Congressman Neal Dunn, who represents Florida’s 2nd district in the U.S. Congress, has introduced new legislation aimed at helping local governments and electric cooperatives recover from natural disasters. The FEMA Loan Interest Payment Relief Act would reimburse these entities for interest payments on loans taken out to fund disaster recovery while waiting for federal assistance.
“Communities impacted by natural disasters are often left with staggering financial burdens while waiting for federal reimbursements on their disaster loans,” said Congressman Dunn. “Municipal governments and electric coops should not have to face undue financial burdens for the sluggish response from FEMA. This bill ensures that our communities are reimbursed for the interest on loans they need to make a full recovery. By lifting this financial strain, we are empowering communities to focus on what truly matters after disaster strikes – rebuilding and recovery.”
Currently, local governments and electric cooperatives must often secure loans to cover immediate disaster-related expenses before receiving aid from the Federal Emergency Management Agency (FEMA). Delays in FEMA’s response can result in significant interest costs for these organizations. The proposed bill would shift responsibility for these interest payments to the federal government, providing retroactive relief for loans taken within nine years prior to its enactment.
Neal Dunn has represented Florida’s 2nd District since 2017 after succeeding Gwen Graham and previously served in the Florida House of Representatives. He was born in Boston, Massachusetts in 1953 and now resides in Panama City.
