Establishing a municipal road and bridge disaster relief fund.
The municipal road and bridge disaster relief fund will require participating municipalities to contribute annually 0.5% of their operating budget into this fund. Additionally, the state will contribute an annual appropriation of $5,000,000 to support the fund until it reaches a maximum balance of $30,000,000. The bill aims to incentivize municipalities to prepare for natural disasters by ensuring they have the fiscal resources to manage emergency repairs effectively. It emphasizes proactive investments in infrastructure to protect public safety and facilitate access during crises.
House Bill 1665 establishes a municipal road and bridge disaster relief fund aimed at providing financial support to municipalities that incur damages to their roads and bridges as a result of natural disasters. The fund will serve as a gap financing resource for towns waiting on federal assistance from FEMA or alternative funding avenues for their required repairs. Recognizing the importance of maintaining safe passage on municipal infrastructure, the bill dictates that the fund will remain non-lapsing and continuously appropriated to the Division of Homeland Security and Emergency Management for its administration.
Notably, a municipality can only access funds if the damage surpasses 50% of its annual operating budget and if necessary repair costs exceed its current fund balance. This provision potentially limits accessibility to the fund for smaller municipalities that may experience significant damage but do not have large operating budgets. The bill may spark discussions around the sufficiency of funding and the administrative processes required to access such disaster relief, raising questions about equity across municipalities of varying sizes.