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STORM Act Allowable Uses and Revolving Loan Cycle

Browse this page for information on the Safeguarding Tomorrow Revolving Loan Fund Program allowable uses and revolving loan cycle.

Allowable Uses

The Safeguarding Tomorrow Revolving Loan Fund Program allows grant recipients to provide loans for zoning and land-use planning.

This is an opportunity to prioritize low-impact development, wildland-urban interface management, conservation areas, reconnection of floodplain, and open space projects. In addition, funding can be utilized for building code adoption and enforcement. Loans will be awarded for these activities in accordance with the state, tribal, territorial, or District of Columbia Intended Use Plans for their fund.

FEMA will provide capitalization grants to for entities to establish revolving loan funds for mitigation projects and activities to increase resilience and mitigate the impacts of events such as drought, extreme heat, severe storms, wildfires, floods and earthquakes. 

Revolving Loan Cycle

FEMA provides funding to states and tribal governments via a capitalization grant. The participating state, territorial, or tribal government contributes 10% of the capitalization grant into an established entity loan fund.

  • The entity loan fund provides assistance to local governments to expedite eligible mitigation activities in their communities with greater flexibility and autonomy.
  • The lender entity is responsible for monitoring project progress and loan repayment from local communities.
  • As local governments repay loans, these funds can be utilized for new loans.

FEMA will monitor the use of funding through reporting mechanisms and audits.