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Second Appeal Summary
PA ID# 045-91000; Elk County Water District
DSR ID# 38415, 40160, 40189 & 94570; Eligible Costs
Citation: FEMA-1511-DR-CA; Elk County Water District
Cross-reference: Force Account Labor, Rental Costs
Summary: The District is appealing FEMAs denial of $5,716 for force account labor and rental costs related to the Districts drinking water well stabilization work stemming from severe flood related erosion that occurred in January 1997. FEMA initially denied $82,971 of $90,071 in cost overruns during the closeout of the grant. FEMA partially approved the Districts first appeal, finding that $75,164 was eligible for additional engineering design and construction costs necessary for permit compliance. The remaining $7,807 in costs for administrative force account labor, unsubstantiated rental equipment, and costs that pre-dated the disaster, were denied. In a letter dated October 4, 2004, the District appealed the remaining cost of force account labor of the district manager $4,201, and the costs of rental equipment $1,515.
Issues: Are the force account labor and rental truck costs eligible?
Findings: Yes. The appealed costs are eligible. The applicant provided documentation supporting the additional truck rental costs and that the force account labor was not supervisory in nature but was specific time spent on eligible permanent projects.
Rationale: 44 CFR § 13.20 (a)(6) Source Documentation, and
FEMA Response and Recovery Policy 9525.6 (7)(a), Project Supervision and Management Costs of Subgrantees.