Reps. Watson Coleman, Pallone, Kim Applaud House Passage of Funding Bill that Forgives New Jersey Community Disaster Loans

The bill also includes billions for recovery efforts related to Hurricane Ida

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Washington, DC, September 21, 2021 | comments

Representatives Frank Pallone, Jr. (NJ-06), Bonnie Watson Coleman (NJ-12), and Andy Kim (NJ-03) today applauded House passage of a government operations spending bill that will help New Jersey recover from the devastation of natural disasters. The bill forgives outstanding balances of Community Disaster Loans (CDLs) made to municipalities throughout New Jersey to help them recover from Superstorm Sandy. Last year, the New Jersey delegation requested cancellation of unforgiven loans. Currently, 21 New Jersey municipalities owe more than $30 million worth of Community Disaster Loans that were issued after the storm. The spending bill also includes billions of dollars in funding to respond to the devastation of Hurricane Ida. 

“Nearly nine years after Superstorm Sandy, cities and towns in New Jersey are still struggling to rebuild from the devastating impacts of the storm. These federal loans are made in times of true crisis and are intended to be forgiven, which is why it’s simply unfair to force New Jersey residents bear the burden of paying millions of dollars so many years later,” Pallone said. “I’m glad we were able to secure this important relief in the House bill and look forward to working with the New Jersey delegation to get this win across the finish line. I will continue to work with the Biden Administration to ensure our state receives all the support it needs to recover from Hurricane Ida.”

“I’m relieved to learn that after a week of conversations with Chairwoman DeLauro and others by myself and Reps. Pallone and Kim, the continuing resolution will include forgiveness of the outstanding balances for New Jersey towns still saddled with FEMA Community Disaster Loan payments,” said Watson Coleman. “There was concern that this relief might once again be left out but with this news our New Jersey municipalities can finally put some of the ongoing pain of Superstorm Sandy behind them.”

“Nearly a decade after Superstorm Sandy hit Ocean County, we finally have an opportunity to make our communities whole again,” said Kim. “I’m proud to have fought for and won much needed relief for communities that were decimated by Superstorm Sandy and will continue to continue working on behalf of Ocean County to bring federal relief to New Jersey’s beautiful shoreline and seaside towns and townships.”

“Superstorm Sandy devastated Highlands. Even all these years later, the Borough is still recovering. Forgiving the millions of dollars in Community Disaster Loans is a major step in finally putting Sandy behind us,” said Mayor Carolyn Broullon. “I want to thank Congressman Pallone and the New Jersey Delegation for continuing to fight for Highlands and it's residents on this much needed relief.” 

“We cannot thank Congressman Pallone and the New Jersey Congressional Delegation enough for never forgetting about Union Beach and the havoc Super Storm Sandy created for the Borough and its residents,” said Mayor Charlie Cocuzza. “CDL forgiveness means Union Beach can move forward with it's ongoing recovery without the weight of hundreds of thousands of dollars in federal loan debt.”

“Almost 9 years later, Atlantic Highlands is still recovering from Superstorm Sandy. Community Disaster Loan forgiveness for the Borough and homeowners will go a long way in helping to ease the burden of our residents. I want to thank Congressman Pallone and the New Jersey Congressional Delegation for their continued efforts to get this,” said Mayor Loretta Gluckstein

“To this day, Keansburg is still feeling the effects of Superstorm Sandy. Community Disaster Loan forgiveness means our residents won't have to be on the hook for millions of dollars on top of the devastation they have already had to endure,” said Mayor George Hoff. “We are grateful to Congressman Pallone for his leadership on this impactful legislation.” 

“No one should have to go through what we did after Sandy. We still have a way to go to have a disaster recovery system that truly puts families first. It's great news that the House passed Sandy Community Disaster Loan forgiveness for towns in this disaster appropriation - my town, Stafford, is one with a Community Disaster Loan. It’s not just our towns that are being asked to unfairly repay disaster relief funding, it’s also individuals like me.  We are hopeful that individual clawback relief will also be included in this disaster appropriation and stand ready to work with Ida impacted families to make sure everyone gets home and whole,” said Joe Mangino New Jersey Organizing Project Board President.  

“We are grateful to the New Jersey Congressional delegation for any action to forgive Community Disaster Loans,” said Lisa Stevens of Little Egg Harbor. “Many of the families in our community are still struggling and do not need to be burdened with any more cost due to Superstorm Sandy.”

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