Appropriations from the state Revenue Shortfall Fund and the Income Tax Reserve Fund be utilized to initiate investments in flood prevention initiatives to reduce the impact of severe flooding

HB 3502 allocates $250 million from West Virginia's Revenue Shortfall Fund ($100 million) and Income Tax Reserve Fund ($150 million) to create the West Virginia Flood Resiliency Trust Fund. This fund finances flood prevention projects in communities vulnerable to severe flooding, aiming to reduce future damage through proactive infrastructure and planning. The bill requires the State Resiliency Officer to submit annual spending reports for board review, and mandates that 6% of federal flood disaster recovery funds be dedicated to long-term resiliency planning. It directly affects state agencies managing flood response and residents in flood-prone areas by prioritizing prevention over reactive recovery.