Legislature(2009 - 2010)BARNES 124

02/04/2010 01:00 PM House MILITARY & VETERANS' AFFAIRS


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 291 GUARANTEED REVENUE BONDS FOR VETERANS TELECONFERENCED
Moved Out of Committee
+= HB 292 GRANTS TO DISASTER VICTIMS TELECONFERENCED
Moved Out of Committee
               HB 292-GRANTS TO DISASTER VICTIMS                                                                            
                                                                                                                                
1:04:47 PM                                                                                                                    
                                                                                                                                
CHAIR GATTO announced that the  second order of business would be                                                               
HOUSE BILL  NO. 292, "An Act  relating to grants to  victims of a                                                               
disaster in this state; and providing for an effective date."                                                                   
                                                                                                                                
1:06:50 PM                                                                                                                    
                                                                                                                                
MICHAEL O'HARE,  Deputy Director,  Division of  Homeland Security                                                               
and  Emergency  Management  (DHS&EM), Department  of  Military  &                                                               
Veterans' Affairs (DMVA), summarized HB  292.  The concept of the                                                               
bill proposes  an increase in  the maximum assistance  grant that                                                               
the  governor  can  provide  to individual  victims  of  a  state                                                               
declared disaster.   A $5,000  maximum amount has been  in effect                                                               
for over 20 years and the intent  of the bill is to modernize the                                                               
amount  and  make  the assistance  more  appropriate  to  today's                                                               
economy.  A multi-agency task  force studied the grant amount and                                                               
recommended  an increase  to one-half  of the  federal individual                                                               
assistance  amount that  is based  on the  consumer price  index.                                                               
Mr.  O'Hare explained  that one-half  of  the federal  individual                                                               
assistance  amount  is  currently   approximately  $15,000.    He                                                               
reminded  the committee  that his  office  requires an  extensive                                                               
victim's   application    process   including    interviews   and                                                               
verifications [in  order to qualify  for a grant].   In addition,                                                               
applicants must  verify that  they cannot  recover from  the loss                                                               
and do  not have  insurance, and they  must provide  receipts for                                                               
grant expenditures.                                                                                                             
                                                                                                                                
1:09:29 PM                                                                                                                    
                                                                                                                                
CHAIR  GATTO  said  the  fiscal note  indicates  that  the  grant                                                               
appropriations for  2012 to 2016  would total $900,000  per year.                                                               
He asked for  the anticipated number of events and  the number of                                                               
grant recipients.                                                                                                               
                                                                                                                                
MR.  O'HARE explained  that the  amounts on  the fiscal  note are                                                               
speculative because no one knows  how many disasters will happen;                                                               
however, the average  is about two per year.   In addition, state                                                               
disasters are  the ones  that do not  warrant a  federal disaster                                                               
declaration,  thus are  smaller in  scope.   The proposal  in the                                                               
bill would  also help those  who are  not located in  a federally                                                               
declared  disaster area,  as  was  the case  in  the 2009  spring                                                               
floods where  some victims were  devastated, but  their community                                                               
did not qualify  for federal aid and state aid  was limited to up                                                               
to $5,000 per individual.                                                                                                       
                                                                                                                                
1:10:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BUCH advised  that the  concerns he  expressed at                                                               
the previous hearing were resolved.                                                                                             
                                                                                                                                
1:12:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KAWASAKI  requested a  further explanation  on the                                                               
use of the grant funds.  He said,  "I just want to ensure that if                                                               
we're, in  fact, saying that  this is going  to go to  victims of                                                               
disasters, that  it gets directly  to them ... rather  than being                                                               
circulated around to another agency."                                                                                           
                                                                                                                                
1:13:18 PM                                                                                                                    
                                                                                                                                
MR.  O'HARE  clarified  that  when  a  disaster  is  declared,  a                                                               
disaster  relief  fund  provides  for   the  two  elements  of  a                                                               
disaster: response  and recovery.   Teams of  disaster assistance                                                               
staff go  out to the  affected communities to assess  the damages                                                               
and  determine  the approximate  amount  of  money that  will  be                                                               
needed  for individuals  and for  safety-of-life response  costs,                                                               
which  can include  reimbursing the  Department of  Environmental                                                               
Conservation  (DEC) for  hazardous  materials  mitigation or  the                                                               
Department  of Health  and Social  Services (DHSS)  for community                                                               
work.   The subject  today is  on the other  aspect which  is the                                                               
amount  the  state  can  provide to  individuals  "to  help  them                                                               
recover."    He assured  the  committee,  "every dollar  that  we                                                               
estimate to go to those individuals, goes to those individuals."                                                                
                                                                                                                                
1:14:48 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KAWASAKI surmised  that  there is  one fund  from                                                               
which to draw the requested increments.                                                                                         
                                                                                                                                
1:15:10 PM                                                                                                                    
                                                                                                                                
MR. O'HARE re-stated  that the fiscal note  is purely speculative                                                               
regarding  the amount  and the  number  of people  that could  be                                                               
affected.   As a disaster  happens, his department  would request                                                               
through the  legislature disaster relief  funds to help  with the                                                               
specific disaster.  The department  is asking to increase the cap                                                               
for the recovery aspect, up to $15,000 for qualified applicants.                                                                
                                                                                                                                
1:16:09 PM                                                                                                                    
                                                                                                                                
CHAIR  GATTO asked  whether unspent  money from  one fiscal  year                                                               
rolls over into the next fiscal year.                                                                                           
                                                                                                                                
MR. O'HARE  said yes.   In  further response  to Chair  Gatto, he                                                               
pointed out that prior to  this past spring's disaster, there was                                                               
$10  million  in  the  fund  that  was  utilized  for  individual                                                               
disaster assistance and to pay 25  percent of the cost of federal                                                               
assistance as required by federal statute.                                                                                      
                                                                                                                                
1:17:05 PM                                                                                                                    
                                                                                                                                
CHAIR  GATTO  asked   what  would  happen  if   there  were  more                                                               
applicants than money.                                                                                                          
                                                                                                                                
1:17:18 PM                                                                                                                    
                                                                                                                                
MR. O'HARE  responded that  the money would  be apportioned  or a                                                               
request would  be made  to the  legislature for  more money.   In                                                               
further response  to Chair  Gatto, he  said the  department could                                                               
borrow  "if we've  under-spent [on]  that  [disaster] to  another                                                               
one."  However, the department  does not request funds each year,                                                               
but it  is up  to the  legislature to  forward fund  the disaster                                                               
relief  fund.   During  each  disaster, if  the  costs exceed  $1                                                               
million, the  department is required  to come to  the legislative                                                               
leadership and estimate the  expenditures for response, recovery,                                                               
and  if  applicable,  the  25 percent  portion  due  the  federal                                                               
government.  In  further response, he stated that  the fund could                                                               
not  go "in  debt" because  the  department is  required to  have                                                               
those  funds  available,  especially   in  a  federally  declared                                                               
disaster when the state is responsible for 25 percent.                                                                          
                                                                                                                                
1:18:57 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BUCH  observed that when a  disaster occurs during                                                               
a legislative  session, the  fund is  approved by  a supplemental                                                               
budget;  however, during  the interim,  the request  goes to  the                                                               
president  of   the  Senate  and   the  speaker  of   the  House.                                                               
Historically,  the  House  Special   Committee  on  Military  and                                                               
Veterans' Affairs has been asked to acknowledge the request.                                                                    
                                                                                                                                
1:20:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HARRIS  moved to  report HB  292 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no objection,  HB 292 was reported  from the                                                               
House  Special Committee  on Military  and  Veterans' Affairs  as                                                               
written.                                                                                                                        
                                                                                                                                

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