FEMA Begins Review Process For 2005 Hurricane Recoupments
Release Date: March 16, 2006
Release Number: 1606-158
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WASHINGTON, D.C. -- The Department of Homeland Security's Federal Emergency Management Agency (FEMA) this week began the audit process to recoup any disaster relief money that was inappropriately awarded following the 2005 hurricane season. As part of its mission to maintain close oversight on the distribution of disaster assistance, FEMA is performing a detailed review of applications and awards, and where appropriate, notifying individuals by letter about necessary repayments, payment plan options and the appeals process.
"During a disaster, FEMA's highest priority is helping the people who need it most as quickly as possible," said David Paulison, acting FEMA director. "Even as funds are quickly distributed to meet the needs of disaster victims, FEMA takes very seriously our responsibilities to taxpayer dollars, and is careful to make sure funds are distributed appropriately."
Following every federally declared disaster, FEMA conducts an audit of disaster assistance payments made to individuals in order to ensure taxpayer dollars were provided in an appropriate manner and in an amount to meet the eligible needs of disaster victims. A subsequent review of specific cases will often show a small percentage (two to three percent historically) of disaster assistance is distributed to people who turn out not to be eligible for some or all of the funds provided to them.
"For every instance of an incorrect payment, there are thousands who were genuinely in need of the federal government's help," continued Paulison. "It is our job to ensure there is not delay in receiving that assistance."
Despite safeguards in place at the time of registration and later through the inspections process, there will still be cases where money has been incorrectly applied. These cases, which are found by the audit process, may include an intentional misrepresentation of eligibility or need, application error, FEMA processing error, or a duplication of benefits with insurance.
As in all cases of recoupment, individuals will have the right to contact FEMA to further discuss their case, request information from their file, or appeal FEMA's determination. Detailed instructions will also be provided to individuals in their initial letter outlining the recoupment and appeals process, as well as information on setting up repayment plans.
FEMA strives to balance meeting emergency and critical needs of disaster victims with good stewardship of taxpayer dollars, and is continually implementing additional checks and balances in its assistance programs. Technology continues to offer new opportunities to improve and FEMA has now added another layer of identity confirmation at the point of telephone or online registration. This technology is in place as the 2006 hurricane season approaches.
The FEMA auditing process will continue for several months using both automated and manual forms of review. In all, FEMA has provided financial disaster assistance to nearly 1.7 million households, to date, through the Individual and Households Program following hurricanes Katrina, Rita and Wilma.
FEMA manages federal response and recovery efforts following any national incident. FEMA also initiates mitigation activities, works with state and local emergency managers, and manages the National Flood Insurance Program. FEMA became part of the U.S. Department of Homeland Security on March 1, 2003.
Last Modified: Tuesday, 16-May-2006 19:00:22