Calculation and Use of the Disaster Relief Allowable Adjustment [Updated March 24, 2021] [open pdf - 514KB]
From the Document: "The Budget Control Act (P.L. 112-25, hereinafter the BCA) established limits on federal spending, as well as mechanisms to adjust those limits to accommodate spending that has special priority. One of these mechanisms--a limited 'allowable adjustment' to discretionary spending limits to pay for the congressionally designated costs of major disasters under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (P.L. 100-707; hereinafter 'the Stafford Act')--represented a new approach to paying for disaster relief. In the past, while some funding for disaster costs had been included in annual appropriations measures as part of the regular funding process, many of these costs had been designated as emergency requirements and were included in supplemental appropriations measures on an ad hoc basis. This disaster relief designation allowed a limited amount of additional appropriations for disaster costs into the annual appropriations process, instead of relying on emergency designations and supplemental appropriations bills. The formula to calculate the size of the adjustment was revised in 2018, but under current law, the adjustment will expire at the end of FY2021."
CRS In Focus, IF10720
Congressional Research Service: https://crsreports.congress.gov/