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Rubio Reintroduces FEMA Loan Interest Payment Relief Act

Apr 18, 2023 | Press Releases

In response to natural disasters, which can devastate communities, local governments are on the front line to recovery. These local governments often take out loans to pay for response services, and in turn, incur interest while waiting for approved reimbursement from the federal government.

U.S. Senator Marco Rubio and colleagues re-introduced the FEMA Loan Interest Payment Relief Act, which would require FEMA to reimburse local governments for interest payments on disaster-related loans.

  • “Local governments, electric co-ops, and other entities work incredibly hard to respond to crisis situations. This bicameral legislation would significantly reduce the burden of interest payments on loans to the hardest hit communities. Promoting policy that best serves the interest of our fellow Americans remains my priority, especially following a natural disaster.” – Senator Rubio

U.S. Representatives Neal Dunn (R-FL) and Darren Soto (D-FL) introduced companion legislation in the House.

  • “Local governments and electric cooperatives in Florida’s Second Congressional District worked hard in the wake of Hurricane Michael to restore services necessary to the disaster response. Such entities incur interest on the loans they secure while they await federal reimbursement from FEMA. This cripples communities and puts them on the hook for millions of dollars. I am pleased that my bill was passed in the House by a large margin last year. This bill directs the federal government to obligate reimbursement in a timelier manner. Florida’s Second continues to persevere and demonstrate resilience in the face of adversity and this bill will help folks as they continue to get back on their feet.” – Congressman Dunn
  • “By providing local governments and electric co-ops with access to disaster debt relief, we’re not only easing their financial burden, but we’re also providing relief to ratepayers and investing in the resiliency to protect our future. It’s time to support those who are on the front lines of recovery and ensure that they have the resources they need to rebuild and recover stronger than ever before. I am proud to co-introduce the FEMA Loan Interest Payment Relief Act in the House.” – Congressman Soto