INSIGHTi
Recent Funding Increases for FEMA Hazard
Mitigation Assistance
Updated November 16, 2021
Introduction
The Federal Emergency Management Agency (FEMA) recently announced that $3.46 bil ion in Hazard
Mitigation Grant Program funding (HMGP) wil be made available to states, territories, and tribes (STTs)
with major disaster declarations for the COVID-19 pandemic. FEMA also announced increased funding
for the Building Resilient Infrastructure and Communities (BRIC) program for FY2021. In addition,
significant new mitigation funding wil be available from FY2022 through the Infrastructure Investment
and Jobs Act (IIJA).
The Infrastructure Investment and Jobs Act
The IIJA appropriates $3.5 bil ion for the Flood Mitigation Assistance Grant Program (FMA), with $700
mil ion for each of FY2022 to FY2026, and provides a 90% federal cost share for a property: (1) that is
located in a census tract with a CDC Social Vulnerability Index score of not less than 0.5001; or (2) that
serves as a primary residence for individuals with a household income of not more than 100% of the
applicable area median income. This represents the first time that funding has been appropriated for
FMA, which has previously been funded by NFIP policyholders.
The IIJA appropriates $1 bil ion for BRIC, with $200 mil ion in each of FY2022-FY2026. This funding is
in addition to the 6% set-aside.
The IIJA also appropriates $500 mil ion, with $100 mil ion in each of FY2022-FY2026, to establish state
revolving loan funds for hazard mitigation, which were authorized by the STORM Act.
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The Hazard Mitigation Grant Program and the
COVID-19 Disasters
HMGP assistance is triggered by a major disaster declaration or a Fire Management Assistance Grant
(FMAG) under the Stafford Act, awarded on a sliding scale as a percentage of the estimated amount of
total federal assistance for the disaster:
up to 15% of the first $2 bil ion,
up to 10% for amounts between $2 bil ion and $10 bil ion, and
up to 7.5% for amounts between $10 bil ion and $35.333 bil ion.
States with a FEMA-approved Enhanced Hazard Mitigation Plan before the disaster are eligible for
HMGP funding of 20% of the total amount of disaster assistance.
STTs can use HMGP funding for mitigation projects for any type of natural hazard and for any eligible
activity that reduces risk and builds resilience. HMGP funding does not have to be used for the particular
incident or disaster type for which it was al ocated. For example, funding al ocated for wildfires in one
county could be used for flood mitigation activities in a different county, if eligible.
FEMA announced on August 5, 2021, that HMGP funding wil be made available to every STT that
received a major disaster declaration for the COVID-19 pandemic for 4% of eligible relief costs (see
Figure 1). This funding is not restricted to pandemic-related mitigation. Four percent is a lower
percentage than is usual y awarded for HMPG, but the total funding of $3.46 bil ion represents the largest
amount of HMGP funding in a single fiscal year. (The largest amount previously was $2.29 bil ion in
FY2005.)
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Figure 1. Hazard Mitigation Grant Program Funding for Major Disaster Declarations
Related to the COVID-19 Pandemic
Source: FEMA, HMGP Al ocations for COVID-19 Declarations.
Pre-Disaster Mitigation
Over the years, post-disaster mitigation has received significantly more funding than pre-disaster
mitigation. GAO found that of the approximately $11.3 bil ion in mitigation funding obligated from
FY2010 to FY2018, 88% was for post-disaster grants through HMGP and PA. FEMA’s competitive pre-
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disaster grant programs, FMA and the Pre-Disaster Mitigation Grant Program (the predecessor of BRIC)
accounted for about 12% of the total; see Figure 2.
The BRIC Program began in FY2020, following the Disaster Recovery Reform Act of 2018, which
authorized the President to set aside from the Disaster Relief Fund (DRF), for every major disaster
declaration, an amount equal to 6% of the total funding awarded under seven sections of the Stafford Act.
Based on historical disaster expenditures, FEMA’s expectation was that this set-aside would be $300-500
mil ion per year; however, the COVID-19 major disaster declarations resulted in additional funding. As of
October 31, 2021, $1.629 bil ion was set aside in the DRF for pre-disaster mitigation.
$500 mil ion was available for BRIC in FY2020. The program was oversubscribed, with 53 states and
territories requesting over $3.6 bil ion. The Notice of Funding Opportunity (NOFO) for BRIC FY2021
was posted on August 9, 2021, with a total of $1 bil ion available:
state/territory al ocation: $56 mil ion;
tribal set-aside: $25 mil ion;
national competition: $919 mil ion.
The priorities for FY2021 incentivize
natural hazard risk reduction activities that mitigate risk to public infrastructure and
disadvantaged communities;
projects that mitigate risk to one or more community lifelines;
projects that incorporate nature-based solutions;
projects that enhance climate resilience; and
projects proposed by applicants who adopt and enforce mandatory building codes based
on the latest published editions of building codes.
BRIC FY2021 wil promote equity by prioritizing 40% of the funding for disadvantaged communities, in
accordance with E.O. 14008 and the Justice40 Initiative.
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Figure 2. Funding for Pre-Disaster Mitigation FY1997-FY2021
Sources: CRS Report RL34537, FEMA’s Pre-Disaster Mitigation Program: Overview and Issues; FEMA, National Pre-Disaster
Mitigation Fund, Fiscal Year 2017 Report to Congress, September 1, 2017, p. 4; FEMA Notices of Funding Opportunity for the
Pre-Disaster Mitigation Grant Program 2017, 2018, and 2019; FEMA Notices of Funding Opportunity for BRIC FY2020 and
FY2021.
Flood Mitigation Assistance
FEMA also operates a Flood Mitigation Assistance Grant Program (FMA), available only to communities
which participate in the NFIP (National Flood Insurance Program). $200 mil ion was available for FMA
in FY2020. FEMA received 236 applications for FMA from 30 states and territories, requesting total
project costs exceeding $477 mil ion. Twenty-six states did not submit FMA applications.
The FY2021 NOFO for FMA was posted on August 9, 2021, with $160 mil ion available in FY2021.
FMA wil prioritize 40% of funding for disadvantaged communities, and wil use the Centers for Disease
Control and Prevention (CDC) Social Vulnerability Index (SVI) at a threshold of 0.7501 or greater as a
priority scoring criterion.
None of this additional hazard mitigation funding (HMGP, BRIC, or FMA) requires hazard-resistant or
energy-efficient codes and standards. These standards may particularly benefit low-income households
and communities.
Author Information
Diane P. Horn
Analyst in Flood Insurance and Emergency Management
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Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff
to congressional committees and Members of Congress. It operates solely at the behest of and under the direction of
Congress. Information in a CRS Report should not be relied upon for purposes other than public understanding of
information that has been provided by CRS to Members of Congress in connection with CRS’s institutional role.
CRS Reports, as a work of the United States Government, are not subject to copyright protection in the United
States. Any CRS Report may be reproduced and distributed in its entirety without permission from CRS. However,
as a CRS Report may include copyrighted images or material from a third party, you may need to obtain the
permission of the copyright holder if you wish to copy or otherwise use copyrighted material.
IN11733 · VERSION 7 · UPDATED
