With flood danger rising, lawmakers look to replenish disaster contingency account

Major flooding is likely to be an issue this spring, Kevin Reed, a deputy director with the Department of Public Safety, told House lawmakers Wednesday.

While there have been significant floods around the state in recent years, with historic snowfall totals in February and more predicted for this weekend, Reed said “the factors are lined up that it could be worse this year.”

One way the state helps communities with response efforts is through the disaster contingency account. However, the Greater Minnesota Jobs and Economic Development Finance Division heard the account is tapped.

Rep. Gene Pelowski

But HF682, sponsored by Rep. Gene Pelowski Jr. (DFL-Winona), the division chair, would appropriate $10 million in Fiscal Year 2019 to replenish the account.  

“It has been grossly underfunded and that’s why we’re in the situation we’re in today,” Pelowski said. “These weather events are continuing to hit us.”

The bill was approved by the division and now heads to the House Ways and Means Committee. The companion, SF1116, sponsored by Sen. Warren Limmer (R-Maple Grove), awaits action by the Senate Judiciary and Public Safety Finance and Policy Committee.

The account, created in 2014, provides immediate disaster response funding without further legislative action. Pelowski explained that prior to its creation, every time a disaster was declared, the Legislature would need to convene, often in a special session, to appropriate money toward response efforts. He said that process proved to be inefficient and delayed help to affected communities.   

“If we go into special session, we then throw money at everything and usually it’s too much, or too little and then we have to rearrange it and it’s a mess,” Pelowski said.

The proposed $10 million would be used to backfill a nearly $6.5 million deficit, which has been earmarked for disasters from the past year, Reed explained. The remaining balance would cover events that occur between now and the end of the fiscal year, June 30. Pelowski referenced Gov. Tim Walz’s budget, which proposes appropriating $10 million in ongoing funding to the account. He expects the division will hear a bill for that later this session.

Rep. Sandy Layman (R-Cohasset) supports the proposal and, given anticipated spring flooding, suggested increasing the appropriation.

“Rather than just sufficiently funding, it’s better to be safe than sorry,” she said. “With unexpected weather events, and what we’ve experienced so far, I would certainly be in favor of looking at additional funding.”

Rep. Tim Mahoney (DFL-St. Paul) noted the account is specifically for immediate response efforts, or to cover the state’s 25 percent match when a presidential disaster declaration is issued. He cautioned against overfunding the account saying that it could be used for unintended purposed.