Washington, DC – Today, Congresswoman Julia Brownley (D-CA) introduced the Disaster Displacement Assistance Improvement Act, legislation to improve the Federal Emergency Management Agency’s (FEMA) Displacement Assistance program. The bill ensures that disaster survivors can access critical housing support without delays caused by insurance determinations.
“In the immediate aftermath of a disaster, survivors who cannot return to their homes often need urgent financial assistance to secure a safe place to stay and begin rebuilding their lives,” said Congresswoman Brownley. “While FEMA’s Displacement Assistance program provides up-front funds to help with these immediate housing needs, current rules prevent assistance from reaching individuals with insurance unless it is confirmed that their policy does not cover similar expenses. Survivors often face delays in receiving timely responses from insurance companies, leaving them without the support they need to secure temporary housing. This bill removes this unnecessary red tape, ensuring that insurance is not a barrier to receiving critical assistance when it is needed most.”
Background
In 2024, FEMA launched the Displacement Assistance program to address the immediate housing needs of survivors who cannot return to their homes after a disaster. The program provides eligible survivors with up-front funds to assist with immediate housing options of their choice, such as costs associated with staying with family or friends, until they can secure rental housing and focus on long-term recovery. Displacement Assistance helps survivors transition from congregate shelters to more permanent housing solutions like hotels or rentals.
The Disaster Displacement Assistance Improvement Act seeks to improve the program by clarifying that insurance should not be considered a duplication of benefits when determining eligibility, ensuring that all those in need receive the assistance they deserve. FEMA’s current interpretation of the Stafford Act prevents the agency from offering Displacement Assistance to anyone with insurance unless they can confirm that their insurance policy does not cover the expenses typically covered by the program. However, Displacement Assistance is designed to address immediate needs after a disaster, and most survivors are unable to get a timely decision from their insurance company when they most need the assistance.
If enacted, the Disaster Displacement Assistance Improvement Act will ensure that survivors have access to Displacement Assistance, regardless of their insurance status, allowing them to receive this support alongside resources from FEMA’s Serious Needs Assistance program.
Read the full text of the bill, here.
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Issues: 119th Congress, Disaster Relief