WASHINGTON -- FEMA Administrator Deanne Criswell today announced selections for a combined $150 million in capitalization grants to help communities reduce vulnerability to natural hazards. Funding through the Safeguarding Tomorrow Revolving Loan Fund Program will enable 10 states, a Tribal Nation and the District of Columbia to administer revolving loan funds that will help local governments carry out hazard mitigation projects and build community climate resilience. Through this program, part of President Biden’s Investing in America agenda, states can direct loans to local governments to mitigate the effects of events like drought, intense heat, wildfires, floods and earthquakes.
"Helping communities invest in resilient infrastructure is the best defense we have as a nation to withstand tomorrow’s hazards," said FEMA Administrator Deanne Criswell. "Thanks to the Biden-Harris Administration, the STORM program will provide states with the funding they need to help communities build resilience to protect against future hazards. I encourage more of our state, tribal and territorial partners to apply for these funds to help keep their communities safe."
The announcement aligns with the 2024 FEMA Year of Resilience theme to build capacity to withstand tomorrow’s hazards.
Today’s funding announcements were made possible by President Biden’s Bipartisan Infrastructure Law, which provides $500 million to fund the Safeguarding Tomorrow RLF program through 2026. Local governments have flexibility to use funding for projects to enhance natural hazard resilience for critical infrastructure such as roads, public housing, water treatment facilities, dams, levees and coastal structures. This includes improving flood control, implementing changes in zoning and land-use planning needed to adapt to a changing climate, and enforcing adoption of resilient building codes.
FEMA selected 12 applications for a combined total of $150 million in capitalization grants. These applicants will use funding to make direct loans to local governments through a revolving fund.
The applicants and amounts selected for this funding cycle are:
- District of Columbia: $12 million
- Iowa: $17.4 million
- La Jolla Band of the Luiseño Indians: $5.1 million
- Maryland: $14.2 million
- Michigan: $17.4 million
- North Dakota: $16.6 million
- New Jersey: $15 million
- New York: $13.6 million
- South Carolina: $9.1 million
- Tennessee: $7 million
- Virginia: $13.6 million
- West Virginia: $9 million
As these loans are paid back to the states, the funding can be used to finance additional mitigation projects, providing a sustainable local source of financing for protecting communities.
This is the second round of Safeguarding Tomorrow Revolving Loan Fund Program selections. In September 2023, FEMA announced seven states and the District of Columbia received a combined $50 million in capitalization grants. Seven of the selections—the District of Columbia, Maryland, Michigan, New Jersey, New York, South Carolina and Virginia—applied in 2023 and also submitted applications for the 2024 cycle.
The Safeguarding Tomorrow Revolving Loan Fund Program complements FEMA’s hazard mitigation grant portfolio to support mitigation projects at the local government level and increase the nation’s resilience to natural hazards and climate change.
In support of the Justice40 initiative, the Safeguarding Tomorrow Revolving Loan Fund Program aims that 40 percent of the overall benefits generated by entity loan funds flow to disadvantaged communities. The Safeguarding Tomorrow Revolving Loan Fund program encourages applicants to develop revolving loan funds that target these areas. How these goals will be achieved is determined by the applicant.
FEMA encourages applicants to develop revolving loan funds that target low-income geographic areas and underserved communities. Entities selected for awards will use funding based on their unique needs and priorities to become more resilient to natural hazards.
The agency will continue to offer technical assistance through webinars, office hours, on-demand videos and program support materials that are publicly available to assist and encourage existing and future applicants to participate and make use of this innovative program.