Tom Carper: “folks who might be watching this debate across the country may be wondering what this is all about. Let me try to…”

“folks who might be watching this debate across the country may be wondering what this is all about. Let me try to simplify it as best I can. Over the last month or so, the Congress has appropriated some $61 billion to be used to assist in the reconstruction, the aid, and the housing of a lot of people whose lives have been disrupted and in some cases destroyed. There are a number of cities, towns, and jurisdictions within that region where their revenue base--the ability to raise taxes and to provide essential services--is gone. Of that $61 billion, FEMA is not authorized to extend or lend that money to those cities or towns or jurisdictions without our authorization. The legislation that is before us today would authorize the movement of about $750 million from FEMA to be able to lend that money to some of these cities, towns, parishes, and jurisdictions so that hospitals can be helped and police, fire services, and other services can be extended even though the revenue base has dried up under all of this water. Historically, when FEMA has been given the authority to extend this money, to lend money to other communities, other cities, other States, the loans have in some cases been forgiven. It did not require an act of Congress to do that. It did not require any particular action by OMB or certification by OMB to do that. It occurred under the law. The loans were forgiven.…”