2023 Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund Program

Grant Duration: 12 months

Details:

The STORM Act is an amendment to the Robert T. Stafford Disaster Relief and Emergency Assistance Act to allow the Administrator of the Federal Emergency Management Agency to provide capitalization grants to States or Indian tribal governments to establish revolving loan funds to provide hazard mitigation assistance to local governments to reduce risks from disasters and natural hazards, and other related environmental harm. PUBL284.PS. The Administrator may enter into agreements with eligible entities to make capitalization grants to such entities for the establishment of hazard mitigation revolving loan funds for providing funding assistance to local governments to carry out eligible projects under this section to reduce disaster risks for homeowners, businesses, nonprofit organizations, and communities in order to decrease the loss of life and property, the cost of insurance; and  Federal disaster payments. Entity loan funds shall be administered by the agency responsible for emergency management; and  include only funds provided by a capitalization grant under this section, repayments of loans under this section to the entity loan fund, and interest earned on amounts in the entity loan fund.

Objective

The objective of the Safeguarding Tomorrow RLF program is to capitalize applicant established revolving loan funds that will provide loans to local governments most in need of financing assistance to complete hazard mitigation projects and activities that will reduce risks from natural hazards for homeowners, businesses, non-profit organizations, and communities in order to decrease the loss of life and property, the cost of insurance and federal disaster payments.

Priorities

FEMA’s primary priority for the Safeguarding Tomorrow RLF program is to capitalize multiple revolving loan funds that will provide local governments most in need of financing assistance with low-interest loans to finance hazard mitigation projects in their entirety, or the non-federal cost share requirement for other FEMA HMA grants. For this inaugural funding opportunity, other priorities include collaborating with participating entities to understand programmatic capacity and capability needs; promoting equity in the distribution of loan funds; and supporting the delivery of innovative and transformational hazard mitigation projects addressing the priorities established in 42 U.S.C. § 5135 (d)(3).

The program framework has incorporated key components of FEMA’s agency-wide strategic priorities to minimize administrative burden on entities. At the grant level, FEMA will leverage the technical assistance allowable under 42 U.S.C. § 5135 (d)(2) to work with entities in the Year 1 application period to develop a more simplified grant application process, while still complying with statutory requirements and equity priorities.

Funding Information

Available Funding for the NOFO: $50,000,000

FEMA anticipates making available no less than $5,100,000 per grant application selected for funding.

Period of Performance

24 months from date of award

Eligibility Criteria

Any state of the United States, the District of Columbia, and the Commonwealth of Puerto Rico are eligible to apply for Safeguarding Tomorrow RLF program funds.

Federally recognized tribal governments having received a major disaster declaration under the Robert T. Stafford Disaster Relief and Emergency Assistance Act between January 1, 2016 and January 1, 2021, are also eligible to apply. FEMA has determined that the following tribes were found to have a qualifying major disaster declaration including but may not be limited to: Seminole Tribe of Florida, Muscogee (Creek) Nation, Pueblo of Acoma, Ponca Tribe of Nebraska, Navajo Nation, Sac & Fox Tribe of the Mississippi in Iowa, Oglala Sioux Tribe, Havasupai Tribe, Soboba Band of Luiseño Indians, Tohono O’odham Nation, Cahuilla Band of Indians, La Jolla Band of Luiseño Indians, Resighini Rancheria, Hoopa Valley Tribe, and Confederated Tribes of the Colville Reservation.

For this funding opportunity, FEMA will not provide capitalization grants to insular areas. As defined by 42 U.S.C. § 5135(m)(5), insular areas include Guam, American Samoa, the Commonwealth of the Northern Mariana Islands and U.S. Virgin Islands. Insular areas may have future opportunities to participate directly in this program.

Pursuant to 42 U.S.C. § 5135(d)(2), FEMA is authorized to set-aside up to 2.5 percent of available funds to provide technical assistance to eligible applicants, provide capitalization grants to insular areas, and cover the administrative costs of carrying out the program. For this NOFO, FEMA will prioritize funding to provide technical assistance to eligible applicants. FEMA intends to utilize lessons learned from this NOFO to understand technical assistance needs and best practices that will inform FEMA on its allocation of funds in future funding cycles, including to insular areas.

Applicant Eligibility Criteria

To be eligible, applicants must:

• Provide an Intended Use Plan that has been published by the applicant for review and comment prior to submitting an application, as required by 42 U.S.C. § 5135(g).
• Provide a project proposal list, prior to submitting an application, that results from a public notice of no less than six weeks in length, inviting hazard mitigation project proposals from local governments, as required by 42 U.S.C. § 5135(b)(1)(A).
• Have a FEMA-approved State or Tribal Hazard Mitigation Plan in accordance with Title 44 of the Code of Federal Regulations (C.F.R.) Part 201 by the application deadline and at the time of obligation of the award.

For more information, visit Grants.gov.