Assembly Bill 209 proposes the establishment of two revolving loan programs in Wisconsin: a Hazard Mitigation Revolving Loan Program and a Great Lakes Erosion Control Revolving Loan Program. The Hazard Mitigation program will be administered by the Department of Military Affairs (DMA) and will allow the Division of Emergency Management to enter into agreements with FEMA to secure federal funding. A nonlapsible trust fund, the Hazard Mitigation Revolving Loan Fund, will be created to manage these funds, with the state required to transfer 10% of federal funds received into this fund. The program aims to provide loans to local governments for hazard mitigation projects.

The Great Lakes Erosion Control program will be managed by the Department of Natural Resources (DNR) and is designed to assist municipalities and homeowners along Lake Michigan and Lake Superior whose properties are threatened by shoreline erosion. The bill allocates $5 million for this initiative and increases DNR's staffing by 0.5 full-time equivalent position to oversee the program. DNR will also have the authority to create rules governing the program, including eligibility criteria and income limitations, and can implement emergency rules prior to the establishment of permanent regulations.