Two North Coast lawmakers are proposing to bar the Federal Emergency Management Agency from demanding disaster victims return federal aid that was received in good faith, a move taken in response to the agency’s threat that it could ask for repayment from the victims of recent wildfires.
U.S. Reps. Jared Huffman of San Rafael and Mike Thompson of St. Helena are co-sponsoring the bipartisan bill introduced Tuesday by Missouri Republican Rep. Sam Graves. The bill sets out to prevent the federal government from demanding victims return aid when there is no evidence of fraud and the assistance was provided by the agency by mistake.
“The needs of disaster survivors must always come first,” Thompson said. “ That’s why I am proud to coauthor this bipartisan bill to prevent FEMA from trying to take away critical assistance awarded to survivors who are already in the midst of the often long and hard recovery process.”
California Republican Rep. Doug LaMalfa and Virgin Islands Democrat Stacey Plaskett, a House delegate, are fellow co-sponsors of the bill, H.R. 5953.
The Press Democrat reported in December that FEMA was seeking to get a $4 billion cut of the $13.5 billion PG&E has set aside to pay wildfire victims to settle their claims against the utility in bankruptcy court.
PG&E sought bankruptcy protection last year under pressure from billions of liabilities from wildfire disasters sparked by the utility’s equipment.
FEMA officials have said they may have to demand wildfire victims in Northern California return some government assistance if PG&E doesn’t compensate the federal government for money spent response to the fires caused by the utility’s electrical system.
Wildfire victims have objected to FEMA’s claims, and their attorneys are set to argue the matter before U.S. Bankruptcy Court Judge Dennis Montali in San Francisco on Wednesday.
FEMA officials have said federal laws require the agency avoid providing what they view as duplicate assistance, even if it comes in the form of victim compensation in a court proceeding.
“Tearing funds from people who are fighting to rebuild their lives is deplorable,” Huffman said. “Victims of natural disasters in California and across the country have been through hell.”
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You can reach Staff Writer Julie Johnson at 707-521-5220 or [email protected]. On Twitter @jjpressdem.