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By ARep | December 18th, 2012 - 12:33pm
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DANCER RESOLUTION URGES CONGRESS TO WAIVE CAP LIMIT ON GOV’T LOANS TO SANDY COMMUNITIES

Assemblyman Ron Dancer, R-Ocean, Burlington, Middlesex and Monmouth, has introduced a resolution asking Congress to waive the 25 percent cap on disaster loans made to local governments that request assistance in order to meet their budgetary needs.

The Federal Emergency Management Agency (FEMA) provides such loans for essential government services as a result of a disaster, with the maximum loan amount not to exceed $5 million. Congress and President Bush waived the cap for New Orleans in 2005 after Hurricane Katrina.

“School districts and towns that felt the brunt of Hurricane Sandy face a daunting task of rebuilding and restoring primary constituent services,” said Dancer. “The loss in tax revenue will be substantial and undoubtedly require communities to seek financial assistance. We are asking Congress to grant New Jersey towns and school districts the same access to community disaster loans as it granted to New Orleans when it was recovering from Hurricane Katrina.

“It will take years for some communities to rebound from this catastrophe and they face many fiscal challenges,” stated Dancer. “Waiving the loan limit will give them the flexibility they need to operate and make critical infrastructure improvements.”

AR-121 has been referred to the Assembly Homeland Security and State Preparedness Committee.

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