Investopedia explains 'Disaster Relief Act'
Disasters often cause loss of life and property, loss of income and human suffering; they also disrupt the normal functioning of governments and communities. The Disaster Relief Act provided an orderly and continuing means of assistance by the federal government to state and local governments, which enables them to fulfill their responsibilities to alleviate the suffering and damage caused by disasters such as floods, earthquakes and hurricanes.
It should be noted that activation of disaster relief is not restricted only to natural disasters such as Hurricane Katrina in 2005, and other major disasters. It may also be triggered in the event of any emergency, as determined by the U.S. president, in which federal assistance is needed to supplement state and local governments to save lives and protect property, or to lessen or avert the threat of a catastrophe in any part of the U.S.
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