H.R. 3252 — Disaster Housing Flexibility Act of 2025

This section establishes an alternative block grant program under the Stafford Act (42 U.S.C. 5170 et seq.) for states to provide temporary housing assistance—defined as assistance under section 408(c), which offers rental assistance, mobile homes or other ready-for-occupancy housing, and repair or replacement of damaged housing for individuals and households affected by a major disaster—in lieu of direct eligibility for such assistance under section 408(c). The Federal Emergency Management Agency (FEMA) Administrator must assess the cost of such assistance for each impacted state, including state administrative expenses, in consultation with the state to reflect amounts otherwise available under section 408(c) or other identified programs; states may elect the block grant via application and request a single adjustment if funds prove insufficient. If a state receives a block grant, affected individuals and households are ineligible for section 408(c) assistance; remaining funds may support state preparedness or mitigation activities eligible under the Stafford Act. States must submit an initial disbursement plan within 120 days of receipt, annual reports until funds are expended, and a final report within 180 days thereafter describing uses, recipients, impacts, and effectiveness; FEMA must submit annual reports to Congress assessing program implementation, participation, challenges, cost estimates, timelines, administrative impacts, and recommended improvements.