The bill establishes a disaster assistance grant program administered by the Iowa finance authority, aimed at providing financial support to homeowners in Iowa whose primary residences have been damaged by natural disasters. A disaster assistance grant fund is created within the state treasury, consisting of appropriated funds and any additional moneys accepted by the authority. Notably, any unencumbered or unobligated funds at the end of a fiscal year will not revert but will remain available for future expenditures. Additionally, interest or earnings on the fund's moneys will be credited back to the fund.

To qualify for a grant, homeowners must demonstrate that the damage to their primary residence exceeds the coverage provided by their property and casualty insurance, as well as any other state or federal disaster-related financial assistance they may be eligible for. The authority is tasked with developing necessary application procedures, forms, and administrative guidelines to effectively implement and manage the program.