
Meetings; Extension of Comment Period,’’ 86 FR
30326, June 7, 2021.

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addressed in this IFR, such as removing
the requirement to apply for the SBA for
a loan fore receipt of ONA, amending
FEMA’s habitability standards,
increasing assistance for essential tools,
simplifying its appeal process, and
removing documentation requirements
for late registrations.
FEMA has determined, in its
discretion,370 that these circumstances
warrant publishing this as an interim
final rule, but FEMA is seeking public
comment on this rule and will carefully
consider each comment received to
determine whether further changes to
FEMA’s IHP regulations are needed.
B. Executive Order 12866, Regulatory
Planning and Review, as Amended by
Executive Order 14094, Modernizing
Regulatory Review; Executive Order
13563, Improving Regulation and
Regulatory Review
Executive Orders 12866 (Regulatory
Planning and Review), as amended by
Executive Order 14094 (Modernizing
Regulatory Review), and 13563
(Improving Regulation and Regulatory
Review) direct agencies to assess the
costs and benefits of available regulatory
alternatives and, if regulation is
necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, distributive impacts, and
equity). Executive Order 13563
emphasizes the importance of
quantifying both costs and benefits, of
reducing costs, of harmonizing rules,
and of promoting flexibility. OMB has
designated this rule as a ‘‘significant
regulatory action’’ as defined under
section 3(f)(1) of Executive Order 12866,
as amended by Executive Order 14094
because its annual effects on the
economy exceed $200 million in any
year of the analysis. Accordingly, OMB
has reviewed it.
This Regulatory Impact Analysis
(RIA) provides an assessment of the
potential costs, benefits, and transfer
payments from this rule under the
criteria of Executive Orders 12866 and
13563. This analysis does not attempt to
370 42

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replicate the regulatory language of the
rule or any other supporting
documentation. FEMA urges the reader
to review the rest of this rule in addition
to reviewing this analysis. The complete
RIA is available in the Docket. The
following analysis is a summary of the
information contained in the IA Equity
RIA document.
FEMA publishes this IFR amending
its regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes to reflect changes to
statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
FEMA is also making several technical
changes, codification of existing policy
and practice, and non-substantive
clarifications to its IA regulations. These
changes are addressed in the Marginal
Analysis Table that can be found in this
document.

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4053

Table 7—Summary of the Impacts of
the Changes, No-Action Baseline
(2020$)
Summary
Revise IHP eligibility determinations based on insurance proceeds to help
with unmet needs
Expand application of"safe, sanitary, and functional" for TT-IP to include preexisting damage
Amend CTHA process and timeline for applicants to provide permanent
housing plan documents. Also, codify CTHA income threshold of30 percent
of applicant's post-disaster income towards their post-disaster housing costs.
Remove the requirement to apply for an SBA loan prior to receipt of certain
types of ONA
Establish Serious Needs Assistance and Displacement Assistance
Simplify IHP appeals process
Codify Multifamily Lease and Repair, Child Care Assistance, Assistance Use
Toward Security Deposit, and IHP Max Cap Removal for Temporary
Housing Assistance to incorporate changes from PKEMRA 37 ', SRIA 372 , and
DRRA'1'.

Category

Changes

Amend IA registration to allow for the reopening of the registration period

Affected
Population
Transfers

FEMA estimates an increase in transfer payments from FEMA and States to
recipients 374 of$672 million per year

Costs

FEMA estimates additional costs for States 37 ', FEMA, and applicants 376 of
$5.3 million in the first year, $5.2 million in the second year, and $0.9 million
in subsequent years

Cost Savings

FEMA estimates cost savings of $8.0 million per year

Net Costs

FEMA estimates net cost savings of$2.7 million in the first year, $2.8 million
in the second year, and $7.1 million in subsequent years

Benefits
(quantitative)

None

Benefits
(qualitative)

Promote more equitable access to disaster assistance by reducing applicant
barriers, improving overall timeliness, and lessening administrative burdens
Improve clarity and align FEMA regulations with statutory changes
improvinl( the efficiency and consistency ofIHP disaster assistance

1. Need for Regulation

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FEMA provides financial assistance
under the HA and ONA provisions of
371 Post-Katrina Emergency Management Reform
Act of 2006 (PKEMRA).
372 Sandy Recovery Improvement Act of 2013
(SRIA).
373 Disaster Recovery Reform Act of 2018 (DRRA).
374 The term ‘‘recipients’’ used throughout this
document refers to individuals and households that
apply for IHP assistance and receive assistance from
FEMA.
375 FEMA defines the term ‘‘State’’ to mean for the
purposes of Subpart D of 44 CFR 206 and where
consistent with the requirements of the Stafford
Act, any State of the United States, the District of
Columbia, Puerto Rico, the Virgin Islands, Guam,
American Samoa, and the Commonwealth of the
Northern Mariana Islands or Indian tribal

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the IHP to eligible individuals and
households who have uninsured or
underinsured necessary expenses and
serious needs. In alignment with
Executive Order 13985 on ‘‘Advancing
Racial Equity and Support for
Underserved Communities Through the
Federal Government’’ and Executive
Order 14091, ‘‘Further Advancing Racial
Equity and Support for Underserved
Communities Through the Federal
Government.’’ and in response to
government as defined in the Stafford Act (42
U.S.C. 5122(6)).
376 The term ‘‘applicants’’ used throughout this
document refers to individuals and households that
apply for IHP assistance.

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comments received during the Agency’s
Request for Information to receive input
from the public on FEMA programs,
regulations, and collections of
information, FEMA is updating its IHP
regulations. FEMA makes these changes
to simplify the IHP, promote more
equitable access to disaster assistance,
and to reflect changes made to statutory
authority. These changes will remove
administrative burdens, improve overall
timeliness, and utilize program and
policy discretion to reduce barriers.
FEMA makes the following changes to
increase equity and ease of entry to IHP:
1. Revise IHP eligibility
determinations based on insurance
proceeds to help with unmet needs;

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Amend IA late registration to accept verbal explanations for applicant
requests
Expand Home Repair Assistance to include accessibility-related items for
applicants who have a disability but had unmet pre-disaster accessibility
needs
Codify Home Repair Assistance for professional assessment when the extent
of damage is unclear
Codify waiver of certain IHP debt
Expand Personal Property Assistance to provide assistance for disasterrelated damages to computing devices for applicants and essential tools used
for self-emplovment
Eligible individuals and households who have uninsured or underinsured
necessary expenses and serious needs as a result of a Presidentially-declared
disaster, FEMA estimates an average of 340,654 IHP recipients per year

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2. Expand application of habitability
‘‘safe, sanitary, and functioning’’ for IHP
to include pre-existing damage;
3. Amend CTHA process and timeline
in which applicants provide permanent
housing plan documents. Also, codify
CTHA income threshold of 30 percent of
applicant’s post-disaster income
towards their post-disaster housing
costs;
4. Remove the requirement to apply
for an SBA loan prior to receipt of
certain types of ONA;
5. Establish Serious Needs Assistance
ONA;
6. Establish Displacement Assistance
ONA;
7. Simplify IA appeals process;
8. Amend IA registration to allow for
the reopening of the registration period
9. Amend IA late registration to
accept verbal explanations for applicant
requests;
10. Expand Personal Property
Assistance ONA eligibility for
computing devices;
11. Expand Personal Property
Assistance ONA eligibility for selfemployed essential tools;
12. Expand Home Repair Assistance
to include accessibility-related items for
applicants who have a disability but had
unmet pre-disaster accessibility needs;
13. Codify Home Repair Assistance to
include accessibility-related items for
survivors with disaster-related
disabilities;
14. Codify Home Repair Assistance
for professional assessments; and
15. Codify requirements waiver of
certain IHP debt.
Additionally, to support eligible
applicants’ ability to respond to and
recover from major disasters and
emergencies, Congress passed PKEMRA,
SRIA, and DRRA. This rule will
incorporate certain changes identified in
those acts into regulation including
assistance for Security Deposits and
Utilities (PKEMRA), Child Care
Assistance (SRIA), Lease and Repair of
Multifamily Rental Housing (SRIA), and
Maximum Amount of Assistance
(DRRA).

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2. Affected Population
The IHP provides financial assistance
and direct services to eligible
individuals and households who have
uninsured or underinsured necessary
expenses and serious needs as a result
of a Presidentially-declared disaster.
From 2010 to 2019, the average number
of IHP recipients was 340,654 per
year.377
377 Data pulled from Enterprise Data Warehouse
(EDW) was used to calculate the historical IHP
average number of recipients for 2010–2019.

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3. Baseline
Following OMB Circular A–4
guidance, FEMA assessed impacts of
this rule against a no-action baseline
and pre-guidance baseline. The noaction baseline is what the world will
look like without this rule. Accordingly,
measuring the rule against a no-action
baseline shows the effects of the rule as
compared to current FEMA practice
(i.e., compared to IA Guidance, which
reflects FEMA’s current practice). A preguidance baseline is what the world will
look like without the enabling statute or
guidance that FEMA issued to
implement it. Accordingly, measuring
the rule against a pre-guidance baseline
shows the effects of the rule as
compared to FEMA practice prior to
enactment of the enabling statute or
guidance (i.e., as if FEMA had not
already implemented the statutory or
policy changes through the IAPPG).
FEMA conducted a 10-year
retrospective analysis of available IA
Program data from 2010–2019, the most
recent representative disaster period
with complete data at the time of this
analysis, to estimate how the rule will
impact major disaster declarations costs,
benefits, and transfers over a 10-year
period.378 FEMA recognizes a future 10year period could vary from the 2010–
2019 period. However, this is the best
estimate given the data available and the
unpredictability of the number, size,
and cost of future IA awards.
4. Transfer Payments
Transfer payments are monetary
payments from one group to another
that do not affect the total resources
available to society. The assistance
FEMA provides to recipients through
IHP grants are considered transfer
payments because these are monetary
payments from FEMA and States to
individuals and households for their
purchase of goods and services. In this
analysis, FEMA has analyzed the impact
of this rule on these transfer payments.
No-Action Baseline
The rule under a no-action baseline
will result in additional transfer
payments due to the following changes
for: Insurance Proceeds, Habitability,
Removing SBA Requirement for ONA,
Serious Needs Assistance, Displacement
Assistance, Appeals Process, Reopening
Registration Period, Personal Property
378 FEMA considered 2010–2019 the most
representative analysis period when selecting the
data and time-period for estimating impacts of this
rule into the future. At the time of this analysis, in
early 2021, data from 2020 was available but not
used for this analysis as Covid data posed more bias
and uncertainty risks than value when estimating
future impacts.

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Assistance (PPA) Computing Devices,
PPA Self-Employed, and Home Repair
for Accessibility-Related Items for PerDisaster Unmet Needs. Other changes,
such as providing reimbursement for a
professional assessment for unclear
damage and providing child care
assistance, were changed by statute and
have been already implemented by
FEMA through IA Guidance. Because
FEMA has already implemented these
policies and codifies them without
change, the codification of these
policies will not impact transfer
payments under the no-action baseline.
Additionally, the late registration
change of accepting verbal explanations
for late registration requests is not
expected to impact transfer payments.
Under a no-action baseline, the rule
increases assistance provided from
FEMA and States to individuals and
households by an estimated $672
million per year. Specifically, FEMA’s
transfer payments increase by $512
million per year and State transfer
payments, due to State ONA cost share,
increases $160 million per year. The
three largest changes (removing SBA
requirement of ONA, Serious Needs
Assistance, and Displacement
Assistance) account for approximately
87 percent of the increase in transfer
payments and detailed summaries of
these impact are provided below
measured against the no-action baseline.
FEMA’s change removing the SBA
loan application requirement prior to
receipt of certain types of ONA accounts
for more than 20 percent of the transfer
payment increase, estimated at
$155,551,150 (FEMA $116,663,362 +
State $38,887,788) per year. Currently,
applicants seeking certain types of IHP
ONA must first apply and be denied for
an SBA disaster loan. Through this
process, applicants who qualify for an
SBA loan are ineligible to receive
certain types of ONA. Unlike ONA,
which is a grant that does not need to
be repaid, an SBA loan accrues interest
and must be repaid. SBA-dependent
ONA includes three types of assistance
Personal Property assistance,
Transportation assistance, and GFIP.379
FEMA estimates that, from 2010–2019,
approximately 45 percent of SBAdependent ONA applicants received
SBA-dependent ONA; these applicants
either did not meet the income
threshold to be referred to the SBA to
apply for a loan or applied for a loan
and were denied. This rule will remove
the requirement that applicants apply
for an SBA loan before becoming
379 See page 150, SBA-dependent ONA, of IAPPG
1.1. https://www.fema.gov/sites/default/files/
documents/fema_iappg-1.1.pdf.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
eligible for ONA; however, applicants
may still choose to apply for an SBA
loan to assist with their recovery.
FEMA used ONA recipient data from
EDW for 2010 through 2019 to establish
a no-action baseline. From 2010 to 2019,
an average of 174,693 recipients
received ONA annually and the average
award was $1,455. FEMA awarded
$254,178,315 (= 174,693 × $1,455) of
ONA on average annually. Accordingly,
FEMA estimates that under a no-action
baseline, 174,693 recipients will receive
ONA annually and ONA assistance will
total $254,178,315 per year. FEMA uses
these amounts against which to measure
the change to remove the SBA
requirement for ONA.
FEMA used the three types of SBAdependent ONA assistance (Personal
Property assistance, Transportation
assistance, and GFIP) historical ONA
data to estimate the impact to
households and individuals of the
changes to eliminate the requirement to
apply for an SBA loan prior to receipt
of ONA. From 2010 to 2019, an average
of 174,693 recipients received ONA
annually. Based on FVL damages
collected from ONA applicants 2010
through 2019, FEMA estimates the
number applicants previously ineligible
for ONA under Personal Property
Assistance and Transportation
Assistance with disaster damage was
574,899 referred applicants, or 57,490
applicants per year. These applicants
previously would have either received
an SBA loan or been eligible but chose
not to receive a loan. FEMA estimates
that, after removing the SBA application
requirement, these 57,490 applicants
currently ineligible for SBA-dependent
ONA will receive the average ONA
amount of $1,455 resulting in additional
assistance of $83,647,950 (= 57,490 ×
$1,455) per year. The ONA average
award amount of $1,455 was used for
these applicants because Personal
Property Assistance and Transportation
Assistance are the most frequent types
of SBA–ONA assistance and represents
the average recipient award amount.
Additionally, from 2010 through 2019
there were 422,958 referred ONA
ineligible applicants, or 42,296 per year,
with flood damage within a flood zone.
Applicants located in Special Flood
Hazard Areas, who receive disaster
assistance after a flooding event, are
required to buy and keep flood
insurance on their property. As part of
ONA, FEMA will provide GFIP for
eligible applicants. FEMA estimates
that, after removing the SBA application
requirement, these 42,296 applicants
currently ineligible for SBA-dependent
ONA will receive the average GFIP
amount of $1,700 resulting in additional

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assistance of $71,903,200 (42,296 ×
$1,700) per year in the future. The
$1,700 specific GFIP average amount
was used for these applicants because
FEMA was able to identify those in a
flood zone and GFIP would be in
addition to any other SBA-dependent
ONA amounts.
FEMA’s primary impact estimate of
this change is an additional
$155,551,150 (= $83,647,950 +
$71,903,200) in ONA awards annually.
ONA is a cost-shared program between
FEMA and the affected State, where the
State typically covers 25 percent of
ONA award and FEMA covers 75
percent. State’s transfer payments for
the additional ONA will be $38,887,788
per year (= $155,551,150 × 25 percent)
and FEMA’s transfer payments will be
$116,663,362 per year (= $155,551,150 ×
75 percent).
FEMA will establish Displacement
Assistance under ONA that will provide
assistance to eligible survivors whose
homes are uninhabitable. FEMA expects
Displacement Assistance will be a
payment per recipient to cover 14 nights
of lodging in most cases. Displacement
Assistance will become a preceding step
before requesting initial Rental
Assistance and those receiving
Displacement Assistance will be
ineligible for LER Assistance.
Currently there are two primary types
of assistance for displaced survivors:
LER Assistance and initial Rental
Assistance. FEMA used LER and initial
Rental Assistance data from EDW for
2010 through 2019 to estimate the
baseline for this change. FEMA
estimates a no-action baseline of
142,273 recipients who receive LER or
Rental Assistance (= 2,367 LER
recipients + 139,906 Initial Rental
Assistance recipients) and approved
assistance in the amount of
$315,987,647 (= $3,017,925 +
$312,969,722) per year. Displacement
Assistance will be a new type of
assistance established through this rule;
recipients will be ineligible for LER
assistance.
To estimate the impact that
establishing Displacement Assistance
will have on transfer payments, FEMA
used the State standard U.S. General
Services Administration (GSA) lodging
rates in conjunction with initial Rental
Assistance data. Initial Rental
Assistance data from 2010–2019
provided the recipient count for each
State. FEMA assumes that individuals
who received Initial Rental Assistance
will meet the criteria to receive newly
established Displacement Assistance.
Additionally, FEMA used IHP data
2010–2019 to estimate that an average of
67,075 individuals per year were

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4055

displaced due to housing damage but
were unwilling to relocate. These
individuals unwilling to relocate were
ineligible for Rental Assistance but will
be eligible for Displacement Assistance.
Because the amount in Displacement
Assistance will vary by State according
to GSA lodging rates, FEMA needed
recipient counts by State in order to
estimate the amount in Displacement
Assistance that FEMA might provide.
FEMA multiplied the number of
recipients per State by the GSA lodging
rate for each State to calculate a per
State total. Next, FEMA summed the
State totals to create a national total.
Finally, FEMA divided the national
total by the total number of Initial
Rental Assistance recipients to estimate
an average per recipient Displacement
Assistance amount of $1,369 (=
$283,356,989 average annual amount ÷
206,981 (139,906 Rental + 67,075
unwilling to relocate) average number of
Initial Rental Assistance recipients and
those unwilling to relocate). FEMA used
the estimated the average Displacement
Assistance amount per recipient of
$1,369 multiplied by the average
number of recipients for LER and initial
Rental Assistance 209,348 (= 2,367 +
206,981) per year to estimate the average
annual amount of Displacement
Assistance at $286,597,412 (= $1,369 ×
209,348). FEMA anticipates LER for
displaced applicants with disasterdamage to their home will fall to near
zero based on the sequence of assistance
delivery for Displacement Assistance
(i.e., it could be paid out quicker), and
those receiving Displacement Assistance
will be ineligible for LER. FEMA’s
primary estimate assumes the assistance
FEMA currently provides through LER
to be zero in the future and initial
Rental Assistance will decline by 20
percent from the current 10-year average
totaling $250,375,778 ($312,969,722 ×
(1–20 percent)) per year. Accordingly,
FEMA estimates the change will cause
assistance for Displacement Assistance,
LER, and initial Rental Assistance to
increase to $536,973,190 (=
$286,597,412 Displacement + $0 LER +
$250,375,778 Rental) per year.
The estimated annual transfer
payments from FEMA and States to
recipients (individuals/households) for
the new Displacement Assistance ONA
increases assistance by $220,985,543 (=
$536,973,190–$315,987,647 baseline)
per year. ONA is a cost-shared program
between FEMA and the affected State,
where the State typically covers 25
percent of ONA award and FEMA
covers 75 percent. States’ transfer
payments for Displacement Assistance
ONA will be $55,246,386 (=

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$220,985,543 × 25 percent) per year and
FEMA’s transfer payments will be
$165,739,157 (= $220,985,543 × 75
percent) per year.
FEMA is also creating Serious Needs
Assistance to provide assistance in an
amount established by FEMA to eligible
survivors to address immediate needs
related to sheltering, evacuation, or
other emergency disaster expenses.
Serious Needs Assistance will be more
widely available to survivors than CNA
as Serious Needs Assistance will not
require an additional State request and
FEMA approval, unlike CNA. Serious
Needs Assistance will take the place of
CNA. FEMA used CNA data from EDW
for 2015 through 2019 to estimate the
baseline and impact for this change due
to more frequent CNA usage during this
period. Prior to 2015, CNA was rarely
used with most years having zero CNA
recipients.380 An average of 185,937
recipients received CNA per year at an
average amount of $528. FEMA
estimates a no-action baseline of
185,937 recipients who receive CNA
and assistance provided of $98,174,736
(= 185,937 × $528) per year.
FEMA used IHP applicant data from
EDW for 2015 through 2019 to estimate
the impact that replacing CNA with the
new, broader, Serious Needs Assistance
will have on transfer payments. FEMA’s
change to Serious Needs Assistance will
standardize eligibility within the
declaration area based on the
applicant’s location being out of the predisaster home or that they report they
have other emergency disaster
expenses.381 FEMA applied this new

ddrumheller on DSK120RN23PROD with RULES2

380 Limited CNA usage prior to 2015 may have
been due to the requirements for requesting and
justifying CNA and a lack of State familiarization
with this assistance.
381 Currently CNA must be requested with a
justification from the State for each disaster. FEMA
has also often waived certain eligibility criteria or
only approved assistance in certain counties,
parishes, or municipalities.

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Serious Needs Assistance eligibility to
all IHP applicant data from 2015
through 2019 (regardless if CNA was
activated by the State or not) to identify
applicants that will receive Serious
Needs Assistance under the new policy.
FEMA estimates 410,807 applicants per
year will meet eligibility and receive
Serious Needs Assistance. FEMA
believes $750 is the most appropriate
amount to cover immediate postdisaster serious needs based on prior
experience with CNA. Accordingly,
FEMA estimates Serious Needs
Assistance will be $308,105,250 (=
410,807 × $750) per year.
FEMA estimates that the new Serious
Needs Assistance ONA increases annual
transfer payments from FEMA and
States to recipients (individuals/
households) by $209,930,514, for a total
of $308,105,250 in Serious Needs
Assistance per year (from a baseline of
$98,174,736 in CNA per year). ONA is
cost-shared between FEMA and the
affected State. The State typically covers
25 percent of the ONA award and FEMA
covers 75 percent. The States’ portion of
the additional assistance provided
under Serious Needs Assistance ONA
will be $52,482,628 (= $209,930,514 ×
25 percent) per year and FEMA’s
portion will be $157,447,886 (=
$209,930,514 × 75 percent) per year.
FEMA will expand Personal Property
Assistance so that a household may
receive financial assistance for a
disaster-damaged computing device,
regardless of its intended use. While
FEMA had previously provided
assistance for damaged computers, it
was limited to those computers that
were required for educational purposes
or as a condition of employment. FEMA
recognizes that technology continues to
have an increasing role in how
households communicate, manage
finances, and facilitate many other
necessary aspects of daily living. FEMA

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used 2010–2019 Personal Property ONA
data to estimate the impact of the
changes. FEMA estimated the number of
additional recipients based on the
average number of recipients with
Personal Property awards 2010–2019
and the assistance estimated award
amount for a computing device of $900.
To estimate the number of additional
recipients, FEMA used the average
annual number of Personal Property
Assistance recipients of 53,131 because
recipients of Personal Property
Assistance sustained damage to
personal property and FEMA assumed
all such recipients will be eligible for
assistance to replace one computer.
FEMA estimates that the annual impact
of the change will be an additional
$47,817,900 (= 53,131 × $900) in
assistance. ONA is a cost-shared
program between FEMA and the
affected State, where the State typically
covers 25 percent of ONA award and
FEMA covers 75 percent. States’ portion
of the new Personal Property Assistance
ONA will be $11,954,475 (= $47,817,900
× 25 percent) and FEMA’s portion will
be $35,863,425 (= $47,817,900 × 75
percent).
In Table 8 below, FEMA presents the
total change in transfer payments from
the rule as measured against a no-action
baseline (i.e., the effects of the rule as
compared to current FEMA practice).
FEMA estimates that this rule, as
measured against a no-action baseline,
will result in an additional $6.72 billion
in transfer payments from FEMA and
States to individuals and households
over 10-years. The total 10-year
discounted transfer payments will be
$5.73 billion at a 3 percent discount rate
and $4.72 billion at a 7 percent discount
rate; this is $672 million annualized at
a 3 percent and 7 percent discount rate
(Table 8).

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4057

Table 8-Estimated Transfers, Future 10 Year Period, No-Action Baseline (2020$)
State Transfer
Payments to
Recipients

Total
Transfer
Payments

Annual
Transfer
Payments
Discounted at
3%

Annual
Transfer
Payments
Discounted at
7%

1

$512,116,462

$159,882,122

$671,998,584

$652,425,810

$628,036,060

2

$512,116,462

$159,882,122

$671,998,584

$633,423,116

$586,949,589

3

$512,116,462

$159,882,122

$671,998,584

$614,973,899

$548,551,017

4

$512,116,462

$159,882,122

$671,998,584

$597,062,038

$512,664,502

5

$512,116,462

$159,882,122

$671,998,584

$579,671,882

$479,125,703

6

$512,116,462

$159,882,122

$671,998,584

$562,788,235

$447,781,031

7

$512,116,462

$159,882,122

$671,998,584

$546,396,344

$418,486,945

8

$512,116,462

$159,882,122

$671,998,584

$530,481,888

$391,109,294

9

$512,116,462

$159,882,122

$671,998,584

$515,030,959

$365,522,705

10

$512,116,462

$159,882,122

$671,998,584

$500,030,057

$341,610,004

$5,121,164,620

$1,598,821,220

$6,719,985,840

$5,732,284,228

$4,719,836,850

$671,998,584

$671,998,584

Total
Annualized

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Pre-Guidance Baseline
The rule under a pre-guidance
baseline will result in additional
transfer payments due to the following
changes (mirroring the no-action
baseline changes) that FEMA makes
through this rule: Insurance Proceeds,
Habitability, Removing SBA
Requirement for ONA, Serious Needs
Assistance, Displacement Assistance,
Appeals Process, Reopening
Registration Period, Personal Property
Assistance (PPA) Computing Devices,
PPA Self-Employed, and Home Repair
for Accessibility-Relates Items for PerDisaster Unmet Needs. FEMA also
codifies a number of changes that FEMA
has previously implemented through
guidance. FEMA has measured the
impact of these changes on transfer
payments against the pre-guidance
baseline. These are for changes to:
CHTA, Professional Assessment for

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Unclear Damage, Debt Waiver, MLR,
Assistance for Child Care, Assistance for
Security Deposit Payments, Assistance
for Utility Payments, Temporary
Housing (TH) Maximum Cap Removal,
and HA and ONA Maximum Cap
Separation.
In Table 9 below, FEMA presents the
total change in transfer payments from
the rule as measured against a preguidance baseline (i.e., the effects of the
rule as compared to FEMA practice
prior to implementing statutory
changes). Under a pre-guidance
baseline, the changes that FEMA has
already implemented and codifies the
new changes FEMA implements
through this rule increases assistance
provided from FEMA and States to
individuals and households estimated at
$711 million per year over the next 10
years. Specifically, FEMA’s transfer
payments will be $551 million per year

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and State transfer payments due to the
State ONA cost share will be $160
million per year.
Under a pre-guidance baseline,
FEMA’s three largest changes (removing
SBA requirement of ONA, Serious
Needs Assistance, and Displacement
Assistance) account for approximately
more than 80 percent of the increase in
transfer payments estimated at $587
million (FEMA transfer payments $440
million + State transfer payments $147
million) per year.
FEMA estimates the 10-year
undiscounted transfer payments of the
rule measured against a pre-guidance
baseline will be $7.11 billion. The total
10-year discounted transfer payments
will be $6.06 billion at a 3 percent
discount rate and $4.99 billion at a 7
percent discount rate, with annualized
transfers of $711 million at a 3 percent
and 7 percent discount rate (Table 9).

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Table 9- Estimated Transfers, Future 10 Year Period, Pre-Guidance Baseline
(2020$)
State Transfer
Payments to
Recipients

Total Transfer
Payments

$551,054,616

$159,887,957

$710,942,573

$690,235,508

$664,432,311

2

$551,054,616

$159,887,957

$710,942,573

$670,131,561

$620,964,777

3

$551,054,616

$159,887,957

$710,942,573

$650,613,166

$580,340,913

4

$551,054,616

$159,887,957

$710,942,573

$631,663,268

$542,374,685

5

$551,054,616

$159,887,957

$710,942,573

$613,265,309

$506,892,229

6

$551,054,616

$159,887,957

$710,942,573

$595,403,212

$473,731,055

7

$551,054,616

$159,887,957

$710,942,573

$578,061,371

$442,739,304

8

$551,054,616

$159,887,957

$710,942,573

$561,224,632

$413,775,050

9

$551,054,616

$159,887,957

$710,942,573

$544,878,284

$386,705,654

10

$551,054,616

$159,887,957

$710,942,573

$529,008,042

$361,407,154

$5,510,546,160

$1,598,879,570

$7,109,425,730

$6,064,484,353

$4,993,363,132

$710,942,573

$710,942,573

Annualized
5. Costs
No-Action Baseline
In Table 10 below, FEMA presents the
total costs of the rule as measured
against a no-action baseline (i.e., the
effects of the rule as compared to
current FEMA practice) over the next 10
years. The rule, under a no-action
baseline, will result in additional costs
to States, FEMA, and applicants. States
will have additional costs due to
familiarization with the rule in the first
year only estimated at $41,816. FEMA
expects to incur costs for implementing
system updates related to the changes in
this rule in the first two years estimated
to be $4.3 million per year.
Additionally, FEMA expects to incur
costs for reviewing additional
documentation submitted by applicants.
FEMA anticipates that applicants will

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Annual
Transfer
Payments
Discounted at
7%

1

Total

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Payments
Discounted at
3%

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submit additional documents to FEMA
as a result of the following changes in
this rule: (1) removing the requirement
to first apply for a Small Business
Administration (SBA) loan before
receipt of certain types of ONA
($578,934), (2) FEMA exercising its
option to reopen a registration period
($991), and (3) expanded assistance for
accessibility-related items ($13,122).
FEMA estimates a total of $593,047 per
year in additional documentation
review costs to FEMA.
Applicants will have additional costs
due to increased burden hours for
submitting documentation to FEMA
related to these same changes: removal
of the SBA application requirement
($334,300), registration period
reopening ($830), and application for
accessibility-related items ($10,982).
FEMA estimates applicants burden hour

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costs increases by a total of $346,112 per
year.
FEMA estimates total costs, to FEMA,
States, and applicants, at $5,280,975 (=
$41,816 + $4,300,000 + $593,047 +
$346,112) in the first year, $5,239,159 (=
$4,300,000 + $593,047 + $346,112) in
the second year, and $939,159 (=
$593,047 + $346,112) in subsequent
years.
FEMA estimates the 10-year
undiscounted costs of the rule will be
$18.0 million over the next 10 years as
measured against a no-action baseline.
The total 10-year discounted costs will
be $16.3 million at a 3 percent discount
rate and $14.4 million at a 7 percent
discount rate, with annualized costs of
$1.9 million at a 3 percent and $2.1
million at a 7 percent discount rate
(Table 10).

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Table IO-Estimated Costs, Future 10 Year Period, No-Action Baseline (2020$)

FEMACosts

State Costs

Total Costs

Annual
Costs
Discounted
at3%

Annual
Costs
Discounted
at7%

1

$4,893,047

$41,816

$346,112

$5,280,975

$5,127,160

$4,935,491

2

$4,893,047

$0

$346,112

$5,239,159

$4,938,410

$4,576,084

3

$593,047

$0

$346,112

$939,159

$859,464

$766,633

4

$593,047

$0

$346,112

$939,159

$834,431

$716,480

5

$593,047

$0

$346,112

$939,159

$810,127

$669,607

6

$593,047

$0

$346,112

$939,159

$786,531

$625,801

7

$593,047

$0

$346,112

$939,159

$763,622

$584,861

8

$593,047

$0

$346,112

$939,159

$741,381

$546,599

9

$593,047

$0

$346,112

$939,159

$719,787

$510,840

10

$593,047

$0

$346,112

$939,159

$698,822

$477,421

$14,530,470

$41,816

$3,461,120

$18,033,406

$16,279,735

$14,409,817

$1,908,482

$2,051,634

Total
Annualized

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Pre-Guidance Baseline
In Table 11 below, FEMA presents the
total costs of the rule over the future 10year period as measured against a preguidance baseline (i.e., the effects of the
rule as compared to FEMA practice
prior to implementing the statutory
changes). The rule, under a preguidance baseline, will result in
additional costs to States, FEMA, and
applicants. States will have additional
costs due to familiarization with the
rule in the first year only estimated at
$41,816. FEMA expects to incur costs
for implementing system updates
related to the changes in this rule in the
first two years estimated to be $4.3
million per year. The rule also increases
costs for FEMA due to (1) reviewing
additional applicant submitted

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documentation for the SBA requirement
removal ($578,934), (2) debt waiver
($460), (3) child care ($708), (4)
registration period reopening ($991),
and (5) accessibility-related items
($13,122), which total an estimated
$594,215 per year measured against a
pre-guidance baseline.
Applicants will have additional costs
due to increased burden hours for
submitting documentation related to the
same changes: (1) SBA requirement
removal ($334,300), (2) debt waiver
($385), (3) child care assistance ($593),
(4) registration period reopening ($830),
and (5) applicants with a disability
applying for accessibility-related items
($10,982). FEMA estimates the total cost
to applicants for the new changes in this
rule and the changes FEMA has already

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implemented and codifies is $347,090
per year measured against a preguidance baseline. FEMA estimates
costs, before cost saving, at $5,283,121
(= $41,816 + $4,300,000 + $594,215 +
$347,090) in the first year, $5,241,305 (=
$4,300,000 + $594,215 + $347,090) in
the second year, and $572,190 (=
$594,215 + $347,090) in subsequent
years.
FEMA estimates the 10-year
undiscounted costs of the rule will be
$18.1 million measured against a preguidance baseline. The total 10-year
discounted costs will be $16.3 million at
a 3 percent discount rate and $14.4
million at a 7 percent discount rate,
with annualized costs of $1.9 million at
a 3 percent and $2.1 million at a 7
percent discount rate (Table 11).

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Table 11-Estimated Costs, Future 10 Year Period, Pre-Guidance Baseline (2020$)

FEMACosts

State Costs

Total Costs

Annual
Costs
Discounted
at3%

Annual
Costs
Discounted
at7%

1

$4,894,215

$41,816

$347,090

$5,283,121

$5,129,244

$4,937,496

2

$4,894,215

$0

$347,090

$5,241,305

$4,940,433

$4,577,959

3

$594,215

$0

$347,090

$941,305

$861,427

$768,385

4

$594,215

$0

$347,090

$941,305

$836,337

$718,117

5

$594,215

$0

$347,090

$941,305

$811,978

$671,137

6

$594,215

$0

$347,090

$941,305

$788,328

$627,231

7

$594,215

$0

$347,090

$941,305

$765,367

$586,197

8

$594,215

$0

$347,090

$941,305

$743,075

$547,848

9

$594,215

$0

$347,090

$941,305

$721,432

$512,008

10

$594,215

$0

$347,090

$941,305

$700,419

$478,512

$14,542,150

$41,816

$3,470,900

$18,054,866

$16,298,040

$14,424,890

$1,910,627

$2,053,780

Total
Annualized
6. Cost Savings

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The rule, under a no-action and preguidance baseline, will also reduce
burden costs for applicants by removing
the SBA loan application requirement
prior to certain FEMA assistance and
lowering the expected number of
applicants spending time completing
loan applications ($2,029,273),
submitting CTHA streamlined
incremental documentation ($870,862),
the more flexible appeals process

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documentation ($861,338), and the
simplified option for verbal
explanations of late registration requests
($207,727) resulting in cost savings
estimated at $1,939,927 per year. FEMA
will also have cost savings related to
CTHA documentation review ($7,220)
and late registration review ($173,928)
estimated at $181,148 per year.
Additionally, SBA will have cost
savings because fewer loan applications
will be submitted and reviewed by SBA
staff resulting in savings estimated at

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$3,877,763 per year. The combined
Federal Government cost savings are
estimated at $4,058,911 (FEMA
$181,148 + SBA $3,877,763).
FEMA estimates the 10-year
undiscounted cost savings of the will be
$80.3 million. The total 10-year
discounted cost savings will be $68.5
million at a 3 percent discount rate and
$56.4 million at a 7 percent discount
rate, with annualized cost savings of
$8.0 million at a 3 percent and 7 percent
discount rate (Table 12).

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4061

Annual Cost
Savings
Discounted at
7%

FEMACost
Savings

Applicant
Cost Savings

1

$4,058,911

$3,969,200

$8,028,111

$7,794,283

$7,502,907

2

$4,058,911

$3,969,200

$8,028,111

$7,567,265

$7,012,063

3

$4,058,911

$3,969,200

$8,028,111

$7,346,859

$6,553,330

4

$4,058,911

$3,969,200

$8,028,111

$7,132,873

$6,124,607

5

$4,058,911

$3,969,200

$8,028,111

$6,925,119

$5,723,932

6

$4,058,911

$3,969,200

$8,028,111

$6,723,417

$5,349,469

7

$4,058,911

$3,969,200

$8,028,111

$6,527,589

$4,999,504

8

$4,058,911

$3,969,200

$8,028,111

$6,337,465

$4,672,434

9

$4,058,911

$3,969,200

$8,028,111

$6,152,879

$4,366,760

10

$4,058,911

$3,969,200

$8,028,111

$5,973,669

$4,081,085

$40,589,110

$39,692,000

$80,281,110

$68,481,418

$56,386,091

$8,028,111

$8,028,111

Year

Total

Total Cost
Savings

Annual Cost
Savings
Discounted at
3%

Annualized
7. Total Net Costs
FEMA estimates net cost savings
under a no-action baseline at $2.7
million (= $5,280,975 costs¥$8,028,111
cost savings) in the first year, $2.8
million (= $5,239,159 costs¥$8,028,111
cost savings) in the second year, and
$7.1 million (= $980,975
costs¥$8,028,111 cost savings) in
subsequent years for this rule.
FEMA estimates net cost savings
under a pre-guidance baseline at $2.7
million (= $5,283,121 costs¥$8,028,111
cost savings) in the first year, $2.8
million (= $5,241,305 costs¥$8,028,111
cost savings) in the second year, and
$7.1 million (= $941,305
costs¥$8,028,111 cost savings) in
subsequent years for this rule.

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8. Benefits
FEMA was unable to quantify benefits
of this rule because data does not
explicitly exist for the types of benefits
incurred. All benefits associated with
the rule will be qualitative. FEMA
anticipates this rule will promote more
equitable access to disaster assistance by
reducing applicant barriers, improving
overall timeliness, and removing
administrative burdens for disaster
survivors. These benefits are expected to
be broad based impacting disaster
survivors applying for IHP assistance
types covered in this rule. Ultimately,
the rule will lead to a larger pool of
eligible disaster survivors receiving

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18:45 Jan 19, 2024

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disaster assistance funds than had in the
past. The rule will also improve clarity
and align FEMA regulations with
statutory changes improving the
efficiency and consistency of IHP
assistance. The intent is that these
changes will lead to improved recovery
outcomes for applicant survivors with
an emphasis on vulnerable populations.
No-Action Baseline
The following is an overview of
equity (consistent, systematic fair, just,
and impartial treatment of all) benefits
under a no-action baseline for changes
of this rule.
FEMA’s change removing the
requirement for applicants to apply for
SBA loans prior to receipt of ONA will
alleviate survivor administrative burden
and help streamline recovery. FEMA
used EDW applicant data for the FEMA
to SBA referral date and SBA to FEMA
return date from 2010 through 2019 to
estimate the potential change in speed
of assistance of this change. FEMA
analyzed applicants that FEMA referred
to SBA because their income met the
referral threshold but who were denied
an SBA loan and returned to FEMA for
ONA. FEMA estimates that 364,334
(36,433 per year) such applications were
referred to SBA and returned to FEMA
for ONA. On average, 33.6 days
(12,244,620 days ÷ 364,334 applicants)
were required for those referred to SBA
for loan repayment eligible

PO 00000

Frm 00073

Fmt 4701

Sfmt 4700

consideration, determined ineligible for
SBA loans, and returned to FEMA for
ONA. Two potential reasons for this
time delay estimate could be high
volume of SBA referred applicants
during the initial days following the
disaster and non-responsiveness of
applicants. FEMA anticipates that
eliminating the need to apply to SBA for
a loan before receiving ONA will reduce
the time it takes for these 36,433
applicants to receive assistance from
FEMA by 33.6 days, thereby
streamlining the disaster assistance
process for many individuals. Nonrepayable assistance grants to survivors
also provides greater financial
assistance, than repayable SBA loans,
allowing disaster survivors and
communities to recover more quickly.
Additionally, lower income survivors
are less likely to apply for an SBA loan,
due to uncertain financial and
employment conditions following a
disaster. Benefits of this change will
remove administrative burdens to
increase applicant access to assistance.
Benefits from streamlining the
appeals process by removing the signed
letter requirement are that the appeal
requirements will be more equitable and
flexible. Applicants could still submit a
signed letter explaining the reason(s) for
an appeal or applicants could instead
choose to provide verifiable
documentation of their appeal. To
further assist applicants with navigating

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ER22JA24.011

Table 12-Estimated Cost Savings, Future 10 Year Period, No-Action and PreGuidance (2020$)

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the appeals process, FEMA is creating
an optional appeal request form for an
applicant to use when submitting an
appeal. FEMA expects that this optional
appeal request form increases the
approval rate for disaster survivors
seeking assistance.
FEMA’s change for CTHA incremental
documentation requirements for PHPs
will lessen applicant burden and help
FEMA provide appropriate resources
and assistance to applicants throughout
their housing recovery process. FEMA
recognizes that post-disaster recovery
can be a challenge for all applicants,
FEMA will engage more closely to assist
applicants in achieving a recovery
outcome by the end of the period of
assistance. Depending on the disaster,
applicants may not be able to satisfy
requirements of a PHP during the initial
application. To expedite the recovery
process, FEMA will remove the
requirement for applicants to select a
permanent housing plan during the
initial application. FEMA will work
with applicants through all
recertification intervals to review their
progress toward their PHP and identify
specific resources to assist the applicant
in achieving their recovery goals.
Benefits from the establishment of
Displacement Assistance will address
the need many disaster survivors have
for short-term transitional assistance.
Displacement Assistance will also be a
more equitable and efficient way to
provide short-term lodging rather than
LER, as it is proactive assistance
increasing the benefit for applicants that
do not have the means to pay for
lodging costs up front. It will also
improve assistance equity as displaced
disaster survivors within an area receive
a consist amount of assistance to
address their short-term lodging needs
ensuring displaced survivors receive
assistance covering common needs and
allows for recipients to receive
assistance quickly. Displacement
Assistance also improves assistance
flexibility and may avoid unintended
use of funds, reducing the risk of
applicants unable to qualify for Rental
Assistance because they spent Rental
Assistance funds on immediate needs or
ineligible temporary housing solutions
like staying with friends and family.
FEMA’s change establishing Serious
Needs Assistance will broaden eligible
expense categories compared with CNA,
thereby improving assistance flexibility.
This change may avoid unintended use
of funds reducing the risk of applicants
unable to qualify for other FEMA
assistance because they spent the prior
more narrowly defined CNA on other
needs. It will also provide all impacted
disaster survivors a consistent amount

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of assistance ensuring all displaced
survivors receive assistance covering
common needs and allows for recipients
to receive assistance more quickly. The
benefits of establishing Serious Needs
Assistance improves assistance
flexibility to better help disaster
survivors.
Benefits from expanding Home Repair
and Home Replacement Assistance
eligibility for accessibility-related items
when these items were not present prior
to the disaster and are necessary to
make the damaged home safe and
functional for someone who has a preexisting disability increases assistance
equity for those disaster survivors with
a disability. This change will also
address unmet needs and more
effectively assist applicants achieve
permanent housing solutions. FEMA
continually faces challenges finding
available accessible housing postdisaster, as there is a limited amount of
accessible housing stock.
FEMA’s change of broadening the
‘‘uninhabitable’’ definition to
encompass disaster damage to the
applicant’s primary residence that
causes the home to be unsuitable for
occupancy better supports disaster
survivors whose residences incurred
disaster damage. According to the
Federal Reserve, 32 percent of
Americans could not cover an
emergency expense of $400 with cash or
its equivalent, with 11 percent saying
they would be unable to pay the
expense by any means.382 This change
will better support low income and
other vulnerable disaster survivors who
may not have the means to immediately
address disaster damage. Additionally,
FEMA is removing the requirement for
disaster-damaged real property
components to be functional
immediately before the disaster for preexisting damages exacerbated by the
382 Federal Reserve Board, Report on the
Economic Well-Being of U.S. Households 2021,
Figures 19 and 20, https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm https://www.federalreserve.gov/
publications/2022-economic-well-being-of-ushouseholds-in-2021-dealing-with-unexpectedexpenses.htm.

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disaster. The benefit of expanding
assistance increases types of eligible
repairs and speed the repair of disasterdamaged dwellings for disaster
survivors.
Benefits from expanding Personal
Property Assistance so that a household
may receive financial assistance for a
disaster-damaged computing device,
regardless of its intended use will
provide additional assistance to help
survivors replace disaster-damaged
computing devices. This change reflects
FEMA recognizing technology continues
to have an increasing role in how
households communicate, manage
finances, and facilitate many other
necessary aspects of daily living. This
change aligns with the purpose of IHP
is to determine what meets the basic
needs of disaster survivors. In the
current landscape, most households
have a computing device; 383 therefore,
it may be an essential need.
Additionally, many states have
requested that FEMA provide assistance
for these types of items on their annual
submission of their ONA Administrative
Option Selection Form reflecting the
importance of computing devices for
disaster survivors.
FEMA’s change for insurance
proceeds, no longer comparing net
insurance settlement amounts to the
applicable maximum IHP Assistance
amount when determining eligibility
will more equitably address the unmet
needs of underinsured applicants.
FEMA’s current use of the applicable
maximum IHP Assistance amount as a
threshold for determining eligibility
creates an inequity between similarly
impacted applicants. A one-dollar
difference in net insurance settlement at
the applicable maximum IHP Assistance
amount determines an applicant’s
ineligibility for potentially thousands of
dollars in IHP Assistance verses an
applicant with one dollar less in net
settlement who will be eligible.
Excluding those insured applicants with
a net insurance settlement amount that
383 In April 2021, the U.S. Census Bureau released
a report that examined trends in computer and
internet use in 2018. Per the report, among all
households in 2018, 92 percent had at least one
type of computer. Please see https://
www.census.gov/content/dam/Census/library/
publications/2021/acs/acs-49.pdf for further
information. This shows an increase in computer
prevalence as compared to a 2016 study conducted
by the Pew Research Center, which noted that 80
percent of American households had at least one
desktop or laptop computer in their home.
Additional data from the 2016 study conducted by
the Pew Research Center study showed that a third
of U.S. households had access to three or more
smartphones. Please see https://
www.pewresearch.org/fact-tank/2017/05/25/athird-of-americans-live-in-a-household-with-threeor-more-smartphones/.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
is equal to or exceeds the applicable
maximum IHP Assistance amount can
pose an obstacle to them achieving a
permanent housing solution, especially
for lower income homeowners, as lower
income ineligible underinsured
homeowners may be unable to afford
the unmet need to repair their home.

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Pre-Guidance Baseline
Under a pre-guidance baseline, the
benefits above will apply as well as the
benefits of the changes FEMA has
already implemented and is codifying.
The following provides an overview of
additional equity (consistent, systematic
fair, just, and impartial treatment of all)
benefits under a pre-guidance baseline.
Amending the definition of ‘‘financial
ability’’ to pay by removing the
comparison between pre-disaster and
post-disaster income and awarding
CTHA recipients 30 percent of their
post-disaster housing income
streamlines applicant documentation
and more accurately measures
applicants’ post-disaster financial
situation. This change also reduced
documentation of the pre-disaster
income to lessen applicant burdens.
FEMA’s change for MLR to lease,
repair, and improve existing, vacant
multifamily units as a type of temporary
housing for applicants is cost-effective
and more survivor-centric alternative to
other temporary housing options. In
addition to cost-effectiveness and
improvements to properties that benefit
affected communities, multifamily lease
and repair assistance will provide more
capacity for temporary housing. If
available properties in the designated
area are exhausted, applicants or FEMA
will have more flexibility by
incorporating this option in the
portfolio of housing solutions.

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In 2014, FEMA expanded assistance
to recognize child care as a disastercaused financial burden because the
applicant’s gross household income has
decreased as a direct result of the
disaster or because child care expenses
have increased as a result of the
disaster. By increasing assistance
eligibility and reducing disruptions to
affordable, local child care services,
FEMA enables applicants to financially
recuperate sooner and reduces
disruptions to families.
FEMA’s change allowing applicants to
use security deposit payments for
another property when an applicant is
unable to return to their disasterdamaged home better assists applicants
by allowing the recipient to make timely
progress toward finding a long-term
housing solution. This change increases
assistance flexibility to better help the
survivor recover.
FEMA revisions to align with section
698d of the PKEMRA to allow for
payments of utilities, excluding
telephone service. Providing additional
assistance for utility payments increases
CTHA flexibility to better help
displaced survivors recover by reducing
temporary housing burden costs for
those with financial needs.
Benefits from removal of Temporary
Housing Assistance applied to the
Financial Housing Assistance maximum
ensures those applicants with the most
severe disaster damage may still have
funds available to them for temporary
housing solutions.
FEMA’s change to have separate and
individual maximum caps for HA and
ONA ensures those applicants with the
most severe disaster damage receive
eligible assistance at least equivalent to
similarly impacted disaster survivors for
HA and ONA. This policy change

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4063

removes limiting HA like Home Repair
Assistance due to assistance already
ready received for ONA.
FEMA change to waive debt for
individuals and households who
received assistance through the IHP that
was distributed in error by FEMA
benefitted disaster survivors who
accrued this debt through no fault of
their own. This change reduced
repayment burden for these applicants
which could place additional financial
hardship on disaster survivors. FEMA
made this policy change to align with
DRRA.
9. Baseline Time Period
As discussed above, to provide a full
understanding of the impacts of the
policy changes discussed in this rule,
DHS measured their impacts relative to
two baselines. The no action baseline
represents a state o the world under
current FEMA policies; that is, impacts
of the rule as compared to IA Guidance.
The second baseline considered in the
analysis is the pre-guidance baseline,
which represents a state of the world
before statutory changes and/or FEMA’s
implementing guidance. Table 13
provides a summary of the impacts of
the rule over a 10-year future period of
analysis as measured against a no-action
baseline. Table 14 provides a summary
of the impacts measured against the preguidance baseline for a 21-period of
analysis that includes the actual impacts
from the changes that FEMA has already
implemented and will codify (2010–
2019) combined with the future impacts
of these changes and the new changes
FEMA implements through this rule
(2020–2030).
BILLING CODE 9111–24–P

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22JAR2

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4064

VerDate Sep<11>2014
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Annualized quantified, but
unmonetized benefits
Qualitative (unquantified)
benefits

•

NIA

RIA9

Promote more equitable access to disaster assistance and improve recovery outcomes by reducing

Frm 00076
Fmt 4701

From/To
Annualized quantified, but
unmonetized, costs
ualitative (unquantified) costs

Increase in costs for States, FEMA, and applicants

NIA

NIA

RIA&

Sfmt 4725

Annualized Monetized

E:\FR\FM\22JAR2.SGM

From/To
Annualized quantified, but
unmonetized, costs

22JAR2

Effects on State, local, and/or
Tribal Governments
Effects on small businesses
Effects on wages
Effects on growth

ER22JA24.012

NIA

licants and FEMA

Expanding IHP assistance to individuals and households will add familiarization costs for States.
Expanding Federal assistance for self-employed applicants for replacement of disaster-damaged essential
tools.
None
None

RIA
RIA 6.12

NIA
NIA

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

Tab

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VerDate Sep<11>2014
Jkt 262001

Annualized Monetized
Annualized quantified, but
unmonetized benefits
•

PO 00000

Qualitative (unquantified)
benefits

•

NIA

NIA

NIA

NIA

Promote more equitable access to disaster assistance and improve recovery outcomes by reducing
applicant barriers, improving overall timeliness, and removing administrative burdens
Improve clarity and align FEMA regulations with statutory changes improving the efficiency and
consistency of IHP assistance

RIA9

Frm 00077

Increase in costs for States, FEMA, and applicants

Fmt 4701

Annualized quantified, but
unmonetized, costs
ualitative (unquantified) costs

NIA

NIA

RIA&

Sfmt 4725

Annualized Monetized

E:\FR\FM\22JAR2.SGM

From/To
Annualized quantified, but
unmonetized, costs

22JAR2

Effects on State, local, and/or
Tribal Governments
Effects on small businesses
Effects on wages
Effects on growth

licants and FEMA

Expanding IHP assistance to individuals and households will add familiarization costs for States.
Expanding Federal assistance for self-employed applicants for replacement of disaster-damaged essential
tools.
None
None

RIA
RIA 6.12

NIA
NIA

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

Table 14-Circular A-4 Accountinl! Statement, Pre-Guidance Baseline (2020$), 2010-2030

4065

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Table 15-Marginal Analysis

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E:\FR\FM\22JAR2.SGM

Removes and reserves §
206.101 because it is outdated
and no longer necessary; will
extend reservations to §§
206.101-109

I

No

I

D

INone.

INone.

INone.

§ 206.131 Individual and
Family Grant Program
for major disasters
declared on or before
October 14, 2002

Removes and reserves §
I
206.131 outdated and no longer
necessary, will extend
reservations to§§ 206.131-140
and revises the heading of
Subpart E from "Individual and
Family Grant Programs" to
"Reserved"

No

I

D

INone.

INone.

INone.

§ 206.1 l0(b)

Replaces "limit" with "limits"
grammar

I

No

I

D

INone.

INone.

INone.

§ 206.llO(a)

U.S.C. cite instead of Stafford
Act (SA) section

I

No

I

D

INone.

INone.

INone.

§ 206.1 lO(h)

22JAR2

§ 206. l 10(i)(2)
§ 206.11 0(i)(2)(ii)
§ 206.11 0G)(2)
§ 206.11 0(k)(3)(i)
§ 206. l 13(a)

Regulatory text cites in 44 CFR, unless otherwise stated.
Mandatory actions are marked as "M" and discretionary actions are marked as "D."
386 Impacts listed under Costs/Cost Savings, Benefits, and Transfer apply under a no-action and pre-guidance baseline, unless otherwise stated.
384
385

ER22JA24.014

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18:45 Jan 19, 2024

§ 206.101 Temporary
Housing Assistance for
Emergencies and Major
Disasters Declared on or
before October 14, 2002

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VerDate Sep<11>2014

§ 206.119(b)(9)
§ 206. l l 9(b)(9)(i)

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§ 206.19l(a)

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§ 206.19l(d)(2)(iii)

Frm 00079

§ 206.19l(e)(5)

§ 206.191 (d)(2)(ii)

§ 206.19l(e)(3)

Adds", as amended (Stafford
Act)"

I No

I

D

INone.

INone.

INone.

§ 206.ll0(k:)(2)

Replaces "(See 44 CFR part
59.1 )" with "(See 44 CFR
59.1)"

I No

I

D

INone.

INone.

INone.

E:\FR\FM\22JAR2.SGM

§ 206.ll0(m)

Replaces "section 106 of' with
"54 u.s.c. 306108"

I No

I

D

INone.

INone.

INone.

§ 206.ll0(a)

Removes DMA2K amendment
to SA as outdated

I

No

I

D

!None.

!None.

!None.

22JAR2

§ 206.ll0(c)

Plain language revisions

I No

I

D

INone.

INone.

INone.

Fmt 4701

§ 206.ll0(a)

Sfmt 4725

§ 206.11 0(i)(l)
§ 206.11 0(i)(2)
§ 206.110(i)(2)(i)
§ 206.11 0(i)(2)(ii)

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.115(a)

§ 206.11 0G)(2)(ii)

4067

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VerDate Sep<11>2014

§ 206.119(b)(9)
§ 206. ll 9(b)(9)(i)

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§ 206. ll 9(b)(9)(i)
§ 206. l l 9(b)(9)(ii)

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§ 206.19l(e)

Frm 00080

§ 206.19l(e)(2)
§ 206.19l(e)(2)(iii)

Fmt 4701

§ 206.19l(e)(3)

Sfmt 4725

§ 206.191(e)(4)(ii)

§ 206.19l(e)(4)

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§ 206.19l(e)(4)(ii)
§ 206.19l(e)(5)
§ 206.191(e)(5)
§ 206.19l(e)(5)

22JAR2

§ 206.ll0(e)

Replaces "Disaster Assistance"
with "Recovery" before
"Directorate" as outdated;

I No

I D

INone.

INone.

INone.

I No

I D

INone.

INone.

INone.

Replace "this" with "the" and
insert "of assistance" after
"period" to align with the
paragraph heading of (e) period
of assistance
§ 206.113(a)(5)

ER22JA24.016

Replaces "needs" w/ "need"
grammar

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.113(a)(4)

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VerDate Sep<11>2014

I Replaces "determines" w/

Jkt 262001
PO 00000
Frm 00081
Fmt 4701

No

I

D

INone.

INone.

INone.

Replaces "damages" w/
"damage" grammar

I No

I

D

INone.

INone.

INone.

§ 206.19l(e)(3)

Replaces "programs" w/
"program's" grammar

I No

I

D

INone.

INone.

INone.

§ 206.117(b )(2)(iv)

Removes "of this part"

I

No

I

D

INone.

INone.

INone.

§
206.l 17(b)(l)(ii)(E)(J)(3)

Remove superfluous phrase
I
"then Federal assistance may be
authorized for such actions"

No

I

D

INone.

INone.

INone.

§ 206.117(b )(1 )(ii)(H)(4)

Adding "semicolon or" at the
end of the phrase

I No

I

D

INone.

INone.

INone.

§ 206.118(a)(l)(i)

Replacing "comma" after
I No
"permanent housing" with "and"
and replacing "has" w/ "have for
grammar purposes

I

D

INone.

INone.

INone.

I

D

INone.

INone.

INone.

"determined" grammar
§ 206.11 0(k:)(3)(i)
§ 206. l l 7(b)(2)(iv)

§ 206. ll 7(b)(2)(vi)
§ 206. ll 7(b)(3)(i)(A)
§ 206.117(b )(3)(ii)

Sfmt 4725

§ 206.117(b )(3)(iii)

E:\FR\FM\22JAR2.SGM

§ 206.117(b)(4)(i)(A)

§ 206.117(b )(3)(iv)

§ 206.117(b)(4)(iii)

22JAR2

§ 206.191(f)

I Adding cross-reference to 31

I No

4069

CFR chapter IX joint

ER22JA24.017

I

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18:45 Jan 19, 2024

§ 206. ll 7(b)(1 )(ii)(E)(4)

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4070

VerDate Sep<11>2014
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I Adds clarification that

PO 00000

maximum amount of assistance
is "for repair or replacement of
their pre-disaster primary
residence." Sec. 1212 ofDRRA
removed Temporary Housing
Assistance from any fmancial
maximum and separated ONA
so that it has its own maximum.

Frm 00082

Yes,
implemented
2019 via policy
memorandum387

M

None.

Fmt 4701
Sfmt 4725

Preguidance:
Ensures
applicants
with the
most severe
disaster
damage
may still
have funds
available to
address
needs.

E:\FR\FM\22JAR2.SGM
22JAR2

I

§ 206.1 lO(b)(l)

I Maximum amount of fmancial
assistance excludes rental
assistance & LER sec. 1212 of
DRRA.

387 Retroactive to August 1, 2017
388 Retroactive to August 1, 2017

ER22JA24.018

No-action I No-action baseline: None.
baseline:
Pre-guidance baseline:
Improve
clarity and Increases transfers from FEMA
align FEMA to applicants by $7,800,713 per
regulations year. Cross Reference
with
206.ll0(b)(l) below.
statutory
changes.

I

Yes,
implemented
2019 via policy
memorandum388

M

None.

No-action INo-action baseline: None.
baseline:
Pre-guidance baseline:
Improve
clarity and Increases transfers from FEMA
alignFEMA to applicants by $1,230,456 per
regulations year.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.1 l0(b)

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014
Jkt 262001

Preguidance
baseline:
Allows for
greater
assistance to
address
applicant
temporary
housing
needs.

PO 00000
Frm 00083
Fmt 4701

Maximum amount of financial
assistance excludes repair or
replacement accessibility-related
real property improvements &
personal property sec. 1212 of
DRRA

Yes,
implemented
2019 via policy
memorandum3S9

M

None.

See above§ ISee above§ 206.1 lO(b).
206.ll0(b).

§ 206.111

Definitions: "Alternative
housing resources;" replacing
one example used w/term from
"mobile homes" to
"manufactured housing units"
align w/HUD regs and FEMA
use

Yes

D

None.

None.

None.

§ 206.111

"Destroyed;" new definition
more succinct; different from
IAPPG definition

Yes

D

None.

None.

None.

§ 206.111

"Financial ability;" FEMA
removes the comparison
between pre-disaster and postdisaster income to determine

Yes-since
2002.

D

None.

None.

None.

Sfmt 4725

§ 206.110(b)(2)

E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.019

4071

389 Retroactive to August 1, 2017

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

with
statutory
changes.

ddrumheller on DSK120RN23PROD with RULES2

4072

VerDate Sep<11>2014
Jkt 262001
PO 00000
Frm 00084

I

Revise definition of "Housing
I Yes
costs" to add "homeowners or
condominium association fees."
Current CTHA lists the current
definition of"housing costs."

I

D

INone.

INone.

INone.

§ 206.111

I

"Owner-occupied" revises
definition to describe types of
documents that may be used to
verify whether applicant's
primary residence is owneroccupied

YesI
implemented
2021 via
Memoran-dum

D

INone.

INone.

INone.

§ 206.111

"State" new term; "State" as
defined in § 206.2(a)(22) or
Indian Tribal government as
defined SA

Yes

D

None.

None.

None.

§ 206.112(b)

Replaces "Regional
I
Administrator or his/her
designee" w/ "FEMA" to ensure
continued consistency in
processing across disasters at
the national level

Yes

I D

INone.

INone.

INone.

Fmt 4701

§ 206.111

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

§ 206.llS(c)
§ 206.llS(e)
§ 206.117(b)(l)(i)(A)
§ 206.117(b)(l)(ii)(B)
§ 206.117(b)(l)(ii)(E)(l)

ER22JA24.020

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

financial ability to pay. FEMA
codifies its current practice that
all applicants requesting
Continued Temporary Housing
Assistance have the financial
ability to pay up to 30 percent of
their income toward housing to
all applicants requesting CTHA,
which FEMA has been applying
since 2002 to treat applicants
consistently

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.117(b)(l)(ii)(E)(3)
§ 206. ll 7(b)(l)(ii)(E)(4)

Jkt 262001

§ 206. ll 7(b)(1 )(ii)(I)
§ 206.117(b)(3)(ii)

PO 00000

§ 206.191(e)(l)(i)

Frm 00085

§ 206.191(e)(2)

Fmt 4701

§ 206.191(e)(3)

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

§ 206.191(e)(4)
§ 206.191(e)(4)(i)

Revises "the Regional
Administrator" to "FEMA"

§ 206.191(e)(4)(i)
§ 206.191(e)(4)(ii)
§ 206.191(e)(4)(ii)
§ 206.191(e)(4)(ii)
§ 206.191(e)(4)(ii)
§ 206.191(e)(5)
§ 206.191(e)(3)

Removes "the coordination of
the Federal Coordinating Officer
(FCO) and"

§ 206.191(e)(5)

Replaces "the Regional
Administrator and the FCO" w/
"FEMA"

I

Yes

D

None.

None.

None.

4073

ER22JA24.021

§ 206.191(e)(2)(iii)

Revises "the FEMA Regional
Administrator" to "FEMA"

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.117(b)(l)(ii)(E)(2)

ddrumheller on DSK120RN23PROD with RULES2

4074

VerDate Sep<11>2014
Jkt 262001

§ 206.191(e)(5)

Replaces "him/her" w/ "FEMA"

§ 206.191(e)(5)

Replaces "its" w/ "the agency's"

§ 206.113(a)(l)

Replaces "or" w/ "and" since
FEMA has always allowed
applicants to receive assistance
for both a necessary expense
and a serious need.

PO 00000

Replaces "his/her" w/ "its"

Frm 00086

§ 206. l 13(a)(5)

I Replaces the "or" in "necessary

Fmt 4701

I

I

Yes

I

D

INone.

INone.

INone.

I

Yes

I D

INone.

INone.

INone.

I

Yes

I

D

INone.

INone.

INone.

expenses or serious needs" with
"and," which has no practical
effect because a necessary
expense is defmed as whatever
it costs to fix a serious need.
I

Sfmt 4725

§ 206.114(a)

I

E:\FR\FM\22JAR2.SGM

I

22JAR2

Removes clause "but not to
exceed the maximum amt of
assistance for the program" as
1212 ofDRRA removed
fmancial assistance max award
limits for CTHA

Yes,
implemented
2019 via policy
memorandum39o

M

See above§
206.11 0(b )(1 ).

Adds "child care," as section
1108 of the SRIA established
child care as an eligible expense
under the ONA provision of the
IHP. Currently, FEMA
implements thru IAPPG.

Yes, 2014
implemented
via policy

M

No-action
baseline: None.

See above § I See above § 206.1 lO(b )(1)
206.1 l0(b)(
1).

I

§ 206.114(d)(2)

I

No-action I No-action baseline: None.
baseline:
Pre-guidance baseline:
Improve
Pre-guidance
Increases
transfers from FEMA
clarity and
baseline:
to
applicants
by $18,278 per
alignFEMA
Increases
year
and
increases
transfers
regulations
applicant burden with
from the State to applicants by
costs by $593
$5,835 per year.
statutory
per year.
changes.
Preguidance
baseline:
Increases

390 Retroactive to August 1, 2017

ER22JA24.022

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.191(e)(5)

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014
Jkt 262001
PO 00000

Adds "child care," as section
1108 of the SRIA established
child care as an eligible expense
under the ONA provision of the
IHP. Currently, FEMA
implements thru IAPPG.

Yes, 2014
implemented
via policy

§ 206.1 I 9(b )(4)(i)-(ii)

Adding child care expenses
under ONA; as section 1108 of
SRIA established child care as
an eligible expense under the
ONA provision of the IHP.
Currently FEMA implements
thm IAPPG.

Yes, 2014
implemented
via policy

D

See above§
206.114(d)(2).

See above§ I See above§ 206.114(d)(2).
206.114(d)(
2).

§ 206.l l 7(a)

Adds defmed term "Multifamily
Rental Housing" section 1103 of
SRIA established authority and
1213 ofDRRA reaffirmed
authority; defined page 105 of
IAPPG, January 1, 2019, except
for the clarifying phrase
"contained within one building."
Sec also 206.l 17(b)(l)(ii)(F).

Yes, 2019
implemented
via policy

D

None.

No-action
baseline:
Improve
clarity and
align FEMA
regulations
with
statutory
changes.

§ 206.119(b)(4)

M

See above§
206.114(d)(2).

See above

above§ 206.114(d)(2).

Frm 00087

206.114(d)(
2).

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

No-action baseline: None.
Pre-guidance baseline:
Reduces transfers from FEMA
to applicants by $1,262,854 per
year.

4075

Preguidance
baseline:
Increases
flexibility
and eligible
capacity of
tempora

ER22JA24.023

I See

§

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

eligibility
for child
care
reducing
care
disruptions
for families.

ddrumheller on DSK120RN23PROD with RULES2

4076

VerDate Sep<11>2014

§ 206. ll 7(b)(1 )(i)(C)

I Section 689d PKEMRA allows

Yes, 2011

D

None.

Jkt 262001
PO 00000

rental assistance to include
payment of the cost of utilities,
excluding telephone service.
FEMA implemented this change
via page 80 ofIAPPG which
distinguishes between essential
& non-essential utilities further
excluding cable, TV, and
internet service

Frm 00088
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

Section 689d PKEMRA allows
for the payment of security
deposits, currently implemented
via page 84 ofIAPPG, so
FEMA limits security deposits
to one month's rent, if
applicable

Yes, 2013 via
processing
guidance
memorandum

D

None.

No-action
baseline:
Improve
clarity and
alignFEMA
regulations
with
statutory
changes.
Preguidance
baseline:
Increases
assistance
flexibility to
better hel

ER22JA24.024

No-action baseline: None.
Pre-guidance baseline:
Increases transfers from FEMA
to applicants by $121,220 per
year.

Preguidance
baseline:
Increases
assistance
flexibility to
better help
survivors
recover.

Fmt 4701

§ 206.117(b)(l)(i)(D)

No-action
baseline:
Improve
clarity and
alignFEMA
regulations
with
statutory
changes.

No-action baseline: None.
Pre-guidance baseline:
Increases transfers from FEMA
to applicants by $368,766 per
year.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

housing for
applicants.

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VerDate Sep<11>2014
Jkt 262001
PO 00000

§ 206.117(b )(1 )(ii)(F)
§ 206.117(b)(l)(ii)(F)(J)

Frm 00089

§ 206. ll 7(b)(1 )(ii)(F)(2)

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

Yes, 2019
implemented
via policy

D

See above§
206.117(a).

See above § ISee above § 206.117(a).
206.117(a).

Adds in some instances, when
the extent of the damage is
unclear, FEMA may provide
assistance for the average cost
of a licensed technician's
professional assessment

Yes,
implemented
by policy since
2000

D

None.

No-action
baseline:
Improve
clarity and
alignFEMA
regulations
with current
practice.
Preguidance:
Increases
assistance to
ensure
complete
information
of damage
and reduce
a barrier for
lower
mcome
applicants.

No-action baseline: None.
Pre-guidance baseline:
Increases transfers from FEMA
to applicants by $2,092,671 per
year for professional
assessments.

4077

ER22JA24.025

§206. l 17(b)(2)(iii)

Sec. 1103 of SRIA established
FEMA's authority to lease and
repair rental units for temporary
housing of applicants and
sec.1213 ofDRRA reaffirmed
this authority; Adds new
Multifamily Lease and Repair
paragraphs to codify IAPPG

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

survivors
recover.

ddrumheller on DSK120RN23PROD with RULES2

4078

VerDate Sep<11>2014

I Added w/respect home repair

Jkt 262001

accessibility-related items if
applicant an individual w/a
disability as defined in 42
U.S.C. 5122 whose disability
was caused by disaster as

Yes,
implemented
by policy 2022

D

None.

PO 00000

No-action INo-action baseline: None.
baseline:
Pre-guidance baseline: FEMA
Improve
clarity and was unable to estimate the
align FEMA n~ber of indivi~ual~ ~ith
regulations disaster-caused d1sab1hties that
with current would be eligible for assistance.
practice.

Frm 00090

Preguidance
baseline:
May
increase
assistance
equity for
those
disaster
survivors
with a
disability.

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

§ 206.114(d)(l)

22JAR2

Current§ 206.llS(e)

Codifies Chapter 3: C.2. of
IAPPG 1.1, which is narrower
by stating that an applicant may
receive a letter requesting
additional information, language
says FEMA may request
additional information

I Remove current paragraph (e):

Yes

D

None.

None.

INone.

I Yes

I D

INone.

INone.

INone.

I Yes

I D

INone.

INone.

INone.

The appropriate FEMA or State
program official will notify the
applicant in writing of the
receipt of the appeal within 90
days ofreceiving the appeal.
§ 206.llS(e)

I Adds "a reason for the
determination" before "within

ER22JA24.026

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206. l 13(a)(9)(i)

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VerDate Sep<11>2014

Replace "Farmers Home
Administration" w/
"Department of Agriculture"
before "disaster loans, as
"Farmers Home
Administration" no longer exists

Yes

D

None.

§ 206.191(f)

Adds reference to waiver
authority from sec. 1216 of
DRRA391 implemented via
Instruction 116-1-2: Individuals
& Households Program
Recoupment Policy

Yes,
implemented
2019 via
Waiver
Information
Sheet 392

D

No-action
baseline: None.

Jkt 262001

§ 206.191(d)(2)(iv)

None.

PO 00000
Frm 00091
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

No-action
baseline:
Improve
Pre-guidance
clarity and
baseline:
alignFEMA
Increases FEMA regulations
costs by $460
with current
per year and
practice.
increases
applicant costs ofl Pre385 per year.
guidance
baseline:
Reduces
repayment
burden for
applicants
withFEMA
caused
overpaymen
ts.

None.

No-action baseline: None.
Pre-guidance baseline:
Increases FEMA transfers to
applicants estimated at $52,284
per year.

To implement the Disaster Recovery Reform Act of 2018, Pub. L. 115-254, 132 Stat. 3449 (Oct. 5, 2018), as amended by the James M. Inhofe National
Defense Authorization Act for Fiscal Year 2023, Public Law 117-263, 136 Stat. 3404 (Dec. 23, 2022), 42 U.S.C. 5174, FEMA will update Instruction 116-1-2:
Individuals & Households Program Recoupment Policy. FEMA will now waive debts due solely to FEMA error without any need for applicants to request a
waiver. This will simplify FEMA's current recoupment process. FEMA plans to implement the new process by the end of 2023.
392 Retroactive to October 28, 2012.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

90 days ofreceiving the
appeal."

391

4079

ER22JA24.027

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4080

VerDate Sep<11>2014

I Clarifies that the damage must

Jkt 262001

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

§ 206.11 0(i)(2)(ii)

Adds "is 25 percent and" and
I No
"assistance" for clarity; replaces
"Bill for Collection" with
"billing notice" and replaces
"fees" or "administrative fees'
with "administrative costs" for
clarity

I

D

INone.

INone.

INone.

§ 206.11 0(k)(3)(i)(A)

Adds "there is a residential
building (See 44 CFR 59.1) at"
before "the address" and
removing "exists" for clarity

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

have occurred during the
incident period, not necessarily
all the losses or expenses
Current § 206 .11 0(h)(2)

I Removes that "applicable

PO 00000

benefits are exhausted" as a
condition for assistance since an
applicant does not have to
exhaust benefits

Frm 00092

§ 206.110(h)(3)

I Revises "housing is not

Fmt 4701

available" to "applicants cannot
use their insurance because
there is no housing on the
private market" for clarity

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

§ 206.ll0(m)

I Updates cross references,

§ 206.115(b)

replaces "is exempted from
review in accordance with
section 106 of' with "FEMA
has no further obligations
under" before "the National
Historic Preservation Act," &
I adds a cross reference
Adds cross reference here since
vi\

ER22JA24.028

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.ll0(d)

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VerDate Sep<11>2014
Jkt 262001
PO 00000

Definitions: "Dependent:"
Removes "actually" from before
"claim"

§ 206.111

Defmitions: " Displaced
applicant;" adds "disaster
damaged;" removes ineligibility
factors listed in 206.113 as
unnecessary & repetitive;
removes functional as there is
no requirement for the home not
to be functional; and removes
"(to meet their disaster housing
need)"

Frm 00093

§ 206.111

No

None.

None.

None.

D

None.

None.

None.

Fmt 4701

D

Sfmt 4725
E:\FR\FM\22JAR2.SGM

No

22JAR2

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

206. l l 7(b)(3)(iv), and
206.117(b)(4)(iii) include cross
references to § 206.115

4081

ER22JA24.029

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4082

VerDate Sep<11>2014

No

D

None.

None.

None.

§ 206.111

"Fair market rent:" deletes a
phrase from each of the two
sentences that are part of the
definition and adds
"geographic" before "area" and
adds phrase "estimates of rent
plus the cost of utilities, except
telephone" to more closely
mirror HUD's definition of
FMR

No

D

None.

None.

None.

§ 206.111

"Manufactured housing sites:"
Removes the phrase
"govermnent or privately owned
mobile homes" & adding
language to the definition for
clarity and consistency
w/current HUD regs and §
206.117(b )(1 )(ii)(E)(4), which
describes when FEMA provides
a "group site"

No

D

None.

None.

None.

Jkt 262001

"Eligible hazard mitigation
measures:" replace "essential
components of the home" to
"the primary residence, utilities,
or infrastructure" for clarity &
consistency w/ §
206. l l 7(b)(2)(ii)(H)

PO 00000
Frm 00094
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.030

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.111

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VerDate Sep<11>2014

§ 206.111

"Reasonable commuting
distance" revise example from
"bridges out" to "road closures"
as not grammatically correct

§ 206.113(b)(2)

Adds "temporary" before
"housing assistance;"

Jkt 262001

Permanent Housing Plan revises
definition to include displaced
applicant and adds "within the
period of assistance," "services
to repair the home," &
"completing repairs"

D

None.

None.

None.

No

D

None.

None.

None.

I No

D

None.

None.

None.

No

PO 00000
Frm 00095
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

§ 206.114(a)

Adds "temporary" between
"continued housing;"

§ 206.117(b)(l)(ii)(B)

Replaces "residence" with
"temporary housing unit"

§ 206.117(b)(l)(ii)(C)

Adds "temporary"

§ 206.117(b)(l)(ii)(E)

Adds "temporary housing"

4083

ER22JA24.031

§ 206.113(b)(3)

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.111

ddrumheller on DSK120RN23PROD with RULES2

4084

VerDate Sep<11>2014

Adds "temporary housing"

§ 206.117(b)(l)(ii)(H)(4)

Adds "temporary"

Jkt 262001

§ 206.118(a)
§ 206.118(a)(l)(i)

PO 00000

Replaces "sale" with "FEMA
may sell a temporary housing
unit"

Frm 00096

§ 206.118(a)(l)(ii)
Adds "temporary"

Sfmt 4725

§ 206.118(a)(2)(i)

Adds "temporary"

§ 206.118(a)(2)(i)(B)

Adds "temporary housing"

E:\FR\FM\22JAR2.SGM

§ 206.118(a)(2)(ii)

Adds "temporary housing"

22JAR2

§ 206.l 18(b)

Fmt 4701

§ 206.l 18(a)(l)(iii)

Replaces "home or" w/
"temporary housing"

Adds "temporary housing"
§ 206.l 18(b)

Adds "temporary housing"
Adds "temporary housing"
Revise "he/she" to "they" and
add "installation of the" before
"temporary housing unit"
§ 206.113(b)(4)

ER22JA24.032

Adds "temporary"

This is intended to point to
applicants that did not receive
damage that impacted
habitability and can return and
live in their home immediately.
Removing "who" before "are"

No

D

None.

None.

None.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.117(b)(l)(ii)(E)(3)

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.113(b)(l0)

I FEMA replaces "this section"

Jkt 262001

I

No

I

D

INone.

INone.

INone.

PO 00000
Frm 00097
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

I

No

I

D

INone.

INone.

INone.

I

No

I

D

INone.

INone.

INone.

I

D

INone.

INone.

INone.

with"§§ 206.117 and 206.119,"
since§ 206.113 does not
actually authorize any items
§ 206.114(a)

I Adds "initial and," before
"continued" and adds "financial
or direct, after "assistance"

§ 206.114(b)(l)

I Clarifies that as a condition of

I

No

CTHA eligibility displaced
applicants awarded initial rental
assistance
§ 206.117(b )(1 )(i)

22JAR2

Replaces "Financial" assistance I
with "Rental" assistance

No

I

D

INone.

INone.

INone.

No

I

D

INone.

INone.

INone.

§ 206.114(a)

I

Replace "Criteria for continued
assistance" w/"Criterial for
continued or additional
assistance"

§ 206.114(b)

I

Replaces "Additional criteria for
continued assistance" heading
with "Rental assistance"

I

Section 206. l 13(b)(5)(iii) is listed under the Substantive Changes-Home Repair Accessibility-Related Items portion of the Marginal Analysis Table.

4085

393

ER22JA24.033

Conditions of ineligibility.
I
Restructured last part of
sentence into subparagraphs (i)(ii) adds "Improvements or
additions" before "required" and
adds to "make repairs that"
before "comply" to comply
w/local & State ordinances.
Replaced "eligible mitigation
measures" with "eligible hazard
mitigation measures" is the
defined term393

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.113(b)(5)

ddrumheller on DSK120RN23PROD with RULES2

4086

VerDate Sep<11>2014
Jkt 262001

Removes "adjustment to the
sales price" heading

§ 206.119(b)(4)

Adds "Personal property"
heading

PO 00000
Frm 00098

§ 206. ll 9(b)(7)
Adds "Transportation" heading
§ 206. ll 9(b)(10)
Revises "Other" to
"Miscellaneous"
§ 206.119(b)(3)

Replaces "Medical expenses" w/
"Medical and dental" heading

§ 206.119(b)(4)

Replaces "Funeral expenses"
with "Funeral" heading

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.118(a)(l)(ii)

§ 206. ll 9(b)(1)

§ 206.119(b)(2)

Adds "Serious needs" heading

Adds "Displacement" heading

22JAR2

§ 206.119(b)(5)

§ 206.115(b)

ER22JA24.034

Replaces "Moving and storage
expenses" w/ "Moving and
storage" heading

Remove "him, her, or" before
"them;"

No

D

None.

None.

None.

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.114(d)(2)

I

Replaces "Individual or
households" with "Applicants"

I No

I

D

INone.

INone.

INone.

Frm 00099

§ 206.117(b)(l)(i)

Replaces "individuals and
households" with "displaced
applicants"

I No

I

D

INone.

INone.

INone.

D

None.

None.

None.

Fmt 4701

§ 206.117(b)(l)(ii)(A)

Sfmt 4725

§ 206.118(a)(2)(i)

E:\FR\FM\22JAR2.SGM

§ 206.19l(d)(4)
Replaces "a disaster victim" w/
"an individual or household"

22JAR2

§ 206.19l(d)(4)(ii)

§ 206.114(d)(2)

Replaces "disaster victim" w/
individual or household and
adds "Agency A must"
Replaces "continuing" with
"additional," as there is not a
continuing need for repair
assistance, rather an
"additional" need of repair
assistance. Adds "repair,
replacement1 lodging expense

No

4087

ER22JA24.035

Replaces "disaster victims" w/
eligible displaced applicants

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

Reorder sentence to: if someone
other than the applicant files the
appeal, then the applicant must
also submit a signed statement
giving that person authority to
represent Replace "him or her"
with "them"

Jkt 262001

I

PO 00000

18:45 Jan 19, 2024

§ 206.115(d)

ddrumheller on DSK120RN23PROD with RULES2

4088

VerDate Sep<11>2014
Jkt 262001

§ 206.115(e)

PO 00000

§ 206. ll 7(b)(1 )(i)

I Adds "FEMA or State"

Frm 00100
Fmt 4701

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

appellate authority is fmal

§ 206. ll 7(b)(1 )(i)(B)

Remove "existing rental units,
manufactured housing,
recreational vehicles, or other
readily fabricated dwellings"
after "alternate housing
resources" as that is part of the
defmition of the defmed term
"alternate housing resources."

Sfmt 4725

I Replaces "rental" assistance

E:\FR\FM\22JAR2.SGM

with "amount of' assistance;
removes HUD as HUD is
identified in defmition of "fair
market rate;" replaced "rates"
with "rent;" and restatement of
FEMA's current process of
determining the number of
bedrooms a household requires
Adds "fair market" before rent

I No

I

D

INone.

INone.

INone.

§ 206.117(b)(l)(ii)(E)(3)

Revised word order of the
I No
beginning of sentence to "a
group site that accommodates
two or more temporary housing
utilities and is complete with
utilities, provided by the State or
local government," before
"when."

I

D

INone.

INone.

INone.

22JAR2

§ 206.117(b)(l)(ii)(G)

ER22JA24.036

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

reimbursement" before
"personal"

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

I Removes the clause "items or

Jkt 262001
PO 00000
Frm 00101
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

Removes "that reduce the
likelihood of future damage to
the residence, utilities, or
infrastructure" as this is part of
the definition of the defined
term "Eligible hazard mitigation
measures."
§ 206. ll 7(b)(4)(i)(E) and
.. .
§ 206. l 17(b)(4)(m)

§ 206.118(a)(l)

I FEMA removing "located" as it
is repetitive and removing the
phrase an "insular area outside
the continental United States" as
a simplifying edit for clarity.
There is no reason to include the
phrase as, the point is that the
residence is in a location where
no alternative housing resources
are available.

I Replaces "applicant" w/
"occupant"

§ 206.118(a)(l)(i)

I
Replaces "individual or
household" w/ "occupant"

§ 206.118(a)(l)(i)

I Replaces "the occupant" w/
4089

"they"

ER22JA24.037

I No

services determined to be" used
to described eligible hazard
mitigation measures as FEMA
never defined "items or
services" related to hazard
mitigation measures and
removing the term does not
change the intention of the
sentence;

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.117(b)(2)(ii)(H)

ddrumheller on DSK120RN23PROD with RULES2

4090

VerDate Sep<11>2014

Replaces "purchaser" w/
"occupant"

Jkt 262001

§ 206.118(a)(l)(ii)

Replaces "applicant" w/

PO 00000

"occupant"
§ 206.119(b)(9)

Frm 00102

Replace "Other Needs" w/ "for
flood insurable damage"
Replace "an Other Needs
award" w/ "assistance for floodinsurable losses within a SFHA"

§ 206. l l 9(b)(9)(ii)

Remove "Other Needs"

Fmt 4701

§ 206. l l 9(b)(9)(ii)

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.038

No

D

None.

None.

None.

§ 206.111

I

"Functioning" replaces current
"functional"

I

No

I

D

INone.

INone.

INone.

§ 206.111

I

"Repairs" new term which
aligns w/revisions to repair
section, § 206 .117 (b)(2)

I

No

I

D

INone.

INone.

INone.

§ 206.111

I

"Safe" and "Sanitary" revises
I
definitions by removing
"disaster-related;" crux of
expanding FEMA THP
regulations to be more equitable.

No

I

D

INone.

INone.

INone.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.118(a)(l)(ii)

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.111

I "Uninhabitable" revises

Jkt 262001
PO 00000

§ 206.117(a)

I Removes defined term "caused

Frm 00103
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

No

I

D

INone.

INone.

INone.

I

No

I

D

INone.

INone.

INone.

D

None.

None.

D

INone.

INone.

D

None.

by the disaster" since FEMA is
paying for pre-existing
conditions if the component
itself was damaged by the
disaster, Definition aligns with
revisions discussed in §
206.117(b)(2)
§ 206.117(a)

§ 206. ll 7(b)(1 )(i)

Revises defmed term "Real
property component" or
"Component" by removing "that
makes it habitable"

I Revisions to clarify that LER is

22JAR2

I

§ 206. l l 7(b)(2)(i)-(ii)

No

I

No

I

See § 206. ll 7(b)(2)(ii).

INone.

distinct form of fmancial
assistance from Rental
Assistance; LER is only eligible
to displaced applicants who
have not received displacement
assistance.

I Repairs.

No

Support low Increase transfers from FEMA
income and to applicants by $14,228,959
other
per year.
vulnerable
disaster
survivors
who may
not have the
means to

4091

Whether or not the "component"
makes the dwelling habitable
would be immaterial. The
overarching eligibility
requirement for housing
assistance would be whether or
not the home is uninhabitable.
Once an applicant has hit that

ER22JA24.039

I

definition by adding "or" before
"sanitary" and removing "fit to
occupy" as SA only uses "safe
or sanitary"

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

Definitions align with revisions
discussed in§ 206.117(b)(2)

ddrumheller on DSK120RN23PROD with RULES2

4092

VerDate Sep<11>2014
Jkt 262001
PO 00000
Frm 00104

Replacing "owner's" w/
"owner-occupied" as "owneroccupied" defined term §
206.111

§ 206.117(b )(2)(iii)

Financial assistance for repairs
will be limited to repairs quality
necessary to make the home safe
and sanitary living or function
condition. Would no longer
limit to average quality, size,
and capacity.

Fmt 4701

§ 206. l 17(b)(2)(i) and
(b)(3)(i)

Sfmt 4725
E:\FR\FM\22JAR2.SGM

Current
§ 206.117(b)(2)(iv) and
Second sentence of
current
§ 206.117(b )(2)(vii)

22JAR2

§ 206. ll 7(b)(2)(vi)

D

INone.

INone.

Yes

D

None.

None.

See § 206.117(b )(2)(i)-(ii).

I Removing current paragraph
206.117(b )(2)(iv) & 2nd
sentence of 206. l 17(b)(2)(vii)
due to FEMA's policy change to
provide assistance to repair or
replace a disaster-damaged
component, room, or area as
long as the real property
component incurred disaster
damage, including damage that
was worsened by the disaster
and requires repair or
replacement to make the home
habitable

No

D

None.

None.

See § 206.117(b )(2)(i)-(ii).

I Removing from the 2nd sentence I

No

D

!None.

!None.

ISee § 206. l 17(b)(2)(i)-(ii).

the clause "including that the
component was functional
before the declared event and
rnof that the declared event

ER22JA24.040

immediately
address
disaster
damage.

I No

I

I

INone.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

threshold, we are simplifying
IHP to pay for all components
listed in (b )(2)(ii) with disaster
damage and then repair those
components "to" a safe,
sanitary, & functioning
condition.

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.117(b)(3)(i)

Housing replacement.

Jkt 262001
PO 00000
Frm 00105
Fmt 4701

D

None.

None.

D

INone.

INone.

See § 206. l 17(b)(2)(i)-(ii).

Revisions align with the policy
changes that the residence does
not have to be functional
immediately before the disaster
and that all of the damage to the
residence was caused by the
disaster since FEMA is paying
for pre-existing damage.
§ 206.117(b)(3)(iii)

I FEMA's clarifying revisions are

I No

I

INone.

Sfmt 4725

to help the public understand
that since FEMA has already
said that the residence must be
destroyed or can't be repaired,
that FEMA will pay average
replacement assistance cost
established by FEMA for the
type of residence destroyed.

E:\FR\FM\22JAR2.SGM

§ 206. ll 7(b)(3)(iv)

22JAR2

Current
§ 206.117(b)(4)(i)(B)

FEMA removing the clause "or
make the residence functional"
based on the policy changes that
FEMA has previously discussed
in this IFR that the residence no
longer has to be functional.

No

D

None.

None.

See § 206.117(b )(2)(i)-(ii).

I Permanent and semi-permanent

No

D

None.

None.

See § 206. l 17(b)(2)(i)-(ii).

I housing construction.

4093

FEMA deleting the clause that
states that the residence was
functional immediately before
the declared event, based upon
the policy changes that the

ER22JA24.041

No

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

caused the component to stop
functioning"

ddrumheller on DSK120RN23PROD with RULES2

4094

VerDate Sep<11>2014
Jkt 262001
PO 00000
Frm 00106

Housing costs revises defmition
to add "homeowners or
condominium association fees"

Yes

D

None.

Codifying INone.
clarification

§ 206.111

I

"Permanent Housing Plan"
revises defmition to include
displaced applicant and adds
"within the period of
assistance," "services to repair
the home," & "completing
repairs"

No

D

None.

§ 206.111

I "Recertification;" new defmed I

D

!None.

To better
INone.
ensure that
applicants
are prepared
for a
transition
away from
FEMA
temporary
housing
assistance
and towards
a more
permanent
housing
solution.
!None.
INone.

Fmt 4701

I

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

term used in various places in
IAPPG. Under the rule,
recertification period changing
to two CTHA payments after
initial assistance compared to
currently applicants recertify in
3-month increments after their
initial rental assistance award

ER22JA24.042

No

I

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.111

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

§ 206.117(b)(l)(i)(E)

Adds "upon request" before

No

I "during"

D

Jkt 262001

Adds applicants that receive
displacement assistance under §
206. l l 9(b)(2) must request
rental assistance if their disastercaused temporary housing needs
continue once displacement
assistance is exhausted

PO 00000
Frm 00107

§ 206. ll 4(b )-(d)

I Reorganization ofFEMA's

I No

NoneINone.
Applicants must
currently apply
for rental
assistance.

INone.

D

INone.

INone.

current regs, instead of
conflating regs so that
eligibility, non-eligibility and
criteria for different types of
assistance all in one paragraph,
separating assistance into
paragraphs w/headings of:
"Rental assistance," "Direct
housing assistance," Other
assistance"

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

D

I

INone.

§ 206.114(b)(l)(iii)

22JAR2

§ 206.114(b)(l)(iv)

Replaces current requirement
that all applicants must establish
PHP no later than 1st
certification of CTHA

I Applicants must provide

I

I

Reduces
applicant costs
by $870,862 per
year and reduces
FEMA costs by
I$7,220 per year.

I No.

ID

INone.

No

Lessens
INone.
administrative burdens
on
applicants.

documentation showing making
efforts to obtain permanent
housing
§ 206.114(b)(l)(i)

I Less limiting in that funds may

ER22JA24.043

INone.

INone.

4095

be awarded prior to exhaustion
to prevent a gap in assistance,
but still intent that applicant
must exhaust their funds

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.114(a)

ddrumheller on DSK120RN23PROD with RULES2

4096

VerDate Sep<11>2014

I Language is to tie it back to the

Yes. 2002

D

None.

"financial ability" definition of
the standard.

Jkt 262001
PO 00000

Preguidance
baseline:
More
accurately
measures
eligibility of
applicants'
postdisaster
financial
situation.

Frm 00108
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.044

No-action INo-action baseline: None.
baseline:
Clarify and Pre-guidance baseline:
Increases transfers from FEMA
align with
to
applicants by $28,516,620
current
annually.
practice.

§ 206.114(b)(2)

Language is closer to Stafford
Act language

§ 206.114(d)(2)

Adds a cross reference to the
206.115 appeal regs to help
applicants that want to apply for
continued or additional
assistance. Also changes to
allow applicants to know that
the documentation they submit
to support their requests must be
verifiable and that the IAPPG
lists types of acceptable
documentation.

No

No

D

None.

None.

INone.

D

None.

None.

None.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.114(b)(l)(ii)

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014
Jkt 262001

§ 206.113(b)(l)

I Adding "or displacement"

PO 00000

I

Revises definition "Serious
need" to replace "essential" w/
"necessary" to align SA and
lower the bar for applicants

See below§
206. ll 9(b)(1 ).

See below§ I See below§ 206.119(b)(l).
206. ll 9(b)(
1).

Frm 00109
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

I No

I

D

INone.

INone.

INone.

I No

I

D

INone.

INone.

INone.

before "assistance" to state
ineligibility for new
displacement assistance.
§ 206.113(b)(2)

§ 206.113(b)(3)

§ 206.113(b)(4)

I

I

I

Adding "temporary" before
"housing" for clarity and adding
"or displacement" before
"assistance" to state ineligibility
for new displacement assistance.
For the same reasons as above,
adding "temporary" before
"housing" and adding "or
displacement" before
"assistance"

22JAR2

For the same reasons, adding
"temporary" before "housing,"
"or displacement" before
"assistance." also adding "and
safely occupy" before "the
residence immediate after the
incident" for clarity.
§ 206.119(a)

I Adds clause "Are adversely

4097

affected by a major disaster
and" after "who" & "verifiable,
documented" before "disaster-

ER22JA24.045

D

No

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.111

ddrumheller on DSK120RN23PROD with RULES2

4098

VerDate Sep<11>2014
Jkt 262001

§ 206.119(b)(3)(i)-(v)

PO 00000
Frm 00110
Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

§ 206.119(b)(5)

Medical and dental.

22JAR2

FEMA removing "medical and
dental" before "expenses;"
adding "necessary" before
"expense" for clarity; adding the
clause "to assist applicants with
medical and dental costs which"
after "expenses" for clarity;
removing "are generally" and
"limited to" and adding "may
include;" adding "service"
between "medical costs" and
"dental costs" for clarity and
consistency; adding "or dental"
before equipment; and adding
the following new language
"loss or injury of a service
animal; and costs for
prescription medicines related to
eligible medical or dental
services, or which need to be
replaced due to the disaster" for
clarity.

Funeral.

§ 206. ll 9(b)(7)

ER22JA24.046

Replacing "funeral" with
"necessary" before "expenses"
for clarity, adding the clause "to
assist applicants with funeral
costs which" after "expenses"
for clarity, removing "are
generally limited to" to and
adding "may include" for clari

No

D

None.

None.

None.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

related necessary expenses or
serious needs"

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014
Jkt 262001

Transportation.

PO 00000
Frm 00111
Fmt 4701

§ 206.119(b)(8)

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

Removing "or serious needs"
after "necessary expenses" and
removing "for" before
"transportation" for clarity;
adding the clause "to assist
applicants with the" before
"transportation" and adding
"costs" after "transportation" for
clarity; removing "are generally
limited to the following" and
adding "which may include"
before "the following" for
clarity and to parallel the
language in§ 206.119(b)(3);
and removing "and" in current §
206. l l 9(b )(7)(i), removing
"fmancial assistance for" before
"public," moving the clause
"any other transportation related
costs or services" from current
§ 206. l l 9(b )(7)(ii) to
206. l l 9(b )(7)(iii)
Moving and storage.

ER22JA24.047

4099

FEMA reorganized this
paragraph to include three
subparagraphs so that it follows
the format of the other
paragraphs in this section.
Removing "and serious needs"
after "necessary expenses," and
adding the clause "to assist
applicants whose prim

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

and to parallel the language in §
206. ll 9(b )(3).

ddrumheller on DSK120RN23PROD with RULES2

4100

VerDate Sep<11>2014
Jkt 262001
PO 00000

I
I

§ 206. ll 9(b )(2)

I New reg text that follows

Frm 00112

§ 206. ll 9(b )(1)

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.048

New reg text that follows
FEMA's new serious needs
assistance that receipts
documenting use of this
assistance are not required, &
future changes to SNA based on
the CPI for all Urban
Consumers that the Department
of Labor publishes.

No

D

None.

Provides
more
flexibility
for eligible
expenses to
applicants.

Increases transfers from FEMA
to applicants by $157,447,886
per year and increases transfers
from States to applicants by
$52,482,628 per year.

No

D

None.

Provides
more
flexibility
for eligible
expenses to
applicants.

Increases transfers from FEMA
to applicants by $165,739,157
per year and increases transfer
from States to applicants by
$55,246,386 per year.

No

D

None.

Provides
additional
assistance
for a
computing
device to
help
applicants
recover
more
quickly.

Increases transfers from FEMA
to applicants by $35,863,425
per year and increases transfer
from States to applicants by
$11,954,475 per year.

I

FEMA's new displacement
assistance, setting forth what the
assistance is intended to cover,
dates for application, and that
receipts documenting use of this
assistance are not required.
I

§ 206.119(b)(6)(iii)

I

New subparagraph assistance
for personal "computing
devices"

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

residences were damaged by the
disaster with costs" before
"related to moving and storing
personal property" for clarity
and replacing "generally" with
"may."

ddrumheller on DSK120RN23PROD with RULES2

VerDate Sep<11>2014

Replaced "computers"
w/"computing devices"

None.

D

None.

None.

No

D

None.

Increases transfers from FEMA
Addresses
unmet needs to applicants by $1,574,683 per
of uninsured year.
and
underinsure
d applicants
more
equitably.

None.

I See§ 206.113(a)(4).
See§
206.113(a)(
4).

Reduces costs to
applicants by
$861,338
annually.

Provides a Increases transfers from FEMA
more
to applicants by $10,709,760
equitable
annually.
and efficient
appeal
process.

Jkt 262001

No

PO 00000

§ 206.113(a)(4) current
paragraph

current paragraph re:
I Removes
applicants w/insurance, when

Frm 00113
Fmt 4701

insurance proceeds are less than
max amt IHP & proceeds
insufficient to cover necessary
expenses or serious needs

Sfmt 4725

I

§ 206.113(a)(5)

I

I

E:\FR\FM\22JAR2.SGM

Update to allow for more equity
when assessing unmet needs of
applicants by comparing net
insurance settlement amount to
FEMA Verified Loss amount

No

D

22JAR2

§ 206.115(b)

No

D

4101

ER22JA24.049

Replaces "be in writing and
explain the reason(s) for the
appeal" with "include a written
explanation or verifiable
documentation for the appeal"
to reduce the complexity,
streamline the process, reduce
FEMA processing time, and
decrease the burden on

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.119(b)(6)(iv) & (v)

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4102

VerDate Sep<11>2014
Jkt 262001

§ 206.115(b)

PO 00000
Frm 00114

If a written explanation is
submitted, it must be signed by
the applicant or a person the
applicant designates to represent
them. Clarification that if
applicant submits a written
explanation it must be signed
but verifiable documentation
does not have to be signed

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.050

Current§ 206.119(a)(l)(3)

Removes regulatory text
referencing application to the
SBA in order to qualify for
assistance under this section, as
the removal of the designation
of"SBA-dependent ONA"
allows FEMA to provide all
eligible applicants ONA
regardless of loan repayment
worthiness.

No

D

None.

§
ISee§ 206.19l(d)(2)(iii)-(iv).
206.19l(d)(
2)(iii)-(iv).

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

applicants to successfully appeal
a determination.

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VerDate Sep<11>2014

Reorganizes delivery sequence

D

Jkt 262001
PO 00000

Reduces
applicant costs
(cost savings) by
$2,029,273 per
year and reduces
SBA costs by
$3,877,763 per
year due to fewer
loan applications
being submitted
and processed.

Frm 00115
Fmt 4701

Increases the
number of
applicants
eligible for
GFIP, resulting
in applicant costs
of$334,300 per
year and FEMA
costs of
$578,934
annually.

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

For pre-existing disabilities.

Reduce
applicant
administrati
ve burdens
and
provides
greater
access to
disaster
assistance.

Increases transfers from FEMA
to applicants by $116,663,362
and increases transfers from
States to applicants by
$38,887,788 annually.

4103

394

ER22JA24.051

No

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.19l(d)(2)(iii)-(iv)

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4104

VerDate Sep<11>2014
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PO 00000
Frm 00116

§ 206.113(b)(5)(iii)

Fmt 4701
Sfmt 4725
E:\FR\FM\22JAR2.SGM

§ 206.117(b)(2)(ii)

Added w/respect home repair
accessibility-related items if
applicant individual w/a
disability as defmed in 42
U.S.C. 5122 whose disability
existed prior to disaster &
whose primary residence was
damaged by the disaster.
Via information collection
1660-0002, medical, health care
provider, or rehabilitation
professional tell us whether or
not home repair accessibilityrelated items are needed to meet
the household's access and
functional need or we will
accept prior medical, health care
provider, or rehabilitation
professional documentation that
supports the need for the
accessibility-related items.

22JAR2

Added subparagraphs to §
206.113(b)(5) which lists what
is excepted from FEMA not
providing housing assistance or
accessibility-related items for
individuals with disabilities,
consistent with§ 206.l 13(a)(9).

Adding "the disaster damaged
dwelling" before "to a safe and
sanitary living or functioning
condition" in Home Repair
Assistance to adjudicate 4 RFI

ER22JA24.052

No

D

Increases
applicant burden
cost at $10,982
per year and
FEMA cost at
$13,122 per year.

Increases
Increases transfers from FEMA
assistance
to applicants at $5,737,814 per
equity for
year.
those
disaster
survivors
with a
disability by
addressing
unmet ADA
needs.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.113(a)(9)

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Fmt 4701

§ 206.113(b )(9)

I Removes "and self-

Sfmt 4725
E:\FR\FM\22JAR2.SGM

D

None.

Provides
additional
assistance to
selfemployed
disaster
survivors
improving
assistance
equity.

No

D

See§
206.113(b)(9).

See§
206.113(b)(
9).

I

§ 206.l 19(b)(6)(iv)

22JAR2
396

I

Increases transfers from FEMA
to applicants by $3,932,536 per
year and additional transfers
from States to applicants of
$1,310,845 per year.

I

Adding "computing devices"
after "protective clothing" to
allow them as eligible costs if
the computing devices are for
employment, and replacing "by
an employer as a condition of'
with "for" to reflect FEMA's
policy change regarding selfemployed essential tools.

FEMA-2021-0011-0152, FEMA-2021-0011-0164, FEMA-2021-0011-023 5, and FEMA-2021-0011-0261.
FEMA-2021-0011-0187 and FEMA-2021-0011-0200.

I

See§ 206.113(b)(9).

4105

395

ER22JA24.053

No

employment" so gig workers
may be eligible for essential
tools such as the items required
for their job; addresses 2 RFI
comments 396

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

comments, 395 so that FEMA
may make the dwelling
safe/sanitary for pre-disaster
disabled applicants.

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4106

VerDate Sep<11>2014
Jkt 262001

I Adds that when the President's

PO 00000
Frm 00118
Fmt 4701

Once 397

D

Increases
applicant costs
by $830 per year
and increases
FEMA costs by
$991 per year.

Provides
Increases transfers from FEMA
more
to applicants by $218,880
flexibility to annually.
collect
disaster
assistance
registrations

Late registrations to
replace
"provide
suitable
documentation to support and
justify" with "explain" the
reason for the delay in their
registration

No

D

Reduces
applicant burden
costs by
$207,727 per
year and reduces
FEMA burden
costs by
$173,928
annually.

Provides a I None.
lower
burden
option for
late
registration
eligibility
and helps
streamline
assistance.

Adds a new Severability
paragraph stating any provision
held to be invalid or
unenforceable as applied to any
person or circumstance should
be construed so as to continue to
give the maximum effect to the
provision permitted by law,
including as applied to persons

No

D

None.

Provides
flexibility
for those
provisions
that are
unaffected
by a legal
ruling can
be

declaration is amended to
include additional counties after
the registration period for the
major disaster or emergency has
expired, FEMA may reopen the
registration period for the
additional counties for 60 days

I

§ 206.112(d)

I Revises

Sfmt 4725
E:\FR\FM\22JAR2.SGM
22JAR2

§ 206.1 lO(n)

§ 206.191(g)

397

ER22JA24.054

DR-4473-PR; Rincon.

None.

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

§ 206.112(c)

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Jkt 262001
PO 00000
Frm 00119

implemente
dby an
agency
without
requiring a
new round
of
rulemaking
simply to
promulgate
provisions
that are not
subject to a
court ruling.

Fmt 4701
Sfmt 4700
E:\FR\FM\22JAR2.SGM
22JAR2
ER22JA24.055

Section 206.1 IO(n) references the provision of this subpart. Section 206.19l(g) references the provision of this section.

4107

398

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

18:45 Jan 19, 2024

not similarly situated or to
dissimilar circumstances, unless
such holding is that the
provision is invalid and
unenforceable in all
circumstances, in which event
the provision should be
severable from the remainder
and should not affect the
remainder thereo:f-3 98 .

4108

Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

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BILLING CODE 9111–24–C

C. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA)
(5 U.S.C. 601–612), and section 213(a) of
the Small Business Regulatory
Enforcement Fairness Act of 1996,
Public Law 104–121, 110 Stat. 847, 858–
59 (Mar. 29, 1996) (5 U.S.C. 601 note)
require that special consideration be
given to the effects of regulations on
small entities. When an agency is
required to publish a general NPRM, it
must prepare a regulatory flexibility
analysis describing the impact of the
rule on small entities.399 FEMA is not
required, by the Administrative
Procedure Act (APA) or any other law,
to publish a general NPRM for this rule.
Therefore, FEMA is not required to
prepare a regulatory flexibility analysis
for this rule.
As is discussed above, the APA
generally requires agencies to publish
an NPRM, but it provides an exception
for matters relating to public property,
loans, grants, benefits, or contracts.400
This rule amends FEMA’s regulations
related to grant funding FEMA provides
under the IHP. As such, it is exempt
from the APA’s notice and comment
requirements and therefore from the
RFA’s requirements. Until recently,
FEMA waived the exemption afforded
to grant programs under the APA and
treated its programs as if they were
subject to traditional notice and
comment requirements. On March 3,
2022, FEMA published the ‘‘Regulations
on Rulemaking Procedures Final Rule’’
clarifying its position regarding notice
and comment rulemaking for its grant
programs.401 FEMA determined that
removal of the waiver of the exemption
streamlined the regulations and ensured
that the agency retained the flexibility to
utilize a range of public engagement
options in advance of rulemaking where
appropriate. FEMA noted that it would
retain its general policy in favor of
public participation in rulemaking but
would retain discretion to depart from
this policy as circumstances warrant.
This rulemaking is related to financial
assistance and direct services FEMA
provides to individuals and households
who, as a direct result of a major
disaster, have necessary expenses and
serious needs in cases in which the
individuals and households are unable
to meet such expenses or needs through
other means. 42 U.S.C. 5174. The only
part of the rulemaking which might
affect small entities are the changes to
44 CFR 206.113(b)(9) where FEMA is
5 U.S.C. 603–604.
U.S.C. 553(a)(2), (b) and (c).
401 See 87 FR 11971, Mar. 3, 2022.

allowing self-employed individuals to
receive personal property assistance for
essential tools damaged in the disaster.
That means this rulemaking will not
have a significant impact on small
entities as it will only impact those selfemployed individuals who choose to
apply for personal property assistance,
in their individual capacity, not as a
self-employed business.402 Selfemployed individuals who feel that the
information collection requirements are
too onerous do not have to apply for
assistance as this is a voluntary grant
program. Based on these circumstances,
FEMA is not preparing a regulatory
flexibility analysis because this rule is
unlikely to have a significant impact on
small entities.
D. Unfunded Mandates Reform Act
Pursuant to section 201 of the
Unfunded Mandates Reform Act of 1995
(Pub. L. 104–4, 2 U.S.C. 1531), each
Federal agency ‘‘shall, unless otherwise
prohibited by law, assess the effects of
Federal regulatory actions on State,
local, and Tribal governments, and the
private sector (other than to the extent
that such regulations incorporate
requirements specifically set forth in
law).’’ Section 202 of the Act (2 U.S.C.
1532) further requires that before
promulgating any general NPRM that is
likely to result in the promulgation of
any rule that includes any Federal
mandate that may result in expenditure
by State, local, and Tribal governments,
in the aggregate, or by the private sector,
of $100 million or more (adjusted
annually for inflation) in any one year,
and before promulgating any final rule
for which a general NPRM was
published, the agency shall prepare a
written statement detailing the effect on
State, local, and Tribal governments and
the private sector. This is a final rule for
which a general NPRM was not
published, and thus preparation of such
a statement is not required.
E. National Environmental Policy Act of
1969 (NEPA)
Section 102 of the National
Environmental Policy Act of 1969
(NEPA), 83 Stat. 852 (Jan. 1, 1970) (42
U.S.C. 4321 et seq.) requires Federal
agencies to consider the environmental
impacts of any major Federal action
they propose that may significantly
affect the quality of the human
environment, to consider alternatives to
that action, and mitigate any potential
adverse effects. The Council on
Environmental Quality’s (CEQ)
regulations for implementing NEPA, 40

399 See
400 5

VerDate Sep<11>2014

18:45 Jan 19, 2024

402 Businesses will continue to be ineligible under
44 CFR 206.113(b)(9).

Jkt 262001

PO 00000

Frm 00120

Fmt 4701

Sfmt 4700

CFR parts 1500 through 1508, require
each Federal agency to determine
whether the proposed activity is a
‘‘major Federal action’’ and the
appropriate level of NEPA review, that
is, whether the action requires
preparation of an environmental
assessment (EA) or environmental
impact statement (EIS), or if a
categorical exclusion applies. 40 CFR
1501.3. Major Federal actions include
promulgation of new or revised agency
rules. 40 CFR 1508.1(q)(2).
For efficiency, Federal agencies
identify in their NEPA implementing
procedures categories of actions
(categorical exclusions (CATEXs)) that
normally do not have a significant effect
on the human environment individually
or cumulatively. 40 CFR 1501.4. If a
CATEX applies then the, preparation of
an EA or environmental impact
statement EIS is not required. However,
the Federal agency must determine if
there are extraordinary circumstances
which may result in the action having
a significant impact. If the agency can
lessen the significance of the impact, the
agency may still apply the CATEX.
However, if there is a significant impact,
the CATEX does not apply, and further
environmental review is required. 40
CFR 1501.4. If an action does not qualify
for a CATEX and has the potential to
significantly effect the environment, the
agency must prepare an EA to evaluate
the environmental impact of the action.
The EA will determine whether the
agency may issue a finding of no
significant impact or must prepare an
EIS. A Federal agency is required to
prepare an EIS if the proposed action
will have significant effects on the
quality of the human environment. 40
CFR 1501.3, 1502.3.
DHS has established categorical
exclusions for categories of actions that
experience has shown do not
individually or cumulatively have a
significant effect on the human
environment. The DHS categorical
exclusions are listed in Appendix A of
DHS Instruction Manual 023–01–001–
01, Implementing the National
Environmental Policy Act (Instruction
Manual). The Instruction Manual and
associated DHS Directive 023–01,
Implementing the National
Environmental Policy Act, establish the
policies and procedures DHS and its
component agencies use to comply with
NEPA and CEQ’s NEPA regulations.
Under DHS NEPA implementing
procedures, for an action to be
categorically excluded, it must satisfy
each of the following three conditions:
(1) The entire action clearly fits within
one or more of the categorical
exclusions; (2) the action is not a piece

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
of a larger action; and (3) no
extraordinary circumstances exist that
create the potential for a significant
environmental effect.
The majority of the revisions in this
rulemaking apply to the regulations for
the Individuals and Households
Program, which is a voluntary grant
program that provides financial
assistance and direct services to eligible
individuals and households who have
uninsured or underinsured necessary
expenses and serious needs as a result
of a Presidentially-declared disaster.
FEMA publishes this IFR to amend its
regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
This action is not a piece of a larger
action, but rather amends subpart D, E,
and F of 44 CFR part 206 403 as a
standalone action.
These changes implement existing
statutory requirements and amend
existing regulations. FEMA is not aware
of any significant impact on the
environment or any change in
environmental effect that will result
from these changes. Accordingly, FEMA
403 This IFR revises Subpart D—Federal
Assistance to Individuals and Households, removes
and reserves Subpart E—Individual and Family
Grant Programs, and revises only § 206.191 of
Subpart F—Other Individual Assistance.

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Jkt 262001

finds promulgation of this rule clearly
fits within the scope of Categorical
Exclusion A(3) in Appendix A of the
Instruction Manual, which provides a
categorical exclusion for promulgation
of certain types of rules, including rules
that interpret or amend an existing
regulation without changing its
environmental effect (Categorical
Exclusion A3(d)).
In accordance with DHS NEPA
implementing procedures, FEMA finds
no extraordinary circumstances
associated with this rulemaking that
may give rise to significant
environmental effects requiring further
analysis and documentation. This rule
addresses specific amendments to
subpart D, E, and F of 44 CFR part 206
and is not part of a larger action by
FEMA. This action is therefore
categorically excluded, and no further
NEPA analysis or documentation is
required.
F. Paperwork Reduction Act of 1995
This rule contains information
collection revisions necessary to
support FEMA’s implementation of the
Individual Assistance Program Equity
Interim Final Rule. The Individual
Assistance Registration and Individuals
and Households Program collections are
assigned OMB Control Numbers 1660–
0002 and 1660–0061. The collections
are submitted under OMB’s emergency
clearance procedures to allow
implementation as of the effective date
of this interim final rule. Additionally,
FEMA will seek public comments on
both collections through the normal
clearance process.
G. Privacy Act/E-Government Act of
2002
Under the Privacy Act, 5 U.S.C. 552a,
an agency must determine whether
implementation of a proposed
regulation will result in a system of
records. A ‘‘record’’ is any item,
collection, or grouping of information
about an individual that is maintained
by an agency, including, but not limited
to, his/her education, financial
transactions, medical history, and
criminal or employment history and
that contains his/her name, or the
identifying number, symbol, or other
identifying particular assigned to the
individual, such as a finger or voice
print or a photograph. See 5 U.S.C.
552a(a)(4). A ‘‘system of records’’ is a
group of records under the control of an
agency from which information is
retrieved by the name of the individual
or by some identifying number, symbol,
or other identifying particular assigned
to the individual. An agency cannot
disclose any record which is contained

PO 00000

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Fmt 4701

Sfmt 4700

4109

in a system of records without written
consent from the file subject, or an
applicable Privacy Act exception. 5
U.S.C. 552a(b).
The E-Government Act of 2002, 44
U.S.C. 3501 note, also requires specific
procedures when an agency takes action
to develop or procure information
technology that collects, maintains, or
disseminates information that is in an
identifiable form. This Act also applies
when an agency initiates a new
collection of information that will be
collected, maintained, or disseminated
using information technology if it
includes any information in an
identifiable form permitting the
physical or online contacting of a
specific individual.
To meet the requirements of the
Privacy Act and E-Government Act of
2002, the agency performed a Privacy
Threshold Analysis, which is an initial
determination of whether the regulation
triggers the requirements of either of
those Acts. The system is covered by the
existing Privacy Impact Assessments
(PIAs): DHS/FEMA/PIA–049 Individual
Assistance (IA) Program and DHS/
FEMA/PIA–057 Individuals and
Households Program Equity Analysis.
The system is also covered by an
existing System of Records Notice: DHS/
FEMA–008 Disaster Recovery
Assistance Files.
H. Executive Order 13175, Consultation
and Coordination With Indian Tribal
Governments
Executive Order 13175, ‘‘Consultation
and Coordination With Indian Tribal
Governments,’’ 65 FR 67249, Nov. 9,
2000 applies to agency regulations that
have Tribal implications, that is,
regulations that have substantial direct
effects on one or more Indian Tribes, on
the relationship between the Federal
Government and Indian Tribes, or on
the distribution of power and
responsibilities between the Federal
Government and Indian Tribes. Under
this Executive order, to the extent
practicable and permitted by law, no
agency will promulgate any regulation
that has Tribal implications, that
imposes substantial direct compliance
costs on Indian Tribal governments, and
that is not required by statute, unless
funds necessary to pay the direct costs
incurred by the Indian Tribal
government or the Tribe in complying
with the regulation are provided by the
Federal Government, or the agency
consults with Tribal officials.
The majority of the revisions in this
rulemaking apply to the regulations for
the IHP, which is a voluntary grant
program that provides financial
assistance and direct services to eligible

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

individuals and households who have
uninsured or underinsured necessary
expenses and serious needs as a result
of a Presidentially-declared disaster.
FEMA publishes this IFR amending its
regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
Under the IFR, Indian Tribal members
would have the same opportunity to
participate in the IHP, as other eligible
applicants. As a result, FEMA does not
expect this IFR to have a substantial
direct effect on one or more Indian
Tribal Governments or impose direct
compliance costs on Indian Tribal
Governments. FEMA does not expect
the regulations to have substantial direct
effects on the relationship between the
Federal Government and Indian Tribal
Governments or on the distribution of
power and responsibilities between the
Federal Government and Indian Tribal
Governments.
In its request for information,404
FEMA received four comments from
Indian Tribal Governments or members
of Indian Tribal Governments that were
relevant to this rule.405
404 86

FR 21325, Apr. 22, 2021.
were other general Tribal comments
received on the request for information, but they are
405 There

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Subsistence Practices
All four of the comments addressed
the same general issue: the eligibility of
subsistence cabins and equipment
under IHP.406 The commenters detailed
how the subsistence cabins and fish
drying equipment in an Alaska Native
community were damaged by flooding,
but the Alaska Department of Homeland
Security and Emergency Management
did not provide assistance for these
damages because it determined that
Federal regulations limited eligibility
for IHP ONA to property in or near a
person’s home. One commenter stated
that the State’s ONA State Specific
Items list, which they obtained through
a public records request, includes
certain types of subsistence equipment
that are eligible, but only if the items are
stored at a person’s home at the time of
the disaster.407 This commenter
explained that the subsistence cabins
and equipment should be and are
eligible for assistance, regardless of
location, and stated FEMA must amend
its regulations to clarify this eligibility.
Another commenter requested FEMA
mandate the State of Alaska provide
assistance for the repair and
replacement of the subsistence cabins
and fish drying equipment, even outside
the community that they reside.408
There are a number of different factors
that can impact eligibility under IHP
ONA and a close review of the specific
circumstances for these subsistence
cabins and equipment would be needed
to determine whether they are in fact
eligible. Even if a given item is eligible,
however, the applicable STT
government for the declaration must
identify all the ONA-eligible personal
property and miscellaneous items it
wishes to cover, as well as the
maximum number of items each
individual or household may receive.409
Per current regulations, 44 CFR
206.113(b)(9), FEMA may not provide
IHP assistance for business losses,
including farm businesses and selfemployment. Under current policy, selfemployed individuals are eligible for
FEMA assistance for their personal
losses, but not for necessary expenses
and serious needs related to business
losses.
As part of this IFR and in response to
comments received on the agency’s RFI,
outside the scope of this rule and are not discussed
here.
406 FEMA–2021–0011–0176 (pages 19–20, 27–28,
representing two separate commenters), FEMA–
2021–0011–0246, and FEMA–2021–0011–0283.
407 FEMA–2021–0011–0246.
408 FEMA–2021–0011–0283.
409 See page 149 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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FEMA amends its regulations to allow
FEMA to provide self-employed
applicants with IHP financial assistance
for necessary expenses and serious
needs for occupational tools. Assistance
would be based on a need to replace
certain disaster-damaged items required
for self-employment. This would
include disaster-damaged tools and
equipment, or other items required for
a specific trade or profession, not
provided or supplied by the employer.
Depending on the item requested by the
applicant and its purpose, subsistence
items may be eligible for assistance
under this authority.
I. Executive Order 13132, Federalism
A rule has implications for federalism
under Executive Order 13132
‘‘Federalism’’ (64 FR 43255, Aug. 10,
1999), if it has a substantial direct effect
on the States, on the relationship
between the national government and
the States, or on the distribution of
power and responsibilities among the
various levels of government. FEMA has
analyzed this rule under Executive
Order 13132 and determined that it does
not have implications for federalism.
J. Executive Order 12630, Taking of
Private Property
This rule will not effect a taking of
private property or otherwise have
taking implications under Executive
Order 12630, ‘‘Governmental Actions
and Interference With Constitutionally
Protected Property Rights’’ (53 FR 8859,
Mar. 18, 1988).
K. Executive Order 12898,
Environmental Justice and Executive
Order 14096, Revitalizing Our Nation’s
Commitment to Environmental Justice
for All
Executive Order 12898 ‘‘Federal
Actions To Address Environmental
Justice in Minority Populations and
Low-Income Populations’’ (59 FR 7629,
Feb. 16, 1994), as amended by Executive
Order 12948 (60 FR 6381, Feb. 1, 1995)
mandates that Federal agencies identify
and address, as appropriate,
disproportionately high and adverse
human health or environmental effects
of their programs, policies, and
activities on minority populations and
low-income populations. It requires
each Federal agency to conduct its
programs, policies, and activities that
substantially affect human health or the
environment in a manner that ensures
that those programs, policies, and
activities do not have the effect of
excluding persons from participation in,
denying persons the benefit of, or
subjecting persons to discrimination

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
because of their race, color, or national
origin or income level.
The supplemental definition of
‘‘Environmental Justice’’ in sec. 2.(b)(ii)
of Executive Order 14096 ‘‘Revitalizing
Our Nation’s Commitment to
Environmental Justice for All’’ (88 FR
25251, April 26, 2023) includes the just
treatment and meaningful involvement
of all people such that they have
equitable access to subsistence practices
and the Section 1 policy statement says
that the Federal Government must
recognize, honor and respect the
different cultural practices—including
subsistence practices, ways of living,
Indigenous Knowledge, and traditions—
in communities across America.
The majority of the revisions in this
rulemaking apply to the regulations for
the IHP, which is a voluntary grant
program that provides financial
assistance and direct services to eligible
individuals and households who have
uninsured or underinsured necessary
expenses and serious needs as a result
of a Presidentially-declared disaster
FEMA publishes this IFR amending its
regulations governing the Individual
Assistance program to increase equity
by simplifying processes, removing
barriers to entry, and increasing
eligibility for certain types of assistance
under the program. Specifically, the IFR
increases eligibility for home repair
assistance by amending the definitions
and application of the terms safe,
sanitary, and functional, allowing
assistance for certain accessibilityrelated items, and amending its
approach to evaluating insurance
proceeds; allows for the re-opening of
the applicant registration period when
the President adds new counties to the
major disaster declaration; simplifies
the documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
There are no adverse effects and no
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populations and low-income
populations.
On April 22, 2021, FEMA published
an RFI on FEMA Programs, Regulations,
and Policies.410 FEMA sought public
input on its programs, regulations,
collections of information, and policies
for the agency to ensure that its
programs, regulations, and policies
contain necessary, properly tailored,
and up-to-date requirements that
effectively achieve FEMA’s mission in a
manner that furthers the goals of
advancing equity for all, including those
in underserved communities; bolstering
resilience from the impacts of climate
change, particularly for those
disproportionately impacted by climate
change; and environmental justice.
FEMA held public meetings and
extended the comment period on the
RFI to ensure all interested parties had
sufficient opportunity to provide
comments on FEMA’s programs.411 All
relevant comments received in response
to the request for information, including
those received during the public
meetings, have been posted to the
public rulemaking docket on the Federal
eRulemaking portal at https://
www.regulations.gov/document/FEMA2021-0011-0001/comment.
In response to its RFI, FEMA received
five comments on environmental justice
related to this rule.412 One commenter
stated that people with disabilities or
who live in persistent poverty may often
have homes that do not meet FEMA’s
‘‘safe and habitable’’ standard and that
FEMA’s limitations on housing recovery
efforts beyond a pre-disaster state leaves
these people only with housing options
that are even more susceptible to
negative environmental impact.413
Additionally, the commenter stated that
because the Individual Assistance
program does not cover accessibilityrelated items for pre-existing or disaster
acquired disabilities, many disabled
people must choose between accessible
housing structures or communities that
afford more environmental justice
opportunities. The commenter stated
that this increases inequity and
environmental injustice for disabled
persons and that accounting for these
environmental needs and covering these
410 86

FR 21325, Apr. 22, 2021.
‘‘Request for Information on FEMA
Programs, Regulations, and Policies; Public
Meetings; Extension of Comment Period,’’ 86 FR
30326, June 7, 2021.
412 There were more comments that raised
environmental justice issues generally, but they are
outside the scope of this rule and are not discussed
here.
413 FEMA–2021–0011–0164.
411 See

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4111

expenses would promote environmental
justice.
FEMA recognizes that current
regulations limit assistance to
applicants with residences that incurred
disaster-caused damage; therefore, the
regulations, as written, do not allow
FEMA to address applicants’ immediate
safety and sanitation concerns and
prevent FEMA from addressing or
assessing the general livability issues
with the applicant’s residence when
determining Housing Assistance
eligibility. As part of this rule, FEMA
broadens the definition of uninhabitable
to encompass any damage to the
applicant’s disaster damaged primary
residence that causes the home to be
unsuitable for occupancy or any disaster
damage, that if left unrepaired, would
impact habitability in the future. FEMA
redefines ‘‘uninhabitable’’ to mean the
dwelling is not safe or sanitary. ‘‘Safe’’
will refer to being secure from hazards
or threats to occupants, and ‘‘sanitary’’
will refer to being free of health hazards.
FEMA also removes the requirement for
disaster-damaged real property
components to be functional
immediately before the disaster in order
to provide assistance for pre-existing
damage exacerbated by the disaster.
Applicants with minimal damage,
including those without the means to
pay for minimal damage or who are
unable to complete the work
themselves, would generally be eligible
for Home Repair Assistance under the
regulations.
In response to public requests for IHP
policy that meets applicants’ disastercaused structural home modification
needs, FEMA recently amended its
Home Repair Assistance policy to
include Assistance for Disaster-Caused
Americans with Disabilities Act (ADA)
Real Property Needs. The September 2,
2021, Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum currently
states that FEMA may provide financial
assistance to applicants who incur a
disaster-caused disability and
consequently require the installation or
construction of accessibility-related real
property components at their damaged
dwelling to meet their needs. Home
Repair Assistance for specific
accessibility-related items is not limited
by a financial maximum award. The
following accessibility-related items are
eligible under Home Repair Assistance
when the applicant or a member of the
household has a disaster-caused
disability:
• Exterior ramp.
• Grab bars.

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• Paved path of travel to the primary
residential entrance (for accessible
ingress or egress from the applicant’s
vehicle to their dwelling).
In response to public comments,
FEMA has also changes to the regulatory
text at 44 CFR 206.117(b)(2) and a new
44 CFR 206.113(a)(9) as a part of this
IFR. The changes will allow FEMA
flexibility to provide financial
assistance to applicants for the
installation or construction of real
property items that were not present in
the home prior to the disaster.
Specifically, these changes would allow
IHP to expand its existing policy, which
provides for the installation of ADA
related real property to applicants with
disaster-caused needs, to include Home
Repair Assistance for disaster survivors
with pre-existing, pre-disaster needs for
accessibility-related items, such as an
exterior ramp, grab bars, etc., that make
their home safe and functional when
any level of disaster-caused real
property damage occurs to the primary
residence.
One commenter recommended
programmatic changes they stated
would promote environmental
justice.414 First, the commenter
suggested FEMA automatically deem
applicants eligible for disaster
assistance if they are already eligible for
or enrolled in other Government aid
programs, such as Medicaid,
Supplemental Security Income, or
Temporary Assistance for Needy
Families.
Different Federal aid programs have
different statutory requirements for
eligibility and an applicant who
qualifies for one may not necessarily
qualify for another. The eligibility
standards for FEMA’s IA Program are
not the same as those for the other
Federal programs the commenter listed,
and FEMA is not able to change
statutory requirements via regulation.
The commenter further suggested a
way to streamline policies to promote
environmental justice is to connect
agency databases. This way, Federal
Government agencies already working
with individuals from environmental
justice communities, can share
information about those in need at the
time the individual makes an
application for disaster relief.415 The
commenter stated this may shorten
application processing times.
FEMA recognizes that data sharing
might make it easier to access
information about disaster survivors.
However, collecting, maintaining, and
sharing data on a large scale presents

challenges with respect to data security.
The Stafford Act and other authorities
allow FEMA to collect personal
information to determine eligibility and
administer FEMA disaster assistance as
a result of an Emergency or a
Presidentially-declared disaster. FEMA
cannot use other agencies’ data for
purposes not specifically authorized by
statute.
The same commenter stated that to
further promote equity, resilience to
climate change, and environmental
justice, FEMA should reduce its focus
and the resources it commits to
preventing fraud and duplication of
benefits.416
Section 312(a) of the Stafford Act, 42
U.S.C. 5155(a), requires all Federal
agencies to prevent recipients of disaster
assistance from receiving such
assistance for losses as to which the
recipient has received financial
assistance under any other program or
from insurance or any other source. In
short, 42 U.S.C. 5155(a) prohibits the
use of Federal disaster assistance to pay
a person or entity twice for the same
disaster loss. In addition, per Section
408(i) of the Stafford Act, 42 U.S.C.
5174, FEMA must develop a system,
including an electronic database, that
minimizes the risk of making
duplicative payments or payments for
fraudulent claims under this section.
FEMA must ensure good stewardship of
taxpayers’ funds and avoid both fraud
and duplication of benefits as mandated
by law. Section 696 of PKEMRA, 6
U.S.C. 795, also requires FEMA to
develop and maintain proper internal
management controls to prevent and
detect fraud, waste, and abuse.
While FEMA continues to ensure we
remain good stewards of taxpayers’
funds, based on the comments received
via the RFI, FEMA updated its policy to
provide more documentation
flexibilities in order to verify
occupancy. Specifically, as outlined in
the Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum, dated
September 2, 2021, FEMA will now
accept social service organization
documents, local school documents,
Federal or State benefit documents,
motor vehicle registration, affidavits of
residency or court documentation, and
mobile home park documents (i.e., a
letter or other written statement from
the park owner or manager which states
that the applicant or co-applicant
occupied the disaster-damaged dwelling
at the time of the disaster) in addition
to the documentation options listed in

IAPPG 1.1 to verify occupancy.
Furthermore, as an option of last resort,
FEMA may accept a written selfdeclarative statement from applicants
whose pre-disaster residence was a
mobile home or travel trailer or from
applicants living in insular areas,
islands, and Tribal lands.
Like occupancy, when FEMA is
unable to verify an applicant’s
ownership of their primary residence,
the applicant may provide FEMA with
documentation to prove ownership.
Based on comments submitted via the
RFI, FEMA also updated its policy to
provide more documentation
flexibilities in order to verify
ownership. Specifically, as outlined in
the Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum, date
September 2, 2021, FEMA will now
accept a mobile home park letter from
the park owner or manager which states
that the applicant or co-applicant
owned the disaster-damaged dwelling at
the time of the disaster, court
documents, and a public official’s letter
in addition to the documentation
options listed in IAPPG 1.1 to verify
ownership. Furthermore, as an option of
last resort, FEMA may accept a written
self-declarative statement from
applicants whose pre-disaster residence
was a mobile home or travel trailer,
from applicants living in insular areas,
islands, and Tribal lands, and from
applicants whose pre-disaster residence
was passed down via heirship.
The commenter also stated that
FEMA’s determination letters sent to IA
applicants are not effective at achieving
the objective of assisting those most at
need within environmental justice
communities because they fail to
provide useful or understandable
information about the types of
assistance provided or denied and the
reasons for denial.417 The commenter
recommended a number of changes to
the letters to address these issues,
including using plain, simple, natural
language and providing more
information about why the applicant
has been approved or denied and how
to address denials.
FEMA continually updates and
assesses the clarity and effectiveness of
our IHP eligibility letters. FEMA’s
letters do not rely solely on codes and
provide plain language descriptions of
reasons for ineligibility and how to
appeal. FEMA’s regulations, at 44 CFR
206.115(b), require that appeals must be
in writing and explain the reason(s) for
the appeal. In this rule, FEMA is

414 FEMA–2021–0011–0245.
415 FEMA–2021–0011–0245.

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416 FEMA–2021–0011–0245.

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417 FEMA–2021–0011–0245.

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removing the requirement that
applicants submit a signed appeal letter
explaining the reason for the appeal
when they have provided sufficient
substantiation through other documents.
This will streamline the appeal process
and reduce the complexity for
applicants, which will speed up
assistance to applicants and remove
bureaucratic hurdles in the applicant’s
recovery process. To further assist
applicants with navigating the appeals
process, FEMA has created an optional
appeal form that applicants could use
when submitting appeals.
The commenter stated that internet
access is an environmental justice
concern and that members of
underserved communities, including
people of color, and the elderly tend to
lack reliable access to the internet and
FEMA’s online portal.418 The
commenter further stated that, at least in
some cases, requiring disaster survivors
submit forms via the internet creates an
unnecessary barrier to receiving aid.
While FEMA does encourage
applicants to apply online when
possible, we appreciate that not all
applicants will have reliable internet
access, especially right after a disaster.
There are other options besides the
internet for applying for IHP assistance,
and if an applicant prefers not using the
internet or does not have reliable access
to the internet, they may apply over the
telephone or in-person, instead.419
Applicants may also submit
documentation to FEMA through a
variety of methods to include postal
mail, fax, and by visiting DRCs that may
be available in the impacted area
following the disaster.
This commenter also stated that
immigrant households and those with
undocumented individuals face a
number of environmental justice issues,
that the FEMA application asks for
information on all members of a
household, not just the eligible
members, and that the FEMA
application and other forms indicate
that information provided regarding an
application for assistance may be shared
with other DHS components, including
U.S. Immigration and Customs
Enforcement.420 The commenter
recommended FEMA repeal this policy

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418 FEMA–2021–0011–0245.
419 For more information on ways to apply, see
FEMA’s IHP web page, https://www.fema.gov/
assistance/individual/program#apply.
Additionally, FEMA does extensive outreach at
disaster sites which would include members of
underserved communities, including people of
color and the elderly. FEMA’s robust messaging of
how to apply for FEMA assistance includes
applying by telephone, using internet access, or by
going to a DRC.
420 FEMA–2021–0011–0245.

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of forwarding citizenship status to other
agencies, and update its forms to reflect
such a change, because it has a chilling
effect on applications from these
households, even when some members
of the household are eligible for
assistance.
While the Privacy Act requires FEMA
to make applicants aware of this
information, we have updated this data
sharing language in the past several
years to remove references to U.S.
Immigration and Customs Enforcement
and clarify the reasons FEMA would
share information. The current version
informs applicants that, consistent with
the Privacy Act, as amended, 5 U.S.C.
552a, FEMA may share individuals’
information with Federal, State, Tribal,
and local agencies and voluntary
organizations to enable individuals to
receive additional disaster assistance or
to allow FEMA to administer
assistance.421
One commenter stated that the focus
of many FEMA programs on replacing
what was lost in a disaster propagates
environmental injustices and inequity
for marginalized communities.422 The
commenter further stated that numerous
studies have shown that some
neighborhoods today are still influenced
by redlining that occurred decades ago.
The commenter recommended FEMA
adopt a build-forward approach that
leverages the recovery process to
implement community-based plans to
address inequities.
FEMA may provide financial
assistance to repair an owner-occupied
primary residence, utilities, and
residential infrastructure, including
private access routes damaged as a
result of a Presidentially-declared
disaster. Home Repair Assistance is
intended to make the damaged home
safe, sanitary, or functional.423 It is not
intended to return the home to its predisaster condition. Rather, currently,
Home Repair Assistance award amounts
are based on repair or replacement of
components that are of average quality,
size, or capacity and provided to eligible
applicants who meet all requirements.
In this rule, FEMA removes the
requirement for real property
components to be functional
immediately before the disaster to
provide assistance for pre-existing
damage. Under this IFR, when a
421 See ICR Reference No. 202201–1660–005, FF–
104–FY–21–122 (formerly 009–0–1) View
Information Collection Request (ICR) Package
(reginfo.gov).
422 FEMA–2021–0011–0261. See ICR Reference
No. 202201–1660–005, FF–104–FY–21–122
(formerly 009–0–1) View Information Collection
Request (ICR) Package (reginfo.gov).
423 See 42 U.S.C. 5174(c)(2)(A)(i).

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component of the home with preexisting damage is further damaged by
the disaster, FEMA will provide
assistance to fully repair or replace the
item (as appropriate) rather than
denying assistance solely because not
all damage was caused by the disaster.
One commenter stated FEMA should
prioritize comprehensive data collection
and analysis to achieve the agency’s
equity and environmental justice goals,
and noted this may require collecting
more specific data than FEMA has
collected before.424 The commenter said
FEMA must conduct rigorous and
regular analyses of the distribution of its
aid with regards to applicants’ race and
ethnicity, income level and wealth,
educational attainment, gender,
disability status, age, and other factors
that may help indicate an applicant’s
relationships to underserved
communities.
In August of 2022, FEMA began
gathering demographic information
from disaster survivors that choose to
provide it. This data will be used to
assess the impact of IA Programs and
policies on underserved populations
using FEMA’s existing analysis
processes. Although some data and
information will be provided for
background or situational awareness,
the objective will be to affect positive
changes by conducting analysis of the
collected data to better understand
program outcomes accordingly based on
factors such as race, ethnicity, and
income and updating policies and
programs within our regulatory and
statutory parameters to achieve greater
equity.
This commenter also stated that
FEMA could extend the process of selfcertifying homeownership to members
of underserved, historically
marginalized, and environmental justice
communities nationwide.425 The
commenter stated this change could
help decrease the barriers for ‘‘lowwealth’’ and ‘‘people of color
households’’ to receiving Federal aid
and assistance.
Per IAPPG 1.1, FEMA verifies
occupancy through an automated public
records search or submitted documents.
In locations where automated
verification of public records is limited,
FEMA may partner with applicable
authorities from the State, local, Tribal,
or Territorial government to verify
ownership or occupancy. When FEMA
is unable to verify an applicant’s
occupancy of their disaster-damaged
primary residence, the applicant may
provide FEMA with documentation for
424 FEMA–2021–0011–0265.
425 FEMA–2021–0011–0265.

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verification. Based on comments
submitted via the RFI, FEMA updated
its policy to provide more
documentation flexibilities in order to
verify occupancy. Specifically, as
outlined in the Amendment to FEMA
Policy (FP) 104–009–03, Individual
Assistance Program and Policy Guide
(IAPPG), Version 1.1 memorandum,
dated September 2, 2021, FEMA will
now accept social service organization
documents, local school documents,
Federal or State benefit documents,
motor vehicle registration, affidavits of
residency or court documentation, and
mobile home park documents (i.e., a
letter or other written statement from
the park owner or manager which states
that the applicant or co-applicant
occupied the disaster-damaged dwelling
at the time of the disaster) in addition
to the documentation options listed in
the IAPPG 1.1 to verify occupancy.
Furthermore, as an option of last resort,
FEMA may accept a written selfdeclarative statement from applicants
whose pre-disaster residence was a
mobile home or travel trailer or from
applicants living in insular areas,
islands, and Tribal lands.
Like occupancy, when FEMA is
unable to verify an applicant’s
ownership of their primary residence,
the applicant may provide FEMA with
documentation to prove ownership.
Based on comments submitted via the
RFI, FEMA also updated its policy to
provide more documentation
flexibilities in order to verify
ownership. Specifically, as outlined in
the Amendment to FEMA Policy (FP)
104–009–03, Individual Assistance
Program and Policy Guide (IAPPG),
Version 1.1 memorandum, dated
September 2, 2021, FEMA will now
accept receipts for major repairs or
improvements, mobile home park letters
from the park owner or manager which
states that the applicant or co-applicant
owned the disaster-damaged dwelling at
the time of the disaster, court
documents, and a public official’s letter
in addition to the documentation
options listed in IAPPG 1.1 to verify
ownership. Furthermore, as an option of
last resort, FEMA may accept a written
self-declarative statement from
applicants whose pre-disaster residence
was a mobile home or travel trailer,
from applicants living in insular areas,
islands, and Tribal lands, and from
applicants whose pre-disaster residence
was passed down via heirship.
One commenter stated that FEMA’s
policies forcing disaster survivors to
rebuild their homes in hazardous and
racially segregated and environmentally
blighted areas fails to promote

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environmental justice.426 The
commenter stated that FEMA fails to
affirmatively further fair housing or to
make housing options available outside
of racially segregated areas to persons
receiving IA and that there are many
cases in which FEMA has effectively
locked people into rebuilding in
hazardous areas. The commenter noted
that IA funding is specifically tied to
rehabilitation of the residence affected
by the disaster and argued that instead
of spending this funding on repairs to a
home in an area that is substandard for
safe and sanitary housing, it could be
utilized to move the affected household
out of the hazardous area.
Per Section 408 of the Stafford Act, 42
U.S.C. 5174, FEMA may provide
financial assistance to repair or replace
an owner-occupied primary residence
damaged as a result of a Presidentiallydeclared disaster. An applicant who
receives Home Repair or Home
Replacement Assistance may use the
funds to either repair their disaster
damaged dwelling or for the purchase of
a home in a different location.427
Similarly, applicants who receive Rental
Assistance may choose to use that
assistance in any location in the United
States.428 FEMA may also provide
reimbursement of moving and storage
expenses to eligible applicants who
must relocate from their damaged home.
FEMA recognizes that helping
disaster survivors address hazard
426 FEMA–2021–0011–0277.
427 FEMA communicates the options via various
means—whether through fact sheets, IAPPG 1.1, in
person, or applicant received communication.
428 Since August 2006, FEMA established its
Rental Assistance Rate Increase Policy, which
outlined the criteria and guidance for increasing the
rate of Rental Assistance within a declared State
following a presidential emergency or major
disaster declaration. This policy is currently
included at page 85 of the IAPPG 1.1. FEMA
evaluates the need for a Rental Assistance rate
increase by comparing U.S. Census Bureau
American Community Survey statistics on housing
inventory and vacancy rates to the best available
data on disaster-caused housing impacts in declared
disaster areas. The STT government may request a
Rental Assistance rate increase by submitting other
reliable sources of these data elements for FEMA to
use. The FMR Calculator allows FEMA to rapidly
evaluate the need for a Rental Assistance rate
increase based on pre-disaster housing stock data,
the amount of housing impacted by the disaster,
and the post-disaster vacancy rate for each
impacted county. FEMA may authorize Rental
Assistance rate increases when the FMR Calculator
demonstrates available housing for the area is
insufficient to meet the disaster-caused housing
need, or when elevated housing market rates
adversely impact eligible applicants’ ability to
obtain rental resources. The RA or the FCO, if the
RA has delegated authority to the FCO, may
approve Rental Assistance rate increases for
designated counties (or equivalent) when the FMR
Calculator result indicates an increase above 100
percent. The increase may not exceed the amount
indicated by the FMR Calculator, or 125 percent of
the HUD FMR, whichever is lower.

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mitigation measures while repairing
their homes from disaster damage will
help make their homes more resilient.
FEMA began including additional
assistance for mitigation in Home Repair
Assistance awards for disasters declared
on or after May 26, 2021. Section
408(c)(2)(A)(ii) of the Stafford Act, 42
U.S.C. 5174(c)(2)(A)(ii), authorizes
FEMA to provide IHP assistance for
eligible hazard mitigation measures that
reduce the likelihood of future damage
to such residences, utilities, or
infrastructure, under the Home Repair
Assistance provision. Hazard mitigation
under IHP is awarded as part of Home
Repair Assistance for specific real
property components that existed and
were functional prior to the disaster—
roof, water heater, furnace, and main
electrical panel. Hazard mitigation
measures, such as elevating the water
heater and furnace, are intended to
minimize future damage to owneroccupied residences and are subject to
the IHP maximum amount of Home
Repair Assistance. FEMA plans to
expand hazard mitigation under IHP in
the future to include additional
mitigation measures.
The same commenter stated that a
number of other issues impact
environmental justice. First, the
commenter stated FEMA’s assistance
policy for the homeless population is
discriminatory, noting that homeless
people living in shelters or unsheltered
on the street do not qualify for any
housing assistance.429 The commenter
recommended FEMA coordinate with
local organizations to provide shelter
options post-disaster to the homeless
population while encouraging
permanent housing options.
FEMA’s IHP assistance is intended to
assist with disaster-caused losses.
Therefore, issues related to pre-disaster
homelessness are outside the scope of
the program. As the commenter noted,
applicants who resided in nontraditional housing (including tents) and
are able to verify occupancy are eligible
for certain types of housing assistance,
in addition to ONA.430 However,
temporary congregate sheltering options
are available to homeless applicants
following a disaster regardless of their
eligibility for IHP assistance.
Second, the commenter noted that the
‘‘Needs Assessment’’ is the first of many
applications for recovery that applicants
submit and that it provides crucial
information that gives governments a
realistic assessment of the amount of
429 FEMA–2021–0011–0277.
430 See page 62 of IAPPG 1.1. https://
www.fema.gov/sites/default/files/documents/fema_
iappg-1.1.pdf.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
unmet need, but stated that it may be
confusing for applicants that they also
need to submit separate applications for
FEMA and for HUD assistance.431 The
commenter recommended the ‘‘Needs
Assessment’’ be used as a first point of
entrance into the disaster recovery
mechanism instead of waiting for
applicants to apply for FEMA or CDBG–
DR funds. The commenter further
recommended that government agencies
share this data so that disaster survivors
do not get lost in the disaster recovery
apparatus.
It is unclear to FEMA whether the
‘‘Needs Assessment’’ referenced by the
commenter is a form submitted to a
private organization or another Federal
agency. If the commenter’s reference is
to a form submitted to a Federal agency,
different Federal aid programs have
different statutory requirements for
eligibility and an applicant who
qualifies for one may not necessarily
qualify for another. The eligibility
standards for FEMA’s IA Program are
not the same as those for HUD’s CDBG–
DR program, and FEMA is not able to
change statutory requirements via
regulation. If the ‘‘Needs Assessment’’
form is submitted to a private
organization, it generally would not be
a part of FEMA’s operations.
With respect to data sharing, FEMA
recognizes that data sharing might make
it easier to access information about
disaster survivors. However, collecting,
maintaining, and sharing data on a large
scale presents challenges with respect to
data security. The Stafford Act and
other authorities allow FEMA to collect
personal information to determine
eligibility and administer FEMA
disaster assistance as a result of an
Emergency or a Presidentially declared
disaster. FEMA cannot use other
agencies’ data for unintended purposes.
Finally, the commenter noted that
some types of disaster assistance are
administered by FEMA and others by
HUD and that FEMA has an obligation
to not duplicate assistance with any
other Federal program, but stated that
this is an issue of income discrimination
for low-income survivors and also a
barrier to finding stable housing in a
housing market devastated by a
disaster.432 The commenter stated that
the lack of coordination between the
various entities charged with
administering recovery funds makes the
overall recovery process more
complicated, and recommended that
FEMA take over temporary housing
assistance entirely so disaster survivors
may find housing not tied to HUD
431 FEMA–2021–0011–0277.
432 FEMA–2021–0011–0277.

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assistance while the area is still
recovering. The commenter also
recommended that FEMA allow its
temporary housing funds to be used also
as permanent repair dollars in a way
that CDBG–DR funding can build on.
The commenter is correct that FEMA
must not duplicate assistance provided
by other Federal programs. With respect
to taking over other assistance programs
outside of the Stafford Act, doing so
would require a change to the statutory
provisions underlying those programs
and FEMA cannot change statutory
provisions via rulemaking. However,
FEMA is committed to ongoing
engagement and communication with
our Federal partners to better address
the needs of traditionally underserved
communities and will continue looking
for better ways to coordinate our
program delivery. Additionally, FEMA
already provides permanent repair
dollars in addition to temporary housing
funds to eligible homeowners.
As part of this IFR and in response to
comments received on the agency’s RFI,
FEMA amends its regulations to allow
FEMA to provide self-employed
applicants with IHP financial assistance
for necessary expenses and serious
needs for occupational tools. Assistance
will be based on a need to replace
certain disaster-damaged items required
for self-employment. This will include
disaster-damaged tools and equipment,
or other items required for a specific
trade or profession, not provided or
supplied by the employer. Depending
on the item requested by the applicant
and its purpose, subsistence items may
be eligible for assistance under this
authority. (See the Subsistence Practices
discussion in the Executive Order
13175, Consultation and Coordination
With Indian Tribal Governments
regulatory statement.)
Other comments received on FEMA’s
RFI relating to public access to
information, which may overlap with
the Environmental Justice effects of this
rule, are discussed above in the Equity
RFI—IA Program Equity Responses to
Comments section.
L. Executive Order 12988, Civil Justice
Reform
This rule meets applicable standards
in Sections 3(a) and 3(b)(2) of Executive
Order 12988, ‘‘Civil Justice Reform’’ (61
FR 4729, Feb. 7, 1996), to minimize
litigation, eliminate ambiguity, and
reduce burden.
M. Executive Order 13045, Protection of
Children From Environmental Health
Risks and Safety Risks
This rule will not create
environmental health risks or safety

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4115

risks for children under Executive Order
13045, ‘‘Protection of Children From
Environmental Health Risks and Safety
Risks’’ (62 FR 19885, Apr. 23, 1997).
N. Executive Order 11988, Floodplain
Management
Pursuant to Executive Order 11988,
each Federal agency is required to
provide leadership and take action to
reduce the risk of flood loss, to
minimize the impact of floods on
human safety, health and welfare, and
to restore and preserve the natural and
beneficial values served by floodplains
in carrying out its responsibilities for (1)
acquiring, managing, and disposing of
Federal lands and facilities; (2)
providing federally undertaken,
financed, or assisted construction and
improvements; and (3) conducting
Federal activities and programs affecting
land use, including but not limited to
water and related land resources
planning, regulating, and licensing
activities. In carrying out these
responsibilities, each agency must
evaluate the potential effects of any
actions it may take in a floodplain; to
ensure that its planning programs and
budget requests reflect consideration of
flood hazards and floodplain
management; and to prescribe
procedures to implement the policies
and requirements of the Executive
order, to the extent permitted by law.
Before promulgating any regulation,
an agency must determine whether the
regulation will affect a floodplain(s),
and if so, the agency must consider
alternatives to avoid adverse effects and
incompatible development in the
floodplain(s). Where possible, an agency
shall use natural systems, ecosystem
processes, and nature-based approaches
when developing alternatives for
consideration. If the head of the agency
finds that the only practicable
alternative consistent with the law and
with the policy set forth in Executive
Order 11988 is to promulgate a
regulation that affects a floodplain(s),
the agency must, prior to promulgating
the regulation, design or modify the
regulation in order to minimize
potential harm to or within the
floodplain, consistent with the agency’s
floodplain management regulations and
prepare and circulate a notice
containing an explanation of why the
action is located in the floodplain.
The requirements of Executive Order
11988 apply in the context of the
provision of Federal financial assistance
relating to, among other things,
construction and property improvement
activities. However, this rule will not
have an effect on floodplains. The
purpose of the rule is to update FEMA’s

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IHP regulations to reflect statutory
changes that have already been
implemented. The majority of the
revisions in this rulemaking apply to the
regulations for the IHP, which is a
voluntary grant program that provides
financial assistance and direct services
to eligible individuals and households
who have uninsured or underinsured
necessary expenses and serious needs as
a result of a Presidentially-declared
disaster. FEMA publishes this IFR
amending its regulations governing the
Individual Assistance program to
increase equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
Specifically, the IFR increases eligibility
for home repair assistance by amending
the definitions and application of the
terms safe, sanitary, and functional,
allowing assistance for certain
accessibility-related items, and
amending its approach to evaluating
insurance proceeds; allows for the reopening of the applicant registration
period when the President adds new
counties to the major disaster
declaration; simplifies the
documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
O. Executive Order 11990, Protection of
Wetlands
Pursuant to Executive Order 11990,
each Federal agency must provide
leadership and take action to minimize
the destruction, loss or degradation of
wetlands, and to preserve and enhance
the natural and beneficial values of
wetlands in carrying out the agency’s
responsibilities for (1) acquiring,
managing, and disposing of Federal
lands and facilities; and (2) providing
federally undertaken, financed, or
assisted construction and
improvements; and (3) conducting
Federal activities and programs affecting
land use, including but not limited to

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water and related land resources
planning, regulating, and licensing
activities. Each agency, to the extent
permitted by law, must avoid
undertaking or providing assistance for
new construction located in wetlands
unless the head of the agency finds (1)
that there is no practicable alternative to
such construction, and (2) that the
proposed action includes all practicable
measures to minimize harm to wetlands
which may result from such use. In
making this finding the head of the
agency may take into account economic,
environmental and other pertinent
factors.
In carrying out the activities described
in the Executive order, each agency
must consider factors relevant to a
proposal’s effect on the survival and
quality of the wetlands. Among these
factors are: public health, safety, and
welfare, including water supply,
quality, recharge and discharge;
pollution; flood and storm hazards; and
sediment and erosion; maintenance of
natural systems, including conservation
and long-term productivity of existing
flora and fauna, species and habitat
diversity and stability, hydrologic
utility, fish, wildlife, timber, and food
and fiber resources; and other uses of
wetlands in the public interest,
including recreational, scientific, and
cultural uses.
The requirements of Executive Order
11990 apply in the context of the
provision of Federal financial assistance
relating to, among other things,
construction and property improvement
activities. However, this rule will not
have an effect on land use or wetlands.
The purpose of the rule is to update
FEMA’s IHP regulations to reflect
statutory changes that have already been
implemented. The majority of the
revisions in this rulemaking apply to the
regulations for the IHP, which is a
voluntary grant program that provides
financial assistance and direct services
to eligible individuals and households
who have uninsured or underinsured
necessary expenses and serious needs as
a result of a Presidentially declared
disaster. FEMA publishes this IFR
amending its regulations governing the
Individual Assistance program to
increase equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
Specifically, the IFR increases eligibility
for home repair assistance by amending
the definitions and application of the
terms safe, sanitary, and functional,
allowing assistance for certain
accessibility-related items, and
amending its approach to evaluating
insurance proceeds; allows for the re-

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opening of the applicant registration
period when the President adds new
counties to the major disaster
declaration; simplifies the
documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
P. National Historic Preservation Act
The National Historic Preservation
Act (NHPA) (54 U.S.C. 300101, formerly
16 U.S.C. 470) was enacted in 1966,
with various amendments throughout
the years. Section 106 of the NHPA (54
U.S.C. 306108) requires Federal
agencies to take into account the effect
of a proposed Federal or Federally
assisted undertaking on any historic
property. Among other requirements,
where there is the potential for the
undertaking (or project) to affect historic
properties, the NHPA mandates a
consultation process in the early stages
of project planning which must be
completed prior to the approval of
expenditure of the Federal funds.
Subpart B of 36 CFR part 800 lays out
a four-step Section 106 process to fulfill
this obligation: (1) Initiate the process
(800.3); (2) identify historic properties
(800.4); (3) assess adverse effects
(800.5); (4) resolve adverse effects
(800.6). If, however, the agency
determines that the undertaking is a
type of activity that does not have the
potential to cause effects on historic
properties, assuming such historic
properties were present, the agency has
no further obligations under the NHPA.
36 CFR 800.3(a)(1). Based on over 20
years of practice, since section
206.110(m) was published, FEMA has
determined that the proposed
undertaking, excluding the stated
exceptions, does not have the potential
to cause effects on historic properties.
Therefore, FEMA changes the language
in section 206.110(m) to align it with
the applicable statutory and regulatory
language (i.e., 36 CFR 800.3(a)(1)).

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
The purpose of the rule is to amend
its IA regulations to increase equity and
ease of entry to the IA Program and to
update FEMA’s IHP regulations to
reflect statutory changes that have
already been implemented. The majority
of the revisions in this rulemaking apply
to the regulations for the IHP, which is
a voluntary grant program that provides
financial assistance and direct services
to eligible individuals and households
who have uninsured or underinsured
necessary expenses and serious needs as
a result of a Presidentially-declared
disaster. FEMA publishes this IFR
amending its regulations governing the
Individual Assistance program to
increase equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
Specifically, the IFR increases eligibility
for home repair assistance by amending
the definitions and application of the
terms safe, sanitary, and functional,
allowing assistance for certain
accessibility-related items, and
amending its approach to evaluating
insurance proceeds; allows for the reopening of the applicant registration
period when the President adds new
counties to the major disaster
declaration; simplifies the
documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to
include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
Pursuant to Section 106 of the NHPA
and its implementing regulations at 36
CFR part 800, FEMA has determined
that this rule does not have the potential
to cause effects to historic properties
and in accordance with 36 CFR
800.3(a)(1), FEMA has no further
obligations under Section 106.
Q. Endangered Species Act
The Endangered Species Act (ESA)
mandates that Federal agencies
determine whether their proposed
actions may affect listed species and/or
their designated critical habitat (critical

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habitat has been designated for some,
but not all listed species). Without
authorization or exemption from
Federal resource agencies, it is unlawful
for any person, whether government
employee or private citizen, to take
listed species.
To comply with Section 7(a)(2) of the
ESA, 16 U.S.C. 1536, for every action
that FEMA proposes to carry out, fund,
or authorize, FEMA must first determine
if listed species and habitat are present
in the action area. If species are present
in the action area, then FEMA must
make one of the following
determinations with respect to the effect
of the proposed action on listed species
and critical habitat: (1) No Effect (NE);
(2) may affect, but is not likely to
adversely affect (NLAA); or (3) may
affect and is likely to adversely affect
(LAA).
The purpose of the rule is to update
FEMA’s IHP regulations to reflect
statutory changes that have already been
implemented. The majority of the
revisions in this rulemaking apply to the
regulations for the IHP, which is a
voluntary grant program that provides
financial assistance and direct services
to eligible individuals and households
who have uninsured or underinsured
necessary expenses and serious needs as
a result of a Presidentially declared
disaster. FEMA publishes this IFR
amending its regulations governing the
Individual Assistance program to
increase equity by simplifying
processes, removing barriers to entry,
and increasing eligibility for certain
types of assistance under the program.
Specifically, the IFR increases eligibility
for home repair assistance by amending
the definitions and application of the
terms safe, sanitary, and functional,
allowing assistance for certain
accessibility-related items, and
amending its approach to evaluating
insurance proceeds; allows for the reopening of the applicant registration
period when the President adds new
counties to the major disaster
declaration; simplifies the
documentation requirements for
continued temporary housing
assistance; simplifies the appeals
process; simplifies the process to
request approval for a late registration;
removes the requirement to apply for a
Small Business Administration loan as
a condition of eligibility for ONA; and
establishes additional eligible assistance
under ONA for serious needs,
displacement, disaster-damaged
computing devices and essential tools
for self-employed individuals. FEMA
also makes revisions to reflect changes
to statutory authority that have not yet
been implemented in regulation, to

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4117

include provisions for utility and
security deposit payments, lease and
repair of multifamily rental housing,
child care assistance, maximum
assistance limits, and waiver authority.
This rule has been evaluated by
FEMA and due to the administrative
nature, FEMA has determined the rule
does not have the potential to affect
Federally listed species or designated
critical habitat. As such, a ‘‘No Effect’’
determination has been made for these
activities. Per the ESA regulations,
notification to, and consultation with,
the U.S. Fish and Wildlife Service and/
or the National Marine Fisheries Service
are not required for activities with a ‘‘No
Effect’’ determination.
R. Congressional Review of Agency
Rulemaking
Under the Congressional Review of
Agency Rulemaking Act (CRA), 5 U.S.C.
801–808, before a rule can take effect,
the Federal agency promulgating the
rule must submit to Congress and to the
GAO a copy of the rule; a concise
general statement relating to the rule,
including whether it is a major rule; the
proposed effective date of the rule; a
copy of any cost-benefit analysis;
descriptions of the agency’s actions
under the RFA and the Unfunded
Mandates Reform Act; and any other
information or statements required by
relevant Executive orders.
FEMA has submitted this interim
final rule to the Congress and to GAO
pursuant to the CRA. OMB has
determined that this rule is a ‘‘major
rule’’ within the meaning of the CRA.
List of Subjects in 44 CFR Part 206
Administrative practice and
procedure, Coastal zone, Community
facilities, Disaster assistance, Fire
prevention, Grant programs—housing
and community development, Housing,
Insurance, Intergovernmental relations,
Loan programs—housing and
community development, Natural
resources, Penalties, Reporting and
recordkeeping requirements.
For the reasons stated in the
preamble, the Federal Emergency
Management Agency amends 44 CFR
part 206 as follows:
PART 206—FEDERAL DISASTER
ASSISTANCE
1. The authority citation for part 206
continues to read as follows:

■

Authority: Robert T. Stafford Disaster
Relief and Emergency Assistance Act, 42
U.S.C. 5121 through 5207; Homeland
Security Act of 2002, 6 U.S.C. 101 et seq.;
Department of Homeland Security Delegation
9001.1; sec. 1105, Pub. L. 113–2, 127 Stat. 43
(42 U.S.C. 5189a note).

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

Subpart D—Federal Assistance to
Individuals and Households
§ 206.101

[Removed and Reserved]

2. Remove and reserve § 206.101.
3. Amend § 206.110 by:
a. Revising the first sentence of
paragraph (a), paragraphs (b), (c), (d),
and (e);
■ b. Revising paragraph (h) introductory
text;
■ c. Removing paragraph (h)(2),
redesignating paragraphs (h)(3) and (4)
as (h)(2) and (3), and revising newly
redesignated paragraph (h)(3);
■ d. Revising paragraphs (i), (j)(2)
introductory text, and (j)(2)(ii);
■ e. Revising the first sentence of
paragraph (k)(2), the first sentence of
paragraph (k)(3)(i) introductory text, and
the first sentence of paragraph
(k)(3)(i)(A);
■ f. Revising paragraph (m); and
■ g. Adding paragraph (n).
The additions and revisions read as
follows:
■
■
■

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§ 206.110 Federal assistance to individuals
and households.

(a) Purpose. This section implements
the policy and procedures set forth in
the Robert T. Stafford Disaster Relief
and Emergency Assistance Act, as
amended (Stafford Act), 42 U.S.C. 5174.
* * *
(b) Maximum amount of assistance.
No individual or household will receive
financial assistance greater than $25,000
under this subpart with respect to a
single major disaster or emergency for
the repair or replacement of their predisaster primary residence. No
individual or household will receive
financial assistance greater than $25,000
under this subpart with respect to a
single major disaster or emergency for
Other Needs Assistance. FEMA will
adjust the $25,000 limits annually to
reflect changes in the Consumer Price
Index (CPI) for All Urban Consumers
that the Department of Labor publishes.
(1) The maximum amount of financial
assistance excludes rental assistance
under § 206.117(b)(1)(i) and lodging
expense reimbursement under
§ 206.117(b)(1)(i).
(2) The maximum amount of financial
assistance excludes expenses to repair
or replace eligible damaged
accessibility-related real property
improvements and personal property for
individuals with disabilities.
(c) Multiple types of assistance. One
or more types of housing assistance may
be made available under this section to
meet the needs of individuals and
households in the particular disaster
situation. FEMA will determine the
appropriate types of housing assistance

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to be provided under this section based
on considerations of cost effectiveness,
convenience to the individuals and
households and the suitability and
availability of the types of assistance.
An applicant is expected to accept the
first offer of housing assistance;
unwarranted refusal of assistance may
result in the forfeiture of future housing
assistance. Temporary housing and
repair assistance must be utilized to the
fullest extent practicable before other
types of housing assistance.
(d) Date of eligibility. Eligibility for
Federal assistance under this subpart is
limited to losses or expenses resulting
from damage that occurred during the
dates of the incident period established
in a presidential declaration that a major
disaster or emergency exists, except that
reasonable lodging expenses that are
incurred in anticipation of and
immediately preceding such event may
be eligible for Federal assistance under
this chapter.
(e) Period of assistance. FEMA may
provide assistance under this subpart
for a period not to exceed 18 months
from the date of declaration. The
Assistant Administrator for the
Recovery Directorate may extend the
period of assistance if he/she
determines that due to extraordinary
circumstances an extension would be in
the public interest.
*
*
*
*
*
(h) Duplication of benefits. In
accordance with the requirements of the
Stafford Act, 42 U.S.C. 5155, FEMA will
not provide assistance under this
subpart when any other source has
already provided such assistance or
when such assistance is available from
any other source. In the instance of
insured applicants, we will provide
assistance under this subpart only
when:
*
*
*
*
*
(3) Applicants cannot use their
insurance because there is no housing
on the private market.
(i) Cost sharing. (1) Except as
provided in paragraph (i)(2) of this
section, the Federal share of eligible
costs paid under this subpart is 100
percent.
(2) Federal and State cost shares for
‘‘Other Needs’’ assistance under the
Stafford Act, 42 U.S.C. 5174(e) and (f),
are as follows:
(i) The Federal share is 75 percent;
and
(ii) The non-Federal share is 25
percent and must be paid from funds
made available by the State. If the State
does not provide the non-Federal share
to FEMA before FEMA begins to provide
assistance to individuals and

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households under the Stafford Act, 42
U.S.C. 5174(e), FEMA will still process
applications. The State will then be
obliged to reimburse FEMA for the nonFederal cost share of such assistance on
a monthly basis. If the State does not
provide such reimbursement on a
monthly basis, then FEMA will issue a
billing notice to the State on a monthly
basis for the duration of the program.
FEMA will charge interest, penalties,
and administrative costs on delinquent
billing notices in accordance with the
Debt Collection Improvement Act. Cost
shared funds, interest, penalties and
administrative costs owed to FEMA
through delinquent billing notices may
be offset from other FEMA disaster
assistance programs (i.e., Public
Assistance) from which the State is
receiving assistance, or future grant
awards from FEMA or other Federal
Agencies. Debt Collection procedures
will be followed as outlined in 44 CFR
part 11.
(j) * * *
(2) Under the Stafford Act, 42 U.S.C.
5174(f)(2), FEMA must share applicant
information with States in order for the
States to make available any additional
State and local disaster assistance to
individuals and households.
*
*
*
*
*
(ii) States receiving such applicant
information must not further disclose
the information to other entities, and
must not use it for purposes other than
providing additional State or local
disaster assistance to individuals and
households.
(k) * * *
(2) Individuals or households that are
located in a special flood hazard area
may not receive Federal Assistance for
National Flood Insurance Program
(NFIP)—insurable real and/or personal
property, damaged by a flood, unless the
community in which the property is
located is participating in the NFIP (See
44 CFR 59.1), or the exception in 42
U.S.C. 4105(d) applies. * * *
(3) Flood insurance purchase
requirement: (i) As a condition of the
assistance and in order to receive any
Federal assistance for future flood
damage to any insurable property,
individuals and households named by
FEMA as eligible recipients under the
Stafford Act, 42 U.S.C. 5174, who
receive assistance, due to flood damage,
for acquisition or construction purposes
under this subpart must buy and
maintain flood insurance, as required in
42 U.S.C. 4012a, for at least the
assistance amount. * * *
(A) If the applicant is a homeowner,
flood insurance coverage must be
maintained at the address of the flood-

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damaged property for as long as there is
a residential building (See 44 CFR 59.1)
at the address. * * *
*
*
*
*
*
(m) Historic preservation. Assistance
provided under this subpart generally
does not have the potential to affect
historic properties and thus FEMA has
no further obligations under the
National Historic Preservation Act, 54
U.S.C. 306108, with the exception of
ground disturbing activities and
construction related to
§§ 206.117(b)(1)(ii) (direct housing),
206.117(b)(2)(ii)(F) (repair assistance for
privately owned roads and bridges),
206.117(b)(3) (replacement assistance),
and 206.117(b)(4) (permanent housing
construction).
(n) Severability. Any provision of this
subpart held to be invalid or
unenforceable as applied to any person
or circumstance should be construed so
as to continue to give the maximum
effect to the provision permitted by law,
including as applied to persons not
similarly situated or to dissimilar
circumstances, unless such holding is
that the provision of this subpart is
invalid and unenforceable in all
circumstances, in which event the
provision should be severable from the
remainder of this subpart and should
not affect the remainder thereof.
■ 4. Amend § 206.111 by:
■ a. Revising the definitions of
‘‘Alternative housing resources’’ and
‘‘Dependent’’;
■ b. Adding the definition of
‘‘Destroyed’’;
■ c. Revising the definitions of
‘‘Displaced applicant’’ and ‘‘Eligible
hazard mitigation measures’’;
■ d. Adding the definition of ‘‘Essential
tools’’;
■ e. Revising the definitions of ‘‘Fair
market rent’’ and ‘‘Financial ability’’;
■ f. Removing the definition of
‘‘Functional’’;
■ g. Adding the definition of
‘‘Functioning’’;
■ h. Revising the definition of ‘‘Housing
costs’’;
■ i. In the definition of ‘‘Manufactured
housing sites,’’ revise the introductory
text and paragraph (3);
■ j. Revising the definitions of ‘‘Owneroccupied’’, ‘‘Permanent housing plan’’
and ‘‘Reasonable commuting distance’’;
■ k. Adding the definitions of
‘‘Recertification’’ and ‘‘Repairs’’;
■ l. Revising the definitions of ‘‘Safe’’,
‘‘Sanitary’’, and ‘‘Serious need’’;
■ m. Adding the definition of ‘‘State’’;
and
■ n. Revising the definition of
‘‘Uninhabitable’’.
The additions and revisions to read as
follows:

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§ 206.111

Definitions.

*

*
*
*
*
Alternative housing resources means
any housing that is available or can
quickly be made available in lieu of
permanent housing construction and is
cost-effective when compared to
permanent construction costs. Some
examples are rental resources,
manufactured housing units, and travel
trailers.
*
*
*
*
*
Dependent means someone who is
normally claimed as such on the Federal
tax return of another, according to the
Internal Revenue Code. It may also
mean the minor children of a couple not
living together, where the children live
in the affected residence with the parent
or guardian who does not claim them on
the tax return.
Destroyed means the primary
residence is a total loss or damaged to
such an extent that repairs are
infeasible.
Displaced applicant means one whose
disaster-damaged primary residence is
uninhabitable, inaccessible, or made
unavailable by the landlord.
*
*
*
*
*
Eligible hazard mitigation measures
are home improvements that an
applicant can accomplish in order to
reduce or prevent future disaster
damage to the primary residence,
utilities, or infrastructure.
Essential tools means tools and
equipment required for employment
and items required for education.
Fair market rent means estimates of
rent plus the cost of utilities, except
telephone, identified by the Department
of Housing and Urban Development as
being adequate for existing rental
housing in a particular geographic area.
Financial ability means the
applicant’s capability to pay 30 percent
of gross post-disaster household income
for housing. When computing financial
ability, extreme or unusual financial
circumstances may be considered by
FEMA.
*
*
*
*
*
Functioning means an item or home
capable of being used for its intended
purpose.
*
*
*
*
*
Housing costs means rent and
mortgage payments, including principal,
interest, real estate taxes, real property
insurance, homeowners or
condominium association fees, and
utility costs.
*
*
*
*
*
Manufactured housing sites means
those sites used for the placement of

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4119

travel trailers and other manufactured
housing units, including:
*
*
*
*
*
(3) Group site, a site provided by the
State or local government or FEMA, if
determined that such site would be
more economical or accessible than one
that the State or local government
provides, that accommodates two or
more units and is complete with
utilities.
*
*
*
*
*
Owner-occupied means that the
residence is occupied by:
(1) The legal owner with verifiable
documentation; or
(2) A person who does not hold
formal title to the residence and pays no
rent, but can produce verifiable
documentation demonstrative of legal
responsibility including tax payment
receipts; receipts for major repairs,
maintenance, or improvements of the
residence; court documents, a letter
from a public official, or, for mobile
home or travel trailer owners residing in
a commercial park, a letter from the
mobile home park owner or manager; or
(3) A person who has verifiable
documentation of lifetime occupancy
rights with formal title vested in
another.
Permanent housing plan means a
realistic plan that, within a reasonable
timeframe, puts the displaced applicant
back into permanent housing that is
similar to their pre-disaster housing
situation. A reasonable timeframe
includes sufficient time within the
period of assistance for securing funds
and services to repair the home,
completing repairs or locating a
permanent dwelling, and moving into
the dwelling.
*
*
*
*
*
Reasonable commuting distance
means a distance that does not place
undue hardship on an applicant. It also
takes into consideration the traveling
time involved due to road conditions,
e.g., mountainous regions or road
closures and the normal commuting
patterns of the area.
Recertification means the process that
FEMA uses to evaluate an applicant’s
eligibility for continued temporary
housing assistance under § 206.114.
Repairs means repairs of a quality
necessary for a safe and sanitary living
or functioning condition.
Safe means secure from hazards or
threats to occupants.
Sanitary means free of health hazards.
Serious need means the requirement
for an item, or service, that is necessary
to an applicant’s ability to prevent,

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mitigate, or overcome a disaster-related
hardship, injury or adverse condition.
*
*
*
*
*
State means, for the purposes of this
subpart and where consistent with the
requirements of the Stafford Act, any
State as defined in § 206.2(a)(22) or
Indian tribal government as defined in
the Stafford Act (42 U.S.C. 5122(6)).
Uninhabitable means the dwelling is
not safe or sanitary.
*
*
*
*
*
■ 5. Amend § 206.112 by:
■ a. Revising paragraph (b);
■ b. Redesignating paragraph (c) as
paragraph (d) and adding a new
paragraph (c); and
■ c. Revising the second sentence of
newly redesignated paragraph (d).
The additions and revisions read as
follows:
§ 206.112

Registration period.

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*

*
*
*
*
(b) Extension of the registration
period. FEMA may extend the
registration period when the State
requests more time to collect
registrations from the affected
population. FEMA may also extend the
standard registration period when
necessary to establish the same
registration deadline for contiguous
counties or States.
(c) Reopening of the registration
period. After the registration period for
the major disaster or emergency has
expired, FEMA may reopen the
registration period for 60 days only
when the President’s declaration is
amended to include additional counties
and only for the additional counties.
(d) Late registrations. * * * We will
process late registrations for those
registrants who explain the reason for
the delay in their registration.
■ 6. Amend § 206.113 by:
■ a. Revising paragraphs (a)
introductory text and (a)(1);
■ b. Removing paragraph (a)(4) and
redesignating paragraphs (a)(5) through
(a)(9) as paragraphs (a)(4) through (a)(8),
respectively;
■ c. Revising newly redesignated
paragraphs (a)(4), (5), (7), and (8) and
adding paragraph (9);
■ d. Revising paragraphs (b)(1) through
(5), (9) and (10).
The addition and revisions read as
follows:
§ 206.113

Eligibility factors.

(a) Conditions of eligibility. In general,
FEMA may provide assistance to
individuals and households who qualify
for such assistance under the Stafford
Act, 42 U.S.C. 5174, and this subpart.
FEMA may only provide assistance:

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(1) When the individual or household
has incurred a disaster-related necessary
expense and serious need in the State in
which the disaster has been declared,
without regard to their residency in that
State;
*
*
*
*
*
(4) In a situation where the applicant
has insurance, but the applicant cannot
use their insurance because housing is
not available on the private market;
(5) In a situation where the applicant
has insurance, when the insured
individual or household has accepted
all assistance from other sources for
which he, she, or they are eligible,
including insurance, and that assistance
and insurance is insufficient to cover
the necessary expense and serious need;
*
*
*
*
*
(7) With respect to housing assistance,
if the primary residence has been
destroyed, is uninhabitable, or is
inaccessible;
(8) With respect to housing assistance,
if a renter’s primary residence is no
longer available as a result of the
disaster; and
(9) With respect to home repair for
accessibility-related items, if an
applicant meets the following
conditions:
(i) The applicant is either an
individual with a disability as defined
in 42 U.S.C. 5122 whose disability
existed prior to the disaster and whose
primary residence was damaged by the
disaster, or an individual with a
disability as defined in 42 U.S.C. 5122
whose disability was caused by the
disaster and whose primary residence
was damaged by the disaster;
(ii) The real property component is
necessary to meet the accessibilityrelated need of the household; and
(iii) The real property component is
not covered by insurance or any other
source.
(b) * * *
(1) For housing or displacement
assistance, to individuals or households
who are displaced from other than their
pre-disaster primary residence;
(2) For temporary housing or
displacement assistance, to individuals
or households who have adequate rentfree housing accommodations;
(3) For temporary housing or
displacement assistance, to individuals
or households who own a secondary or
vacation residence within reasonable
commuting distance to the disaster area,
or who own available rental property
that meets their temporary housing
needs;
(4) For temporary housing or
displacement assistance to individuals
or households who evacuated the

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residence in response to official
warnings solely as a precautionary
measure and are able to return to and
safely occupy the residence
immediately after the incident;
(5) For housing assistance, for
improvements or additions to the predisaster condition of property, except
for the following:
(i) Improvements or additions
required to make repairs that comply
with local and State ordinances;
(ii) Eligible hazard mitigation
measures; or
(iii) Accessibility-related items for
individuals with disabilities, consistent
with paragraph (a)(9) of this section;
*
*
*
*
*
(9) For business losses, including farm
businesses; or
(10) For any items not otherwise
authorized by §§ 206.117 and 206.119.
■ 7. Revise § 206.114 to read as follows:
§ 206.114 Criteria for continued or
additional assistance.

(a) General. FEMA expects all
recipients of assistance under this
subpart to obtain and occupy permanent
housing at the earliest possible time.
FEMA may provide initial and
continued temporary housing
assistance, financial or direct, upon
request during the period of assistance,
based on need, and generally only when
adequate, alternate housing is not
available or when the permanent
housing plan has not been fulfilled
through no fault of the applicant.
(b) Rental assistance. FEMA may
provide initial financial assistance for
rent, also known as initial rental
assistance, as described in
§ 206.117(b)(1)(i), to displaced eligible
applicants to rent alternate housing
accommodations for an initial time
period established by FEMA.
(1) FEMA may periodically recertify
all displaced applicants who received
initial rental assistance and request
continued rental assistance. All
displaced applicants requesting
continued rental assistance must take
the following actions at certain points
throughout the recertification process:
(i) Submit rent receipts to show that
they have exhausted or will exhaust
previously provided funds;
(ii) Provide documentation
demonstrating they lack the financial
ability to pay their post-disaster housing
costs and have a continued need for
rental assistance;
(iii) Establish a realistic permanent
housing plan; and
(iv) Provide documentation showing
that they are making efforts to obtain
permanent housing.

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
(2) FEMA expects that pre-disaster
renters will use their initial rental
assistance to obtain permanent housing.
However, FEMA may provide continued
rental assistance to pre-disaster renters
with a continuing disaster-related
housing need.
(c) Direct housing assistance. FEMA
may provide direct housing assistance
as described in § 206.117(b)(1)(ii), to
displaced eligible applicants who are
unable to make use of financial
assistance to rent adequate alternate
housing. FEMA may periodically
recertify all displaced applicants
receiving direct housing assistance for
continued direct housing assistance. All
displaced applicants who need
continued direct housing assistance
must take the following actions at
certain points throughout the
recertification process:
(1) Establish a realistic permanent
housing plan; and
(2) Provide documentation showing
that they are making efforts to obtain
permanent housing throughout the
recertification process.
(d) Other assistance. FEMA may
provide repairs or housing replacement
assistance, as described in
§ 206.117(b)(2) and § 206.117(b)(3),
lodging expense reimbursement, as
described in § 206.117(b)(1)(i), or other
needs assistance, as described in
§ 206.119, to eligible applicants.
(1) If FEMA requires more
information to process an applicant’s
initial request for assistance, it may
request additional information.
(2) After the initial award of
assistance, applicants requesting
additional assistance for repairs,
housing replacement, lodging expense
reimbursement, personal property,
transportation, child care, medical,
dental, funeral, moving and storage, or
other necessary expenses and serious
needs may submit an appeal as outlined
in § 206.115 and will be required to
submit information and/or verifiable
documentation established via guidance
identifying the additional need.
■ 8. Amend § 206.115 by:
■ a. Revising the first sentence of
paragraph (a) introductory text;
■ b. Revising paragraphs (b) and (c) and
the second sentence of paragraph (d);
■ c. Removing paragraph (e); and
■ f. Redesignating paragraph (f) as
paragraph (e) and revising newly
redesignated paragraph (e).
The revisions read as follows:
§ 206.115

Appeals.

(a) Under the provisions of the
Stafford Act, 42 U.S.C. 5189a,
applicants for assistance under this
subpart may appeal any determination

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of eligibility for assistance made under
this subpart. * * *
*
*
*
*
*
(b) Appeals must include a written
explanation or verifiable documentation
for the appeal and meet the
requirements of § 206.117, as applicable.
See §§ 206.117(b)(2)(vi),
206.117(b)(3)(iv), and 206.117(b)(4)(iii).
If someone other than the applicant files
the appeal, then the applicant must also
submit a signed statement giving that
person authority to represent them. If a
written explanation is submitted, it
must be signed by the applicant or a
person the applicant designates to
represent them.
(c) Applicants must appeal to FEMA
for decisions made under this subpart,
unless FEMA has made a grant to the
State to provide assistance to
individuals and households under
§ 206.120(a), State administration of
other needs assistance; then the
applicant must appeal to the State.
(d) * * * If someone other than the
applicant is submitting the request, then
the applicant must also submit a signed
statement giving that person authority to
represent them.
(e) FEMA or the appropriate State
official will review the original decision
after receiving the appeal. FEMA or the
State, as appropriate, will give the
appellant a written notice of the
disposition of the appeal and a reason
for the determination within 90 days of
receiving the appeal. The decision of the
FEMA or State appellate authority is
final.
■ 9. Amend § 206.117 by:
■ a. In paragraph (a):
■ i. Removing the definition of ‘‘Caused
by the disaster’’;
■ ii. Adding the definition of
‘‘Multifamily Rental Housing’’; and
■ iii. Revising the definition of ‘‘‘‘Real
Property Component’’ or
‘‘Component’’’’;
■ b. Revising paragraphs (b)(1)(i),
(b)(1)(ii)(A) through (C) and (E);
■ c. Redesignating paragraphs
(b)(1)(ii)(F) through (I) as paragraphs
(b)(1)(ii)(G) through (J), respectively,
and adding a new paragraph (F);
■ d. Revising the first sentence of newly
redesignated paragraph (b)(1)(ii)(G),
paragraph (b)(1)(ii)(H)(4), and the
second sentence of newly redesignated
paragraph (b)(1)(ii)(I);
■ e. Revising paragraphs (b)(2)(i),
(b)(2)(ii) introductory text, (b)(2)(ii)(H),
and (b)(2)(iii);
■ f. Removing paragraph (b)(2)(iv) and
redesignating paragraphs (b)(2)(v)
through (vii) as paragraphs (b)(2)(iv)
through (vi);
■ g. Revising newly redesignated
paragraphs (b)(2)(iv) and (b)(2)(vi);

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4121

h. Revising paragraphs (b)(3) and
(b)(4)(i)(A);
■ i. Removing paragraph (b)(4)(i)(B) and
redesignating paragraphs (C) through (F)
as paragraphs (B) through (E); and
■ j. Revising newly redesignated
paragraph (b)(4)(i)(E) and the first two
sentences of (b)(4)(iii).
The additions and revisions read as
follows:
■

§ 206.117

Housing assistance.

(a) * * *
‘‘Multifamily Rental Housing’’ means
a rental property that contains three or
more dwelling units contained within
one building, each such unit providing
complete and independent living
facilities for one or more persons,
including permanent provisions for
living, sleeping, cooking, and sanitation.
‘‘Real Property Component’’ or
‘‘Component’’ means each individual
part of a dwelling as enumerated in
paragraph (b)(2)(ii) of this section.
*
*
*
*
*
(b) Types of housing assistance—(1)
Temporary housing assistance—(i)
Rental assistance. Eligible displaced
applicants may receive rental assistance
to rent alternate housing resources.
FEMA may also provide assistance for
the reasonable cost of any
transportation, utility hookups, or
installation of a manufactured housing
unit or recreational vehicle to be used
for housing. This may include lodging
expense reimbursement for reasonable
short-term lodging expenses for
individuals or households who have not
received displacement assistance (See
§ 206.119(b)(2)) in the immediate
aftermath of a disaster.
(A) FEMA will include all members of
a pre-disaster household in a single
registration and will provide assistance
for one temporary housing residence,
unless FEMA determines that the size or
nature of the household requires that we
provide assistance for more than one
residence.
(B) FEMA will base the amount of
assistance on the current fair market
rent for existing rental units. FEMA will
further base the applicable rate on the
location of the rental unit and the
number of bedrooms the household
requires, as determined by FEMA.
(C) Rental assistance may include the
payment of the cost of utilities,
excluding telephone, cable, television,
and internet service.
(D) Rental assistance may include the
payment of the cost of security deposits,
not to exceed an amount equal to the
fair market rent for one month, as
determined under paragraph (b)(1)(i)(B)
of this section.

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(E) Applicants that receive
displacement assistance under
§ 206.119(b)(2) must request rental
assistance if their disaster-caused
temporary housing needs continue once
displacement assistance is exhausted.
(ii) Direct assistance. (A) FEMA may
provide direct assistance in the form of
purchased or leased temporary housing
units directly to displaced applicants
who lack available housing resources
and are unable to make use of the
assistance provided under paragraph
(b)(1)(i) of this section.
(B) FEMA will include all members of
a pre-disaster household in a single
application and will provide assistance
for one temporary housing unit, unless
FEMA determines that the size or nature
of the household requires that we
provide assistance for more than one
temporary housing unit.
(C) Any site upon which a FEMAprovided temporary housing unit is
placed must comply with applicable
State and local codes and ordinances, as
well as 44 CFR part 9, Floodplain
Management and Protection of
Wetlands, and all other applicable
environmental and historic preservation
laws, regulations, Executive orders, and
agency policy.
*
*
*
*
*
(E) FEMA-provided or funded
temporary housing units may be placed
in the following locations:
(1) A commercial site that is complete
with utilities, when FEMA determines
that the upgrading of commercial sites,
or installation of utilities on such sites,
will provide more cost-effective, timely
and suitable temporary housing than
other types of resources.
(2) A private site that an applicant
provides, complete with utilities, when
FEMA determines that the cost of
installation or repairs of essential
utilities on private sites will provide
more cost effective, timely, and suitable
temporary housing than other types of
resources.
(3) A group site that accommodates
two or more temporary housing units
and is complete with utilities, provided
by the State or local government, when
FEMA determines that the cost of
developing a group site provided by the
State or local government, to include
installation or repairs of essential
utilities on the sites, will provide more
cost effective, timely, and suitable
temporary housing than other types of
resources.
(4) A group site provided by FEMA,
if determined that such a site would be
more economical or accessible than one
that the State or local government
provides.

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(F) If FEMA determines it would be a
cost-effective alternative to other
temporary housing options, FEMA may
enter into lease agreements with owners
of multifamily rental housing properties
to house displaced applicants eligible
for assistance under this subpart.
(1) FEMA may only enter into lease
agreements with owners of multifamily
rental housing properties impacted by a
major disaster or located in areas
covered by a major disaster declaration.
(2) FEMA may make repairs or
improvements to properties under such
lease agreements, to the extent
necessary to serve as temporary
housing, provided, however, that the
value of the improvements or repairs
must be deducted from the value of the
lease agreement.
(G) After the end of the 18-month
period of assistance, FEMA may begin
to charge up to the fair market rent for
each temporary housing unit provided.
* * *
(H) * * *
(4) The occupant(s) failed to comply
with any term of the lease/rental
agreement or other rules of the site
where the temporary housing unit is
located; or
*
*
*
*
*
(I) * * * This notice will specify the
reasons for termination of assistance
and occupancy, the date of termination,
the procedure for appealing the
determination, and the occupant’s
liability for such additional charges as
FEMA deems appropriate after the
termination date, including fair market
rent for the unit.
*
*
*
*
*
(2) Repairs. (i) FEMA may provide
financial assistance for the repair of an
owner-occupied primary residence if:
(A) The eligibility criteria in § 206.113
are met;
(B) FEMA determines the dwelling
was damaged by the disaster; and,
(C) The damage is not covered by
insurance.
(ii) FEMA may provide financial
assistance for the repair of the disaster
damaged dwelling to a safe and sanitary
living or functioning condition
including:
*
*
*
*
*
(H) Eligible hazard mitigation
measures.
(iii) FEMA financial assistance for the
repair of disaster damage will be limited
to repairs of a quality necessary for a
safe and sanitary living or functioning
condition. In some instances, when the
extent of the damage is unclear, FEMA
may provide assistance for the average
cost of a licensed technician’s
professional assessment. FEMA may

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provide for the replacement of a
component if repair is not feasible.
(iv) Eligible individuals or households
may receive up to the maximum amount
of assistance (See § 206.110(b)) to repair
damage to their primary residence
irrespective of other financial resources,
except insurance proceeds.
*
*
*
*
*
(vi) If the applicant disputes a
determination made by FEMA regarding
eligibility for repair assistance, the
applicant may appeal that
determination pursuant to the
procedures in § 206.115. In addition to
the requirements in § 206.115, the
applicant must provide proof that the
component meets the requirements of
paragraph (b)(2)(i) of this section. If the
applicant disputes the amount of repair
assistance awarded, the applicant must
also provide justification for the amount
sought.
(3) Housing replacement. (i) FEMA
may provide financial assistance for the
replacement of an owner-occupied
primary residence if:
(A) The eligibility criteria in § 206.113
are met;
(B) The residence was destroyed by
the disaster; and
(C) The damage to the residence is not
covered by insurance.
(ii) If replacement assistance is
granted, the applicant may either use
the maximum amount of assistance (See
§ 206.110(b)) to replace the dwelling in
its entirety, or may use the assistance
toward the cost of acquiring a new
permanent residence.
(iii) Housing replacement assistance
will be based on the average
replacement cost established by FEMA
for the type of residence destroyed, or
the statutory maximum (See
§ 206.110(b)), whichever is less.
(iv) If the applicant disputes a
determination made by FEMA regarding
eligibility for replacement assistance,
the applicant may appeal that
determination pursuant to the
procedures in § 206.115. In addition to
the requirements in § 206.115, the
applicant must provide proof that repair
is not feasible, or will not ensure the
safety or health of the occupant. If the
applicant disputes the amount of
replacement assistance awarded, the
applicant must also provide justification
for the amount sought.
(4) * * *
(i) * * *
(A) The eligibility criteria in § 206.113
are met;
*
*
*
*
*
(E) The residence is in a location
where alternative housing resources are
not available and the types of financial

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations
or direct temporary housing assistance
described in paragraphs (b)(1), (2), and
(3) of this section are unavailable,
infeasible, or not cost-effective.
*
*
*
*
*
(iii) If the applicant disputes a
determination made by FEMA regarding
eligibility for construction assistance,
the applicant may appeal that
determination pursuant to the
procedures in § 206.115. In addition to
the requirements in § 206.115, the
applicant must provide proof that the
property is in a location where
alternative housing resources are not
available. * * *
■ 10. Revise § 206.118 to read as
follows:

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§ 206.118

Disposal of housing units.

(a) FEMA may sell temporary housing
units purchased under
§ 206.117(b)(1)(ii), Temporary housing,
direct assistance, as follows:
(1) Sale to an occupant. (i) FEMA may
sell a temporary housing unit to the
occupant, if they lack permanent
housing and have a site that complies
with local codes and ordinances and
part 9 of this Title.
(ii) FEMA may approve adjustments
to the sales price when selling a
temporary housing unit to the occupant
if the occupant is unable to pay the fair
market value of the temporary housing
unit and when doing so is in the best
interest of the occupant and FEMA.
(iii) FEMA may sell a temporary
housing unit to the occupant only on
the condition that the purchaser agrees
to obtain and maintain hazard
insurance, as well as flood insurance on
the temporary housing unit if it is or
will be in a designated Special Flood
Hazard Area.
(2) Other methods of disposal. (i)
FEMA may sell, transfer, donate, or
otherwise make a temporary housing
unit available directly to a State or other
governmental entity, or to a voluntary
organization, for the sole purpose of
providing temporary housing to eligible
displaced applicants in major disasters
and emergencies. As a condition of the
sale, transfer, or donation, or other
method of provision, the State,
governmental entity, or voluntary
organization must agree to:
(A) Comply with the
nondiscrimination provisions of the
Stafford Act, 42 U.S.C. 5151; and
(B) Obtain and maintain hazard
insurance on the temporary housing
unit, as well as flood insurance if the
housing unit is or will be in a
designated Special Flood Hazard Area.
(ii) FEMA may also sell temporary
housing units at a fair market value to
any other person.

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(b) A temporary housing unit will be
sold ‘‘as is, where is’’, except for repairs
FEMA deems necessary to protect
health or safety, which are to be
completed before the sale. There will be
no implied warranties. In addition,
FEMA will inform the purchaser that
they may have to bring the installation
of the temporary housing unit up to
codes and standards that are applicable
at the proposed site.
■ 11. Revise § 206.119 to read as
follows:
§ 206.119 Financial assistance to address
other needs.

(a) Purpose. FEMA and the State may
provide financial assistance to
individuals and households who are
adversely affected by a major disaster
and have other verifiable, documented
disaster-related necessary expenses or
serious needs.
(b) Types of assistance. (1) Serious
needs. Necessary expenses to assist
applicants who report they are
displaced as a result of the disaster, who
report a need for shelter as a result of
the disaster, or who have other
emergency disaster expenses. These
needs will vary according to each
applicant and FEMA will not require
receipts documenting the use of this
assistance. FEMA will adjust the
amount of this assistance to reflect
changes in the CPI for all Urban
Consumers that the Department of Labor
publishes.
(2) Displacement. Necessary expenses
to assist displaced applicants with
short-term living arrangements
immediately following a disaster.
Applicants must have registered within
the 60-day or extended registration
period. The award amount is based on
a time period established by FEMA and
approved in the State Administrative
Option, as required by § 206.120(b).
FEMA will not require receipts
documenting the use of this assistance.
(3) Medical and dental. Necessary
expenses to assist applicants with
medical and dental costs, which may
include the following:
(i) Medical service costs;
(ii) Dental service costs;
(iii) Repair or replacement of medical
or dental equipment;
(iv) Loss or injury of a service animal;
and
(v) Costs for prescription medicines
related to eligible medical or dental
services, or which need to be replaced
due to the disaster.
(4) Child care. Necessary expenses to
assist applicants with child care costs,
which may include the following:
(i) Standard child care service fees,
including personal assistance services

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4123

that support activities of daily living for
children with disabilities; and
(ii) Registration and health inventory
fees for applicants who require a new
child care provider.
(5) Funeral. Necessary expenses to
assist applicants with funeral costs,
which may include the following:
(i) Funeral services;
(ii) Burial or cremation; and
(iii) Other related funeral expenses.
(6) Personal property. Necessary
expenses to assist applicants whose
primary residences were damaged by
the disaster with personal property
costs, which may include the following:
(i) Clothing;
(ii) Household items, furnishings or
appliances;
(iii) Computing devices;
(iv) Essential tools, specialized or
protective clothing, computing devices,
and equipment required for
employment;
(v) Computing devices, uniforms,
schoolbooks and supplies required for
educational purposes; and
(vi) Cleaning or sanitizing any eligible
personal property item.
(7) Transportation. Necessary
expenses to assist applicants with
transportation costs, which may include
the following:
(i) Repairing or replacing vehicles;
(ii) Public transportation; and
(iii) Other transportation related costs
or services.
(8) Moving and storage. Necessary
expenses to assist applicants whose
primary residences were damaged by
the disaster with costs related to moving
and storing personal property, which
may include the following:
(i) Moving and storing personal
property to avoid additional disaster
damage;
(ii) Storage of personal property while
disaster-related repairs are being made
to the primary residence; and
(iii) Return of the personal property to
the individual or household’s primary
residence.
(9) Group Flood Insurance purchase.
Individuals identified by FEMA as
eligible for assistance for flood insurable
damage under the Stafford Act, 42
U.S.C. 5174, as a result of flood damage
caused by a Presidentially-declared
major disaster and who reside in a
special flood hazard area (SFHA) may
be included in a Group Flood Insurance
Policy (GFIP) established under the
National Flood Insurance Program
(NFIP) regulations at 44 CFR 61.17.
(i) The premium for the GFIP is a
necessary expense within the meaning
of this section. FEMA or the State must
withhold this portion of the Other
Needs award and provide it to the NFIP

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Federal Register / Vol. 89, No. 14 / Monday, January 22, 2024 / Rules and Regulations

on behalf of individuals and households
who are eligible for coverage. The
coverage must be equivalent to the
maximum assistance amount
established under the Stafford Act, 42
U.S.C. 5174.
(ii) FEMA or the State IHP staff must
provide the NFIP with records of
individuals who received assistance for
flood-insurable losses within a SFHA
and are to be insured through the GFIP.
Records of applicants to be insured
must be accompanied by payments to
cover the premium amounts for each
applicant for the 3-year policy term. The
NFIP will then issue a Certificate of
Flood Insurance to each applicant.
Flood insurance coverage becomes
effective on the 30th day following the
receipt of records of GFIP insureds and
their premium payments from the State
or FEMA, and such coverage terminates
36 months from the inception date of
the GFIP, which is 60 days from the date
of the disaster declaration.
(iii) Insured applicants would not be
covered if they are determined to be
ineligible for coverage based on a
number of exclusions established by the
NFIP. Therefore, once applicants/
policyholders receive the Certificate of
Flood Insurance that contains a list of
the policy exclusions, they should
review that list to see if they are
ineligible for coverage. Those applicants
who fail to do this may find that their
property is, in fact, not covered by the
insurance policy when the next flooding
incident occurs and they file for losses.
Once the applicants find that their
damaged buildings, contents, or both,
are ineligible for coverage, they should
notify the NFIP in writing in order to
have their names removed from the
GFIP, and to have the flood insurance
maintenance requirement expunged
from the data-tracking system.
(10) Miscellaneous. Other
miscellaneous items or services that
FEMA, in consultation with the State,
determines are necessary expenses and
serious needs.
Subpart E—[Removed and Reserved]
12. Remove and reserve Subpart E,
consisting of §§ 206.131 through
206.140.

■

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Subpart F—Other Individual
Assistance
13. Amend § 206.191 by:
a. Revising paragraphs (a), (b)(1),
(d)(2)(ii) through (iv);
■ b. Revising the first sentence of
paragraph (d)(4) introductory text and
paragraph (d)(4)(ii);
■ c. Revising paragraph (e)(1)(i), (e)(2)
introductory text, the second sentence
■
■

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of (e)(2)(iii), (e)(3) through (5) and
paragraph (f); and
■ e. Adding paragraph (g).
The addition and revisions read as
follows.
§ 206.191

Duplication of benefits.

(a) Purpose. This section establishes
the policies for implementing the
Stafford Act, 42 U.S.C. 5155, entitled
Duplication of Benefits. This section
relates to assistance for individuals and
families.
(b) * * *
(1) Federal agencies providing
disaster assistance under the Act or
under their own authorities triggered by
the Act, must cooperate to prevent and
rectify duplication of benefits, according
to the general policy guidance of the
Federal Emergency Management
Agency. The agencies must establish
appropriate agency policies and
procedures to prevent duplication of
benefits.
*
*
*
*
*
(d) * * *
(2) * * *
(ii) Housing assistance pursuant to the
Stafford Act, 42 U.S.C. 5174;
(iii) Other Needs assistance, pursuant
to the Stafford Act, 42 U.S.C. 5174;
(iv) Small Business Administration
and Department of Agriculture disaster
loans;
*
*
*
*
*
(4) If following the delivery sequence
concept would adversely affect the
timely receipt of essential assistance by
an individual or household, an agency
may offer assistance which is the
primary responsibility of another
agency. * * *
*
*
*
*
*
(ii) In the case where the individual
or household has refused assistance
from Agency A, Agency A must notify
Agency B that it must recover assistance
previously provided.
(e) * * *
(1) * * *
(i) In making an eligibility
determination, FEMA, in the case of
federally operated programs, or the
State, in the case of State operated
programs, must determine whether
assistance is the primary responsibility
of another agency to provide, according
to the delivery sequence; and determine
whether that primary response agency
can provide assistance in a timely way.
*
*
*
*
*
(2) Programs under the Act vs.
insurance. In making an eligibility
determination, FEMA or the State must:
*
*
*
*
*
(iii) * * * Where flood insurance is
involved, FEMA must coordinate with

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the Federal Insurance Administration.
* * *
(3) Random sample. Each disaster
assistance agency is responsible for
preventing and rectifying duplication of
benefits under the general authority of
the Stafford Act, 42 U.S.C. 5155. To
determine whether duplication has
occurred and established procedures
have been followed, FEMA must, within
90 days after the close of the disaster
assistance program’s application period,
for selected disaster declarations,
examine on a random sample basis,
FEMA’s and other government and
voluntary agencies’ case files and
document the findings in writing.
(4) Duplication when assistance under
the Act is involved. If duplication is
discovered, FEMA must determine
whether the duplicating agency
followed its own remedial procedures.
(i) If the duplicating agency followed
its procedures and was successful in
correcting the duplication, FEMA will
take no further action. If the agency was
not successful in correcting the
duplication, and FEMA is satisfied that
the duplicating agency followed its
remedial procedures, no further action
will be taken.
(ii) If the duplicating agency did not
follow its duplication of benefits
procedures, or FEMA is not satisfied
that the procedures were followed in an
acceptable manner, then FEMA must
provide an opportunity for the agency to
take the required corrective action. If the
agency cannot fulfill its responsibilities
for remedial action, FEMA must notify
the recipient of the excess assistance,
and after examining the debt, then as
appropriate, take those recovery actions
in conjunction with agency
representatives for each identified case
in the random sample (or larger
universe, at FEMA’s discretion).
(5) Duplication when assistance under
other authorities is involved. When the
random sample shows evidence that
duplication has occurred and corrective
action is required, FEMA must urge the
duplicating agency to follow its own
procedures to take corrective action, and
must work with the agency toward that
end. Under its authority in the Stafford
Act, 42 U.S.C. 5155, FEMA must require
the duplicating agency to report to
FEMA on the agency’s attempt to correct
the duplications identified in the
sample.
(f) Recovering FEMA funds: debt
collection. Funds due to FEMA are
recovered in accordance with the
Department of Homeland Security’s
Debt Collection Regulations (6 CFR part
11—Claims) and the Federal Claims
Collection Standards (Department of the
Treasury—Department of Justice) (31

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CFR chapter IX). Section 1216 of the
Disaster Recovery Reform Act of 2018,
42 U.S.C. 5174a, also provides FEMA
the authority to waive debts owed by
individuals and households who
received assistance under subpart D of
this part.
(g) Severability. Any provision of this
section held to be invalid or

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unenforceable as applied to any person
or circumstance should be construed so
as to continue to give the maximum
effect to the provision permitted by law,
including as applied to persons not
similarly situated or to dissimilar
circumstances, unless such holding is
that the provision of this section is
invalid and unenforceable in all

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4125

circumstances, in which event the
provision should be severable from the
remainder of this section and should not
affect the remainder thereof.
Deanne Criswell,
Administrator, Federal Emergency
Management Agency.
[FR Doc. 2024–00677 Filed 1–19–24; 8:45 am]
BILLING CODE 9111–24–P

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