Streamlined FEMA Cost Exemption Act

This bill seeks to improve the efficiency and flexibility of the Federal Emergency Management Agency's (FEMA) disaster assistance programs. It amends the Robert T. Stafford Disaster Relief and Emergency Assistance Act to reduce the period during which FEMA can recoup certain assistance funds from three years to two years . This change aims to provide more certainty for recipients of disaster aid. A significant provision restores the President's authority to waive the general prohibition against duplicative assistance , upon a Governor's request, if it serves the public interest and avoids waste or fraud. This waiver authority, however, specifically excludes Public Assistance and Individual Assistance programs. Furthermore, the bill allows the FEMA Administrator to waive recoupment of funds for a covered project if the amount exceeds the total cost by not more than 5 percent , streamlining the process for minor overpayments. Finally, it mandates that the Administrator establish an acceptable error ratio for financial assistance allocations, ensuring that amounts within this ratio are used for eligible purposes and reducing disputes over minor discrepancies.