The Nevada Assembly Committee on Government Affairs convened on May 26, 2025, to discuss the proposed Senate Bill 39, which aims to establish a Hazard Mitigation Revolving Loan Fund. This initiative is part of the broader Safeguarding Tomorrow Through Ongoing Risk Mitigation Storm Act, enacted in January 2021, which empowers FEMA to provide funding for hazard mitigation projects.

The bill is designed to enhance Nevada's resilience against natural disasters such as droughts, wildfires, and floods by allowing state agencies to create revolving loan funds. These funds will offer low-interest loans to local and tribal jurisdictions, enabling them to undertake critical mitigation projects without the burden of upfront costs. The loans can also serve as non-federal matches for other significant FEMA grant projects, which typically require a 25% cost share.

During the meeting, committee members raised important questions about the flow of funds and eligibility criteria. Brett Thompson, representing the state, clarified that the initial funding would come from a notice of funding opportunity, with local governments and state agencies able to apply for loans. The state would need to provide a 10% match to access the federal seed money, which would then support ongoing mitigation efforts.

The committee also discussed potential confusion regarding the management of emergency management responsibilities, as a previous bill aimed to shift oversight from the Office of the Military to the Office of the Governor. This transition has not yet been finalized, leading to concerns about the implications for the new loan fund.

Overall, Senate Bill 39 represents a significant step forward in Nevada's disaster preparedness strategy, providing essential financial resources to enhance community resilience and reduce vulnerability to natural disasters. The committee's discussions highlighted the importance of clear communication and coordination among state agencies as they move forward with this critical initiative.