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Second Appeal Summary
PA ID# 037-70000; City of Santa Monica
DSR ID# 99927; Design Engineering Costs
Citation: FEMA-1008-DR-CA; City of Santa Monica PA ID 037-70000; DSR 99927.
Cross Reference: Northridge Earthquake; Design Engineering Costs.
Summary: DSR 99927 was written for $2,126 to repair the damage that the laundry and restroom building of a homeless shelter in Santa Monica sustained. On review, the engineering and design services cost of $103 was deducted from the DSR because the complexity of the eligible repairs did not warrant such services. The bulk of the repair was patch and paint of drywall, replacing a water heater and the strapping of two water heaters. An attached Hazard Mitigation Proposal (HMP) was also denied because the work described did not relate to the eligible damages. The applicant submitted a first appeal of the deduction and of the denial of the HMP. The Disaster Recovery Manager denied the appeal for the same reasons. The applicant has now submitted a second appeal in which it argued that all construction projects are eligible for engineering design costs and that the actual cost of the repairs was much higher. The applicant claims further that many large and small construction projects received engineering design costs.
Issue: Is the City eligible to receive design engineering costs on the patch and paint repairs to the laundry and restroom building at the homeless shelter in Santa Monica?
Findings: No. Eligibility of engineering design costs on repair work depends on the scope of work and the complexity, and the specific need for these services. Patch and paint repair work does not justify engineering design services. HMPs are only authorized if the work is related to the eligible damage sustained by the facility.
Rationale: Pursuant to 44 CFR 206.228(a)(2)(ii), a 3% allowance for basic construction inspection services was included in the DSR, and 44 CFR 206.228(a)(3)(ii) does not permit any other administrative costs.