The FEMA Review Council approved a sweeping set of recommendations during its final public meeting on May 7 that could significantly reshape federal disaster response, recovery and mitigation policy.
The council will now transmit the report to President Donald Trump and the administration for review. The recommendations propose major changes to the Federal Emergency Management Agency and would shift more responsibility for disaster management to state, local, tribal and territorial governments.
For local governments, the recommendations could affect disaster recovery funding, emergency management operations, mitigation programs, housing recovery and flood insurance.
Shift Toward State and Local Leadership
Throughout the meeting, council members emphasized a central principle: disaster response should remain “locally executed, state managed and federally supported.”
The report calls on FEMA to focus more heavily on supporting and strengthening state and local capabilities rather than directly managing large portions of disaster response and recovery operations. Council members said FEMA should prioritize establishing national standards, coordinating federal resources during catastrophic events and accelerating funding to communities. The proposed approach could increase both flexibility and responsibility in disaster preparedness and recovery efforts for local governments.
Faster Funding and Streamlined Recovery
The report focuses heavily on reducing delays and administrative burdens within FEMA assistance programs.
The recommendations would:
- Accelerate disaster funding to states and local governments
- Streamline debris removal reimbursement
- Reduce administrative and audit requirements
- Simplify survivor assistance programs
- Expand state and local flexibility in housing and recovery decisions
The report also recommends modernizing FEMA’s Public Assistance program through a more direct funding model tied to predefined disaster criteria and estimated costs. Council members said the changes could speed recovery operations and reduce federal bureaucracy.
Greater Focus on Preparedness and Mitigation
Further, the report proposes expanding investment in state and local emergency management capacity through:
- Workforce development and training
- Enhanced mutual aid and resource-sharing systems
- Improved interoperable communications and data systems
- Greater integration of nonprofit, volunteer and private-sector partners
Council members additionally called for faster deployment of hazard mitigation funding and greater state control over mitigation priorities to help communities rebuild more resilient infrastructure after disasters.
Potential Concerns with Some Recommendations
One of the report’s most significant recommendations involves the future of the National Flood Insurance Program.
The council described the NFIP as financially unstable and recommended gradually shifting more flood insurance responsibility from the federal government to the private insurance market.
The recommendations would:
- Expand private-sector participation in flood insurance
- Transition more policies out of the federally managed NFIP
- Increase reliance on risk-based pricing models
- Expand mitigation efforts to reduce repetitive flood losses
Council members note that the changes could improve the program’s long-term financial stability. However, the recommendations could raise concerns for local governments, particularly in coastal and flood-prone communities.
Local officials have long viewed the NFIP as essential to maintaining affordable flood insurance, supporting property values and facilitating real estate transactions. A major shift toward private market-based flood insurance could create affordability and availability challenges for many communities.
Another recommendation that could create significant concerns for local governments involves raising FEMA’s per capita damage threshold used to evaluate major disaster declarations. The council discussed increasing the current FY 2026 indicator of $1.97 per capita for future disasters. Supporters said the change would better target federal assistance toward truly catastrophic events and encourage greater state and local responsibility. However, a higher threshold could make it more difficult for many communities, particularly smaller and rural jurisdictions, to qualify for federal disaster assistance following severe storms, flooding, wildfires and other disasters.
What Comes Next
The council formally approved the final report during the May 7 meeting. The administration will now review the recommendations and determine potential next steps. FEMA and the Department of Homeland Security could implement some recommendations administratively, while others would likely require congressional action or regulatory changes. Although the report does not immediately change FEMA programs or disaster policies, it outlines a roadmap for how the administration could pursue FEMA reform moving forward. The National League of Cities will continue to monitor developments and engage federal partners to ensure local government perspectives remain part of the conversation.
About the Author
