FEMA PUBLIC ASSISTANCE PROGRAMFEMA PUBLIC ASSISTANCE PROGRAMAPPLICANT BRIEFINGAPPLICANT BRIEFING

Colorado Severe Storms, Flooding, Colorado Severe Storms, Flooding, Landslides, and MudslidesLandslides, and Mudslides

Incident Start Date: 9/11/2013 Incident Start Date: 9/11/2013

Incident End Date: 9/30/2013Incident End Date: 9/30/2013

Declaration:Declaration: DR-4145DR-4145

Declared:Declared: 9/14/20139/14/2013

AgendaAgenda

IntroductionsIntroductionsBe sure to sign the attendance sheetBe sure to sign the attendance sheet

Applicant BriefingApplicant BriefingStatus of declarationsStatus of declarationsExpectation managementExpectation managementThe processThe processPublic Assistance ProgramPublic Assistance ProgramOpportunitiesOpportunitiesHand in your Request for Public Assistance Hand in your Request for Public Assistance

FormForm

INTRODUCTIONSINTRODUCTIONS

Status: Status: Counties Declared Counties Declared So So FarFar

Categories A & B: Adams, WeldCategories A & B: Adams, Weld Categories A - G: Boulder, Categories A - G: Boulder,

LarimerLarimer Still reviewing other countiesStill reviewing other counties

Expectation Expectation ManagementManagementYou will not be made whole.You will not be made whole.

The Public Assistance Program Mission: To provide The Public Assistance Program Mission: To provide supplemental financial assistance to state, local, and supplemental financial assistance to state, local, and tribal governments, and certain private non-profit tribal governments, and certain private non-profit organizations for response and recovery activities organizations for response and recovery activities required as the result of a declared disaster.required as the result of a declared disaster.

Funding is cost shared at a federal share of no Funding is cost shared at a federal share of no less than 75% of eligible costs.less than 75% of eligible costs.

The following has been determined regarding state cost share for the FEMA Public Assistance (PA) Program:

State PA cost share for Categories A-G with local governments, including special districts: 12.5% (50% of the 25% non-Federal match) but if a local government has used all its reserves and TABOR Emergency Reserves, the state may increase cost share up to 90% of the 25% non-Federal match. Other state agencies will review local government finances to determine (verify) that reserves/emergency funds have been expended. 

There is no PA cost share with non-profit organizations (PNPs).

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State Cost Share

WHERE YOU ARE IN WHERE YOU ARE IN THE PROCESSTHE PROCESS

SUBMISSION OF REQUEST

The ProgramThe Program

Factors of EligibilityFactors of Eligibility

ApplicantApplicant

FacilityFacility

WorkWork

CostCost

Eligible ApplicantsEligible Applicants

State Government AgenciesState Government Agencies

County GovernmentsCounty Governments

Municipal GovernmentsMunicipal Governments

Tribal GovernmentsTribal Governments

Special DistrictsSpecial Districts

School DistrictsSchool Districts

Certain Private Nonprofit OrganizationsCertain Private Nonprofit Organizations

Eligible ApplicantsEligible ApplicantsPrivate Non-profit Private Non-profit OrganizationsOrganizations

CriticalCritical

Non-criticalNon-critical

Critical Services: Critical Services: Private Non-Profit Private Non-Profit OrganizationsOrganizations

Utilities: Energy, Water, Sewer, Utilities: Energy, Water, Sewer, Wastewater Treatment etc.Wastewater Treatment etc.

CommunicationsCommunications Educational InstitutionsEducational Institutions Emergency MedicalEmergency Medical Fire ProtectionFire Protection Emergency Services, Ambulance Emergency Services, Ambulance

and Rescueand Rescue

Non-Critical Services: Non-Critical Services: Private Non-Profit Private Non-Profit OrganizationsOrganizations

MuseumsMuseums ZoosZoos Performing Arts FacilitiesPerforming Arts Facilities Community CentersCommunity Centers LibrariesLibraries Homeless SheltersHomeless Shelters Rehabilitation FacilitiesRehabilitation Facilities Senior Citizen CentersSenior Citizen Centers Shelter WorkshopsShelter Workshops Health and Safety Services of a governmental Health and Safety Services of a governmental

naturenature

Eligible ApplicantsEligible ApplicantsPrivate Non-profitPrivate Non-profit

Homeowners’ Homeowners’ AssociationsAssociations

Homeowner’s Associations often prohibit Homeowner’s Associations often prohibit access with gates and other security access with gates and other security systems.systems.

When Access is restricted, the services When Access is restricted, the services and facilities cannot be considered open and facilities cannot be considered open to the public and therefore are to the public and therefore are not not eligible for Public Assistance funding.eligible for Public Assistance funding.

Homeowners’ Homeowners’ AssociationsAssociations

Removal of debris from roadways (including Removal of debris from roadways (including debris moved to the curb) within the debris moved to the curb) within the community to create an emergency path of community to create an emergency path of travel is eligible if performed or contracted by travel is eligible if performed or contracted by an eligible local or State level government an eligible local or State level government entity with legal authority and applied for by entity with legal authority and applied for by the eligible local or State entity.the eligible local or State entity.

If Homeowner’s Association meets the criteria If Homeowner’s Association meets the criteria for an eligible PNP under the PA program, it for an eligible PNP under the PA program, it may claim costs for the repair of its eligible may claim costs for the repair of its eligible education, medical, custodial care, emergency, education, medical, custodial care, emergency, and utility (except irrigation) facilities.and utility (except irrigation) facilities.

Homeowners’ Homeowners’ AssociationsAssociations

Repair of roadways, irrigation facilities, Repair of roadways, irrigation facilities, and facilities that provide governmental and facilities that provide governmental services other than those listed on the services other than those listed on the previous slide are previous slide are notnot eligible. eligible.

PNP recreation facilities are PNP recreation facilities are ineligibleineligible whether the community is gated or not.whether the community is gated or not.

Eligible FacilitiesEligible Facilities

A facility is defined asA facility is defined as– Any publicly-owned or PNP-owned Any publicly-owned or PNP-owned

building, works, system, or building, works, system, or equipment (built or manufactured); equipment (built or manufactured); oror

– Certain improved and maintained Certain improved and maintained natural featuresnatural features

Eligible Work Criteria Eligible Work Criteria

Required as a result of declared disasterRequired as a result of declared disaster

Located in designated disaster areaLocated in designated disaster area

Legal responsibility of eligible applicant - Legal responsibility of eligible applicant - An eligible applicant must be legally An eligible applicant must be legally responsible for the repair of the damaged responsible for the repair of the damaged facility or the performance of emergency facility or the performance of emergency services at the time of the disaster.services at the time of the disaster.

No other Federal agency has specific No other Federal agency has specific authorityauthority

Types of Types of Eligible WorkEligible Work

1. Emergency Work1. Emergency Work (Categories A & B)(Categories A & B)

2. Permanent Work2. Permanent Work (Categories C - G)(Categories C - G)

Work CategoriesWork Categories

A: Debris RemovalA: Debris Removal B: Emergency Protective B: Emergency Protective MeasuresMeasures C: Roads and BridgesC: Roads and Bridges D: Water Control FacilitiesD: Water Control Facilities E: Buildings And EquipmentE: Buildings And Equipment F: Utility SystemsF: Utility Systems G: Parks, Recreational, and G: Parks, Recreational, and OtherOther

Eligible CostsEligible Costs

Generally, costs that can be directly tied to the Generally, costs that can be directly tied to the performance of eligible work are eligibleperformance of eligible work are eligible

Such costs must be: Such costs must be: – Reasonable and necessary to accomplish the Reasonable and necessary to accomplish the

workwork– Compliant with Federal, State, and Local Compliant with Federal, State, and Local

requirements for competitive procurement requirements for competitive procurement (including 44 CFR P 13) and (including 44 CFR P 13) and

– Reduced by all applicable credits, such as Reduced by all applicable credits, such as anticipated insurance proceeds and salvage anticipated insurance proceeds and salvage values.values.

Labor Costs – Labor Costs – Emergency WorkEmergency Work Only overtime labor is eligible for:Only overtime labor is eligible for:

– Permanent employeesPermanent employees– Seasonal employeesSeasonal employees

Both regular time and overtime labor are Both regular time and overtime labor are eligible for non-budgeted employees eligible for non-budgeted employees assigned specifically to perform assigned specifically to perform emergency work, including temporary emergency work, including temporary employeesemployees

Labor Costs – Labor Costs – Permanent WorkPermanent Work For permanent work performed by For permanent work performed by

an eligible applicant, both regular an eligible applicant, both regular time and overtime are eligible for time and overtime are eligible for all employees. all employees.

The applicant’s pre-disaster The applicant’s pre-disaster written policies on overtime are written policies on overtime are used in determining cost eligibilityused in determining cost eligibility– Cannot be contingent on federal Cannot be contingent on federal

funding or discretionfunding or discretion

Force Account Force Account EquipmentEquipment Equipment is eligible for regular time Equipment is eligible for regular time

and overtimeand overtime Standby time is ineligibleStandby time is ineligible Hourly costs for trucks, back-hoes, etcHourly costs for trucks, back-hoes, etc Mileage costs for automobilesMileage costs for automobiles Must use FEMA cost codes or your own Must use FEMA cost codes or your own

cost codes, whichever is lesscost codes, whichever is less

MaterialsMaterials

The cost of supplies that were The cost of supplies that were purchased or taken from an purchased or taken from an applicant’s stock and used during applicant’s stock and used during performance of eligible work may be performance of eligible work may be claimedclaimed

Keep invoices and/or purchase ordersKeep invoices and/or purchase orders Keep all cancelled checksKeep all cancelled checks Keep record of any inventory used Keep record of any inventory used

from stockfrom stock

Donated ResourcesDonated Resources

Volunteer labor, donated equipment, Volunteer labor, donated equipment, and donated materials are eligible to and donated materials are eligible to offset the State and Local portion of offset the State and Local portion of cost share for emergency work (Cat cost share for emergency work (Cat A and B)A and B)

The donated services must be The donated services must be documented and must include a documented and must include a record of hours worked, the work record of hours worked, the work site, and a description of worksite, and a description of work

WHAT’S NEXT?WHAT’S NEXT?

SUBMISSION OF REQUEST SUBMISSION OF REQUEST FOR FOR

PUBLIC ASSISTANCEPUBLIC ASSISTANCE

Applicants must submit a Request for Public Applicants must submit a Request for Public Assistance (RPA)Assistance (RPA)

Within 30 DAYSWithin 30 DAYSFrom Declaration Date From Declaration Date

(however, because counties are getting (however, because counties are getting declared at different times, we expect to declared at different times, we expect to

request an extension for those counties that request an extension for those counties that haven’t been declared yet)haven’t been declared yet)

Kickoff MeetingKickoff Meeting

FEMA will assign a Public Assistance Coordinator FEMA will assign a Public Assistance Coordinator (PAC)(PAC)

Eligibility will be confirmedEligibility will be confirmed

The FEMA PAC will hold a kickoff meeting to The FEMA PAC will hold a kickoff meeting to discuss details of the PA Programdiscuss details of the PA Program

You, the applicant, provides lists of damages You, the applicant, provides lists of damages and cost estimates from the disasterand cost estimates from the disaster

Bring a COPY of your Insurance Policy, if Bring a COPY of your Insurance Policy, if applicableapplicable

Scope of workScope of work

Estimates eligible costEstimates eligible cost

Minimum PW is $1,000Minimum PW is $1,000

Applicant’s participation is vitalApplicant’s participation is vital

Project Worksheet (PW)Project Worksheet (PW)

Project worksheet completion Project worksheet completion

FEMA PAC reviews and approves it for FEMA PAC reviews and approves it for submissionsubmission

PW entered into electronic databasePW entered into electronic database

FEMA’s special consideration reviewsFEMA’s special consideration reviews– Insurance RequirementsInsurance Requirements– Hazard MitigationHazard Mitigation– Environmental RequirementsEnvironmental Requirements– Historic Preservation & Cultural ResourcesHistoric Preservation & Cultural Resources

PW Review ProcessPW Review Process

Final Project Worksheet reviewed and Final Project Worksheet reviewed and approved by Applicant – requires sign-offapproved by Applicant – requires sign-off

– Ask questions if something doesn’t make sense Ask questions if something doesn’t make sense

Exit Briefing Form – Signature by:Exit Briefing Form – Signature by:– FEMA PAC Crew LeaderFEMA PAC Crew Leader– State Applicant LiaisonState Applicant Liaison– Applicant RepresentativeApplicant Representative

Obligation of project worksheetObligation of project worksheet

PW Review ProcessPW Review Process

Grant Agreement Grant Agreement ProcessProcess

1.1. State prepares Grant Agreement between State prepares Grant Agreement between State and Applicant - sends 2 copies to State and Applicant - sends 2 copies to Applicant – must be executed by Chief Applicant – must be executed by Chief Elected OfficialElected Official

2.2. Approved Project Worksheets are the Approved Project Worksheets are the exhibits to Grant Agreementexhibits to Grant Agreement

3.3. State then executes Agreement – requires State then executes Agreement – requires processing by Department Controllerprocessing by Department Controller

This process takes time…..This process takes time…..

RREIMBURSEMENEIMBURSEMENTT

Cost ShareCost Share

The federal share is 75%The federal share is 75%

The remaining non-federal share is The remaining non-federal share is the Grantee and Sub-grantees the Grantee and Sub-grantees responsibilityresponsibility

The cost share is stated in the grant The cost share is stated in the grant agreementagreement

Small vs. Large ProjectsSmall vs. Large Projects

Public Assistance projects are processed as either small or large projects. If the project cost is less than the annually updated cost threshold amount ($67,500 for FY 2013) the project is processed as a small project. If the project cost equals or exceeds the threshold the project is processed as a large project.

Small ProjectsSmall ProjectsFederal cost share is paid Federal cost share is paid

upon project approval.upon project approval.Funding is based on an initial Funding is based on an initial

cost estimate.cost estimate.

Large ProjectsLarge ProjectsFederal cost share is paid as Federal cost share is paid as

work is accomplished.work is accomplished.Final assistance is based upon Final assistance is based upon

actual costs or an estimate actual costs or an estimate using the Cost Estimating using the Cost Estimating Format.Format.

Reimbursements – Reimbursements – Small ProjectsSmall Projects

Small Projects – payments will be Small Projects – payments will be processed by the State upon obligation – processed by the State upon obligation – after execution of State Grant Agreement after execution of State Grant Agreement (or other funding conveyance) (or other funding conveyance)

All small projects must be completed in All small projects must be completed in accordance with the PW accordance with the PW

Failure to complete a project may require Failure to complete a project may require that the Federal payment be refunded!that the Federal payment be refunded!

Reimbursements – Reimbursements – Large ProjectsLarge Projects

Must submit Requests for Must submit Requests for Reimbursement to the State as work is Reimbursement to the State as work is completed, along with all required completed, along with all required documentation and supporting payment documentation and supporting payment records. records.

State will provide further instructions on State will provide further instructions on reimbursement process after execution reimbursement process after execution of the State Grant Agreementof the State Grant Agreement

For all large projects applicants For all large projects applicants should submit Request for Final should submit Request for Final Inspection 60 days after the Inspection 60 days after the physical work is 100% physical work is 100% complete.complete.

Large Project Amount is Large Project Amount is $67,500.$67,500.

Project ValidationProject Validation

Administrative Administrative AllowanceAllowance

Direct administrative cost Direct administrative cost specifically related to a PWspecifically related to a PW

Cost must be reasonable and the Cost must be reasonable and the level of effort reasonable for the type level of effort reasonable for the type of work required.of work required.

Example – Pay roll personnel Example – Pay roll personnel collecting and tracking labor cost for collecting and tracking labor cost for staff performing emergency protective staff performing emergency protective measures.measures.

Record KeepingRecord KeepingVital To Full Vital To Full ReimbursementReimbursement

Costs by PW for approved workCosts by PW for approved work

FEMA has forms that assist in FEMA has forms that assist in organizing and summarizingorganizing and summarizing

Original documentation required Original documentation required for for audit or program reviewaudit or program review

Keep records for 3 years after Keep records for 3 years after closeout letter from State/FEMA closeout letter from State/FEMA

OPPORTUNITIESOPPORTUNITIES

Opportunities: Alternative Opportunities: Alternative Procedures for Debris Procedures for Debris

RemovalRemovalDiscuss these with your PAC Discuss these with your PAC

A. If desirable, request Alternative Procedures for A. If desirable, request Alternative Procedures for Debris RemovalDebris Removal

B. Accelerated Debris Removal-Increased Federal Cost B. Accelerated Debris Removal-Increased Federal Cost Share (Sliding Scale)Share (Sliding Scale)

C. Recycling RevenuesC. Recycling Revenues D. Straight Time Force Account Labor D. Straight Time Force Account Labor E. Debris Management Plans–must have been in place E. Debris Management Plans–must have been in place

http://www.fema.gov/media-library-data/20130726-www.fema.gov/media-library-data/20130726-1921-25045-1092/public_assistance_alternative_proce1921-25045-1092/public_assistance_alternative_procedures_ pilot_program_guide_for_debris_removal.pdfdures_ pilot_program_guide_for_debris_removal.pdf

Opportunities: Permanent Opportunities: Permanent WorkWork

Discuss this with your PACDiscuss this with your PAC Participation in the permanent work pilot is based on a Participation in the permanent work pilot is based on a

Subgrantee agreeing to a fixed estimate subgrant; the Subgrantee agreeing to a fixed estimate subgrant; the pilot includes:pilot includes:

Grants Based on Fixed EstimatesGrants Based on Fixed Estimates Acceptance of Subgrantee Cost EstimatesAcceptance of Subgrantee Cost Estimates Referral of Cost Estimates to Expert PanelReferral of Cost Estimates to Expert Panel Consolidated SubgrantsConsolidated Subgrants Elimination of Alternate Project PenaltyElimination of Alternate Project Penalty Use of Excess FundsUse of Excess Funds

Subgrantee is responsible for costs above the fixed estimateSubgrantee is responsible for costs above the fixed estimate

Subgrantee has flexibility in use of funds within the fixed Subgrantee has flexibility in use of funds within the fixed estimateestimate

Opportunities: MitigationOpportunities: MitigationDiscuss 406 with your Discuss 406 with your

PACPAC

Section 404Section 404 - - Hazard Mitigation Grant Program (HMGP) Not Public AssistanceNot Public Assistance.

Section 406Section 406 - - Available as part of Public part of Public AssistanceAssistanceApplies only to damaged elements eligible under PA Permanent Work Projects determined to be “cost-effective” (eliminate the future threat of damage to a facility )

Opportunities: Improved Opportunities: Improved Projects Projects Discuss with your PACDiscuss with your PAC

An Improved Project is any project (large or small) where the applicant chooses to make additional improvements to the facility while making disaster repairs. Applicants performing restoration work on a damaged facility may use the opportunity to make additional improvements while still restoring the facility to its pre-disaster design.

For the most part, these are projects in which the funding for approved work cannot be tracked within the improved projects because of physical changes or contracting arrangements. For example, an applicant might propose laying asphalt on a gravel road or replacing a firehouse that originally had two bays with one that has three.

Opportunities: Alternate Opportunities: Alternate Projects Projects Discuss with your Discuss with your

PACPAC

The applicant may request approval of an alternate project from FEMA through the Grantee when an applicant determines that the public welfare would not be best served by either restoring a damaged facility or by restoring the function of a damaged facility. Either one of the two conditions must be met. See 44 CFR 206.203(d)(2).

The FEMA Regional Administrator must approve all alternate projects prior to the start of construction.See 44 CFR 206.203(d)(2)(v).

Applicant Common Errors

Office of Inspector General (OIG) has noted the following frequent audit findings (see OIG report, October 2008):Poor Accounting PracticesUnsupported CostsDuplication of BenefitsExcessive Equipment ChargesExcessive Labor and Fringe Benefit ChargesUnrelated Project ChargesUnapplied CreditsPoor Contracting Practices

Contracting Requirements

Federal Regulations (44 CFR 13.36) requires that Grantees and sub-grantees comply with the following procurement standards:Competition is almost always required. Regardless of State or local exceptions during an emergency.

The applicant must maintain records in sufficient detail to reflect the significant history of the procurement, including the rationale for the method of procurement, the basis for the contractor selection, and the basis for the contract price

The applicant is prohibited from using time-and-material type contracts unless a determination is made that no other contract is suitable, and provided that the contract includes a ceiling price that the contractor exceeds at its own risk; and

The applicant is prohibited from using a “cost plus a percentage of cost” contract.

TIMELINESTIMELINES

Applicant has 30 days from Applicant has 30 days from declaration date to submit RPA declaration date to submit RPA (requesting an extension)(requesting an extension)

Applicant has 60 days from Kick Off Applicant has 60 days from Kick Off meeting to identify damagesmeeting to identify damages

Applicant has 60 days upon Applicant has 60 days upon notification of a PW decision to notification of a PW decision to appeal thru the State. appeal thru the State.

TimelinesTimelines

FEMA has 90 days upon receipt of an FEMA has 90 days upon receipt of an appeal to provide in writing the appeal to provide in writing the disposition of the appeal or request disposition of the appeal or request additional information.additional information.

Applicants have 60 days upon receipt Applicants have 60 days upon receipt of a 1of a 1stst appeal disposition to request appeal disposition to request for a 2for a 2ndnd appeal. appeal.

FEMAs goal is to provide applicants FEMAs goal is to provide applicants with the fullest reimbursement under with the fullest reimbursement under the Stafford Act for their PWs.the Stafford Act for their PWs.

TimelinesTimelines

Key Points…Key Points…

Disaster Declaration Date was Disaster Declaration Date was 9/14/2013.9/14/2013.

Incident start date: 9/11/2013Incident start date: 9/11/2013 Incident end date: 9/30/2013Incident end date: 9/30/2013

Key Points…Key Points…

FEMAs goal is to complete all project FEMAs goal is to complete all project worksheets as soon as possible in worksheets as soon as possible in order to provide funding for order to provide funding for Applicants.Applicants.

Contact State OEM & your FEMA PAC Contact State OEM & your FEMA PAC for any specific questions.for any specific questions.

Helpful WebsitesHelpful Websites

http://www.fema.gov/public-assistance-local-http://www.fema.gov/public-assistance-local-state-tribal-and-non-profitstate-tribal-and-non-profit

http://www.fema.gov/public-assistance-http://www.fema.gov/public-assistance-policy-and-guidancepolicy-and-guidance

http://www.fema.gov/pdf/government/http://www.fema.gov/pdf/government/grant/pa/fema323_app_handbk.pdfgrant/pa/fema323_app_handbk.pdf

http://www.fema.gov/9500-series-policy-http://www.fema.gov/9500-series-policy-publicationspublications

Helpful Websites

This concludes the overview of the This concludes the overview of the Public Assistance Applicant Public Assistance Applicant BriefingBriefing

Please submit an RPAPlease submit an RPA

If you don’t know your DUNS If you don’t know your DUNS number, please email it to me. number, please email it to me.

Kick-off meetings will be scheduled.Kick-off meetings will be scheduled.