“Congress is tracking this situation closely, and when members return in just a few short weeks, the administration should have an accurate assessment of the actual dollar amount needed."
The Biden-Harris administration’s loan program for disaster survivors is out of money, the White House announced Tuesday. Congress must approve more funding for the agency but it is on break until after the presidential and Congressional elections of Nov. 5, Politico reported.
Without more funding, the Small Business Administration (SBA) can’t offer assistance to people who saw their homes and businesses destroyed by Hurricane Helene and Milton. House Speaker Mike Johnson (R-LA) says he has no plans on recalling Congress prior to Nov. 12 and argued that states need more time to assess the full extent of their required assistance from both hurricanes. Johnson responded to the need to top up the fund by saying “there’s no question these devastating back-to-back storms have stressed the SBA funding program.”
“But the Biden-Harris Administration has the necessary disaster funding right now to address the immediate needs of American people in these hurricane-affected areas,” the speaker continued. “Congress is tracking this situation closely, and when members return in just a few short weeks, the administration should have an accurate assessment of the actual dollar amount needed and there will be strong bipartisan support to provide the necessary funding.”
Without a total recall, Congress could pass an emergency funding bill during their “pro forma” sessions but it would only take one representative to stop the process without asking for a roll-call vote. Rep. Jared Moskowitz (D-FL) has put forward a bill to provide the SBA with another $8 billion for disaster loans, arguing that it was irresponsible to not plan ahead for hurricane season.
President Joe Biden said in a statement Tuesday that because Johnson has promised to get around to replenishing funding when Congress returns, Americans should still keep applying for loans.
The Federal Emergency Management Agency (FEMA) should still have funding through Election Day even though it spent at least half of the $20 billion that Congress last approved in September. FEMA Administrator Deanne Criswell has spoken ominously of only being able to fund “immediate needs” until further notice.
Department of Homeland Security Secretary Alejandro Mayorkas has admitted that FEMA won’t have enough money to last through the hurricane season after dispensing more than $640 for illegal immigrants. FEMA whistleblowers have accused the government agency of corruption and misuse of funds as it ineptly reacted to Hurricane Helene.
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