Office of the Governor Rick Perry

Gov. Perry Proposes $50 Million Disaster Contingency Fund

Tuesday, January 30, 2007  •  Press Release

AUSTIN – Gov. Rick Perry today proposed the creation of a $50 million Disaster Contingency Fund to ensure that state and local governments have the ability to forcefully respond in times of great public emergency.

“As we have learned from disasters like hurricanes Katrina and Rita, as well as recent wildfires and floods, we can never be too prepared,” Perry said. “The Disaster Contingency Fund will allow state and local government to respond with all the necessary resources in the face of a disaster and better manage the cost to taxpayers.”

The Fund will be used to pay costs associated with pre-positioning state resources in anticipation of disasters; reimburse local jurisdictions for disasters that do not meet federal disaster declaration standards; provide up-front funding to smaller jurisdictions that lack the necessary resources to conduct large-scale emergency operations; and pay the federal matching fund obligations that are required for reimbursement from the Federal Emergency Management Agency (FEMA).

Various disaster situations would merit the allocation of these funds. For example, the Fire Management Assistance Grant Program under FEMA does not reimburse local jurisdictions for fighting wildfires before they become a threat to communities. Also, as part of Gov. Perry’s hurricane evacuation plan, the state pre-deploys substantial resources to support local communities as a hurricane’s projected path includes the Texas coastline. If a hurricane turns and misses Texas, as Hurricane Ernesto did in 2006, FEMA will not reimburse funds for the pre-deployment of resources.

“There is no question that Texas is prepared to step up to the plate and meet a disaster head-on,” Perry said. “I encourage the Legislature to support this $50 million fund, so we may continue to coordinate our emergency response efforts and protect our communities without being financially penalized.”

If approved by lawmakers, these funds will be available September 1st for the 2007-2008 biennium and will be distributed by the Governor’s Division of Emergency Management to eligible applicants.

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