HR 3779 — Resilience Revolving Loan Fund Act of 2019

3779 IntroducedReported in House (IH)](RH)] <DOC> 116thUnion CONGRESSCalendar 1stNo. Session H.

389 116th CONGRESS 2d Session H.

3779 To[Report amendNo. the Robert T.

116-486] To amend the Robert T.

which was referred to the Committee on Transportation and Infrastructure _______________________________________________________________________September A4, BILL2020 ToAdditional amendsponsors: the Robert T.

Mr.

Richmond, Ms.

Titus, Ms.

Finkenauer, Mr.

Pappas, Miss Gonzalez-Colon of Puerto Rico, Mr.

Garamendi, Mr.

Graves of Louisiana, and Mr.

Lipinski September 4, 2020 Reported with an amendment;

committed to the Committee of the Whole House on the State of the Union and ordered to be printed [Strike out all after the enacting clause and insert the part printed in italic] [For text of introduced bill, see copy of bill as introduced on July 16, 2019] _______________________________________________________________________ A BILL To amend the Robert T.

205.205 GRANTS TO ENTITIES FOR ESTABLISHMENT OF HAZARD MITIGATION REVOLVING LOAN FUNDS.

GRANTS``(a) TOGeneral ENTITIESAuthority.-- FOR``(1) ESTABLISHMENTIn OFgeneral.--The HAZARDAdministrator MITIGATIONmay REVOLVINGenter LOANinto FUNDS.agreements with eligible entities to make capitalization grants to such entities for the establishment of hazard mitigation revolving loan funds (referred to in this section as `entity loan funds') for providing funding assistance to local governments to carry out eligible projects under this section to reduce disaster risks for homeowners, businesses, nonprofit organizations, and communities in order to decrease-- ``(A) the loss of life and property;

``(a) General Authority.-- ``(1) In general.--The Administrator may enter into agreements with eligible entities to make capitalization grants to such entities for the establishment of hazard mitigation revolving loan funds (referred to in this section as `entity loan funds') for providing funding assistance to local governments to carry out eligible projects under this section to reduce disaster risk in order to decrease-- ``(A) the loss of life and property;

``(2) Fund management.--Except as provided in paragraph (3), an entity loan fundsfund shall be administered by the agency responsible for emergency management for such entity and shall include only-- ``(A) funds provided by a capitalization grant under this section;

and ``(B) providing technical assistance to participating entities under subsection (b)(2);(b)(2).

and ``(C) capitalization grants to insular areas under paragraph (4).

``(B) involve a partnership between two2 or more eligible entities to carry out a project or similar projects;

or ``(D) propose projects for the resilience of major economic sectors or critical national infrastructure, including ports, global commodity supply chain assets (located within an entity or within the jurisdiction of local governments,governments insular areas, and tribal governments), capacity, power and water production and distribution centers, and bridges and waterways essential to interstate commerce.

``(4)``(e) InsularUse areas.--of ``(A)Funds.-- Apportionment.--From``(1) anyTypes amountof remainingassistance.--Amounts ofdeposited fundsin reservedan underentity paragraphloan (2),fund, theincluding Administratorloan repayments and interest earned on such amounts, may enterbe intoused-- agreements``(A) to providemake capitalizationloans, grantson tothe insularcondition areas.that-- ``(i) such loans are made at an interest rate of not more than 1.5 percent;

``(B) Requirements.--An insular area receiving a capitalization grant under this section shall comply with the requirements of this section as applied to participating entities.

``(e) Environmental Review of Revolving Loan Fund Projects.--The Administrator may delegate to a participating entity all of the responsibilities for environmental review, decision making, and action pursuant the National Environmental Policy Act of 1969 (42 U.S.C.

4321 et seq.), and other applicable Federal environmental laws including the Endangered Species Act of 1973 (16 U.S.C.

1531 et seq.) and the National Historic Preservation Act of 1966 (16 U.S.C.

470 et seq.) that would apply to the Administrator were the Administrator to undertake projects under this section as Federal projects so long as the participating entity carry out such responsibilities in the same manner and subject to the same requirements as if the Administrator carried out such responsibilities.

``(f) Use of Funds.-- ``(1) Types of assistance.--Amounts deposited in an entity loan fund, including loan repayments and interest earned on such amounts, may be used-- ``(A) to make loans, on the condition that-- ``(i) such loans are made at an interest rate of not more than 1.5 percent;

``(iv) the local government receiving a loan has a hazard mitigation plan that has been approved by the Administrator;participating entity;

``(E) flooding;flooding, including the construction, repair, or replacement of a non-Federal levee or other flood control structure, provided the Administrator, in consultation with the Corps of Engineers (if appropriate), requires an eligible entity to determine that such levee or structure is designed, constructed, and maintained in accordance with sound engineering practices and standards equivalent to the purpose for which such levee or structure is intended;

``(4) Zoning and land use planning changes.--A participating entity may use not more than 10 percent of the entity loan fund in a capitalizationfiscal grantyear underto thisprovide sectionfinancial assistance for zoning and land use planning changes focused on-- ``(A) the development and improvement of zoning and land use codes that incentivize and encourage low- impact development, resilient wildland-urban interface land management and development, natural infrastructure, green stormwater management, conservation areas adjacent to floodplains, implementation of watershed or greenway master plans, and reconnection of floodplains;

``(B) the study and creation of agriculturalland riskuse compensationincentives districtsthat wherereward theredevelopers isfor agreater desirereliance toon removelow orimpact set-backdevelopment leveesstormwater protectingbest highlymanagement developedpractices, agriculturalexchange landdensity increases for increased open space and improvement of neighborhood catch basins to mitigate forurban flooding, allowingreward agriculturaldevelopers producersfor toincluding receiveand compensationaugmenting fornatural assuminginfrastructure greateradjacent floodto riskand thataround wouldbuilding alleviateprojects floodwithout exposurereliance toon populationsincreased centerssprawl, and areasreward withdevelopers criticalfor nationaladdressing infrastructure;wildfire ignition;

and ``(C) the study and creation of landan useerosion incentivesresponse plan that rewardaccommodates developersriver, forlake, greaterforest, relianceplains, on low impact development stormwater best management practices, exchange density increases for increased open space and improvementocean ofshoreline neighborhoodretreating catchor basinsbluff tostabilization mitigatedue urban flooding, reward developers for including and augmenting natural infrastructure adjacent to and around building projects without reliance on increased sprawl,flooding and rewarddisaster developersimpacts. for addressing wildfire ignition;

``(5) Administrative and ``(D)technical thecosts.--For studyeach andfiscal creationyear, ofa anparticipating erosionentity responsemay planuse thatthe accommodatesamount river,described lake,in forest,paragraph plains,(1)(C) andto-- ocean``(A) shorelinepay retreatingthe orreasonable bluffcosts stabilizationof dueadministering tothe increasedprograms floodingunder andthis disastersection, impacts.including the cost of establishing an entity loan fund;

``(5) Establishing and carrying out building code enforcement.--A participating entity may use capitalization grants under this section for establishing and carrying out the latest published editions of relevant building codes, specifications, and standards for the purpose of protecting the health, safety, and general welfare of the buildings users against disasters.

``(6) Administrative and technical costs.--For each fiscal year, a participating entity may use the amount described in paragraph (1)(C) to-- ``(A) pay the reasonable costs of administering the programs under this section, including the cost of establishing an entity loan fund;

``(7)``(6) Limitation for single projects.--A participating entity may not provide an amount equal to or more than $5,000,000 to a single hazard mitigation project.

``(g)``(f) Intended Use Plans.-- ``(1) In general.--After providing for public comment and review, and consultation with appropriate agencies in an entity, Federal agencies, and interest groups, each participating entity shall annually prepare and submit to the Administrator a plan identifying the intended uses of the entity loan fund.

``(h)``(g) Audits, Reports, Publications, and Oversight.-- ``(1) Biennial entity audit and report.--Beginning not later than the last day of the second fiscal year after the receipt of payments under this section, and biennially thereafter, any participating entity shall-- ``(A) conduct an audit of such fund established under subsection (b);