Mitigation Funding in the FEMA Public Assistance Program



Federal Emergency Management Agency, 9526.1 Hazard Mitigation Funding, July 30, 2007. no limit on how much can be funded through this program. If the facility has been damaged by the event, then it is eligible for 406 mitigation funding related to the permanent repairs. While applicants are still responsible for their cost share of any project, the federal share will be at least 75 percent.

According to FEMA, “Mitigation measures must be determined to be cost-effective. Any one of the following means may be used to determine cost-effectiveness: measures may amount to up to 15 percent of the total eligible cost of the eligible repair work on a particular project. Certain mitigation measures will be determined to be cost-effective as long as the mitigation measure does not exceed the eligible cost of the eligible repair work on the project. For measures that exceed the above costs, the grantee or subgrantee (applicant) must demonstrate through an acceptable benefit/cost analysis that the measure is cost-effective.” 4

Potential Mitigation Measures

The potential mitigation measures are determined to be cost-effective if they:

The charts on pages 6 and 7 include a list of the current pre- approved projects. If a project is on FEMA’s list for pre-approved projects, FEMAwill not only pay for the repair to bring the facility back to pre-disaster design, function and capacity, but it will offer an additional 100 percent to mitigate the project, minus the state’s and applicant’s cost share.

For example, if it costs $2 million to replace a flooded building, FEMA will approve up to an additional $2 million in mitigation measures that are included on FEMA’s list of pre-approved projects. Funding beyond the additional 100 percent can be offered if the project passes an approved FEMA benefit/cost analysis. Unlike the 404 Mitigation Program, there is no cap on the amount of funding for this program.

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Flood wall protecting homes.