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Guam lawmakers press homeland security officials over FEMA restrictive drawdown, corrective-action progress
Summary
Lawmakers questioned Homeland Security leadership on May12, 2026 FEMA restrictive drawdown of Region 9 grants and progress on corrective actions tied to the 2023 Premier Group audit; officials said several CAP items are complete, but major documentation and reimbursement gaps remain.
The Committee on Public Safety, Emergency Management, and Guam National Guard pressed homeland security officials on June 15 over FEMAs decision to place all FEMA Region 9 grants to Guam on "restrictive drawdown" and on which corrective action plan (CAP) items have been fully resolved.
In opening remarks the committee said FEMAs May 12, 2026 letter put all Region 9 awards on restrictive drawdown and flagged three problems driving the action: prior monitoring findings, the 2023 Premier Group audits identification of millions in questioned costs, and 2025 indictments of several staff. "If these resources are not handled according to FEMA requirements, they have the potential to jeopardize critically federally funded preparedness, mitigation, and recovery grants moving forward," the chair told the panel.
Homeland Security Adviser Esther JC Agi told the committee that FEMAs January approval of Guams CAP and the May restrictive drawdown are distinct actions: "The first is a judgment that our plan is sound. The second is a control mechanism that keeps federal funds flowing while we prove that soundness over time." She said FEMA requires "three consecutive years of clean monitoring" and sustained low error rates before the restriction can be lifted.
Agi and witnesses described specific reforms they say have been implemented since 2023: revised timekeeping procedures, mandatory grants‑management training for finance staff, quarterly internal transaction audits, a grants monitoring committee established by the chief of staff, and identification of authorizing and certifying officers. "The documentation is complete. The controls are operating and the federal relationship is active and collaborative," Agi said.
But senators pressed for tangible counts. Grants manager Lucy Perez and finance lead Joe Cabana told the panel they consider roughly four of the 12 CAP items to be addressed (timekeeping, training on CFR 200, salary allocation methodology and budget monitoring), with several others under review by FEMA. Committee members repeatedly asked for documentary proof and for a clear list of which findings FEMA has certified as resolved.
The hearing also revisited fiscal impacts cited in local audits. An Office of Public Accountability report found the Office of Homeland Security/Office of Civil Defense owes about $8.4 million to the general fund; witnesses said FEMA reimbursements to date amount to roughly $0.5 million and that most disputed claims remain under review. The committee cited a separate FEMA determination (May 7, 2025) that authorized about $280,000 of $1.18 million in submitted claims, underscoring the need for more robust supporting documentation.
Committee members demanded follow-up: names and certificates for staff who completed FEMA and local procurement training, the RACI/RAACI matrix and evidence of DOA and BBMR consultations, and an itemized list of grants affected by the restrictive drawdown with award amounts and performance periods. Agi and staff agreed to provide those records.
The committee adjourned after instructing officials to deliver documentation and to continue implementing internal controls; senators emphasized that lifting FEMAs restriction will require not only policy fixes but sustained, verifiable performance over multiple monitoring cycles.
