This bill creates a new optional block grant program for states recovering from major disasters, allowing them to receive a lump sum of federal funding instead of the traditional case-by-case reimbursement approach under disaster relief law. Under the program, the Federal Emergency Management Agency would assess a state's disaster recovery costs and provide a single block grant that the state can use flexibly for recovery activities, with the option to request one adjustment if the initial amount proves insufficient. States that choose this block grant option would no longer be eligible for direct federal public assistance funding for that specific disaster, but any leftover funds could be redirected toward preparedness or mitigation efforts. The bill requires participating states to submit detailed reports on how they use the funds within 120 days and annually thereafter, and directs FEMA to report to Congress annually on how well the program works, including whether cost estimates are accurate and timely and what administrative challenges exist.
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