Local Community Recovery Act of 2006

The Local Community Recovery Act of 2006 allows the federal government to prioritize local businesses and workers when awarding contracts for disaster relief and recovery efforts. By permitting federal agencies to "set aside" contracts specifically for organizations located within a disaster-affected area, the law ensures that recovery funds help stimulate the local economy. For citizens, this means that after a major disaster or emergency, the rebuilding process is more likely to be carried out by local firms and residents rather than outside corporations.