Bill Overview
Title: Preventing Disaster Revictimization Act
Description: This bill requires the Federal Emergency Management Agency (FEMA) to waive certain debts owed to the United States related to disaster assistance provided to an individual or household. Specifically, FEMA must waive a debt owed to the United States related to disaster assistance provided to an individual or household if such assistance (1) was distributed based on an error by FEMA and such debt is construed as a hardship, and (2) is subject to a claim or legal action. FEMA must report to Congress on (1) actions that it will take to reduce the assistance payment error rate, and (2) the internal processes used to make decisions regarding the distribution of federal disaster assistance to individuals and households and any changes made to such processes.
Sponsors: Rep. Graves, Sam [R-MO-6]
Target Audience
Population: Individuals or households experiencing debt due to erroneous FEMA disaster assistance
Estimated Size: 240000
- The bill addresses debts owed to the U.S. government as a result of FEMA's error in disaster assistance payment.
- It specifically aids individuals or households who have received disaster assistance and owe debts due to FEMA's error.
- Disaster assistance from FEMA typically targets individuals impacted by natural disasters such as hurricanes, floods, earthquakes, and wildfires.
- There are roughly 722 natural disasters globally each year affecting various populations, but FEMA's jurisdiction is limited to the U.S.
- FEMA had awarded approximately 4.8 million households assistance by 2021, but not all of them faced issues relevant to the bill's conditions.
- Assuming about a proportionate segment based on erroneous distributions, the impacted amount could be considerably smaller, focusing solely on those experiencing debt relief hardship in the U.S.
Reasoning
- The Preventing Disaster Revictimization Act is targeted at a specific subset of individuals who have received FEMA disaster assistance due to errors in the payment process. As FEMA's sole focus is the U.S., this policy's impact will only affect American households.
- One important factor is the distribution of natural disasters across the U.S., which varies significantly from states like California with wildfires and earthquakes, to the Gulf and East Coast states with hurricanes, to the Midwest with tornadoes.
- The policy's budget provides limitations on how many people can realistically benefit each year. With available funding, the program can be expected to have a direct impact on a limited portion of the estimated population of affected households.
- The key focus of this study is on perceived well-being through the Cantril ladder scale where we record both current and projected scores under the conditions of the policy. The expectation is that debt relief could alleviate stress and improve wellbeing.
Simulated Interviews
Nurse (New Orleans, Louisiana)
Age: 45 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 6/20
Statement of Opinion:
- The debt from the overpayment was a significant burden on our finances.
- I am hopeful that the policy will relieve our family from an unjust debt.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 4 |
Firefighter (Paradise, California)
Age: 35 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- It was unfair to expect us to pay back money that wasn't our mistake.
- This policy could bring us financial peace.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 4 |
| Year 2 | 7 | 4 |
| Year 3 | 7 | 4 |
| Year 5 | 7 | 4 |
| Year 10 | 7 | 4 |
| Year 20 | 6 | 3 |
Retired (Miami, Florida)
Age: 65 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 7/20
Statement of Opinion:
- Debt has been a major cause of anxiety in my life.
- If we can clear this, it will greatly ease my mind.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 7 | 4 |
| Year 20 | 6 | 4 |
Software Developer (Houston, Texas)
Age: 29 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- I've been trying to contest this unfair debt for years.
- A resolution would finally allow me to focus on my career and life positively.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 6 |
| Year 3 | 9 | 6 |
| Year 5 | 9 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 4 |
Construction Worker (Moore, Oklahoma)
Age: 50 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 7.0 years
Commonness: 6/20
Statement of Opinion:
- We've been struggling to pay off a debt we shouldn't owe.
- It's a relief that there might be an end to this.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 4 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 3 |
| Year 20 | 5 | 2 |
Teacher (Newark, New Jersey)
Age: 40 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- Paying this debt causes a lot of stress for my family.
- I hope we can have it settled favorably.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 5 |
| Year 5 | 6 | 4 |
| Year 10 | 6 | 3 |
| Year 20 | 5 | 3 |
Mechanic (Nashville, Tennessee)
Age: 60 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 7.0 years
Commonness: 5/20
Statement of Opinion:
- This debt has put me close to losing my home.
- The policy could help avoid financial crisis.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 4 |
| Year 5 | 6 | 3 |
| Year 10 | 6 | 3 |
| Year 20 | 5 | 2 |
Tourism Manager (Puerto Rico)
Age: 31 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 4.0 years
Commonness: 7/20
Statement of Opinion:
- Our community still feels the hurricane's impact, and this debt only adds to the challenges.
- I look forward to relief and focusing on rebuilding.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 3 |
College Student (Biloxi, Mississippi)
Age: 27 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 8.0 years
Commonness: 5/20
Statement of Opinion:
- The debt has limited my educational opportunities.
- This policy could free my family from a significant burden.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 5 |
| Year 10 | 6 | 4 |
| Year 20 | 5 | 3 |
Retail Worker (Kansas City, Missouri)
Age: 55 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 9.0 years
Commonness: 6/20
Statement of Opinion:
- The financial strain from an incorrect debt is overwhelming.
- I hope this policy addresses and eliminates this error.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 8 | 5 |
| Year 3 | 8 | 4 |
| Year 5 | 7 | 4 |
| Year 10 | 6 | 3 |
| Year 20 | 5 | 2 |
Cost Estimates
Year 1: $200000000 (Low: $100000000, High: $300000000)
Year 2: $250000000 (Low: $120000000, High: $350000000)
Year 3: $250000000 (Low: $120000000, High: $350000000)
Year 5: $300000000 (Low: $150000000, High: $400000000)
Year 10: $350000000 (Low: $200000000, High: $500000000)
Year 100: $400000000 (Low: $250000000, High: $550000000)
Key Considerations
- The error rate in FEMA’s assistance distribution impacts the cost estimates significantly.
- The determination of what constitutes a hardship will affect the number of debts waived.
- The frequency and severity of natural disasters influence the number of assistance claims and potential errors.
- Long-term improvements in FEMA’s internal processes might reduce future errors, impacting the cost estimates.