Helene Small Business Recovery Act
The Helene Small Business Recovery Act would create a new waiver authority to allow the federal government to override the normal prohibition on duplicating benefits under the Stafford Act (Section 312) in response to major disasters or emergencies that occurred in 2023 or 2024. The President could grant a waiver upon request from a state governor or a directly impacted entity (such as a business), if the waiver serves the public interest and would not invite waste, fraud, or abuse. The bill lays out factors the President may consider (including FEMA recommendations, cost effectiveness, equity, and other public policy concerns) and requires a decision within 45 days of the request. It also clarifies that a loan cannot be deemed a duplication if all federal assistance is used to cover the loss, and it prohibits income thresholds from disqualifying someone from receiving a waiver. In short, the measure aims to expand or layer disaster aid for small businesses and other affected entities by allowing certain benefits to be combined more freely, subject to safeguards.
Key Points
- 1Waiver authority: The President may waive the general prohibition on duplicating benefits (Section 312(a)) for Stafford Act assistance when requested by a Governor or an eligible entity affected by a major disaster or emergency, if the waiver is in the public interest and does not involve waste, fraud, or abuse.
- 2Criteria and considerations: The waiver decision may consider FEMA Administrator recommendations (in coordination with relevant agencies), cost effectiveness of funded assistance, equity and good conscience, and other public policy considerations.
- 345-day timeframe: The President must grant or deny the waiver within 45 days of submission of the request.
- 4Loans and duplication: The bill prevents a determination that a loan is a duplication of benefits if all Federal assistance is used to cover the loss from the disaster or emergency.
- 5No income threshold: There is no income cap or threshold to qualify for a waiver, meaning eligibility for a waiver is not limited by recipient income.
- 6Applicability window: The waiver authority would apply to assistance for major disasters or emergencies declared in calendar years 2023 or 2024.