Rice sponsors bill to protect Sandy victims

New legislation would waive debts of overpaid FEMA funds

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U.S. Rep. Kathleen Rice co-sponsored legislation introduced earlier this month that would forgive debts incurred by Hurricane Sandy victims after the Federal Emergency Management Agency mistakenly overpaid them disaster relief funds.

The Disaster Assistance Recoupment Fairness Act of 2015 would require FEMA to forgive and waive the debts of those who received overpayments as a result of an honest mistake or an administrative error on the part of the government, and whose households make under $250,000 a year.

“It’s appropriate and important that FEMA do all it can to eliminate fraud, waste and abuse of taxpayer dollars, but that’s not what we’re talking about here,” Rice said in a statement. “They may have made an honest mistake during the overwhelming and confusing application process, or else received an overpayment through no fault of their own. Either way, they can’t afford to be forced into debt after they’ve already used these funds to rebuild their homes, and this legislation will ensure that they don’t have to.”

FEMA is looking into approximately 4,500 households, 500 of which are on Long Island, that it suspects received improper payments, the Associated Press reported in September. According to the same report, FEMA asked 850 households to return about $5.8 million, with other cases still under review.

“I think it’s shameful that they’re trying to call back those grants,” Long Beach City Councilman Anthony Eramo said. “Clearly it’s a horrible thing for them to do.”

Many Long Beach residents, including Eramo, used the early FEMA grants to clean up their properties after the storm, whether by gutting interiors or renting dumpsters for the debris.

Oceanside resident Penny Frondelli received a notice last fall stating that she had received duplicate payments and that she owed FEMA $3,924.92.

Frondelli said she followed protocol and sent a letter of appeal and a copy of her household’s finances to request a deferment of the debt. On Feb. 13 she received another notice saying that FEMA would not approve her appeal or review the decision any further.

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