Sponsors (7)
The bill trades broader and higher oil-related taxes (to fund a predictable, indexed resilience and recovery fund and other revenue measures) for improved disaster mitigation and recovery capacity—benefiting communities and reducing future disaster costs while raising fuel/energy costs and imposing new tax and compliance burdens on producers and consumers.
All taxpayers and communities: creates a dedicated, indexed excise-funded National Resilience and Recovery Fund and steady revenue for FEMA mitigation grants, giving states and localities predictable money for disaster cleanup, recovery, and resilience projects.
Homeowners and communities in disaster-prone areas: increased mitigation grant availability should lower future flood/storm damages and reduce long‑term federal disaster spending and economic losses for affected households and businesses.
Taxpayers/the federal budget: raises additional revenue (via expanded excise coverage and a windfall‑profits tax) that can be directed to resilience programs or deficit reduction.
All consumers/taxpayers: the bill raises and broadens oil-related excise and other taxes (including a $0.10/barrel excise increase and windfall taxes), which are likely to be passed through into higher fuel and energy prices.
Low‑income households: higher fuel and energy prices are regressive and will disproportionately burden low-income families who spend more of their income on energy.
Refiners, producers, and fuel distributors: expanding the taxable base, added windfall/severance taxes, and broader Treasury discretion increase tax liabilities, compliance obligations, and administrative uncertainty for industry.
Based on analysis of 6 sections of legislative text.
Creates a trust fund for FEMA mitigation programs funded by new and existing oil- and gas-related excise, windfall, and severance taxes and expands taxable crude oil definitions.
Introduced November 7, 2025 by Melanie Ann Stansbury · Last progress November 7, 2025
Creates a new federal trust fund to pay for disaster resilience and mitigation programs at FEMA, funded by new and existing oil- and gas-related excise and severance taxes. The fund will receive specified excise tax receipts and new taxes created by the bill, and amounts will be available, subject to appropriation, to four FEMA mitigation and resilience programs. Expands the legal definition of "crude oil," adds a $0.10-per-barrel financing rate to an existing petroleum excise tax, establishes a new windfall profits tax on crude oil and a new severance tax on oil and gas removed from the Gulf of Mexico outer Continental Shelf, and makes the severance tax deductible under a specified tax deduction provision; most tax provisions take effect for calendar/tax periods after December 31, 2024 (practical effect January 1, 2025) with some payment timing adjustments into 2026.