GOVERNOR OF PUERTO RICO Ricardo Rossellé Nevares February 6, 2019 ‘The Honorable Mitch McConnell, Jr. ‘The Honorable Nancy Pelosi Majority Leader Speaker of the House United Statos Senate United States House of Representatives U.S. Capitol US. Capitol Washington, DC 20515 Washington, DC 20515 ‘The Honorable Charles Schumer ‘The Honorable Kevin MeCarthy Demorratic Leader Republican Leader United States Senate ‘United States House of Representatives US. Capitol US. Capitol Washington, DC 20515 Washington, DC 20515 Dear Majority Leader MeConnell, Minority Leader Schumer, Speaker Pelosi, and Republican Leader McCarthy: I write today in support of additional disaster supplemental relief for Puerto Rico and ‘urge swift: Congressional action on H.R. 268, Supplemental Appropriations Act, 2019. As you all know, Hurricanes Irma and Maria dealt a devastating blow to Puerto Rico, resuliing in the largest and most complex disaster response and recovery effort in USS. history. It is imperative that Puerto Rico receives the federal resources necessary to successfully complete our recovery and reconstruction efforts in a timely manter. Otherwise the consequences will include an excessive delay in fiscal stabilization, continuation of the high levels of outmigration from the island to the states and failure to fully re-start the island's economy, all of which could cause an even greater need for federal expenditures down the line. This is not only illogical from fedoral fiscal and policy perspectives, but is also a moral travesty given the countless contributions that U.S. citizens of Puerto Rico have made to America on and aff the battlefield for more than one hundred years,RICARDO ROSSFLLO NEVARES OFFICE OF THE GOVERNOR GOVERNOR LA FORTALEZA For the reasons deseribed helow, the funding included in H.R. 268 is not only justified, bbut is essential to Puerto Rico's recovery, reconstruction and to the wellbeing of the 3.2 million U.S, citizons that live there, ‘Depurlunent uf Agriculluse (USDA): Prior to Hurricane Maria, Puerto Rico experienced higher levels of food insecurity compared to the states, in part, heeause of the unequal treatment of tho island due to its territorial status, the high levels of poverty on the island, and the higher cost of| food. Now, afler Hurricane Maria, it is estimated that 85% of the island is food insecure, A8 a result, over 1.8 million U.S. citizons living in Puerto Rico are eurrently recniving Nutritional Assistance Program (NAP) benefits. Unlike the 50 states and certain other territories, Puorto Rico receives an axbitrarily capped block grant ~ NAP — for basic food assistance instead of participating in the ‘Supplemental Nutrition Assistance Program (SNAP), an entitlement program that can be altored to accommodate changing nocd. ‘This means that in Puerto Rico, NAP benefits are disproportionately below those of states and other territories. For examplo, for a family of four rocoiving NAP benefits in Puerto Rico, the benefit amount is $410 per month. In the Continental U.S. and D.C., the SNAP benefit is ‘$649 por month: $239 more or 58% higher. In Guam, the SNAP benefit is $997: $047 additional or 133% higher. What the NAP disaster appropriation provided by Congress allowed my Administration to do was: (1) provide NAP recipients henefits commensurate with SNAP benefit levels in the Continental U.S,, but still far below the SNAP benofits received in other territories’ and (2) enroll additional beneficiaries who would bo eligible for SNAP wore they living in tho states, but were not eligible pre-hurricane because of the stringent NAP oligibility requirements and tho arbitrarily capped funding level. Sinco the Puerto Rico Department of the Family obtained approval from tho USDA for our plan to implement the NAP disaster relief appropriation over 1 12-month period ~ extending from March 2018 March 2019 - the Department has carefully and fully reported on the use of the funds and on the continuing need for nutritional assistance in Puerto Rico, Failure to approve the additional $600 million in NAP disaster relief for Puerto Rico ‘would foreo us to redueo the program enrollment and decrease monthly benefit levels to a level below those in the states. For impoverished and vulnerable families and individuals that are still struggling to fully recover from Hurricane Maria, these NAP dollars mean the difference between deciding to stay in Puerto Rico to rebuild their lives and communities, and going to bed hungry with the desire to leave for the statesRICARDO ROSSELLO NEVARES OFFICE OF THE GOVERNOR GOVERNOR LA FORTALEZA where they can receive oqual nutritional assistance benefits and greater opportunities for growth and development. They funds are necessary to uplift some of our most vulnerable populations and are needed in order to provide equality in the form of food security to the U.S. citizens of Puerto Rico. Department of Homeland Security (DHS): Cost‘Share! Recently, the Administration stated that cost'share is necessary to ensure that jurisdictions work collaboratively and operate efficiently #o as to control costs. In the cease of the Hurricanes Irma and Maria recovery efforts, these worthy objectives are both obtained with or without the use of a non-federal cost-share match, due in large part to the very nature of implementing Section 428 across our entire disaster. Section 428 requires that Puerto Rico and FEMA agree to fixed-cost estimates of worl. that needs to be done, which then serves as the basis for the fixed-cost grant award. Once awarded, the amount to be provided cannot be adjusted except in extraordinary circumstances. This structure provides every incentive and basically requires Puerto Rico and FEMA to work together collaboratively. ‘The real challenge regarding federal cost-share match requirements is the Government of Puerto Rico's eapacity to pay given the island's ongoing fiseal and economic erisis. The fact of the matiar is that for the Government of Puerto Rico and ‘most sub-recipients, their fiscal constraints make it simply impossible to pay the non federal match for an estimated $55 billion in FEMA funding. Under these circumstances, socking ta limit the capacity of the federal government to waive this cost share requirement: is tantamount to not only jeopardizing the immediate secovery and reconstruction of Puerto Rico, but would condemn the island's future to a permanently debilitated and deteriorated infrastructure that would romain vulnerable to future storms and a replication of the mass human suffering that Hurricane Maria caused, All these factors lead to the reasonable and appropriate ‘conclusion that Puerto Rico needs to have its non-fedoral cost'share eliminated by the Congress asa means of insuring that the unique and incredibly challenging fiseal ionuoe on our island doos not pravent our full recovery and reconstruction. The ‘Stafford Act must to be implemented in a manner that fosters a strong recovory for all Americans, not just those who can alford to pay for it themselves. Moreover, this action is well within existing precedent whore Congress has approved 100% Federal funding for emergency work for the life of the disaster, such as the case ‘of Hurricane Katrina which provided cost-share reductions for disaster assistance provided to the affected states along the Gulf Coast. When compared to the disaster impacts experienced in theso other jurisdictions, Puerto Rico suffered damages far greater and faces a figeal challenge with its recovery far more burdensome. All Puerto La Fotalea, Sn Jon, PR 0090!» POBox 9O2ONE2 San ann, POOR OOH + gabe