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Benefit-Cost Analysis

About the Benefit-Cost Analysis Tool

The BCA program consists of guidelines, methodologies and software modules for a range of major natural hazards, including:

The BCA program provides up to date program data, up to date default and standard values, user manuals, and training. Overall, the program makes it easier for users and evaluators to conduct and review BCAs and to address multiple buildings and hazards in a single BCA module run.

You can find more information on the FEMA Federal Insurance and Mitigation Administration webpage and Hazard Mitigation Assistance (HMA) webpage.

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Tool Download

Please download and review the Installation and Troubleshooting Guide prior to installing the BCA Software Version 4.5.5. 

If you have any questions about the new BCA software program, please contact the BC Helpline at bchelpline@dhs.gov or at 1-855-540-6744.

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Training Materials

 The FEMA BCA team will utilize version 4.5.5 of the software for all future BCA training sessions and the class materials can be downloaded from the links below.

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Benefit-Cost Analysis Technical Assistance

FEMA’s Benefit-Cost Analysis (BCA) Technical Assistance Helpline is available to provide FEMA BCA software, technical manuals, Frequently Asked Questions (FAQs), and other BCA reference materials as well as to provide technical support regarding the preparation of a BCA.  Many of these materials can be accessed from the following locations:

The BCA Technical Assistance Helpline can be reached from 9 am - 5 pm (ET) Monday through Friday via a toll-free number: 1-855-540-6744or e-mail: bchelpline@dhs.gov.

For further technical assistance, Applicants or Sub-Applicants may contact their FEMA Regional Office or State Hazard Mitigation Officer.

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Benefit-Cost Analysis Methodology

Applicants and Sub-Applicants must use FEMA-approved methodologies and software to demonstrate the cost-effectiveness of their projects. FEMA has developed Benefit-Cost Analysis (BCA) software to facilitate the process of preparing a BCA. Using FEMA-approved BCA software will ensure that the calculations are prepared in accordance with OMB Circular A-94, Guidelines and Discount Rates for Benefit-Cost Analysis of Federal Programs and FEMA's standardized methodologies. The FEMA BCA software is available in the Benefit-Cost Analysis Toolkit.

In June 2009, the Greatest Savings to The Fund (GSTF) approach was released for use in demonstrating the cost-effectiveness of mitigation projects submitted to the Severe Repetitive Loss (SRL) program.

A non-FEMA BCA methodology may only be used when it addresses a non-correctable flaw in the FEMA-approved BCA methodology or it proposes a new approach that is unavailable using FEMA BCA software. The non-FEMA methodology must be approved by FEMA in writing prior to submission of the project application to FEMA.

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Benefit-Cost Analysis Toolkit

The Mitigation Benefit-Cost Analysis Toolkit (BC Toolkit) includes all of the FEMA BCA software, technical guides, and tools to conduct a Benefit-Cost Analysis (BCA). The information contained on the BC Toolkit applies to and is valid for all FEMA Hazard Mitigation Assistance grant programs, including:

If you have Benefit-Cost Analysis questions, please contact the BCA Technical Assistance Helpline via the toll-free number: 1-855-540-6744 or e-mail: bchelpline@dhs.gov.

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Last Modified: Thursday, 01-Dec-2011 14:30:47 EST

Fast Facts

The BCA Toolkit is available through FEMA’s toll-free Benefit-Cost Analysis Technical Assistance Helpline:  1-866-222-3580 or e-mail: bchelpline@dhs.gov.

References

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