Congressional Budget Office Cost Estimate: H.R. 1174: FEMA Independence Act of 2009 [open pdf - 28KB]
"H.R. 1174 would remove the Federal Emergency Management Agency (FEMA) from the Department of Homeland Security (DHS) and make it a cabinet-level agency. Under the bill, most of FEMA's current responsibilities would be transferred from DHS to the agency within 120 days of enactment. Several grant programs that FEMA currently administers would remain with DHS. H.R. 1174 would authorize the appropriation of $1.75 billion over the 2010-2012 period for an urban area all-hazards preparedness grant program. In addition, CBO estimates that appropriations totalling about $100 million over the next five years would be necessary for FEMA to operate independently from DHS and to establish a separate office of Inspector General (IG). Assuming appropriation of the necessary and specified amounts, CBO estimates that implementing H.R. 1174 would cost $1.1 billion over the 2010-2014 period. Enacting this legislation would not affect direct spending or revenues. H.R. 1174 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act (UMRA) and would impose no costs on state, local, or tribal governments."
Congressional Budget Office: http://cbo.gov/