Fiscal Year 2024 Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund Program

Pursuant to 42 U.S.C. Section 5135, FEMA will provide grants to capitalize revolving loan funds which may be used to provide loans to finance various types of hazard mitigation projects to reduce risks from natural hazards and disasters. Through the Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund (Safeguarding Tomorrow RLF)program, eligible entities (refer to Section C.1) will use these capitalization grants to establish a revolving loan fund (referred to herein as an entity loan fund) from which they will provide direct loans to local governments for projects and activities that mitigate the impacts of drought, intense heat, severe storms (including hurricanes, tornadoes, windstorms, cyclones, and severe winter storms), wildfires, floods, earthquakes, and other natural hazards. Eligible activities may include the construction or modification of natural or built infrastructure to increase resilience and reduce risk of harm. Entity loan funds will be programmatically and financially administered by the respective entity. FEMA will monitor the administration of the entity loan funds during the period of performance per the reporting requirements, and will continue to monitor administration of the entity loan funds after the capitalization grant closeout via biennial audits and post-closeout reporting. Under 42 U.S.C. ? 5135(h)(3)(C), FEMA may make recommendations for or require specific changes as needed to improve the effectiveness of the funds. Funding for the Safeguarding Tomorrow RLF program is limited. Pursuant to the Infrastructure Investment and Jobs Act, also more commonly known as the Bipartisan Infrastructure Law (BIL), FEMA must award funding through multiple Notices of Funding Opportunity over a 5-year period. The Safeguarding Tomorrow RLF program aligns with the goal of promoting resilience and adaptation in light of current risks, including those posed by climate change, and the 2020-2024 DHS Strategic Plan (https://www.dhs.gov/publication/department-homeland-securitys-strategic-plan-fiscal-years-2020-2024) through Goal 5: Strengthen Preparedness and Resilience. Specifically, Objective 5.1: Build a National Culture of Preparedness has several sub-objectives that the Safeguarding Tomorrow RLF program supports. The Safeguarding Tomorrow RLF program serves primarily to bolster Sub-Objective 5.1.1: Incentivize investments that reduce risk and increase pre-disaster mitigation, including expanding the use of insurance to manage risk through funding hazard mitigation projects, particularly ones that reduce risk to infrastructure. By focusing on increasing resilience and reducing harm to built infrastructure, this program will help members of underserved communities,1 who might be at heightened risk as a result of current hazards, including those associated with climate change. The Safeguarding Tomorrow RLF program complements and supplements FEMA's Hazard Mitigation Assistance (HMA) grant portfolio to support mitigation projects at the local government level and increase the Nation's resilience to natural hazards and climate change. Entity loan funds can be leveraged differently than other funding opportunities to meet unique funding needs. This program will support entity-led hazard mitigation priorities and allow participating entities to meet their funding needs as described in the entity's Intended Use Plan (see Section D.10.b). Such needs may include but are not limited to: meeting non-Federal cost-share requirements for other grants, upfront project design costs, smaller projects that may not qualify for other HMA grant programs, or projects that do not meet the cost-effectiveness requirements applicable for other programs.