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Thursday, February 16, 2012

Debt forgiveness from FEMA

U.S. Senator Mark Pryor yesterday unveiled a county-by-county breakdown of 700 Arkansas households that may be eligible for debt forgiveness. The program is a result of a new law, championed by Pryor, meant to help individuals who mistakenly received disaster assistance from FEMA years ago and are now being told to repay the money.

FEMA this week is mailing 90,000 letters to individuals nationwide to inform them about a new program where they can have their debt waived by FEMA in cases where disaster assistance was distributed to them in error. These individuals must respond to FEMA within 60 days to request a waiver and certify that they meet the criteria, including need, household income, and appropriate use of funds. Last year, Pryor successfully included a provision in a federal spending bill to create the waiver option.

“FEMA’s mission is to bring relief to families in times of great need, not to create more problems for them,” Pryor said. “I was proud to help right this wrong for disaster victims, and I’m pleased FEMA is now working swiftly to implement the law. We need to alleviate this unfair financial hardship so families can focus on rebuilding their lives.”

Pryor encourages Arkansans to visit his website at pryor.senate.gov. Individuals can find information about steps to take, as well as an interactive map with information about the number of households affected in each county and the average amount each household owes.

Garland County has 31 households with an average recoupment of $4,836.
Saline County has 12 households with an average recoupment of $5,407.

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