Developing a Rebuilding Plan

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When a Subrecipient agrees to a capped project under the Alternative Procedures, it may utilize any one or more of the following procedures:

• Consolidation of multiple capped projects
• Elimination of reduced funding for an Alternate Project
• Retention of excess funds for approved purposes
• Third-party expert panel review for estimates with a Federal share of $5 million or greater (FEMA requires this review for estimates that exceed $25 million). 7

“FEMA can fund cost-effective hazard mitigation measures that reduce or eliminate the possibility of similar damages from future events.”

An Alternative Procedures Project is capped at the federal share of the estimate to restore the original facility. Unlike Improved or Alternate Projects, if a Subrecipient does not expend all Alternative Procedures Project funds, it may use the excess funds for approved purposes.

Other Options Available for Consideration In Your Rebuilding Plan

Even when a Subrecipient determines that a facility should be repaired to pre- disaster design and function, there may be an opportunity to make improvements to a facility that are not associated with codes and standards. FEMA can fund cost-efective hazard mitigation measures that reduce or eliminate the possibility of similar damages from future events. FEMA classifes these grants as Section 406 Hazard Mitigation.

FEMA evaluates proposed 406 mitigation measures for cost-efectiveness, technical feasibility and compliance with EHP laws, regulations and Executive Orders. In addition, FEMA ensures that the mitigation does not negatively impact the facility’s operation or surrounding areas, or create susceptibility to damage from another hazard. Regarding cost efectiveness, FEMA considers mitigation measures to be cost efective if any of the following criteria are met:

• The cost for the mitigation measure does not exceed 15 percent of the total eligible repair cost (prior to any insurance reductions) of the facility or facilities for which the mitigation measure applies.
• The mitigation measure is specifcally listed in Appendix J: Cost-Efective Hazard Mitigation Measures, AND the...