Congressional Research Service: Stafford Act & Selected Federal Recovery Programs for Civil Unrest (Part 1 of 2)
The report was written by American national government specialist
Here are excerpts:
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SUMMARY
States and localities have looked to the federal government for help with civil unrest since the formation of
Though the frameworks establish an orderly process for requesting and receiving federal assistance, many challenges remain. States have increasingly sought support for recovery from incidents of civil unrest through major disaster assistance pursuant to the Robert T. Stafford Disaster Relief and Emergency Assistance Act (P.L. 93-288, the Stafford Act). To date, requests for such assistance have largely been denied; one request was approved (in 1992, a major disaster was requested and declared in
Some might question whether Stafford Act assistance is appropriate for civil unrest incidents. According to the
Others may argue that Stafford Act assistance is warranted because the damages caused by civil unrest are similar to those caused by natural disasters. While existing federal programs provide some assistance for recovery from civil unrest, Stafford Act assistance is generally more comprehensive: a major disaster declaration authorizes
This report provides context to the debate about the use of the Stafford Act to support recovery from incidents of civil unrest. It also examines various policy options and considerations for
* amending the definition of major disaster to include civil unrest;
* expanding assistance provided by major disaster declaration designations;
* revising the per capita indicator cost threshold used by the
* expanding the authorization of Individual Assistance;
* expanding Hazard Mitigation Grant Program funding for civil unrest incidents;
* expanding the types of assistance provided under emergency declarations;
* increasing assistance to businesses damaged by civil unrest that are also suffering economic injury as a result of the Coronavirus Disease 2019 (COVID-19) pandemic; and
* oversight of Public Assistance for law enforcement activities.
The report concludes with policy observations that
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Contents
Introduction ... 1
Recovery Authorities and Programs ... 2
Stafford Act Declarations ... 2
Stafford Act Declaration Process ... 2
Major Disaster Declarations ... 4
Emergency Declarations ... 8
Small Business Act Disaster Declarations ... 9
Community and Economic Development Programs ... 10
EDA Programs ... 10
The Community Development
Historical Overview of Federal Assistance ... 13
Community and Economic Development Programs ... 17
Policy Options and Considerations for
Amending the Definition of a Major Disaster ... 18
Major Disaster Declaration Designations ... 20
Per Capita Indicator Cost Threshold ... 21
Individual Assistance Authorization ... 22
Hazard Mitigation Grant Program Funding ... 23
Expanding Available Types of Assistance for Emergency Declarations ... 25
COVID-19 Considerations ... 26
Public Assistance for Law Enforcement ... 26
Concluding Policy Observations ... 27
Figures
Figure 1. Stafford Act Declaration Process ... 3
Figure 2. SBA Disaster Loans for Civil Unrest Incidents ... 15
Figure 3. FEMA Assistance as Authorized by the 1992 Major Disaster Declaration ... 17
Figure 4. Major Disaster Definition ... 19
Figure D-1. FEMA Denial Letter: Civil Unrest in
Figure E-1. FEMA Denial Letter: Flint Water Contamination Incident ... 34
Tables
Table 1. Small Business Act Declarations Related to Civil Unrest ... 13
Table 2. Stafford Act Declaration Requests Related to Civil Unrest ... 16
Table A-1. FEMA Assistance Available Under Stafford Act Declarations ... 29
Table B-1. General Categories of Assistance ... 30
Table C-1. Factors Considered for a Governor's Request for a Major Disaster Authorizing Public Assistance ... 32 Table C-2. Factors Considered for a Governor's Request for a Major Disaster Authorizing Individual Assistance ... 32 Appendixes
Appendix A. FEMA Assistance ... 29 Appendix B. CDBG Eligible Activities ... 30 Appendix C. Public and Individual Assistance Factors ... 32 Appendix D. Maryland Major Disaster Denial ... 33 Appendix E. Flint Major Disaster Denial ... 34 Contacts
Author Information ... 35
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Introduction
Since the founding of the nation, states and localities have sought assistance from the federal government for incidents of civil unrest./1
Federal assistance was ad hoc and provided on a case-by-case basis until the middle of the twentieth century, when the Federal Disaster Relief Act of 1950 (P.L. 81-875) and the Small Business Act of 1953 (P.L. 83-163) established frameworks and processes for providing disaster assistance to states and localities that are still in effect today./2
Starting in the 1960s, state and local governments began requesting supplemental federal assistance through the framework to help businesses, public and nonprofit organizations, and individuals and households recover from the uninsured costs of civil unrest incidents. The amount and type of assistance provided has varied depending on the nature and scope of the incident, as well as the President and Administration officials' assessment of the damages caused by the incident. Of note, the federal government is neither the first responder, nor the primary source of assistance to areas stricken by civil unrest. Federal resources are intended to supplement those of state and local governments, the private sector, and voluntary efforts.
This report is divided into four sections. The first section of this report provides an overview of selected recovery authorities and federal programs relevant to civil unrest recovery assistance. These sources include loan and grant programs administered by the
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1 For example, in 1787 General
2 The Federal Disaster Relief Act of 1950 (P.L. 81-875) established a framework and process of providing orderly and continuing means of assistance by the federal government to state and local governments. Much of the framework is still in effect today. The Federal Disaster Relief Act made disaster assistance more immediately accessible by authorizing the President to issue major disaster declarations in response to gubernatorial requests for assistance.
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Report Terms
Civil Unrest - For the purposes of this report, the term "civil unrest" is used to describe mass demonstrations or acts of civil disobedience, including but not limited to arson, violence, and damage to property.
State - Under the Stafford Act the term "state" means any
Tribe or Tribal Government - The term "tribe" refers to Indian tribal governments. Per the Stafford Act, "[t]he term 'Indian tribal government' means the governing body of any Indian or Alaska Native tribe, band, nation, pueblo, village, or community that the Secretary of the Interior acknowledges to exist as an Indian tribe under the Federally Recognized Indian Tribe List Act of 1994" (42 U.S.C. Sec.5122(6)).
Tribal Chief Executive - The Stafford Act defines "Chief Executive" as the "person who is the Chief, Chairman, Governor, President, or similar executive official of an Indian tribal government" (42 U.S.C. Sec.5122(12)).
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Recovery Authorities and Programs
The following sections provide an overview of major disaster and emergency declarations authorized under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (P.L. 93288, the Stafford Act), followed by detailed descriptions of recovery programs authorized by the Small Business Act (P.L 85-536), and recovery programs provided through EDA and HUD.
Stafford Act Declarations
The Stafford Act authorizes the President to issue declarations that provide states, tribes, and localities, as well as individuals and nonprofit organizations, with a range of federal assistance in response to natural and human-caused incidents./3
There are two potential declarations under the Stafford Act that could provide federal assistance in response to a civil unrest incident: (1) a major disaster declaration, and (2) an emergency declaration.
The following sections provide an overview of the Stafford Act declaration process and describe major disaster and emergency declarations, including their respective definitions, and types of assistance that could be authorized in response to civil unrest incidents.
Stafford Act Declaration Process
The federal government does not automatically provide assistance to local, state, territorial, and Indian tribal governments when an incident occurs./4
In most cases, the governor or tribal chief executive requests that the President declare an emergency or major disaster and authorize various types of assistance (e.g., Public Assistance and Individual Assistance)./5
This is because federal assistance is intended to supplement - not supplant - local, state, territorial, or Indian tribal government response and recovery efforts./6
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3 For more information on Stafford Act declarations, see CRS Report R43784,
4 44 C.F.R. Sec.206.32(e) defines an incident as "[a]ny condition which meets the definition of major disaster or emergency as set forth in Sec.206.2 which causes damage or hardship that may result in a Presidential declaration of a major disaster or an emergency."
5 44 C.F.R. Sec.Sec.206.35, 206.36, 206.40(a);
6 The governor or tribal chief executive's request must document that the "situation is of such severity and magnitude that effective response is beyond the capabilities of the State and affected local governments" and that supplemental federal assistance is necessary (44 C.F.R. Sec.Sec.206.35 and 206.36). To justify a declaration of emergency, supplemental federal assistance must be needed to "save lives and to protect property, public health and safety, or to lessen or avert the threat of a disaster" (44 C.F.R. Sec.206.3). To justify a declaration of major disaster, federal assistance must be needed to "supplement the efforts and available resources of the State, local governments, disaster relief organizations, and compensation by insurance for disaster-related losses" (44 C.F.R. Sec.206.36).
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In making such a request, the governor or tribal chief executive must demonstrate that they are unable to effectively respond to the incident without federal assistance./7
Figure 1 depicts the Stafford Act Declaration Process.
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Figure 1. Stafford Act Declaration Process
Source: Developed by CRS based on the
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The governor or tribal chief executive's request for a presidential declaration of emergency or major disaster must include information about the actions and resources that have been or will be committed, and an estimate of the amount and severity of the disaster-caused damages./8
For all but the most catastrophic events, this process is deliberative and involves accumulating information from several sources during the Preliminary Damage Assessment (PDA) process./9
A key factor included in the PDA report to determine whether a major disaster declaration may be warranted is the "per capita indicator." Generally,
The damage assessments must also exceed
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7 44 C.F.R. Sec.Sec.206.35 and 206.36.
8 For a list and description of information requirements to accompany a governor or tribal chief executive's request for an emergency declaration and a major disaster declaration, see 44 C.F.R. Sec.206.35 and 44 C.F.R. Sec.206.36, respectively.
9 For example, see
10
11 44 C.F.R. Sec.206.48(a)(1)-(2); and
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A major disaster declaration does not trigger all forms of assistance authorized by the Stafford Act. Rather, different programs are provided depending on the nature and scope of the incident. The following sections describe the types of assistance provided by
Major Disaster Declarations
Major disaster declarations authorize a wide range of federal assistance to states, local governments, tribal governments, individuals and households, and certain nonprofit organizations to aid recovery from a catastrophic incident. Major disaster declarations must be requested by the state governor or tribal chief executive.
Section 102(2) of the Stafford Act defines a major disaster as
'any natural catastrophe (including any hurricane, tornado, storm, high water, wind-driven water, tidal wave, tsunami, earthquake, volcanic eruption, landslide, mudslide, snowstorm, or drought), or, regardless of cause, any fire, flood, or explosion, in any part of
Of note, the definition of a major disaster lists natural disasters and, regardless of cause, any fire, flood or explosion but does not include the terms "civil unrest" or "riots" which may pose a challenge to states and localities seeking a major disaster declaration in response to an incident of civil unrest. The potential implications of this definition are addressed in the "Amending the Definition of a Major Disaster" section of this report.
Major Disaster Assistance:
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12 P.L. 93-288, 42 U.S.C. Sec.5122.
13
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PA-Only Major Disaster Declarations
Incidents without sufficient damages to households may be limited to Public Assistance. Major disaster declarations that only authorize the Public Assistance program for the incident are referred to as "PA-only" major disaster declarations. Though they are referred to as PA-only major disaster declarations, they may authorize both
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FEMA Assistance Programs at a Glance
Public Assistance: provides grants on a cost-share basis to state, territorial, Indian tribal government, and local governments and certain private nonprofit organizations (PA Applicants). PA reimburses Applicants for the costs of emergency protective services, conducting debris removal operations, and repairing or replacing damaged facilities.
Individual Assistance: provides financial and direct aid to affected individuals and households, and can take the form of housing assistance, crisis counseling, case management services, legal services, disaster unemployment assistance, and other needs assistance.
Hazard Mitigation Grant Program (HMGP): funds mitigation and resiliency projects and programs. The state, territory, or tribal government can use HMGP funding for mitigation projects for any eligible activities that reduce risk and build resilience.
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Public Assistance
A major disaster declaration issued for civil unrest could authorize PA to provide reimbursement for the following activities, grouped into emergency or permanent work categories:/14
PA Emergency Work includes
* Debris Removal (PA Category A) - PA Applicants may receive direct assistance and reimbursement for the costs of removing debris and wreckage from public and private property when
* Emergency Protective Measures (PA Category B) - PA Applicants may receive direct assistance and reimbursement for work undertaken to save lives and protect property (e.g., search and rescue, emergency medical care, the distribution of food and first aid, law enforcement, and firefighting)./16
* Mission Assignments - the President has the authority to direct any federal agency to use its authorities and resources to support state and local response and recovery efforts, primarily through Public Assistance Emergency Work, as authorized in Sections 402, 403, and 502 of the Stafford Act. In these cases,
PA Permanent Work - State, tribal, territorial, and local governments and eligible private organizations may receive reimbursement for the costs incurred to repair, restore, reconstruct, or replace the following types of disaster-damaged facilities:
* Roads and Bridges (Category C);/19
* Water Control Facilities (Category D);/20
* Buildings and Equipment (Category E) - including eligible building contents;/21
* Utilities (Category F);/22 and
* Parks, Recreational, Other Facilities (Category G)./23
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14 For more information on
15 For more information on PA for Debris Removal, see
16
17
18
19 Ibid., pp. 168-169.
20 Ibid., pp. 170-171.
21 Ibid., pp. 171-176
22 Ibid., pp. 176-178.
23 Ibid., pp. 179-182.
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Individual Assistance
Individual Assistance (IA) provides grants and direct assistance to individuals and families. The forms of IA that may be provided pursuant to a major disaster declaration include
* Individuals and Households Program (IHP), which can take the form of assistance for housing and for other needs (referred to as Other Needs Assistance or ONA);
* Crisis Counseling Assistance and Training Program;
* Disaster Unemployment Assistance;
* Disaster Legal Services; and
* Disaster Case Management./24
All forms of IA may be available following a presidential major disaster declaration./25
Many major disasters provide IA, in addition to PA and Hazard Mitigation Assistance. In rare cases, there have been major disasters that have only provided IA, as discussed later in "Major Disaster Declaration Designations." IA must be authorized in order for individuals and businesses to qualify for assistance through the SBA's Disaster Loan Program.
Hazard Mitigation Grant Program
Hazard Mitigation Grant Program (HMGP) assistance is triggered by a request from the governor of an affected state or territory, or the chief executive of an affected Indian tribal government after a major disaster declaration or the receipt of a Fire Management Assistance Grant (FMAG)./26 The HMGP program is designed to ensure that the reconstruction process following a disaster addresses opportunities to include mitigation measures to reduce the loss of life and property from future disasters.
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24 For more information on
25
26 An FMAG declaration authorizes various forms of federal assistance, such as equipment, personnel, and grants to any state or local government for the control, management, and mitigation of any fire on public or private forest land or grassland that might become a major disaster. The Fire Management Assistance declaration process is initiated when a state submits a request for assistance to the FEMA Regional Director at the time a "threat of major disaster" exists. For more information on the Hazard Mitigation Grant Program, see CRS Insight IN11187,
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HMGP funding may be available for the entire state if requested and is not restricted to the areas included in the declaration./27 HMGP funding does not have to be used for the incident that caused the major disaster. Rather, the state, territory, or tribal government can use HMGP funds for any eligible activity and is not limited to addressing the hazard or area for which the grant was awarded. For example, a state which received HMGP funding for a disaster declaration for a coastal flood could choose to use the funding for mitigation activities related to wildfires in inland counties. In the case of civil unrest, eligible mitigation funding could potentially be used to build resilience, such as property acquisition and structure demolition; purchase of generators; structural and nonstructural retrofitting of existing buildings and facilities; infrastructure retrofit; post-disaster code enforcement; technical assistance; or management costs.
HMGP funding is awarded as a formula grant to a state based on the estimated total federal assistance per major disaster declaration or FMAG, subject to a sliding scale formula./28 HMGP funding is up to 15% of the first
Major Disaster Assistance: SBA
Major disaster declarations may also put the SBA Disaster Loan Program into effect./30 As described below, the SBA Disaster Loan Program provides four categories of loans for disaster-related losses. Because the PA-only major disaster designation plays a key role in determining SBA loan eligibility, the implications of a PA-only designation are italicized below.
* Home Personal Property Disaster Loans - provide up to
* Home Physical Disaster Loans - provide up to
* Business Physical Disaster Loans - provide up to
* Economic Injury Disaster Loans (EIDLs) - provide up to
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27
28 42 U.S.C. Sec.5170c(a) and 44 C.F.R. Sec.206.432(b)).
29 44 C.F.R. Sec.201.5.
30 13 C.F.R. Sec.123.3. For more information on the SBA Disaster Loan Program, see CRS Report R41309, The SBA Disaster Loan Program: Overview and Possible Issues for
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Emergency Declarations
Emergency declarations authorize a more limited range of federal assistance and are issued by the President to protect property and public health and safety and to lessen or avert the threat of a major disaster. Emergency declarations are generally requested by governors and tribal chief executives. However, under Stafford Act Section 501(b), the President may issue a unilateral declaration for certain emergencies when the federal government has the primary responsibility for incident response (e.g., in the case of destruction of federal property, including the explosion of the
Section 102(1) of the Stafford Act defines an emergency as any occasion or instance for which, in the determination of the President, federal assistance is needed to supplement State and local efforts and capabilities to save lives and to protect property and public health and safety, or to lessen or avert the threat of a catastrophe in any part of
Emergency Assistance:
Emergency declarations typically only authorize PA "Emergency Work." They may also, in rare instances, authorize limited forms of IA: the Individuals and Households Program and the Crisis Counseling Assistance and Training Program./35 Hazard Mitigation Assistance may not be authorized pursuant to an emergency declaration./36
PA Emergency Work is not available to businesses, though
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31 P.L. 93-288, 42 U.S.C. Sec.5191. Examples of Section 501(b) declarations include the COVID-19 pandemic, the explosion at the federal courthouse in
32 P.L. 93-288, 42 U.S.C. Sec.5122.
33 P.L. 93-288, 42 U.S.C. Sec.Sec.5170a-b, 5192.
34 For more information, see CRS Report R44941, Disaster Debris Management: Requirements, Challenges, and Federal Agency Roles, by
35 Stafford Act Sec.502(a)(6), 42 U.S.C. Sec.5192(a)(6), as amended by Section 7321 of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (P.L. 117-263), which amended the Stafford Act to enable Crisis Counseling to be authorized pursuant to an emergency declaration.
36
37
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Emergency Assistance: SBA
Emergency declarations also trigger the SBA Disaster Loan Program, but because emergency declarations are almost exclusively designated as PA-only, SBA disaster loans are limited to private, nonprofit organizations. Businesses are ineligible for SBA disaster loans under an emergency declaration pursuant to the Stafford Act.
Small Business Act Disaster Declarations
Under the Small Business Act, the SBA Administrator has the authority to issue disaster declarations in response to gubernatorial requests to activate the SBA Disaster Loan Program. Governors often seek SBA disaster declarations when their requests for Stafford Act assistance have been denied.
Riots and civil disorders are listed as a declarable incident under the Small Business Act, which defines a disaster as
'a sudden event which causes severe damage including, but not limited to, floods, hurricanes, tornadoes, earthquakes, fires, explosions, volcanoes, windstorms, landslides or mudslides, tidal waves, commercial fishery failures or fishery resource disasters (as determined by the Secretary of Commerce under section 4107(b) of title 16), ocean conditions resulting in the closure of customary fishing waters, riots, civil disorders or other catastrophes, except it does not include economic dislocations.'/38
In the context of civil unrest, there are two types of declarations that could be issued by the SBA Administrator absent a presidential declaration under the Stafford Act: (1) a physical disaster declaration in response to a gubernatorial request for assistance, or (2) an EIDL declaration.
SBA Physical Disaster Declaration
SBA physical disaster declarations make all loan types available to eligible individuals, households, businesses, and private nonprofit organizations. The thresholds used to determine whether to issue an SBA physical disaster declaration are significantly lower than those used for major disaster declarations under the Stafford Act and include a minimum amount of uninsured physical damage to buildings, machinery, inventory, homes, and other property. Generally, this minimum is at least 25 homes or businesses (or some combination of the two) that have sustained uninsured losses of 40% or more in any county or other smaller political subdivision of a state or
SBA EIDL Declaration
SBA EIDL declarations make EIDL assistance available to eligible businesses and private nonprofit organizations. The criterion used to determine whether to issue an EIDL declaration is when the SBA Administrator receives a certification from a state governor that at least five small businesses have suffered substantial economic injury as a result of a disaster. This declaration is offered only when other viable forms of financial assistance are unavailable. Small agricultural cooperatives and most private nonprofit organizations located within the disaster area or contiguous counties and other political subdivisions are eligible for SBA disaster loans when the SBA Administrator issues an EIDL declaration.
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38 P.L. 85-536, 15 U.S.C. Sec.632(k).
39 See 13 C.F.R. Sec.123.3(3)(ii) and 13 C.F.R. Sec.123.3(3)(iii).
* * *
Community and Economic Development Programs
Community and economic development programs have provided assistance to state and local stakeholders following instances of civil unrest. EDA and HUD administer programs that may assist state and local stakeholders with economic recovery, neighborhood revitalization, rebuilding, and other activities. However, community and economic development programs differ from
Following instances of civil unrest, funding from EDA programs and the CDBG program provide assistance for the implementation of economic recovery plans and strategies that have been developed by state and local stakeholders. The programs offer flexibility to state and local stakeholders to address the unique development needs of their communities through a range of construction and non-construction projects and activities with annually appropriated funds. Eligible entities apply to the federal agency for project funds - generally through existing procedures and processes - and are not required to apply for a formal emergency declaration from EDA and HUD program administrators.
Additionally, in some cases, these programs receive supplemental appropriations.
EDA Programs
EDA programs, including Technical Assistance, Public Works, Economic Adjustment Assistance (EAA), and others, may support a variety of activities that facilitate economic recovery following instances of civil unrest./40 EDA grants are awarded on a competitive basis to states, cities, counties, tribal governments, economic development districts, and other political subdivisions of states, as well as institutions of higher education or a consortium of such institutions, and not-for-profit organizations acting in cooperation with officials of a political subdivision of a state./41 These grants may support both construction and non-construction projects.
Although EDA does not make grants directly to businesses, eligible recipients can use EDA funding to support businesses through credit or technical assistance programs./42
* * *
40 EDA administers additional programs. See "
41 The term "state" includes the
42 Approximately 400 organizations currently administer EDA-funded revolving loan funds (RLFs). For more information about RLFs, see CRS Report Economic Development Revolving Loan Funds (ED-RLFs).
* * *
For instance, revolving loan fund (RLF) programs can be used to target assistance to specific neighborhoods, regions, and types of businesses following instances of civil unrest. Businesses may also receive direct technical assistance through projects funded by EDA grants or EDA-supported University Center partners./43
Public Works and Economic Adjustment Assistance Programs
EDA's Public Works and Economic Adjustment Assistance (EAA) programs help distressed communities revitalize, expand, and upgrade their physical infrastructure as well as assist areas experiencing long-term economic distress or sudden and substantial economic dislocation./45 By example, in
* * *
43 For additional information about the EDA's University Center program see https://www.eda.gov/programs/university-centers/.
44 In FY2020,
45 42 U.S.C. Sec.3141 and 42 U.S.C. Sec.3149.
46 EDA, FY2015 Annual Report, pp. 30-31, https://www.eda.gov/files/annual-reports/fy2015/EDA-FY2015-AnnualReport-full.pdf.
47 42 U.S.C. Sec.3149. For additional information about EDA and Disaster Recovery, see https://www.eda.gov/disasterrecovery/. For more information about Economic Adjustment Assistance, see https://www.eda.gov/programs/edaprograms/; and CRS Insight IN11402, The
48 The criteria for economic distress is determined by the area's unemployment rate, per capita income, or a special need. 42 U.S.C. Sec.3161.
49 For additional information about EDA programs, see https://www.eda.gov/programs/eda-programs/.
* * *
In addition to the Public Works and EAA programs, EDA's Technical Assistance program supports economic development decisionmaking, such as impact analyses or feasibility studies. In 1968, EDA's Technical Assistance funding helped launch the
The Community Development
The majority of CDBG funds are administered through two sub-programs: (1) an entitlement cities program for principal cities of metropolitan statistical areas, or other cities with populations of 50,000 or greater (or urban counties of 200,000 or greater); and (2) a state program, which allows states to sub-award CDBG funds (usually competitively) to non-entitlement communities./51 The entitlement cities program receives approximately 70% of CDBG funds./52 Because it is a block grant program, CDBG funds are relatively flexible, and may be utilized for a variety of purposes provided that the activities meet one of three national objectives.
CDBG National Objectives
The CDBG program has three national objectives:
1. principally benefit low- and moderate-income (LMI) persons;/53
2. aid in the prevention or elimination of slums or blight;
3. or meet an urgent need for the purposes of health or safety./54
The CDBG program flexibilities enable grantees to deal with emergencies and unforeseen events. Existing CDBG funds can be adapted for recovery and mitigation of damages from disasters or civil unrest, through
* planning for and obligating future funds in service of these objectives; or
* reprogramming existing funds by amending grantees' consolidated plans in coordination with HUD.
Title I of the Housing and Community Development Act of 1974 (42 U.S.C. Sec.Sec.5301 et seq.) identifies the categories of eligible activities that may be undertaken with CDBG funds. Generally, program activities fall into six broad categories: (1) planning and administrative activities; (2) public works and public facilities; (3) economic development; (4) public services; (5) housing-related activities; and (6) acquisition, demolition, and disposition of real property./55
CDBG grantees may reprogram funds to meet any eligible need, including recovery. Budget constraints and competing priorities within units of local government may limit the likelihood of this option. In some cases, grantees may receive additional waivers or alternative requirements for the use of CDBG funds in response to emerging issues. For instance, in response to the 1992
* * *
50 EDA, "Success Story: Rebuilding Watts California,"
51 HUD, State Community Development Block Grant Program, accessed
52 There are other CDBG components for insular and tribal entities that are beyond the scope of this report.
53 The low- and moderate-income (LMI) benefit national objective is required to total 70% of a grantee's projects under the conventional CDBG program, although waivers may be obtained in extenuating circumstances.
54 42 U.S.C. Sec.Sec.5301 et seq. as interpreted by HUD at 24 C.F.R. Sec.570.200 and the HUD Guide to National Objectives and Eligible Activities for CDBG Entitlement Communities.
55 Table B-1 provides a sample of eligible activities within these categories.
* * *
Historical Overview of Federal Assistance
The SBA has long been the main source federal assistance for civil unrest incidents in
* * *
56 GAO,
57 For more information on the SBA Disaster Loan Program, see CRS Report R44412, SBA Disaster Loan Program: Frequently Asked Questions, by
* * *
Table 1. Small Business Act Declarations Related to Civil Unrest, 1967-2020; Nominal Dollars
Sources: Compiled by CRS using SBA Disaster Loan Data Sets,
Notes: SBA Administrative Physical Disaster Declarations makes all SBA loan types available to eligible individuals and households, businesses, and private, nonprofit organizations. Not all applicants accept approved loans.
a. Loan amounts provided by SBA for select disasters are current as of
b. SBA agency total amount. Granular data on SBA business disaster loans (including EIDL) and home disaster loans were not available.
c. A "blind pig" refers to an illicit drinking establishment.
* * *
Figure 2 provides SBA disaster loan amounts associated with civil unrest incidents since 1980. As shown in the figure, the SBA provided over
* * *
Figure 2. SBA Disaster Loans for Civil Unrest Incidents
Source: Compiled by CRS using disaster loan datasets provided by SBA.
Notes: Figure 2 is not to scale due to the amount of assistance provided to individuals and businesses in
* * *
States and localities have also sought civil unrest assistance from
* * *
58
59 "Federal Government Denies Minnesota's Request for Aid to Clean Up, Rebuild in
* * *
The specifics behind these denials are unclear. A review of the preliminary damage assessment reports suggests that the damages caused by the civil unrest incidents in
* * *
Table 2. Stafford Act Declaration Requests Related to Civil Unrest
Sources: Compiled by CRS using
* * *
The major disaster issued to
* * *
60 Lists of the factors used to evaluate requests for Stafford Act assistance are located in Table C-1 and Table C-2.
61 See "Major Disaster Declarations," above.
62 These amounts are in addition to the
* * *
Figure 3. FEMA Assistance as Authorized by the 1992 Major Disaster Declaration
Source: Developed by CRS based on obligations data provided by
Note: Figure 3 details grant assistance provided by
* * *
Community and Economic Development Programs
As previously mentioned, EDA and HUD also administer programs that assist state and local stakeholders with economic recovery, neighborhood revitalization, rebuilding, and other activities. EDA and HUD funds have also been awarded to assist communities recovering from instances of civil unrest.
For instance, in 1968 EDA's Technical Assistance and Public Works programs helped launch the
In response to some emergencies,
* * *
63 EDA, "Success Story: Rebuilding Watts California,"
64 EDA, FY2015 Annual Report, pp. 30-31, https://www.eda.gov/files/annual-reports/fy2015/EDA-FY2015-AnnualReport-full.pdf.
65 See CRS Report R46475, The Community Development
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Continues with Part 2 of 2
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The report is posted at: https://crsreports.congress.gov/product/pdf/R/R46665
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