Caution Urged When Spending FEMA Disaster Housing Money 

Release Date: November 3, 2004
Release Number: 1552-043

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San Juan, PR - Federal and commonwealth disaster recovery officials advise Tropical Storm Jeanne disaster aid recipients to use caution when they receive the assistance from the Federal Emergency Management Agency's (FEMA) Disaster Housing Program.

"If an applicant receives a check from the FEMA Disaster Housing program, it will either be a grant to make minimal repairs on the damaged home or rental assistance, if the home is uninhabitable," said Peter Martinasco, Federal Coordinating Officer. The minimal repair grant will include money for the applicant to make temporary repairs to their homes.

"It's important that individuals who suffered damages spend the money according to their specific grant," said Martinasco. A letter explaining which program the applicant was awarded will come within a day or two of receiving the check.

Martinasco advises residents who receive federal/state assistance to read their letter regarding disaster assistance carefully. If the applicant spends the assistance money on anything other than the purpose for which the check was intended, no additional assistance might be granted if the need arises in the future.

The minimal repair grants are available to homeowners to make their residence livable until more extensive repairs can be made. Rental assistance is for homeowners or tenants whose homes were destroyed or substantially damaged so they have a place to live while repairs are being made.

Registered FEMA applicants who need to make permanent, extensive and mitigating housing repairs may be considered for a loan from the U.S. Small Business Administration (SBA). Those who do not qualify for a loan might be considered for the Individual and Household Program (IHP). Applicants not eligible for disaster assistance will be notified by mail.

On March 1, 2003, FEMA became part of the U.S. Department of Homeland Security. FEMA's continuing mission within the new department is to lead the effort to prepare the nation for all hazards and effectively manage federal response and recovery efforts following any national incident. FEMA also initiates proactive mitigation activities, trains first responders, and manages the National Flood Insurance Program and the U.S. Fire Administration.

Last Modified: Thursday, 04-Nov-2004 15:50:37