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Lawmakers debate emergency management package as FEMA reimbursements remain pending

Governor's Office · June 5, 2024
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Summary

Legislative leaders discussed a supplemental to help storm-hit communities and cash advances to cover FEMA timing gaps; figures presented included $6,518,180.77 ready for closing, $18,340,133.22 pending, and options to reserve $30M–$45M. Subcommittees will formalize the package. (OEM director via staff)

Lawmakers addressed a shortfall in local cash flow caused by recent storms and discussed options to cover FEMA timing and community cash needs. Agency staff told the group that $6,518,180.77 is ready for FEMA closing and another $18,340,133.22 is pending; staff estimated about 50% of the pending claims would be ready in FY25 and recommended reserving $9,170,066 for those anticipated closings.

Members discussed creating an OEM cash‑advance fund to help towns cover immediate bills while FEMA proceeds are processed; staff estimated that such a facility would require about $15,000,000 to start and would be replenished as FEMA reimbursed costs. That package was discussed as part of a broader OEM appropriation in the $30,000,000 range; several senators signaled they would support setting a higher ceiling — $45,000,000 — to account for potential new events during the legislative session.

No formal appropriation passed during the meeting; leaders agreed to carry the OEM figures back to their subcommittees for refinement and a committee vote. Governor and legislative leaders said they prefer a one‑time supplemental that could be reimbursed later rather than adding recurring obligations to the base budget.