Disaster Assistance: Additional Actions Needed to Strengthen FEMA's Individuals and Households Program
Fast Facts
The hurricanes and fires of 2017 and 2018 affected more than 47 million people in the U.S. From 2016-18, survivors received about $6 billion and 12,805 temporary housing units from FEMA's Individuals and Households Program. Most applicants were uninsured, and a majority had incomes under $50,000.
About 2.4 million people (of the 4.4 million referred to the program) were ineligible. Common reasons for denial included insufficient damage and failure to provide supporting evidence.
FEMA could better explain its program information and eligibility decisions to applicants. Improving FEMA's decision letter is one of our 14 recommendations.
Damage to a North Carolina home as a result of Hurricane Florence in 2018.
Highlights
What GAO Found
From 2016 through 2018, 5.6 million people applied for disaster assistance from the Federal Emergency Management Agency (FEMA), and 4.4 million were referred to the Individuals and Households Program (IHP) for assistance. For eligible survivors, FEMA's IHP can offer financial assistance—including money for personal property losses and repair of certain home damages. The IHP may also provide rental assistance or direct housing assistance, such as trailers, when justified by the lack of available housing resources.
Individuals and Households Program (IHP) Assistance Awarded to Almost 2 Million Survivors from 2016 through 2018
|
Type of Assistance |
Amount of Assistance |
|
Total Financial Assistance |
$5.98 billion |
|
Total Temporary Housing Assistance |
12,805 housing units |
Source: GAO analysis of IHP applicant data, as of February 24, 2020. | GAO-20-503
Of the 4.4 million referred to IHP, FEMA found almost 2 million eligible. On average, FEMA awarded about $4,200 to homeowners and $1,700 to renters during 2016 through 2018. FEMA determined roughly 1.7 million ineligible for IHP assistance, and the most common reasons for ineligibility were insufficient damage, failure to submit evidence to support disaster loses, and failure to make contact with the FEMA inspector. The remaining applicants either withdrew from IHP or received no determination due to missing insurance information. Program outcomes also varied across demographic groups, such as age and income.
GAO found that survivors faced numerous challenges obtaining aid and understanding the IHP, including the following:
- FEMA requires that certain survivors first be denied a Small Business Administration (SBA) disaster loan before receiving certain types of IHP assistance. FEMA, state, territory, and local officials said that survivors did not understand and were frustrated by this requirement. GAO found that FEMA did not fully explain the requirement to survivors and its process for the requirement may have prevented many survivors from being considered for certain types of assistance, including low-income applicants who are less likely to qualify for an SBA loan. By fully communicating the requirement and working with SBA to identify options to simplify and streamline this step of the IHP process, FEMA could help ensure that survivors receive all assistance for which they are eligible.
- Opportunities also exist to improve survivors' understanding of FEMA's eligibility and award determinations for the IHP, for example, that an ineligible determination is not always final, but may mean FEMA needs more information to decide the award. By enhancing the clarity of its determinations and providing more information to survivors about their award, the agency could improve survivors' understanding of the IHP, better manage their expectations, build trust, and improve transparency.
Disaster Survivors Sought Assistance from the Individuals and Households Program (IHP) to Recover from Hurricane Michael in Panama City, Florida
Further, GAO found that since 2016, FEMA faced challenges implementing the IHP through its call center and field workforce, as well as coordinating with state and local officials, as noted below:
- Regarding workforce management, GAO found that FEMA has faced challenges managing its call center and field staff. Specific to their call center workforce—who help survivors apply for IHP and process assistance—challenges using program guidance, low morale, and inadequate training following the catastrophic 2017 hurricane season affected their work supporting disaster survivors. For example, while FEMA issues standard operating procedure updates for processing IHP applications, staff we spoke to at all four call centers noted that they could not maintain awareness of IHP guidance because of its large volume and frequent changes, which made it difficult for staff to appropriately address survivor needs. Identifying ways to improve the accessibility and usability of program guidance would help staff better assist survivors. Further, FEMA staff at disaster recovery centers (DRC) lacked some skills and capabilities needed to support survivors, such as knowledge to provide accurate guidance about required documents. By identifying and implementing strategies, such as on-the-job training, to ensure staff at its DRCs have the needed capabilities, FEMA could improve support and streamline the survivor experience.
- Regarding coordination, GAO found that state and local officials generally had trouble understanding the IHP. For example, these officials said that FEMA did not provide sufficient training, support, and guidance that was needed in order for them to be able to effectively work with FEMA to facilitate IHP assistance. Further, local officials expressed challenges coordinating with FEMA regarding temporary housing units, such as recreational vehicles. By providing more information on the IHP to local officials, and implementing best practices for information-sharing with recovery partners, FEMA could help ensure that state and local recovery partners are better able to help survivors navigate the IHP and effectively deliver temporary housing units to survivors.
Lastly, FEMA has planned or implemented multiple efforts to improve assistance to survivors since 2017, including a redesign of the Individual Assistance Program, which includes the IHP. However, GAO found that FEMA did not complete activities that are critical to the success of a process improvement effort, according to GAO's Business Process Reengineering Assessment Guide . Specifically, the agency did not fully assess customer and stakeholder needs and performance gaps in the program, or set improvement goals and priorities for the redesign. By completing these process improvement activities, FEMA will be able to further refine the redesigned Individual Assistance Program, and more effectively direct and focus its implementation efforts.
Why GAO Did This Study
During the 2017 and 2018 disaster seasons, several sequential, large-scale disasters created an unprecedented demand for federal disaster assistance. GAO was asked to review issues related to the federal response and recovery to the 2017 disaster season and, specifically, the effectiveness of the IHP.
This report addresses (1) IHP outcomes and challenges faced by survivors from 2016 through 2018; (2) challenges FEMA faced implementing the IHP during the same period; and (3) FEMA efforts to assess and improve the IHP, among other things. To answer these objectives, GAO analyzed data from all IHP applicants from 2016 through 2018 and reviewed relevant documentation and policies. GAO also interviewed FEMA, state, territory, local, and nonprofit officials; met with survivors; and visited locations affected by hurricanes in 2017 and 2018 selected to include multiple FEMA regions and other characteristics.
Recommendations
GAO is making 14 recommendations, and DHS concurred.
To address challenges faced by survivors, GAO recommends improving the communication of the SBA loan requirement, identifying ways to simplify the application process, improve the IHP award determination letters, and provide more information to survivors about their award.
To address challenges FEMA faced implementing the IHP, GAO recommends improving the communication of guidance changes, ensure employee engagement to raise morale, and improve training among call center staff. GAO also recommends strategies to ensure DRC staff have the skills to support survivors. GAO also recommends improving IHP information provided to state, local, tribal, and territorial recovery partners; and identifying and implementing best practices for information sharing and coordination on the delivery of temporary transportable housing.
To further FEMA efforts to assess and improve the IHP, GAO recommends corrections to the methodology used to survey survivors; following key process improvement activities—including engaging stakeholders, assessing performance gaps, and prioritization of process improvement—during program redesign activities; and establishing time frames for strategic planning and implementation of program improvement efforts.
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Federal Emergency Management Agency | The FEMA Administrator should improve the completeness and consistency of its communication of the requirement to apply for an SBA disaster loan prior to being considered for SBA-dependent other needs assistance. (Recommendation 1) |
In May 2023, FEMA officials provided updates of its letters to disaster applicants outlining its communications on SBA requirements. In addition, FEMA provided their IHP brochure regarding information on SBA requirements, along with weblinks to their external website which also outlines SBA requirements for disaster applicants. As a result, we consider this recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should assess the extent to which its process for determining an applicant's eligibility for SBA-dependent other needs assistance limits or prevents survivors' access to IHP assistance, and work with SBA to identify options to simplify and streamline the disaster assistance application process for survivors. (Recommendation 2) |
In August 2021, FEMA worked with SBA to institute a pilot program increasing the SBA minimum income test for referring IHP applicants to SBA to apply for a disaster loan. According to FEMA officials, this change will result in fewer IHP applicants being referred to the SBA to apply for a disaster loan. SBA implemented the revised income test tables on a permanent basis beginning on June 28, 2022. In October 2023, FEMA published an interim final rule removing the requirement to apply for an SBA disaster loan as a condition of eligibility for some types of IHP assistance. In March 2024, FEMA published the final rule, eliminating the SBA requirement for applicants. and in April 2024 FEMA provided GAO its guidance updates outlining the change. As a result, we consider this recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should improve the IHP award determination letters by using federal guidance and best practices for communicating with the public to ensure that applicants understand that an "ineligible" determination does not mean they cannot continue to pursue assistance. (Recommendation 3) |
In January 2021, according to FEMA officials, the agency undertook a comprehensive review of the letters sent to disaster applicants. To obtain disaster applicant feedback, in March 2022, FEMA using the revised letters completed focus groups with disaster survivors. This input along with other revisions were incorporated into the new letter. The new letter outlines for the applicant: (1) what assistance is approved; (2) what assistance is not currently approved; and (3) the additional steps they may take to obtain assistance. The new letters were used in December 2022. As a result of the actions taken by FEMA and use of the new letter, we consider this recommendation closed and implemented.
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| Federal Emergency Management Agency |
Priority Rec.
The FEMA Administrator should identify and implement strategies to provide additional information to applicants about how FEMA determined their eligibility for assistance and the amount of assistance to award. (Recommendation 4) |
In January 2021, according to FEMA officials, the agency undertook a comprehensive review of the letters sent to disaster applicants. As a result, FEMA expanded the letter it sends to survivors after they apply for assistance (cover letter) to provide more information on how FEMA determines eligibility. FEMA also updated its decision letters to include more information about how FEMA determined award amounts. Further, FEMA included in its cover and decision letters more information about accessing an applicant's case file, which may contain (1) a computer print-out of FEMA's Housing Inspection Report; (2) documents related to the application (for example, receipts submitted, proof of property ownership); (3) FEMA letters previously sent to the applicant; and (4) FEMA staff contact records (FEMA's records of conversations with the applicant, their landlord, their employer, or representatives of their insurance companies or banks. In December 2022, FEMA implemented its new letters. As a result of the actions taken to provide disaster applicants with more information regarding their eligibility and amount of assistance, we consider this recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should evaluate the method for communicating changes in IHP standard operating procedures (SOP) to identify ways to improve their accessibility and usability by National Processing Service Center (NPSC) staff. (Recommendation 5) |
In October 2021, FEMA officials provided a copy of the 2020 Implementation Plan titled "Implementation Plan: Processing Procedures Manual Improvement Project" supporting FEMA's actions of completing the internal processing procedures manual website search-ability improvements and the user interface for eventual use by staff. As a result of the Implementation Plan, GAO is considering the recommendation closed and implemented. FEMA has satisfied the purposed intent of the recommendation by taken actions to identify ways to improve the accessibility and usability by National Processing Service Center staff.
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| Federal Emergency Management Agency | The FEMA Administrator should use desirable characteristics of employee engagement—including performance feedback, career development, communication, and attention to work-life balance—while completing planned activities for improving morale among call center staff. (Recommendation 6) |
FEMA has taken steps to improve its employee engagement and morale for its call center staff. First, as of March 2023, FEMA's Individual Assistance Division's Applicant Services Section (APS) reported that it has trained all supervisors within APS that were hired on or before 04/01/2022. According to FEMA officials, the sessions covered topics centered around leadership, FEMA's Guiding Principles, Key Functions of a Supervisor, and critical policies such as Harassment and Retaliation, Reasonable Accommodations, and their applicability to their role as supervisors. Second, FEMA APS implemented their Wellness and Morale program in July 2022 to address work life balance and morale within the workforce. In particular, unique to the NPSC Call Center, APS allows employees to initiate an Emotional Health break following a difficult or emotionally charged call with an applicant, or while processing applications, reviewing casework, registration intake, or other unforeseen circumstances. As of June 2023, FEMA officials are currently monitoring the APS Wellness and Morale Plan for impact to staff. Third, FEMA's APS provides its staff with additional resources-such as peer support and professional support that help the staff connect during workhours or afterhours through the Employee Health and Wellness Hub. As a result of these steps taken by FEMA, we consider this recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should use desirable characteristics of employee engagement—including performance feedback, career development, communication, and attention to work-life balance—when assessing NPSC staff satisfaction scores and identifying additional steps to strengthen employee morale. (Recommendation 7) |
In April 2022, FEMA officials provided an update stating that FEMA's Applicant Processing Services (APS) finalized its efforts to report on the feedback from the year-end employee viewpoint survey and provided a copy of the report titled "APS Employee Program [EEP] Success: 2021." FEMA actions to assess National Processing Service Center staff satisfaction scores and identify additional steps to strengthen employee morale via its APS report demonstrate their efforts on NPSC employee engagement. As a result, GAO is considering the recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should assess the effectiveness of the IHP training and support for NPSC staff during surge events and implement any necessary changes. (Recommendation 8) |
In April 2022, FEMA officials provided copies of their assessments on surge training and quarterly reviews, which began in February 2021, and subsequent changes to trainings as a result of their assessments. Additionally, in August 2022, FEMA officials provided details on their future and continued assessment efforts. FEMA officials stated that they will continue to hold quarterly reviews of the post training surveys' results on a semi-annual basis. As a result of these actions, GAO considers the recommendation closed and implemented.
|
| Federal Emergency Management Agency | The FEMA Administrator should identify and implement strategies to help ensure staff deployed to Disaster Recovery Centers (DRC) have the needed skills and capabilities to provide support and consistent service to survivors. (Recommendation 9) |
In 2020 FEMA identified two areas of improvement for their staff deployed to Disaster Recover Centers (DRCs): (1) ensure that staff deployed to DRCs receive the same basic program training as the staff assigned to the call centers--which it completed in 2021. (2) Develop specific training for their DRC management-level staff. In July 2022, FEMA officials stated that the agency completed their development of two new courses training courses in May 2022. Subsequently, in August 2022, FEMA officials provided documentation of the training courses description and schedule for staff assigned to lead and work in Disaster Recovery Centers for 2022 through 2023. As a result of these actions, GAO considers the recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should identify and implement strategies to provide readily accessible information and resources, such as guidance and training, about the Individuals and Households Program to state, local, tribal, and territorial officials. (Recommendation 10) |
In August 2022, FEMA officials outlined and provided documentation on their efforts in identifying and implementing strategies to provide guidance and training about the Individuals and Households Program to state, local, tribal, and territorial officials. For example, FEMA has made the Individuals and Households Program Other Needs Assistance Standard Operating Procedures available on FEMA's website and to its regions for state, local, tribal, and territorial officials use. Also, in 2022 FEMA held symposiums focusing on educating states, local, and territorial officials on the Individuals and Households Program and made the symposiums information available on FEMA's website. As a result of these actions, GAO considers the recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should identify and implement best practices for information sharing and coordinating with local officials, and other recovery partners, on the delivery of Transportable Temporary Housing Units in the interim while FEMA completes system improvements. (Recommendation 11) |
In October 2021, FEMA officials provided a copy of the revised Direct Housing Guide incorporating information on best practices for information sharing and coordinating with local officials and other recovery partners. As a result of the information in the Direct Housing Guide, GAO considers the recommendation closed and implemented. FEMA has satisfied the purposed intent of the recommendation by taken actions to identify and implement best practices while it completes system improvements.
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| Federal Emergency Management Agency | The FEMA Administrator should correct and refine the methodology used to survey survivor experiences with the IHP by (1) weighting the survey data to reflect the stratification of its survey design, (2) adjusting the base sampling weights for survey nonresponse within each stratum, and (3) calculating the sampling error for the survey data after adjusting the base sampling weights for nonresponse. (Recommendation 12) |
In December 2022, FEMA took steps to correct and refine the methodology used to survey survivors experiences with the IHP and provided documentation of its approach with weighted responses and standard errors. As a result of the steps taken, GAO considers this recommendation closed-implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should complete the following key process improvement activities as part of its effort to redesign the Individual Assistance Program: (1) engage with additional program customers and stakeholders to obtain a more comprehensive understanding of their needs; (2) assess performance gaps between current processes and customer and stakeholder needs, and develop measurable and achievable improvement goals to address any identified performance gaps; and (3) prioritize the processes that need improvement based on documented selection criteria. (Recommendation 13) |
In April 2022, FEMA officials provided an update stating that FEMA has taken steps to (1) engage with program customers and stakeholders; (2) set improvement goals and identified the strategies taken to meet each of the goals; and (3) provided data demonstrating the results of the strategies in meeting the improvement goals. As a result GAO considers the recommendation closed and implemented.
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| Federal Emergency Management Agency | The FEMA Administrator should establish time frames for finalizing the Individual Assistance Division's draft strategic plan and developing implementation plans that integrate its IHP improvement efforts. (Recommendation 14) |
In October 2021, FEMA officials provided a copy of the IA Strategic Plan 2020-2024 and the Individual Assistance Division 2021 Priorities. In April 2022, FEMA provided additional details on their time frames and implementation plans for the sub-objectives of their IA Strategic Plan. As a result, GAO considers the recommendation closed and implemented.
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