Disaster assistance; increase amount of funds MEMA may request to provide and create loan program for local governments to receive.
What changed between versions
Created a new 'Local Governments Disaster Recovery Emergency Loan Program' to assist local governments in recovering from a specific winter storm disaster.
Defined key terms including 'Eligible expenditure' (75% of FEMA reimbursable expenses) and 'Eligible borrower' (local governments that applied to FEMA).
Established a special '2026 Local Governments Disaster Recovery Emergency Loan Fund' to finance the new loan program.
Increased the maximum transfer limit from the Working Cash-Stabilization Reserve Fund to the Disaster Assistance Trust Fund from $2.5 million to $5 million per fiscal year.
Required local governments to pledge specific revenue sources (sales tax or homestead exemption tax loss reimbursement) as collateral for loans if FEMA does not reimburse expenses.
Mandated that loans carry a 3% interest rate after FEMA reimbursement is received and must be repaid within two years if reimbursement is denied.
Exempted the Mississippi Emergency Management Agency from Public Procurement Review Board approval for contracts related to this new loan program.
Set a hard deadline of July 1, 2027, after which no new loans can be issued under this act.
