Pub Law 93-288 Stafford Disaster Relief

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

143

Public Law 93-287
AN ACT
To authorize the Secretary of State or such officer as he may designate to conclude an agreement with the People's Republic of China for indemnification for
any loss or damage to objects in the "Exhibition of the Archeological Finds of
the People's Republic of China" while in the possession of the Government of
the United States.
Be it enacted hy the Senate and House of Representatives of the
United States of America in Congress assembled^ That the Secretary
of State or such officer as he may designate is authorized to conclude an
agreement with the Government of the People's Republic of China for
indemnification of such Government, in accordance Math the terms of
the agreement, for any loss or damage suffered by objects in the exhibition of the archeological finds of the People's Republic of China
from the time such objects are handed oA^er in Toronto, Canada, to a
representative of the Government of the United States to the time they
are handed over in Peking, China, to a representative of the Government of the People's Republic of China.
Approved May 2 1 , 1974.

May 2 1 , 1974
[S.3304]

Exhibition of
the Archeological
Finds of the
People's Republic of C h i n a .
Indemnification
agreement.

Public Law 93-288
AN ACT
Entitled the "Disaster Relief Act Amendments of 1974"
Be it enacted hy the Senate and House of Representatives of the
United States of America in Congress assembled^ That this Act may
be cited as the "Disaster Relief Act of 1974".

May 22, 1974
[S.3062]

Disaster Relief

Act of 1974.
42 u s e 5121

TITLE I—FINDINGS, DECLARATIONS, AND
DEFINITIONS
FINDINGS

AND

DECLARATIONS

SEC. 101. (a) The Congress hereby finds and declares that—
(1) because disasters often cause loss of life, human suffering,
loss of income, and property loss and damage; and
(2) because disasters often disrupt the normal functioning of
governments and communities, and adversely affect individuals
and families with great severity;
special measures, designed to assist the efforts of the affected States
in expediting the rendering of aid, assistance, and emergency services,
and the reconstruction and rehabilitation of devastated areas, are
necessary.
(b) I t is the intent of the Congress, by this Act, to provide an
orderly and continuing means of assistance by the Federal Government to State and local governments in carrying out their responsibilities to alleviate the suffering and damage which result from such
disasters by—

42 u s e 5121.

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PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

(1) revising and broadening the scope of existing disaster relief
programs;
(2) encouraging the development of comprehensive disaster
preparedness and assistance plans, programs, capabilities, and
organizations by the States and by local governments;
(3) achieving greater coordination and responsiveness of disaster preparedness and relief programs;
(4) encouraging individuals. States, and local governments to
protect themselves by obtaining insurance coverage to supplement or replace governmental assistance;
(5) encouraging hazard mitigation measures to reduce losses
from disasters, including development of land use and construction regulations;
(6) providing Federal assistance programs for both public and
private losses sustained in disasters; and
(7) providing a long-range economic recovery program for
major disaster areas.
DEFINITIONS

42 use 5122.

gj,(.^ ^Q2. As uscd lu this Act— ^
(1) "Emergency" means any hurricane, tornado, storm, flood, high
water, wind-driven water, tidal wave, tsunami, earthquake, volcanic
eruption, landslide, mudslide, snowstorm, drought, fire, explosion, or
other catastrophe in any part of the United States which requires
Federal emergency assistance to supplement State and local efforts to
save lives and protect property, public health and safety or to avert
or lessen the threat of a disaster.
(2) "Major disaster" means any hurricane, tornado, storm, flood,
high water, wind-driven water, tidal wave, tsunami, earthquake, volcanic eruption, landslide, mudslide, snowstorm, drought, fire, explosion, or other catastrophe in any part of the United States which, in
the determination of the President, causes damage of sufficient severity
and magnitude to warrant major disaster assistance under this Act,
above and beyond emergency services by the Federal Government, to
supplement the efforts and available resources of States, local governments, and disaster relief organizations in alleviating the damage, loss,
hardship, or suffering caused thereby.
(3) "United States" means the fifty States, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, American Samoa, the
Canal Zone, and the Trust Territory of the Pacific Islands.
(4) "State" means any State of the United States, the District of
Columbia, Puerto Rico, the Virgin Islands, Guam, American Samoa,
the Canal Zone, or the Trust Territory of the Pacific Islands.
(5) "Governor" means the chief executive of any State.
(6) "Local government" means (A) any county, city, village, town,
district, or other political subdivision of any State, any Indian tribe
or authorized tribal organization, or Alaska Native village or organization, and (B) includes any rural community or unincorporated
town or village or any other public entity for which an application for
assistance is made by a State or political subdivision thereof.
(7) "Federal agency" means any department, independent establishment. Government corporation, or other agency of the executive
branch of the Federal Government, including the United States Postal
Service, but shall not include the American National Red Cross.

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PUBLIC LAW 93-288-MAY 22, 1974

145

TITLE II—DISASTEE PEEPAREDNESS ASSISTANCE
FEDERAL A N D STATE DISASTER PREPAREDNESS

PROGRAMS

SEC. 201. (a) The President is authorized to establish a program of '^^ use s u i .
disaster preparedness that utilizes services of all appropriate agencies
(including the Defense Civil Preparedness Agency) and includes—
(1) preparation of disaster preparedness plans for mitigation,
warning, emergency operations, rehabilitation, and recovery;
(2) training and exercises;
(3) postdisaster critiques and evaluations;
(4^ annual review of programs;
(5) coordination of Federal, State, and local preparedness
programs;
(6) application of science and technology;
(7) research.
(b) The President shall provide technical assistance to the States Technical
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assistance.

m developing comprehensive plans and practicable programs lor preparation against disasters, including hazard reduction, avoidance, and
mitigation; for assistance to individuals, businesses, and State and
local governments following such disasters; and for recovery of damaged or destroyed public and private facilities.
(c) Upon application by a State, the President is authorized to g^^j*^"'^'°
make grants, not to exceed in the aggregate to such State $250,000, for
the development of plans, programs, and capabilities for disaster preparedness and prevention. Such grants shall be applied for within
one year from the date of enactment of this Act. Any State desiring staje pian^^subfinancial assistance under this section shall designate or create an ^enu
agency to plan and administer such a disaster preparedness program,
and shall, through such agency, submit a State plan to the President,
which shall—
(1) set forth a comprehensive and detailed State program
for preparation against and assistance following, emergencies and
major disasters, including provisions for assistance to individuals,
businesses, and local governments; and
(2) include provisions for appointment and training of appropriate staffs, formulation of necessary regulations and procedures
and conduct of required exercises.
(d) The President is authorized to make grants not to exceed 50 per Grants, umitacentum of the cost of improving, maintaining and updating State dis- "°"^'
aster assistance plans, except that no such grant shall exceed $25,000
per annum to any State.
DISASTER

WARNINGS

SEC. 202. (a) The President shall insure that all appropriate Federal
agencies are prepared to issue warnings of disasters to State and local
officials.
(b) The President shall direct appropriate Federal agencies to provide technical assistance to State and local governments to insure that
ti mely and effective disaster warning is provided.

42 use 5132.

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PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

(c) The President is authorized to utilize or to make available to
Federal, State, and local agencies the facilities of the civil defense
communications system established and maintained pursuant to section 201(c) of the Federal Civil Defense Act of 1950, as amended (50
U.S.C. App. 2281(c)), or any other Federal communications system
for the purpose of providing warning to governmental authorities and
the civilian population in areas endangered by disasters.
(d) The President is authorized to enter into agreements with the
officers or agents of any private or commercial communications systems who volunteer the use of their systems on a reimbursable or
nonreimbursable basis for the purpose of providing warning to governmental authorities and the civilian population endangered by
disasters.
TITLE III—DISASTER ASSISTANCE ADMINISTRATION
PROCEDUKES

42 use 5141.

gj,(._ 3Q]^^ ^g^^ ^11 requests for a determination by the President that
an emergency exists shall be made by the Governor of the affected
State. Such request shall be based upon the Gx)vernor's finding that the
situation is of such severity and magnitude that effective response is
beyond the capabilities of the State and the affected local governments
and that Federal assistance is necessary. The Governor's request will
furnish information describing State and local efforts and resources
which have been or will be used to alleviate the emergency, and will
define the type and extent of Federal aid required. Based upon such
Governor's request, the President may determine that an emergency
exists which warrants Federal assistance.
(b) All requests for a declaration by the President that a major disaster exists shall be made by the Governor of the affected State. Such
Governor's request shall be based upon a finding that the disaster is of
such severity and magnitude that effective response is beyond the
capabilities of the State and the affected local governments and that
Federal assistance is necessary. As a part of this request, and as a
prerequisite to major disaster assistance under the Act, the Governor
shall take appropriate action under State law and direct execution of
the State's emergency plan. H e shall furnish information on the extent and nature of State resources which have been or will be used to
alleviate the conditions of the disaster, and shall certify that for the
current disaster. State and local government obligations and expenditures (of which State commitments must be a significant proportion)
will constitute the expenditure of a reasonable amount of the funds of
such State and local governments for alleviating the damage, loss,
hardship, or suffering resulting from such disaster. Based upon such
Governor's request, the President may declare that a major disaster
exists, or that an emergency exists.
FEDERAL

42 use 5142.

ASSISTANCE

gg(^ 302 (a) I n the interest of providing maximum mobilization of
Federal assistance under this Act, the President shall coordinate, in
such manner as he may determine, the activities of all Federal agencies

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PUBLIC LAW 93-288-MAY 22, 1974

147

providing disaster assistance. The Pi-esident may direct any Federal
agency, with or without reimbursement, to utilize its available personnel, equipment, supplies, facilities, and other resources including
managerial and technical services in support of State and local disaster
assistance efforts. The President may prescribe such rules and regula- Rules and
tions as may be necessary and proper to carry out any of the provisions ^^^^
of this Act, and he may exercise any power or authority conferred on
him by any section of this Act either directly or through such Federal agency as he may designate.
(b) Any Federal agency charged vv-ith the administration of a Federal assistance program is authorized, if so requested by the applicant
State or local authorities, to modify or waive, for a major disaster, such
administrative conditions for assistance as would otherwise prevent
the giving of assistance under such programs if the inability to meet
such conditions is a result of the major disaster.
(c) Notwithstanding any other provision of law, any repair, restoration, reconstruction, or replacement of farm fencing damaged or
destroyed as a result of any major disaster shall be considered an
emergency conservation measure eligible for payments under chapter I
of the Third Supplemental Appropriation Act, 1957, or any other 7i stat. i76.
provdsion of law.
COORDINATING

OFFICERS

SEC. tOo. (a) Immediately upon his declaration of a major disaster, '*2 use 5143.
the President shall appoint a Federal coordinating officer to operate
in the affected area.
(b) In order to effectuate the purposes of this Act, the Federal
coordinating officer, within the affected area, shall—
(1) make an initial appraisal of the types of relief most
urgently needed;
(2) establish such field offices as he deems necessary and as are
authorized by the President;
(3) coordinate the administration of relief, including activities
of the State and local governments, the American National Bed
Cross, the Salvation Army, the Mennonite Disaster Service, and
other relief or disaster assistance organizations, which agree to
operate under his advice or direction, except that nothing contained in this Act shall limit or in any way affect the responsibilities of the American National Red Cross under the Act of
January 5, 1905, as amended (33 Stat, 699); and
^^ use 1.
(4) take such other action, consistent with authority delegated
to him by the President, and consistent with the provisions of this
Act, as he may deem necessary to assist local citizens and public
officials in promptly obtaining assistance to which they are
entitled.
(c) When the President determines assistance under this Act is ^^^'« coordinecessary, he shall request that the Governor of the affected State des- "^''"^ officer.
ignate a State coordinating officer for the purpose of coordinating
State and local disaster assistance efforts with those of the Federal
Government.

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PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

E M E R G E N C Y SUPPORT T E A M S

42 use 5144.

SEC. 304. The President shall form emergency support teams of
Federal personnel to be deployed in an area affected by a major disaster or emergency. Such emergency support teams shall assist the
Federal coordinating officer in carrying out his responsibilities pursuant to this Act. Upon request of the President, the head of any Federal agency is directed to detail to temporary duty with the emergency
support teams on either a reimbursable or nonreimbursable basis, as
is determined necessary by the President, such personnel within the
administrative jurisdiction of the head of the Federal agency as the
President may need or believe to be useful for carrying out the functions of the emergency support teams, each such detail to be without
loss of seniority, pay, or other employee status.
EMERGENCY

42 use 5145.

ASSISTANCE

gj,Q^ 305_ (^a) I n any emergency, the President may provide assistance to save lives and protect property and public health and safety.
(b) The President may provide such emergency assistance by directing Federal agencies to provide technical assistance and advisory
personnel to the affected State to assist the State and local governments in—
(1) the performance of essential community services; warning
of further risks and hazards; public information and assistance
in health and safety measures; technical advice on management
and control; and reduction of immediate threats to public health
and safety; and
(2) the distribution of medicine, food, and other consumable
supplies, or emergency assistance.
(c) I n addition, in any emergency, the President is authorized to
provide such other assistance under this Act as the President deems
appropriate.
COOPERATION OF FEDERAL AGENCIES I N R E N D E R I N G DISASTER ASSISTANCE

4 2 use 5146.

gjj(-;_ 306. (a) I n any major disaster or emergency. Federal agencies
are hereby authorized, on the direction of the President, to provide
assistance by—
(1) utilizing or lending, with or without compensation therefor, to States and local governments, their equipment, supplies,
facilities, personnel, and other resources, other than the extension
of credit under the authority of any Act;
(2) distributing or rendering, through the American National
Red Cross, the Salvation Army, the Mennonite Disaster Service,
and other relief and disaster assistance organizations, or otherwise, medicine, food and other consumable supplies, or emergency assistance;
(3) donating or lending equipment and supplies, including
that determined in accordance with applicable laws to be surplus
to the needs and responsibilities of the Federal Government, to
State and local governments for use or distribution by them for
the purposes of this Act; and

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PUBLIC LAW 93-288-MAY 22, 1974

149

(4) Performing on public or private lands or waters any emergency work or services essential to save lives and to protect and
preserve property, public health and safety, including but not
limited t o : search and rescue, emergency medical care, emergency
mass care, emergency shelter, and provisions of food, water, medicine, and other essential needs, including movement of supplies
or persons; clearance of roads and construction of temporary
bridges necessary to the performance of emergency tasks and
essential community services; provision of temporary facilities
for schools and other essential community services; demolition of
unsafe structures that endanger the public; warning of further
risks and hazards; public information and assistance on health
and safety measures; technical advice to State and local governments on disaster management and control; reduction of immediate threats to life, property, and public health and safety; and
making contributions to State or local governments for the purpose of carrying out the provisions of this paragraph,
(b) Work performed under this section shall not preclude additional Federal assistance under any other section of this Act.
REIMBURSEMENT

SEC. 307. Federal agencies may be reimbursed for expenditures
under this Act from funds appropriated for the purposes of this Act.
Any funds received by Federal agencies as reimbursement for services
or supplies furnished under the authority of this Act shall be deposited
to the credit of the appropriation or appropriations currently available for such services or supplies.

^2 use 5147,.

JSrONLIABILITY

SEC. 308. The Federal Government shall not be liable for any claim
based upon the exercise or performance of or the failure to exercise
or perform a discretionary function or duty on the part of a Federal
agency or an employee of the Federal Government in carrying out the
provisions of this Act.
PERFORMANCE or

42 use 5148.

SERVICES

SEC. 309. (a) I n carrying out the purposes of this Act, any Federal 42usc 5149.
agency is authorized to accept and utilize the services or facilities of
any State or local government, or of any agency, office, or- employee
thereof, with the consent of such government.
(b) In performing any services under this Act, any Federal agency
is authorized—
(1) to appoint and fix the compensation of such temporary
personnel as may be necessary, without regard to the provisions
of title 5, United States Code, governing appointments in com- s use 101 et
petitive service;
^^^'
(2) to employ experts and consultants in accordance with the
provisions of section 3109 of such title, without regard to the provisions of chapter 51 and subchapter I I I of chapter 53 of such
title relating to classification and General Schedule pay rates; and s use sioi,
(3) to incur obligations on behalf of the United States by ^^^^*
contract or otherwise for the acquisition, rental, or hire of equipment, services, materials, and supplies for shipping, drayage,
travel, and communications, and for the supervision and administration of such activities. Such obligations, including obligations arising out of the temporary employment of additional

38-194 O - 76 - 13 Pt. 1

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PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

personnel, may be incurred by an agency in such amount as may
be made available to it by the President.
USE o r LOCAL FIRMS AND INDIVIDUALS
42 u s e 5150.

SEC. 310. I n the expenditure of Federal funds for debris clearance,
distribution of supplies, reconstruction, and other major disaster assistance activities which may be carried out by contract or agreement
with private organizations, firms, or individuals, preference shall be
given, to the extent feasible and practicable, to those organizations,
firms, and individuals residing or doing business primarily in the area
affected by such major disaster.
NONDISCRIMINATION IN DISASTER ASSISTANCE

42 u s e 5151,

SEC. 311. (a) The President shall issue, and may alter and amend,
such regulations as may be necessary for the guidance of personnel
carrying out Federal assistance functions at the site of a major disaster
or emergency. Such regulations shall include provisions for insuring
that the distribution of supplies, the processing of applications, and
other relief and assistance activities shall be accomplished in an equitable and impartial manner, without discrimination on the grounds of
race, color, religion, nationality, sex, age, or economic status.
(b) As a condition of participation in the distribution of assistance
or supplies under this Act or of receiving assistance under section 402
or 404 of this Act, governmental bodies and other organizations shall
be required to comply with regulations relating to nondiscrimination
promulgated by the President, and such other regulations applicable
to activities within an area affected by a major disaster or emergency
as he deems necessary for the effective coordination of relief efforts.
USE AND COORDINATION OF RELIEF ORGANIZATIONS

42 u s e 5152.

SEC. 312. (a) I n providing relief and assistance under this Act, the
President may utilize, with their consent, the personnel and facilities
of the American National Red Cross, the Salvation Army, the Mennonite Disaster Service, and other relief or disaster assistance organizations, in the distribution of medicine, food, supplies, or other
items, and in the restoration, rehabilitation, or reconstruction of community services housing and essential facilities, whenever the President finds that such utilization is necessary.
(b) The President is authorized to enter into agreements with the
American National Red Cross, the Salvation Army, the Mennonite
Disaster Service, and other relief or disaster assistance organizations
under which the disaster relief activities of such organizations may be
coordinated by the Federal coordinating officer whenever such organizations are engaged in providing relief during and after a major
disaster or emergency. Any such agreement shall include provisions
assuring that use of Federal facilities, supplies, and services will be
in compliance with regulations prohibiting duplication of benefits and
guaranteeing nondiscrimination promulgated by the President under
this Act, and such other regulation as the President may require.
PRIORITY TO CERTAIN APPLICATIONS FOR PUBLIC FACILITY AND PUBLIC
HOUSING ASSISTANCE

42 u s e 5153.

SEC. 313. (a) I n the processing of applications for assistance, priority and immediate consideration shall be given by the head of the
appropriate Federal agency, during such period as the President shall

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

prescribe, to applications from public bodies situated in areas affected
by major disasters, under the following Acts:
(1) title I I of the Housing Amendments of 1955, or any other
Act providing assistance for repair, construction, or extension of
public facilities;
(2) the United States Housing Act of 1937 for the provision of
low-rent housing;
(3) section 702 of the Housing Act of 1954 for assistance in
public works planning;
(4) section 702 of the Housing and Urban Development Act of
1965 providing for grants for public facilities;
(5) section 306 of the Consolidated Farmers Home Administration Act;
(6) the Public Works and Economic Development Act of 1965,
as amended;
(7) the Appalachian Regional Development Act of 1965, as
amended; or
(8) title I I of the Federal Water Pollution Control Act, as
amended.
(b) In the obligation of discretionary funds or funds which are not
allocated among the States or political subdivisions of a State, the
Secretary of Housing and Urban Development and the Secretary of
Commerce shall give priority to applications for projects in major
disaster areas in which a Recovery Planning Council has been designated pursuant to title V I I I of the Public Works and Economic
Development Act of 1965.

151

42

use

1491.

42

use

1430.

40

use

462.

42

use

3102.

7 u s e 1926.

use

3121

40

use

app. 1

33

use

1281.

42
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^°^*' P- ^^O.

INSURANCE

SEC. 314. (a) (1) An applicant for assistance under section 402 or
419 of this Act or section 803 of the Public Works and Economic
Development Act of 1965, shall comply with regulations prescribed by
the President to assure that, with respect to any property to be
replaced, restored, repaired, or constructed with such assistance, such
types and extent of insurance will be obtained and maintained as may
be reasonably available, adequate, and necessary to protect against
future loss to such property.
(2) I n making his determination with respect to such availability,
adequacy and necessity, the President shall not require greater types
and extent of insurance than are certified to him as reasonable by the
appropriate State insurance commissioner responsible for regulation
of such insurance.
(b) No applicant for assistance under section 402 or 419 of this Act
or section 803 of the Public Works and Economic Development Act of
1965, shall receive such assistance for any property or part thereof for
which he has previously received assistance under this Act unless all
insurance required pursuant to this section has been obtained and
maintained with respect to such property.
(c) A State may elect to act as a self-insurer with respect to any
or all of the facilities belonging to it. Such an election, if declared in
writing at the time of accepting assistance under section 402 or 419 of
this Act or section 803 of the Public Works and Economic Development Act of 1965, or subsequently, and accompanied by a plan for selfinsurance which is satisfactory to the President, shall be deemed
compliance with subsection (a) of this section. No such self-insurer
shall receive assistance under such sections for any property or part
thereof for which it has previously received assistance under this Act,
to the extent that insurance for such property or part thereof would
have been reasonably available.

42 use 5154.
^o^'' P- ^si*

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[88 STAT.

D U P L I C A T I O N OF B E N E F I T S

42 use 5155.

gjgc^ 3i5_ (a) The President, in consultation with the head of each
Federal agency administering any program providing financial assistance to persons, business concerns, or other entities suffering losses as
the result of a major disaster, shall assure that no such person, business
concern, or other entity will receive such assistance with respect to any
part of such loss as to which he has received financial assistance under
any other program.
(b) The President shall assure that no person, business concern, or
other entity receives any Federal assistance for any part of a loss suffered as the result of a major disaster if such person, concern, or entity
received compensation from insurance or any other source for that part
of such a loss. Partial compensation for a loss or a part of a loss resulting from a major disaster shall not preclude additional Federal assistance for any part of such a loss not compensated otherwise.
(c) Whenever the President determines (1) that a person, business
concern, or other entity has received assistance under this Act for a
loss and that such person, business concern or other entity received
assistance for the same loss from another source, and (2) that the
amount received from all sources exceeded the amount of the loss, he
shall direct such person, business concern, or other entity to pay to
the Treasury an amount, not to exceed the amount of Federal assistance received, sufficient to reimburse the Federal Government for that
part of the assistance which he deems excessive.
REVIEWS A N D REPORTS

C(!l^relV°
42 use 5156.

^^^' ^^^' '^^^^ President shall conduct annual reviews of
ties of Federal agencies and State and local governments
disaster preparedness and assistance, in order to assure
coordination and effectiveness of such programs, and shall
to time report thereon to the Congress.

the activiproviding
maximum
from time

CRIMINAL AND CIVIL PENALTIES
42 use 5157.

gj,(3_ ^I'j^ (^^^ j^j^y individual who fraudulently or willfully misstates any fact in connection with a request for assistance under this
Act shall be fined not more than $10,000 or imprisoned for not more
than one year or both for each violation.
(b) Any individual who knowingly violates any order or regulation under this Act shall be subject to a civil penalty of not more than
$5,000 for each violation.
(c) Whoever knowingly misapplies the proceeds of a loan or other
cash benefit obtained under any section of this Act shall be subject to
a fine in an amount equal to one and one-half times the original principal amount of the loan or cash benefit.
AVAILABILITY OF MATERIALS

42 use 5158.

gj,(3_ 3]^g_ "Yhe President is authorized, at the request of the Governor
of an affected State, to provide for a survey of construction materials
needed in the ai-ea affected by a major disaster on an emergency basis
for housing repairs, replacement housing, public facilities repairs and
replacement, farming operations, and business enterprises and to take
appropriate action to assure the availability and fair distribution of
needed materials, including, where possible, the allocation of such
materials for a period of not more than one hundred and eighty days
after such major disaster. Any allocation program shall be imple-

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

merited by the President to the extent possible, by working with and
through those companies which traditionally supply construction
materials in the affected area. For the purposes of this section "construction materials" shall include building materials and materials
required for repairing housing, replacement housing, public facilities
repairs and replacement, and for normal farm and business operations.

153

"Construction
materials."

TITLE IV—FEDERAL DISASTER ASSISTANCE
PROGRAMS
FEDERAL

FACILITIES

SEC. 401. (a) The President may authorize any Federal agency
to repair, reconstruct, restore, or replace any facility owned by the
United States and under the jurisdiction of such agency which is
damaged or destroyed by any major disaster if he determines that such
repair, reconstruction, restoration, or replacement is of such importance and urgency that it cannot reasonably be deferred pending the
enactment of specific authorizing legislation or the making of an
appropriation for such purposes, or the obtaining of congressional
committee approval.
(b) In order to carry out the provisions of this section, such repair,
reconstruction, restoration, or replacement may be begun notwithstanding a lack or an insufficiency of funds appropriated for such purpose, where such lack or insufficiency can be remedied by the transfer,
in accordance with law, of funds appropriated to that agency for
another purpose.
(c) In implementing this section. Federal agencies shall evaluate
the natural hazards to which these facilities are exposed and shall take
appropriate action to mitigate such hazards, including safe land-use
and construction practices, m accordance with standards prescribed by
the President.

42 u s e 5171,

REPAIR A N D RESTORATION OP DAMAGED F A C I L I T I E S

SEC. 402. (a) The President is authorized to make contributions to
State or local governments to help repair, restore, reconstruct, or
replace public facilities belonging to such State or local governments
which were damaged or destroyed by a major disaster.
(b) The President is also authorized to make grants to help repair,
restore, reconstruct, or replace private nonprofit educational, utility,
emergency, medical, and custodial care facilities, including those for
the aged or disabled, and facilities on Indian reservations as defined
by the President, which were damaged or destroyed by a major disaster.
(c) For those facilities eligible under this section which were in the
process of construction when damaged or destroyed by a major disaster, the grant shall be based on the net costs of restoring such facilities substantially to their predisaster condition.
(d) For the purposes of this section, "public facility" includes any
publicly owned flood control, navigation, irrigation, reclamation, public power, sewage treatment and collection, water supply and distribution, watershed development, or airport facility, any non-Federal-aid
street, road, or highway, any other public building, structure, or system including those used for educational or recreational purposes, and
any park.
(e) The Federal contribution for grants made under this section
shall not exceed 100 per centum of the net cost of repairing, restoring,
reconstructing, or replacing any such facility on the basis of the

42 u s e 5172,.

' P u b l i c facility.

Limitation.

154

PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

design of such facility as it existed immediately prior to such disaster
and in conformity with current applicable codes, specifications, and
standards.
(f) I n those cases where a State or local government determines
that public welfare would not be best served by repairing, restoring,
reconstructing, or replacing particular public facilities owned or controlled by that State or that local government which have been damaged or destroyed in a major disaster, it may elect to receive, in lieu
of the contribution described in subsection (e) of this section, a contribution based on 90 per centum of the Federal estimate of the total cosl:
of repairing, restormg, reconstructing, or replacing all damaged facilities owned by it within its j urisdiction. The cost of repairing, restoring,
reconstructing, or replacing damaged or destroyed public facilities
shall be estimated on the basis of the design of each such facility as
it existed immediately prior to such disaster and in conformity with
current applicable codes, specifications and standards. Funds contributed under this subsection may be expended either to repair or restore
certain selected damaged public facilities or to construct new public
facilities which the State or local government determines to be necessary to meet its needs for governmental services and functions in the
disaster-affected area.
DEBRIS

42 use 5173.

-,

S'EC. 403. (a) The President, whenever he determines it to be in the
public interest, is authorized—
(1) through the use of Federal departments, agencies, and
instrumentalities, to clear debris and wreckage resulting from a
major disaster from publicly and privately owned lands and
waters; and
(2) to make grants to any State or local government for the
purpose of removing debris or wreckage resulting from a major
disaster from publicly or privately owned lands and waters.
(b) No authority under this section shall be exercised unless the
affected State or local government shall first arrange an unconditional
authorization for removal of such debris or wreckage from public and
private property, and, in the case of removal of debris or wreckage
from private property, shall first agree to indemnify the Federal
Government against any claim arising from such removal.
TEMPORARY

42 u s e 5174,

REMOVAL

HOUSING

ASSISTANCE

SEC. 404. (a) The President is authorized to provide, either by
purchase or lease, temporary housing, including, but not limited to,
unoccupied habitable dwellings, suitable rental housing, mobile homes
or other readily fabricated dwellings for those who, as a result of a
major disaster, require temporary housing. During the first twelve
months of occupancy no rentals shall be established for any such
accommodations, and thereafter rentals shall be established, based
upon fair market value of the accommodations being furnished,
adjusted to take into consideration the financial ability of the
occupant. Any mobile home or readily fabricated dwelling shall be
placed on a site complete with utilities provided either by the State
or local government, or by the owner or occupant of the site who was
displaced by the major disaster, without charge to the United States.
The President may authorize installation of essential utilities at
Federal expense and he may elect to provide other more economical
or accessible sites when he determines such action to be in the public
interest.

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

155

(b) The President is authorized to provide assistance on a temporary
basis in the form of mortgage or rental payments to or on behalf of
individuals and families who, as a result of financial hardship caused
by a major disaster, have received written notice of dispossession or
eviction from a residence by reason of foreclosure of any mortgage or
lien, cancellation of any contract of sale, or termination of any lease,
entered into prior to such disaster. Such assistance shall be provided
for a period of not to exceed one year or for the duration of the period
"' '
of financial hardship, whichever is the lesser.
(c) In lieu of providing other types of temporary housing after a
major disaster, the President is authorized to make expenditures for
'
'
the purpose of repairing or restoring to a habitable condition owneroccupied private residential structures made uninhabitable by a major
disaster which are capable of being restored quickly to a habitable
condition with minimal repairs. No assistance provided under this
section may be used for major reconstruction or rehabilitation of
damaged property.
( d ) ( 1 ) Notwithstanding any other provision of law, any temporary
housing acquired by purchase may be sold directly to individuals and
families who are occupants of temporary housing at prices that are
fair and equitable, as determined by the President.
(2) The President may sell or otherwise make available temporary
•
housing units directly to States, other governmental entities, and
voluntary organizations. The President shall impose as a condition of . Nondiscriminatransfer under this paragraph a covenant to comply with the
provisions of section 311 of this Act requiring nondiscrimination in
occupancy of such temporary housing units. Such disposition shall be
limited to units purchased under the provisions of subsection (a) of
this section and to the purposes of providing temporary housing for
disaster victims in emergencies or in major disasters.
PROTECTION OF E N V I R O N M E N T

SEC. 405. No action taken or assistance j^rovided pursuant to sec- 42 use sirs.
tions 305, 306, or 403 of this Act, or any assistance provided pursuant
to section 402 or 419 of this Act that has the effect of restoring facilities substantially as they existed prior to the disaster, shall be deemed
a major Federal action significantly affecting the quality of the human
environment within the meaning of the National Environmental Policy Act of 1969 (83 Stat. 852). Nothing in this section shall alter or 42 use 4321
affect the applicability of the National Environmental Policy Act of "°*^"
1969 (83 Stat. 852) to other Federal actions taken under this Act or
under any other provision of law.
MINIMUM

STANDARI>S EOR P U B L I C AND PRIVATE

STRUCTURES

SEC. 406. As a condition of any disaster loan or grant made under
the provisions of this Act, the recipient shall agree that any repair or
construction to be financed therewith shall be in accordance with applicable standards of safety, decency, and sanitation and in conformity
with applicable codes, specifications, and standards, and shall furnish
such evidence of compliance with this section as may be required by
regulation. As a further condition of any loan or grant made under
the provisions of this Act, the State or local government shall agree
that the natural hazards in the areas in which the proceeds of the
grants or loans are to be used shall be evaluated and appropriate action
shall be taken to mitigate such hazards, including safe land-use and
construction practices, in accordance with standards prescribed or

"^^ use si76.

Natural hazards,
evaluation.

156

PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

approved by the President after adequate consultation with the appropriate elected officials of general purpose local governments, and the
State shall furnish such evidence of compliance with this section as
may be required by regulation.
UNEMPLOYMENT ASSISTANCE
42 u s e 5177.

Time limitation.

Agreement with
States.
Reemployment
assistance services.

SEC. 407. (a) The President is authorized to provide to any individual unemployed as a result of a major disaster such benefit assistance as he deems appropriate while such individual is unemployed.
Such assistance as the President shall provide shall be available to an
individual as long as the individual's unemployment caused by the
major disaster continues or until the individual is reemployed in a
suitable position, but no longer than one year after the major disaster
is declared. Such assistance for a week of unemployment shall not
exceed the maximum weekly amount authorized under the unemployment compensation law of the State in whiclh the disaster occurred,
and the amount of assistance under this section to any such individual
for a week of unemployment shall be reduced by any amount of unemployment compensation or of private income protection insurance
compensation available to such individual for such week of unemployment. The President is directed to provide such assistance through
agreements with States which, in his judgment, have an adequate system for administering such assistance through existing State agencies.
(b) The President is further authorized for the purposes of this
Act to provide reemployment assistance services under other laws to
individuals who are unemployed as a result of a major disaster.
INDIVIDUAL AND FAMILY GRANT PROGRAMS

42 use 5178.

Federal share.

Advances.

Limitation.

Regulations.

Administration
expenses, limitation.
Effective date.
42 u s e 5178
note.

SEC. 408. (a) The President is authorized to make a grant to a State
for the purpose of such State making grants to meet disaster-related
necessary expenses or serious needs of individuals or families adversely
affected by a major disaster in those cases where such individuals or
families are unable to meet such expenses or needs through assistance
under other provisions of this Act, or from other means. The Governor
of a State shall administer the grant program authorized by this
section.
(b) The Federal share of a grant to an individual or a family under
this section shall be equal to 75 per centum of the actual cost of meeting such an expense or need and shall be made only on condition that
the remaining 25 per centum of such cost is paid to such individual
or family from funds made available by a State. Where a State is
unable immediately to pay its share, the President is authorized to
advance to such State such 25 per centum share, and any such advance
is to be repaid to the United States when such State is able to do so.
No individual and no family shall receive any grant or grants under
this section aggregating more than $5,000 with respect to any one
major disaster.
(c) The President shall promulgate regulations to carry out this
section and such regulations shall include national criteria, standards,
and procedures for the determination of eligibility for grants and the
administration of grants made under this section.
(d) A State may expend not to exceed 3 per centum of any grant
made by the President to it under subsection (a) of this section for
expenses of administering grants to individuals and families under
this section.
(e) This section shall take effect as of April 20, 1973.

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

157

FOOD COUPONS A N D D I S T R I B U T I O N

SEC. 409. (a) Whenever the President determines that, as a result '^^ ^^^ ^^^^•
of a major disaster, low-income households are unable to purchase
adequate amounts of nutritious food, he is authorized, under such
terms and conditions as he may prescribe, to distribute through the
Secretary of Agriculture or other appropriate agencies coupon allotments to such households pursuant to the provisions of the Food Stamp
Act of 1964 (P.L. 91-671; 84 Stat. 2048) and to make surplus com- JJ^c 2011
raodities available pursuant to the provisions of this Act.
(b) The President, through the Secretary of Agriculture or other
appropriate agencies, is authorized to continue to make such coupon
allotments and surplus commodities available to such households for
so long as he determines necessary, taking into consideration such
factors as he deems appropriate, including the consequences of the
major disaster on the earning power of the households, to which assistance is made available under this section.
(c) ISTothing in this section shall be construed as amending or otherwise changing the provisions of the Food Stamp Act of 1964 except
as they relate to the availability of food stamps in an area affected by
a major disaster.
FOOD COMMODITIES

SEC. 410. (a) The President is authorized and directed to assure jg^^^'"^^"''^ ""^^^
that adequate stocks of food will be ready and conveniently available 42 use 51 so.
for emergency mass feeding or distribution in any area of the United
States which suffers a major disaster or emergency.
(b) The Secretarv of Agriculture shall utilize funds appropriated
under section 32 of"^the Act of August 24, 1935 (7 U.S.C. 612c), to
purchase food commodities necessary to provide adequate supplies for
use in any area of the United States in the event of a major disaster
or emergency in such area.
RELOCATION

ASSISTANCE

SEC. 411. Notwithstanding any other provision of law, no person ^2 use sisi.,
otherwise eligible for any kind of replacement housing payment under
the Uniform Relocation Assistance and Real Property Acquisition
Policies Act of 1970 (P.L. 91-646) shall be denied such eligibility as J^l^^^^ ^^°^
a result of his being unable, because of a major disaster as determined
by the President, to meet the occupancy requirements set by such Act.
LEGAL SERVICES

SEC. 412. Whenever the President determines that low-income individuals are unable to secure legal services adequate to meet their needs
as a consequence of a major disaster, consistent with the goals of the
programs authorized by this Act, the President shall assure that such
programs are conducted with the advice and assistance of appropriate
Federal agencies and State and local bar associations.
CRISIS C O U N S E L I N G ASSISTANCE A N D

'^^ ^^'^ ^^^^'

TRAINING

SEC. 413. The President is authorized (through the National Institute of Mental Health) to provide professional counseling services,
including financial assistance to State or local agencies or private
inental health organizations to provide such services or training of
disaster workers, to victims of major disasters in order to relieve
mental health problems caused or aggravated by such major disaster
or its aftermath.

^^ use siss.

158

PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

COMMUNITY DISASTER LOANS
Loans to local
governments.
42 u s e 5184.

Repayment.

31 u s e 1261
and note.
31 u s e 1264.

Ante, p. 146.
Effective date.
31 u s e 1264
note.

SEC. 414. (a) The President is authorized to make loans to any local
government which may suffer a substantial loss of tax and other revenues as a result of a major disaster, and has demonstrated a need for
financial assistance in order to perform its governmental functions.
The amount of any such loan shall be based on need, and shall not
exceed 25 per centum of the annual operating budget of that local government for the fiscal year in which the major disaster occurs. Repayment of all or any part of such loan to the extent that revenues of the
local government during the three full fiscal year period folloAving
the major disaster are insufiicient to meet the operating budget of the
local government, including additional disaster-related expenses of a
municipal operation character shall be cancelled.
(b) Any loans made under this section shall not reduce or otherwise
affect any grants or other assistance under this Act.
(c) (1) Subtitle C of title I of the State and Local Fiscal Assistance
Act of 1972 (P.L. 92-512; 86 Stat. 919) is amended by adding at the
end thereof the following new section:
"SEC. 145. ENTITLEMENT FACTORS AFFECTED BY MAJOR DISASTERS.

" I n the administration of this title the Secretary shall disregard
any change in data used in determining the entitlement of a State
government or a unit of local government for a period of 60 months
if that change—
"(1) results from a major disaster determined by the President
under section 301 of the Disaster Relief Act of 1974, and
" (2) reduces the amount of the entitlement of that State government or unit of local government.".
(2) The amendment made by this section takes effect on April 1,
1974.
EMERGENCY COMMUNICATIONS

42 u s e 5185.

SEC. 415. The President is authorized during, or in anticipation of,
an emergency or major disaster to establish temporary communications systems and to make such communications available to State and
local government officials and other persons as he deems appropriate.
EMERGENCY PUBLIC TRANSPORTATION

42 u s e 5186.

SEC. 416. The President is authorized to provide temporary public
transportation service in an area affected by a major disaster to meet
emergency needs and to provide transportation to governmental offices,
supply centers, stores, post offices, schools, major employment centers,
and such other places as may be necessary in order to enable the community to resume its normal pattern of life as soon as possible.
FIRE SUPPRESSION GRANTS

42 u s e 5187.

SEC. 417. The President is authorized to provide assistance, including grants, equipment, supplies, and personnel, to any State for the
suppression of any fire on publicly or privately owned forest or grassland which threatens such destruction as would constitute a major
disaster.
TIMBER SALE CONTRACTS

Cost-sharing.
42 u s e 5188.

SEC. 418. (a) Where an existing timber sale contract between the
Secretary of Agriculture or the Secretary of the Interior and a timber

88 STAT. ]

PUBLIC LAW 93-288-MAY 22, 1974

159

purchaser does not provide relief from major physical change not due
to negligence of the purchaser prior to approval of construction of any
section of specified road or of any other specified development facility
and, as a result of a major disaster, a major physical change results in
additional construction work in connection with such road or facility
by such purchaser with an estimated cost, as determined by the appropriate Secretary, (1) of more than $1,000 for sales under one million
board feet, (2) of more than $1 per thousand board feet for sales of
one to three million board feet, or (3) of more than $3,000 for sales
over three million board feet, such increased construction cost shall be
borne by the United States.
(b) If the appropriate Secretary determines that damages are so contract cancelgreat that restoration, reconstruction, or construction is not practical ^^*^°"'
under the cost-sharing arrangement authorized by subsection (a) of
this section, he may allow cancellation of a contract entered into by
his Department notwithstanding contrary provisions therein.
(c) The Secretary of Agriculture is authorized to reduce to seven saie of timber,
days the minimum period of advance public notice required by the "°*^''^*
first section of the Act of June 4, 1897 (16 U.S.C. 476), in connection
with the sale of timber from national forests, whenever the Secretary
determines that (1) the sale of such timber will assist in the construction of any area of a State damaged by a major disaster, (2) the sale
of such timber will assist in sustaining the economy of such area, or
(3) the sale of such timber is necessary to salvage the value of timber
damaged in such major disaster or to protect undamaged timber.
(d) The President, when he determines it to be in the public interest, is authorized to make grants to any State or local government for
the purpose of removing from privately owned lands timber damaged
as a result of a major disaster, and such State or local government is
authorized upon application, to make payments out of such grants to
any person for reimbursement of expenses actually incurred by such
person in the removal of damaged timber, not to exceed the amount
that such expenses exceed the salvage value of such timber.
IN-LIEU CONTRIBUTION

SEC. 419. In any case in which the Federal estimate of the total
cost of (1) repairing, restoring, reconstructing, or replacing, under
section 402, all damaged or destroyed public facilities owned by a
State or local government within its jurisdiction, and (2) emergency
assistance under section 306 and debris removed under section 403, is
less than $25,000, then on application of a State or local government,
the President is authorized to make a contribution to such State or
local government under the provisions of this section in lieu of any
contribution to such State or local government under section 306, 402,
or 403. Such contribution shall be based on 100 per centum of such total
estimated cost, which may be expended either to repair, restore, reconstruct, or replace all such damaged or destroyed public facilities, to
repair, restore, reconstruct, or replace certain selected damaged or
destroyed public facilities, to construct new public facilities which the
State or local government determines to be necessary to meet its needs
for governmental services and functions in the disaster-affected area,
or to undertake disaster work as authorized in section 306 or 403. The
cost of repairing, restoring, reconstructing, or replacing damaged or
destroyed public facilities shall be estimated on the basis of the design
of each such facility as it existed immediately prior to such disaster
and in conformity with current applicable codes, specifications and
standards.

^2 use 5i89.
'

160

PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

T I T L E V—ECONOMIC K E C O V E E Y F O R D I S A S T E R A R E A S
AMENDMENT TO PUBLIC WORKS AND ECONOMIC DEVELOPMENT ACT OF 19 6 5

nole ^^*^ ^^^^

SEC. 501. The Public Works and Economic Development Act of
1965, as amended, is amended by adding at the end thereof the following new title:
"TITLE VIII—ECONOMIC RECOVERY FOR
AREAS

DISASTER

"PURPOSE OF TITLE

42 use 3231.

''Major disasAnte, p. 143.

"SEC. 801. (a) I t is the purpose of this title to provide assistance
for the economic recovery, after the period of emergency aid and
replacement of essential facilities and services, of any major disaster
area which has suffered a dislocation of its economy of sufficient severity to require (1) assistance in planning for development to replace
that lost in the major disaster; (2) continued coordination of assistance available under Federal-aid programs; and (3) continued
assistance toward the restoration of the employment base.
" ( b ) J^Q uscd lu this title, the term 'major disaster' means a major
disaster declared by the President in accordance with the Disaster
j^glief Act of 1974.
"DISASTER RECOVERY PLANNING

ning cTuncir^"'
"SEC. 802. (a) (1) l u the case of any area affected by a major disaster
designation.'
the Govcmor may request the President for assistance under this title.
42 use 3232. j j ^ ^ Govemor, within thirty days after authorization of such assistance by the President, shall designate a Recovery Planning Council
for such area or for each part thereof.
Membership.
a^2) Such Rccovcry Planning Council shall be composed of not less
than five members, a majority of whom shall be local elected officials
of political subdivisions within the affected areas, at least one representative of the State, and a representative of the Federal Government
appointed by the President in accordance with paragraph (3) of this
subsection. During the major disaster, the Federal coordinating officer
shall also serve on the Recovery Planning Council.
"(3) The Federal representative on such Recovery Planning Council may be the Chairman of the Federal Regional Council for the
affected area, or a member of the Federal Regional Council designated by the Chairman of such Regional Council. The Federal representative on such Recovery Planning Council may be the Federal
Cochairman of the Regional Commission established pursuant to title
42 u s e 3181,
V
of this Act, or the Appalachian Regional Development Act of 1965,
40 u s e app. 1,
or his designee, where all of the area affected by a major disaster is
within the boundaries of such Commission.
"(4) The Governor may designate an existing multijurisdictional
organization as the Recovery Planning Council where such organization complies with paragraph (2) of this subsection with the addition
of State and Federal representatives except that if all or part of an
area affected by a major disaster is within the jurisdiction of an existing multi jurisdictional organization established under title I V of
42 u s e 3161.
this Act or title I I I of the Appalachian Regional Development Act of
30^1° ^^^ ^^^'
1965, such organization, with the addition of State and Federal representatives in accordance with paragraph (2) of this subsection, shall
be designated by the Governor as the Recovery Planning Council. I n

88 STAT. ]

161

PUBLIC LAW 93-288-MAY 22, 1974

any case in which such title I I I or I V organization is designated as the
Recovery Planning Council under this paragraph, some local elected
officials of political subdivisions within the affected areas must be
appointed to serve on such Recovery Planning Council. Where possible, the organization designated as the Recovery Planning Council
shall be or shall be subsequently designated as the appropriate agency
required by section 204 of the Demonstration Cities and Metropolitan
Development Act of 1966 (42 U . S J C . 3334) and by the Intergovernmental Cooperation Act of 1968 (P.L. 90-577; 82 Stat. 1098).
"(5) The Recovery Planning Council shall include private citizens
as members to the extent feasible, and shall provide for and encourage
public participation in its deliberations and decisions.
"(b) The Recovery Planning Council (1) shall review existing
plans for the affected area; and (2) may recommend to the Governor
and responsible local governments such revisions as it determines
necessary for the economic recovery of the area, including the development of new plans and the preparation of a recovery investment plan
for the 5-year period following the declaration of the major disaster.
The Recovery Planning Council shall accept as one element of the
recovery investment plans determinations made under section 402(f)
of the Disaster Relief Act of 1974.
"(c) (1) A recovery investment plan prepared by a Recovery Planning Council may recommend the revision, deletion, reprograming, or
additional approval of Federal-aid projects and programs within the
area—
" (A) for which application has been made but approval not yet
granted;
" ( B ) for which funds have been obligated or approval granted
but construction not yet begun;
" ( C ) for which funds have been or are scheduled to be apportioned within the five years after the declaration of the disaster;
" ( D ) which may otherwise be available to the area under any
State schedule or revised State schedule of priorities; or
" ( E ) which may reasonably be anticipated as becoming available under existing programs.
"(2) Upon the recommendation of the Recovery Planning Council
and the request of the Governor, any funds for projects or programs
identified pursuant to paragraph (1) of this subsection may, to any
extent consistent with appropriation Acts, be placed in reserve by the
responsible Federal agency for use in accordance with such recommendations. Upon the request of the Governor and Avith the concurrence of affected local governments, such funds may be transferred to
the Recovery Planning Council to be expended in the implementation
of the recovery investment plan, except that no such transfer may be
made unless such expenditure is for a project or program for which
such funds originally were made available by an appropriation Act.

40 u s e a p p .
301, 401.

42 u s e 4201
note.

Ante, p . 153.
Recovery investment p l a n .

Reserve funds

Transfer of
funds.

"PUBLIC WORKS AND DEVELOPMENT FACILITIES GRANTS AND LOANS

"SEC. 803. (a) The President is authorized to provide funds to any
Recovery Planning Council for the implementation of a recovery
investment plan by public bodies. Such funds may be used—
"(1) to make loans for the acquisition or development of land
and improvements for public works, public service, or development facility usage, including the acquisition or development of
parks or open spaces, and the acquisition, construction, rehabilitation, alteration, expansion, or improvement of such facilities,
including related machinery and equipment, and

42 u s e 3233.

162

Interest rate.

PUBLIC LAW 93-288-MAY 22, 1974

[88 STAT.

"(2) to make supplementary grants to increase the Federal
share for projects for which funds are reserved pursuant to
subsection (c) (2) of section 802 of this Act, or other Federalaid projects in the affected area.
" (b) Grants and loans under this section may be made to any State,
local government, or private or public nonprofit organization representing any area or part thereof affected by a major disaster.
"(c) No supplementary grant shall increase the Federal share of
the cost of any project to greater than 90 per centum, except in the
case of a grant for the benefit of Indians or Alaska Natives, or in the
case of any State or local government which the President determines
has exhausted its effective taxing and borrowing capacity.
" ( d ) Loans under this section shall bear interest at a rate determined by the Secretary of the Treasury taking into consideration the
current average market yield on outstanding marketable obligations
of the United States with remaining periods to maturity comparable
to the average maturities of such loans, adjusted to the nearest oneeighth of 1 per centum, less 1 per centum per annum.
"(e) Financial assistance under this title shall not be extended to
assist establishments relocating from one area to another or to assist
subcontractors whose purpose is to divest, or whose economic success
is dependent upon divesting, other contractors or subcontractors of
contracts therefore customarily performed by them. Such limitations
shall not be construed to prohibit assistance for the expansion of an
existing business entity through the establishment of a new branch,
affiliate, or subsidiary of such entity if the Secretary of Commerce
finds that the establishment of such branch, affiliate, or subsidiary
will not result in an increase in unemployment of the area of original
location or in any other area where such entity conducts business
operations, unless the Secretary has reason to believe that such branch,
affiliate, or subsidiary is being established with the intention of closing down the operations of the existing business entity in the area of
its original location or in any other area where it conducts such
operations.
a LOAN GUARANTEES

42 u s e 3234.

Limitation.

"SEC. 804. The President is authorized to provide funds to ReooA^ery
Planning Councils to guarantee loans made to private borrowers by
private lending institutions (1) to aid in financing any project within
an area affected by a major disaster for the purchase or development
of land and facilities (including machinery and equipment) for industrial or commercial usage including the construction of new buildings,
and rehabilitation of abandoned or unoccupied buildings, and the
alteration, conversion, or enlargement of existing buildings; and (2)
for working capital in connection with projects in areas assisted under
paragraph (1), upon application of such institution and upon such
terms and conditions as the President may prescribe. No such guarantee shall at any time exceed 90 per centum of the amount of the outstanding unpaid balance of such loan.
a,TECHNICAL ASSISTANCE

42 u s e 3235.

"SEC. 805. (a) In carrying out the purposes of this title the President is authorized to provide technical assistance which would be
useful in facilitating economic recovery in areas affected by major disasters. Such assistance shall include project planning and feasibility
studies, management and operational assistance, and studies evaluating the needs of, and developing potentialities for, economic recovery

88 STAT. ]

PUBLIC LAW 93-288-IVIAY 22, 1974

163

of such areas. Such assistance may be provided by the President
directly, through the payment of funds authorized for this title to other
departments or agencies of the Federal Government, through the
employment of private individuals, partnerships, firms, corporations,
or suitable institutions, under contracts entered into for such purposes,
or through grants-in-aid to appropriate public or private nonprofit
State, area, district, or local organizations.
" (b) The President is authorized to make grants to defray not to Grants for
exceed 75 per centum of the administrative expenses of Recovery expens^es! '''^
Planning Councils designated pursuant to section 802 of this Act. In
determining the amount of the non-Federal share of such costs or
expenses, the President shall give due consideration to all contributions both in cash and in kind, fairly evaluated, including but not
limited to space, equipment, and services. Where practicable, grantsin-aid authorized under this subsection shall be used in conjunction
with other available planning grants, to assure adequate and effective
planning and economical use of funds.
"AUTHORIZATION OF APPROPRIATIONS

"SEC. 806. There is authorized to be appropriated not to exceed
$250,000,000 to carry out this title.".

42 use 3236.

TITLE VI—MISCELLANEOUS
•

AUTHORITY TO PRESCRIBE RULES

SEC. 601. The President may prescribe such rules and regulations as
may be necessary and proper to carry out any of the provisions of this
Act, and he may exercise any power or authority conferred on him by
any section of this Act either directly or through such Federal agency
or agencies as he may designate.

42 use 5201.
KV;? o-i; ?

TECHNICAL AMENDMENTS

SEC. 602. (a) Section 701(a) (3) (B) (ii) of the Housing Act of 1954
(40 U.S.C. 461(a) (3) ( B ) ( i i ) ) is amended to read as follows: "(ii)
have suffered substantial damage as a result of a major disaster as
declared by the President pursuant to the Disaster Relief Act of
1974;".
(b) Section 8(b) (2) of the National Housing Act (12 U.S.C. 1706c
(b) (2)) is amended by striking out of the last proviso "section 102(1)
of the Disaster Relief Act of 1970" and inserting in lieu thereof
"sections 102(2) and 301 of the Disaster Relief Act of 1974".
(c) Section 203(h) of the National Housing Act (12 U.S.C. 1709
( h ) ) is amended by striking out "section 102(1) of the Disaster Relief
Act of 1970" and inserting in lieu thereof "sections 102(2) and 301 of
the Disaster Relief Act of 1974".
(d) Section 221(f) of the National Housing Act (12 U.S.C. 17151
( f ) ) is amended by striking out of the last paragraph "the Disaster
Relief Act of 1970" and inserting in lieu thereof "the Disaster Relief
? .:-. ^
Act of 1974".
(e) Section 7(a) (1) (A) of the Act of September 30, 1950 (Public
Law 874, Eighty-first Congress, as amended; 20 U.S.C. 241-1 (a) (1)
( A ) ) , is amended by striking out "pursuant to section 102(1) of the
Disaster Relief Act of 1970" and inserting in lieu thereof "pursuant to
sections 102(2) and 301 of the Disaster Relief Act of 1974".
^"te, pp. 144,
^ '

146.

164

Ante,
146.

PUBLIC LAW 93-288-MAY 22, 1974

pp, 144,

42 u s e 4401
note.

(f) Section 16(a} of the Act of September 23, 1950 (79 Stat. 1158;
20 U.S.C. 646(a)) is amended by striking out "section 102(1) of the
Disaster Relief Act of 1970" and inserting in lieu thereof "sections
102 (2) and 301 of the Disaster Relief Act of 1974".
(g) Section 408(a) of the Higher Education Facilities Act of 1963
(20 U.S.C. 758(a)) is amended by striking out "section 102(1) of the
Disaster Relief Act of 1970" and inserting in lieu thereof "sections
102(2) and 301 of the Disaster Relief Act of 1974".
(h) Section 165(h) of the Internal Revenue Code of 1954, relating
to disaster losses (26 U.S.C. 165 ( h ) ) is amended by striking out "1970"
and inserting in lieu thereof "1974".
(i) Section 5064(a) of the Internal Revenue Code of 1954 (26
U.S.C. 5064(a)), relating to losses caused by disaster, is amended by
striking out "the Disaster Relief Act of 1970" and inserting in lieu
thereof "the Disaster Relief Act of 1974".
(j) Section 5708(a) of the Internal Revenue Code of 1954 (26
U.S.C. 5708(a)), relating to losses caused by disaster, is amended by
striking out "the Disaster Relief Act of 1970" and inserting in lieu
thereof "the Disaster Relief Act of 1974".
(k) Section 3 of the Act of June 30, 1954 (68 Stat. 330, as amended
by 82 Stat. 1213; 48 U.S.C. 1681 nt.), is amended by striking out of
the last sentence "section 102(1) of the Disaster Relief Act of 1970"
and inserting in lieu thereof "sections 102(2) and 301 of the Disaster
Relief Act of 1974".
(1) Section 1820(f) of title 38, United States Code, is amended by
striking "the Disaster Assistance Act of 1970" and inserting in lieu
thereof "the Disaster Relief Act of 1974".
(m) Whenever reference is made in any provision of law (other
than this Act), regulation, rule, record, or document of the United
States to provisions of the Disaster Relief Act of 1970 (84 Stat. 1744),
repealed by this Act such reference shall be deemed to be a reference
to the appropriate provision of this Act.
R E P E A L OF E X I S T I N G

g42^u^sc^445i;
42 use 44534456.
notfs^ 443Vnote.

42 use 5121

FUNDS

DATE

S E C 605. Except for section 408, this Act shall take effect as of
April 1,1974.
AUTHORIZATION

42 use 5202.

OP

SEC. 604. Funds heretofore appropriated and available under Public
L a ^ s 91-606, as amended, and 92-385 shall continue to be available
for the purpose of providing assistance under those Acts as well as for
the purposes of this Act.
EFFECTIVE

note.

LAW

SEC. 603. The Disaster Relief Act of 1970, as amended (84 Stat.
1744), is hereby repealed, except sections 231, 233, 234, 235, 236, 237,
301, 302, 303, and 304. Notwithstanding such repeal the provisions of
the Disaster Relief Act of 1970 shall continue in effect with respect to
^ny major disaster declared prior to the enactment of this Act.
PRIOR ALLOCATION

42 use 4401
note.
86 Stat. 554.

[88 STAT.

OF

APPROPRIATIONS

QEC. 606. Except as provided by the amendment made by section
501, there are authorized to be appropriated to the President such
sums as may be necessary to carry out this Act through the close of
June 30,1977.
Approved May 22, 1974.