HB1646 raises MEMA fund limits, creates loan program
Summary
Mississippi Governor signed HB1646 into law on April 6, 2026, amending Sections 33-15-307 and 33-15-308 of the Mississippi Code to increase transfer limits for the Disaster Trust Fund. The bill creates the Local Governments Disaster Recovery Emergency Loan Program Act, establishing a loan program administered by MEMA to assist local governments in recovering from federally declared disasters.
What changed
HB1646 enacts significant changes to Mississippi's disaster response framework by increasing transfer limits from the Disaster Trust Fund and creating an entirely new Local Governments Disaster Recovery Emergency Loan Program. The legislation authorizes MEMA to issue loans to local governments recovering from federally declared disasters, with loan repayment required within two years if FEMA declines reimbursement. The bill also exempts MEMA from Public Procurement Review Board requirements for personal or professional services contracts related to the program, streamlining administrative processes during disaster recovery.
For affected local governments, the new loan program provides a critical financing mechanism when federal reimbursement is delayed or denied. Recipient governments must pledge sales tax revenue distribution or homestead exemption reimbursement as security. MEMA gains expanded administrative authority and procurement flexibility, enabling faster disaster response. Financial advisers and government agencies should monitor implementing regulations from MEMA to understand program mechanics and eligibility requirements.
What to do next
- Local governments should assess eligibility for the new disaster recovery loan program administered by MEMA
- MEMA must establish administrative procedures and authorize an administrator for the loan program
- MEMA should prepare procurement documentation noting exemption from Public Procurement Review Board requirements for contracts under this Act
Source document (simplified)
ChangeBridge / Mississippi / HB1646 Signed by Governor HB1646 House Bill Signed by Governor 2026-04-06
Disaster assistance; increase amount of funds MEMA may request to provide and create loan program for local governments to receive.
An Act To Amend Sections 33-15-307 And 33-15-308, Mississippi Code Of 1972, Which Relate To The Disaster Trust Fund, To Increase Transfer Limits, Reflect Passed Amendments, And Update To Current Budget Standards; To Create The Local Governments Disaster Recovery Emergency Loan Program Act; To Define Terms; To Establish The Local Governments Disaster Recovery Emergency Loan Program To Be Administered By The Mississippi Emergency Management Agency For The Purpose Of Assisting Local Governments In Recovering From Certain Federally Declared Disasters By Issuing Loans To Local Governments; To Provide That No Loan Shall Be Issued Under The Authority Of This Act After A Certain Date; To Set Forth The Powers And Duties Of The Mississippi Emergency Management Agency In Administering This Act; To Require The Mississippi Emergency Management Agency To Authorize An Administrator To Carry Out Any Or All Of The Powers And Duties Enumerated In This Act; To Exempt The Mississippi Emergency Management Agency From Any Requirement That The Public Procurement Review Board Approve Any Personal Or Professional Services Contracts Or Pre-approve Any Solicitation Of Such Contracts For Purposes Of This Act; To Create A Special Fund In The State Treasury To Be Designated As The Local Governments Disaster Recovery Emergency Loan Fund; To Require Each Recipient Of A Loan Under The Program To Establish A Dedicated Source Of Revenue For Repayment Of The Loan In The Event That The Federal Emergency Management Agency Declines To Reimburse An Expenditure For Which Loan Proceeds Were Used; To Provide That The Executed Loan Agreement Will Obligate The Local Government To Repay The Proceeds Of The Loan Immediately Upon Receipt Of Reimbursements From The Federal Emergency Management Agency; To Provide That The Loan Agreement Shall Provide For The Repayment Of All Funds Received From The Emergency Fund Within Not More Than Two Years From The Date That The Federal Emergency Management Agency Declined To Reimburse For An Expenditure For Which Loan Proceeds Were Used; To Require A Recipient Local Government To Pledge Its Sales Tax Revenue Distribution Or Its Homestead Exemption Annual Tax Loss Reimbursement, As The Case May Be, To Meet The Repayment Schedule Contained In The Loan Agreement In The Event That The Federal Emergency Management Agency Declines To Reimburse An Expenditure For Which Loan Proceeds Were Used; To Amend Section 27-104-7, Mississippi Code Of 1972, To Provide That Any Personal Or Professional Service Contracts Entered Into By The Mississippi Emergency Management Agency Under This Act Are Exempt From Approval By The Public Procurement Review Board; And For Related Purposes.
Bill Details
State Mississippi
Session 2026 Regular Session
Chamber House
Official Source billstatus.ls.state.ms.us/2026/pdf/history...
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Sponsors
Clay Deweese (Rep - R) Jeff Hale (Rep - R)
Action History
2026-04-06 Approved by Governor 2026-03-27 S Enrolled Bill Signed 2026-03-27 H Enrolled Bill Signed 2026-03-26 S Conference Report Adopted 2026-03-26 H Conference Report Adopted 2026-03-25 S Conference Report Filed 2026-03-25 H Conference Report Filed 2026-03-23 S Conferees Named Hopson,DeBar,DeLano 2026-03-23 H Conferees Named Zuber,Deweese,Clark 2026-03-17 H Decline to Concur/Invite Conf 2026-03-12 S Returned For Concurrence 2026-03-10 S Passed As Amended 2026-03-10 S Amended 2026-03-03 S Title Suff Do Pass As Amended 2026-02-20 S Referred To Appropriations 2026-02-13 H Transmitted To Senate 2026-02-12 H Passed 2026-02-12 H Committee Substitute Adopted 2026-02-11 H Read the Third Time 2026-02-03 H Title Suff Do Pass Comm Sub 2026-02-03 H DR - TSDPCS: AP To SA 2026-02-03 H DR - TSDPCS: SA To AP 2026-01-19 H Referred To State Affairs;Appropriations A
Votes
2026-02-12 House Passed Yea: 120 Nay: 0 2026-03-10 Senate Passed As Amended Yea: 52 Nay: 0 2026-03-26 House Conference Report Adopted Yea: 121 Nay: 0 2026-03-26 Senate Conference Report Adopted Yea: 52 Nay: 0
Committee Referrals
2026-01-19 H State Affairs 2026-02-20 S Appropriations
Amendments
0000-00-00 Senate Committee Amendment No 1 0000-00-00 Senate Amendment No 1 to Committee Amendment No 1 Adopted
Bill Text Versions
2026-01-22 Introduced 2026-02-04 Comm Sub 2026-02-13 Engrossed 2026-03-27 Enrolled Legislative data powered by LegiScan (CC BY 4.0)
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