"Disaster Victims Protection Act"; requires Governor to allocate federal and State disaster aid to municipalities in proportion to amount of catastrophic physical damage sustained within each municipality.

The "Disaster Victims Protection Act" (S 2893) requires New Jersey's Governor to allocate federal and state disaster aid to municipalities based on the actual physical damage each suffered during a disaster, rather than by county designation. This ensures communities with the most severe damage - such as those heavily impacted by Hurricane Sandy - receive aid proportional to their needs, correcting past disparities where some municipalities received less funding despite greater destruction. The bill applies specifically to federal Community Development Block Grant-Disaster Recovery (CDBG-DR) funds and state disaster relief funds when the Governor has discretion in distribution. It aims to make aid allocation fairer by prioritizing municipalities most in need, without altering federal funding rules.