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1 (September 14, 2005)

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                                                                Order Code RS22022
                                                        Updated  September  14, 2005



 CRS Report for Congress

              Received through the CRS Web



   Disaster Unemployment Assistance (DUA)

                            Julie M. Whittaker
                   Analyst in Applied Microeconomics
                     Domestic  Social Policy Division

Summary


     The Disaster Unemployment Assistance (DUA) program provides monetary
 assistance to individuals unemployed as a direct result of a major disaster and who are
 not eligible for regular Unemployment Compensation (UC) benefits. DUA is funded
 through the Federal Emergency Management Agency (FEMA). DUA is administered
 by the Department of Labor through each state's UC agency. In the 107th Congress, P.L.
 107-154 was signed into law on March 25, 2002, extending the duration of DUA
 benefits from 26 to 39 weeks for victims of the September 11, 2001, terrorist attacks in
 the declared major disaster areas in New York and Virginia. This extension did not
 apply to any subsequent major disasters. This report also briefly describes legislation
 introduced in the 109th Congress (S. 1637). The report will be updated as events
 warrant.


    The Unemployment  Compensation (UC) system generally does not provide UC
benefits to the self-employed, to those who are unable to work, or to those who do not
have a recent earnings history. However, when the President declares a major disaster,
victims who would  typically be ineligible for UC may be eligible for Disaster
Unemployment Assistance (DUA).1 DUA benefits are funded through the Disaster Relief
Fund administered by the Federal Emergency Management Agency (FEMA). The funds
are then transferred to the Department of Labor (DOL) and then distributed by DOL to
each affected state's UC agency.2

    DUA  benefits are available only to those individuals who have become unemployed
as a direct result of a declared major disaster. First created in1970 through P.L. 91-606,
DUA  benefits are authorized by the Robert T. Stafford Disaster Relief and Emergency
Relief Act (the Stafford Act), which authorizes the President to issue a major disaster



1 Authorization for DUA can be found in the Stafford Act, Section 410, P.L. 100-707, 42 USC
5177. Regulations can be found at 20 CFR 625.
2 For a description of FEMA, see CRS Report RS21367, Emergency Preparedness and Response
Directorate of the Department of Homeland Security, by Keith Bea, William Krouse, Daniel
Morgan, Wayne Morrissey, and C. Stephen Redhead.

       Congressional  Research  Service x  The Library of Congress

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