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Second Appeal Brief
PA ID# 201-UKJ26-00; The Methodist Hospital
PW ID# 2495; Temporary Facilities
FEMA 1379-DR-TX; The Methodist Hospital, Temporary FacilitiesSummary:
The Methodist Hospital (Applicant) was severely flooded as a result of Tropical Storm Allison (FEMA1379-DR-TX). Several departments that provided essential services needed to be relocated. FEMA prepared Project Worksheet (PW) 2495 in the amount of $6,126,896 to address the costs of providing temporary facilities. Version 1 of PW 2495 increased funding by $3,500,000 to fund the return of the displaced functions from their temporary locations back to their permanently repaired/restored locations. Version 2 deducted $3,000,000 for anticipated insurance proceeds. Version 3 increased the total amount of funding to $7,128,491 after a review of final costs submitted by the Applicant.
In a letter dated April 29, 2005, the Applicant appealed FEMAs decision not to fund the restoration of the executive offices pre-disaster location.
On January 31, 2006, FEMA denied the Applicants first appeal because the Applicant did not move the executive offices back to the pre-disaster location and rebuilding undamaged space is not eligible. In a letter dated June 1, 2006, the Applicant again requested funding for the estimated cost of restoring its executive offices in the pre-disaster location.
In a letter dated April 29, 2005, the Applicant appealed FEMAs decision not to fund the cost of relocating the interim kitchen because permanent repairs to the original flooded area were impossible because of shared systems between the original location and the first temporary location. On January 31, 2006, FEMA denied the Applicants first appeal stating that FEMA did not receive a scope of work change, cost comparison, or notice for a second temporary kitchen location before the work began. On June 1, 2006, the Applicant filed a second appeal providing documentation to substantiate its notice to FEMA that a second temporary kitchen was needed.Issues:
(1) Is the estimated cost of restoring the executive offices in the pre-disaster location eligible?
(2) Is the second move of the temporary kitchen an eligible expense? Findings:
(1) Yes. The Applicant is eligible for the cost to restore the executive offices to its pre-disaster condition.
(2) Yes. Unforeseen circumstances necessitated a move.Rationale:
Response and Recovery Directorate Policy Number 9523.3 dated July 16, 1998, Provision of Temporary Relocation Facilities