What Happened?

Earthquakes cost the U.S. nearly $14.7 billion every year in losses, according to a new report from Congress' research branch.

The report reviews the National Earthquake Hazards Reduction Program (NEHRP), a federal effort that coordinates research, monitoring, and engineering guidance to reduce earthquake risks across all 50 states, U.S. territories, and Washington, D.C.

The program's authorization to spend federal money expired Sept. 30, 2023, leaving its future funding in limbo. Congress enacted $165.2 million for the program in fiscal year 2023 and $163.5 million in fiscal year 2024, well below the National Research Council's recommendation of more than $300 million annually.

Why Does it Matter to Me?

A 2019 study cited in the CRS report estimated that seismic building codes return $12 for every $1 spent, and retrofits return $13 for every $1, meaning stronger funding could reduce repair bills and recovery costs for homeowners and local governments after a quake.

An early warning system called ShakeAlert operates in California, Oregon, and Washington, giving residents and automated systems seconds to minutes of notice before shaking arrives. Between Oct. 17, 2019, and Sept. 1, 2023, ShakeAlert recorded 95 alerts for magnitude 4.5 and larger events.

Both Sides, Now

Three reauthorization bills are now before the 119th Congress: S. 320, H.R. 3168, and H.R. 2568. Supporters of full reauthorization argue the program's benefit-cost ratios justify higher investment and point to the gap between current funding and the National Research Council's recommendation as evidence the program is underfunded.

The CRS report notes that a required biennial coordinated interagency budget across NEHRP's four agencies, the National Institute of Standards and Technology (NIST), the U.S. Geological Survey, the Federal Emergency Management Agency (FEMA), and the National Science Foundation, has not been completed. Those who question expanded spending point to that incomplete coordination as a reason to demand better accountability before committing additional dollars.

What Happens Next?

Any of the three pending bills could advance through committee, but none has a scheduled floor vote in either chamber.

The CRS report flags several unresolved issues lawmakers would need to address, including sensor density for ShakeAlert, functional recovery standards for buildings after a quake, state and tribal engagement, and performance indicators for the program. Fiscal year 2025 and 2026 funding totals remain incomplete, adding further uncertainty about the program's near-term resources.

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