Bills Introduced to Reform Long-Term Disaster Housing; Major Responsibilities Would Shift to HUD
Hurricane Recovery
Memo to Members: Vol 11, No. 20, May 19, 2006
On May 16, Representatives Richard Baker (R-LA) and Barney Frank (D-MA) introduced H.R. 5393, the Natural Disaster Housing Reform Act of 2006. The bill would establish HUD as the lead agency for long-term housing needs resulting from disasters.
H.R. 5393 would make it the policy of the United States that HUD is the primary federal agency responsible for coordinating and administering housing assistance in connection with any major disaster, in areas where the disaster has resulted in long-term housing needs. The housing assistance provided by HUD could include financial assistance, the provision of temporary, transitional and permanent housing units, assistance for repair, replacement and reconstruction of housing units, technical assistance and “any other form or type of housing assistance.” The Secretary of HUD would be responsible for ensuring that officers and staff of HUD headquarters, and regional, field and area offices, have the capability, capacity, training and resources necessary to carry out this responsibility. It is not clear if the provisions of the bill apply to current declared disasters. If so, the evacuees in temporary housing programs now under FEMA would go to HUD.
An area would be considered to have long term housing needs if a disaster displaces households from their pre-disaster primary residences, or if a disaster renders such residences uninhabitable for 30 days or more. After a major disaster occurs and is declared by the President, the Governor of a state affected by the disaster would request that the President determine if the disaster has created long-term housing needs in any or all parts of the state and, if so, would grant the state’s request that HUD be the lead agency responsible for such needs.
The bill would also amend Section 408 of the Stafford Act, the Individuals and Households Program, to explicitly allow FEMA dollars to be used for security deposits, utility costs, and for the repair of damaged rental units that, upon repair, would be made available as alternate housing for displaced households.
Section 408 would also be amended to authorize FEMA to purchase manufactured modular housing (such as Katrina cottages). Households would have a right to refuse modular housing assistance and still remain eligible for other housing assistance. The bill states that modular housing could not be placed on sites that contain three or more other manufactured modular housing units.
H.R. 5393 would allow for any permanent, semi-permanent or temporary housing provided, including manufactured or modular housing and travel trailers, to be placed in floodplains when necessary. The Director of FEMA would be required to develop and maintain evacuation plans for households receiving disaster housing assistance from HUD, for the 18 month period beginning on the date of the declaration of the disaster.
The Natural Disaster Housing Reform Act of 2006 has been referred to both the House Committee on Transportation and Infrastructure, which has jurisdiction over FEMA, and the House Committee on Financial Services, which has jurisdiction over HUD.
On May 9, Senator David Vitter (R-LA) introduced S. 2771, the Disaster Housing Flexibility Act of 2006. The provisions of this bill are contained in H.R. 5393, specifically those that authorize FEMA to purchase manufactured modular housing and to allow FEMA to, when necessary, place modular and manufactured housing, as well as travel trailers, in floodplains. S. 2771 would also require FEMA to create evacuation plans for households in temporary housing after a disaster. S.2771 has been referred to the Senate Committee on Homeland Security and Governmental Affairs.
