New legislation to extend recoupment fairness to Sandy victims
U.S. Senators Chuck Schumer and Kirsten Gillibrand have announced legislation to extend recoupment fairness to Superstorm Sandy victims, some of whom are now being asked by FEMA to pay back money already spent on their recovery effort.
After Sandy hit in October 2012, FEMA made disaster assistance payments to victims throughout the hard-hit areas in New York. As part of its obligation to reduce fraud and waste, FEMA conducts audits of individual assistance payments to identify improper payments made to disaster victims. When FEMA believes it has uncovered improper payment, the agency will attempt to recoup the entire grant.
More than two years after Superstorm Sandy, some recipients of disaster assistance are now being blindsided with such recoupment letters from FEMA, requiring them to pay back money already put toward their struggle to recover and funds that many no longer have on hand.