CONGRESSMAN JOE MORELLE INTRODUCES LEGISLATION TO PROTECT SMALL BUSINESSES FROM FUTURE IMPACTS OF FLOODING

(Washington, D.C.) -Today, Congressman Joe Morelle introduced legislation to help protect small businesses from the devastating impacts of flooding. The Providing Resources for Emergency Preparedness and Resilient Enterprises (PREPARE) Act, bipartisan legislation sponsored by Representatives Morelle (D-NY-25), Stauber (R-MN-08), Davids (D-KS-03), Bergman (R-MI-01), and Brownley (D-CA-26) would create a Small Business Administration (SBA) Pre-Disaster Mitigation Loan Program to help small businesses take preventative action to bolster their infrastructure in preparation for future flooding events. Senators Rubio (R-FL) and King (I-ME) plan to introduce a similar bill in the Senate.

"Our community knows all too well how devastating flooding can be to local businesses—many of which are already struggling with the severe financial impacts of COVID-19," said Congressman Joe Morelle. "It's more important now than ever that we take preventative action to prepare for future flooding and protect our small businesses from additional economic hardship. Strong mitigation efforts are the key to our resiliency, and that's why I'm so proud to introduce this much-needed legislation to help strengthen coastal communities."

"As a small business owner, I understand businesses often face obstacles that are outside of their control," said Congressman Pete Stauber. "While small businesses work to recover from the impact of a year of lockdowns, it is imperative that we take preemptive steps to protect them from additional obstacles that could cause further harm. That's why I am proud to help lead the PREPARE Act, bipartisan legislation that will help businesses strengthen their infrastructure and guarantee their resiliency for years to come."

"Kansas is one of the most vulnerable states to flooding, and it's only gotten worse in recent years. My district has seen both the damage that flash floods can inflict and the benefits that preventative measures can bring," said Rep. Sharice Davids. "Resilient infrastructure can mean the difference between staying open and going under. I'm proud to support the PREPARE Act in providing funds for Kansas' small businesses to plan for and mitigate the impacts of disaster."

"With experts predicting another record-setting hurricane season, building flood resilience has never been more urgent," said American Flood Coalition Executive Director Melissa Roberts. "On behalf of the American Flood Coalition's more than 250 members who represent communities on the front lines of all types of flooding, I applaud Representatives Morelle, Bergman, Davids, and Stauber for their bipartisan leadership to protect small businesses through the introduction of the Providing Resources for Emergency Preparedness and Resilient Enterprises (PREPARE) Act. This proposal would empower business owners to take the proactive and necessary steps to protect against future flooding. As entrepreneurs face continued economic challenges from the COVID-19 pandemic, investment in pre-disaster mitigation will limit costly future flood damage, keep more American businesses open, and enrich vibrant communities nationwide."

Natural disasters are increasing in frequency, costing the United States $800 billion in the last decade alone. Rochester and the Great Lakes region have experienced severe flooding in recent years, devastating homes and businesses along the lakeshore. Federal Emergency Management Agency (FEMA) statistics show that about half (40-60%) of small businesses never reopen following a disaster, and every $1 spent on mitigation saves taxpayers an average of $6. The PREPARE Act would help small businesses like lakeside restaurants, marinas, and boat yards take preventative action to strengthen mitigation efforts to lessen the impact of future flooding events.

The legislation would authorize a pre-disaster mitigation loan pilot program, made available through the SBA, to provide low-interest, fixed rate loans to small businesses to implement mitigation measures to protect against disaster related damages. Loans can be up to $500,000 and will be made available to qualifying small businesses.

"According to the National Oceanic and Atmospheric Administration, 2020 was the sixth consecutive year in which 10 or more billion-dollar weather and climate disaster events have impacted the United States," said Marine Retailers Association of the Americas Government Relations Manager Chad Tokowicz. "This increase has a direct impact on our nation's small businesses, which help drive economic recovery. Now, more than ever, it is imperative those businesses are equipped to protect themselves from the existential threat that disasters pose. The PREPARE Act will allow small businesses to make investments in resilient infrastructure to assure they can weather natural disasters and continue to fuel job growth and prosperity in communities across the nation. We hope this sees swift consideration by the House, and are thankful for the leadership of Representatives Joe Morelle, Jack Bergman, Pete Stauber, Sharice Davids, and Julia Brownley on this critical issue."

"The PREPARE Act will provide a key mechanism to small businesses, like marinas, boatyards, and other recreation businesses, so they can upgrade their infrastructure and increase resiliency to natural disasters, said Eric Kretsch, U.S. Legislative Manager, Association of Marina Industries. "Thank you to Representatives Morelle, Bergman, Stauber, and Davids for their leadership on this critical issue."

"Small, family owned recreational boating businesses are among the most susceptible to the devastation of erosion, rising water levels and many additional effects of climate change," said National Marine Manufacturers Association's director of government relations, Callie Hoyt. "Authorizing this Small Business Administration's Pre-Disaster Mitigation Loan program would make these businesses and communities better prepared to weather the increasing number of natural disasters and we applaud Representatives Joe Morelle (D-NY-25), Jack Bergman (R-MI-01), Sharice Davids (D-KS-03), Pete Stauber (R-MN-08), and Julia Brownley (D-CA-26) for their leadership on this critical issue."

###