BURLINGTON, VT—U.S. Senator Peter Welch (D-Vt.) introduced the FEMA Operational Transparency Act, a new bill directing the U.S. Government Accountability Office (GAO) to audit how the Federal Emergency Management Agency (FEMA) is spending it’s budget, and recommend ways to reduce the Agency’s bloated administrative costs. Recent reporting from Vermont Public found that FEMA’s recovery in the State is being held back in-part by outsized administrative costs. 

“FEMA’s bureaucracy and complicated administrative structure are making it impossible to get money out the door and in the hands of those working to rebuild after a disaster—that includes so many understandably frustrated Vermonters who have been hit by multiple floods. People are tired of getting the runaround from FEMA, and it’s time for an audit into how FEMA’s budget is serving the disaster recovery mission of the Agency. I urge my colleagues to help me pass this bill, so we can take on FEMA’s administrative bloat and make the disaster recovery process more streamlined for disaster victims in Vermont and across America,” said Senator Welch. 

FEMA was previously required to publish administrative costs for disasters that occurred in the previous fiscal year and outline the Agency’s efforts to reduce costs. The reports are no longer required, and Congress does not have full transparency into how FEMA is spending funds on administrative fees.  

Senator Welch’s bill would direct the GAO to provide breakdowns into FEMA’s payments of individual assistance, public assistance, hazard mitigation and mission assignments compared to the administrative costs they incur for each of the programs, as well as the accountabilities of the personnel hired in each of the programs and general workforce shortages within FEMA. The bill also directs GAO to study the long-term financial solvency of the Disaster Relief Fund (DRF). Lastly, the bill directs GAO to issue recommendations on what can be done—either by Congress or FEMA—to reduce FEMA’s administrative costs so more of its budget can go toward direct disaster recovery and mitigation.

Read the full text of this bill

###