2018-06-27 FEMA Duplication of Benefits --Fact Sheet

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If an applicant spends their FEMA aid on anything other than the purpose for which it is directed, he or she may be denied assistance the next time a disaster strikes. In some cases, FEMA will ask that the money be returned. Some survivors are offered low-interest disaster loans from the U.S. Small Business Administration. While no one is required to take the loan (or any portion of that loan),the full amount offered may be considered a benefit—that cannot be duplicated—whether accepted or not. Other disaster-related funding providers—such as HUD and other long-term sources—may look at the amount of aid a survivor receives from FEMA aid its intended uses. They will also look at the amount offered by the SBA. This is also to prevent duplicating benefits. Those receiving assistance are urged to keep receipts of their disaster spending for three years to document the money was used to meet disaster-related needs. If a recipient receives an insurance settlement to cover the same expenses, he or she must reimburse FEMA. Random audits are conducted to confirm funds were spent properly. Questions on FEMA assistance may be answered by calling FEMAs Helpline at 800-621-3362. ### The U.S. Small Business Administration is the federal government’s primary source of money for the long-term rebuilding of disaster-damaged private property. SBA helps businesses of all sizes, private non-profit organizations, homeowners and renters fund repairs or rebuilding efforts and cover the cost of replacing lost or disaster-damaged personal property. These disaster loans cover losses not fully compensated by insurance or other recoveries and do not duplicate benefits of other agencies or organizations. For more information, applicants may contact SBA’s Disaster Assistance Customer Service Center by calling (800) 659-2955, emailing disastercustomerservice@sba.gov, or visiting SBA’s website at www.sba.gov/disaster.Deaf and hard-of-hearing individuals may call (800) 877-8339.