9521.3 Private Nonprofit Facility (PNP) Eligibility

APPENDIX A

This policy is archived and has been superseded by the policy currently in effect.

PRIVATE NONPROFIT FACILITY (PNP) ELIGIBILITY
CASE EXAMPLES

Below are examples of private nonprofit facilities that could be expected to request eligibility determinations. See also: "Community Center Eligibility", RR Policy 9521.1.

Parkland Hospital Medical Office Building
Parkland Hospital is an eligible PNP that owns a medical office building and leases a portion of it to doctors and laboratories that are providing for-profit services. The for-profit leases are 70% of the floor space excluding the common area floor space as defined in this policy.

ANALYSIS
The building is not eligible because the eligible services were offered in less than 50% of the building space. If the for-profit leases had not exceeded the 50% threshold, the grant assistance would have been pro-rated based on the percentage of the building occupied by the nonprofit services.

Springtown Recreation Center
The PNP Springtown Recreation Center claims that it provides eligible essential governmental services in addition to its recreation activities and should be eligible for assistance. The organization claims that its services now include day care for elderly adults, senior citizen center programs, programs for battered spouses, and shelter workshops. These programs are provided by the recreation center staff and offered five days a week. Recreation activities are limited to evenings and weekends. There is an average of 50 participants during the weekdays and 20 participants in the recreational time periods. The entire center is used for the eligible services.

ANALYSIS
The organization would not appear to be eligible based upon its name and presumed mission. A detailed examination is necessary to determine the eligibility of the organization and its facility based upon the eligible services provided and the time and attendance of participants. The number of participants in eligible activities outnumbered the other participants and used the facility more hours. Based on these findings, the entire facility is eligible for assistance.

Community Church School
The Community Church operates a State certified school offering first through eighth grades. The teaching curriculum includes math, science, English, history, physical education and religious doctrine. The school has an average attendance of 500 students. The church has constructed three education buildings that are used exclusively by the school. The church occasionally uses the education buildings for religious activities. The school occasionally uses the church.

ANALYSIS
Look at the church and three education buildings separately. The three education buildings are eligible because: a) the school meets FEMA requirements to be considered an eligible education institution; b) the buildings generally are not used for ineligible purposes and their primary purpose is to serve the school; and c) the few religious classes in the curriculum is not sufficient to influence the primary use for secular education. The church's primary use is an ineligible service and its peripheral use by the school is not sufficient to establish its eligibility.

Southlake Hospital Parking Garage
The parking garage owned by an eligible PNP hospital supports nearby hospital services. The ground floor that faces a busy public street is leased to retail businesses. The leased space occupies 15 percent of the total space of the garage.

ANALYSIS
The hospital parking garage is eligible because its purpose (supporting hospital services) occupies more than 50% of the facility space. The leased space does not make the garage ineligible. FEMA assistance would be pro-rated based on the percentage of space used for the eligible parking purpose. If the leased space had exceeded 50 percent of the facility space, the primary use of the facility would become ineligible. The parking garage is eligible only because of its association with the hospital. If the garage had been located an unreasonable distance to support the eligible hospital activities and was open to commercial traffic, the facility would have been ruled ineligible.

Woodlands Homeowners' Association
The Woodlands Homeowners' Association is a PNP organization responsible for governmental services for a two hundred home development. The Homeowners' Association's services are local neighborhood streets, water system, sewage system, fire station, medical clinic, neighborhood park, community center and a recreational lake and dam.

ANALYSIS
The Homeowners' Association is an eligible organization. However, as with any PNP, it must provide essential governmental services in order for those services to be eligible. The lake and dam, park and streets do not meet the definition of essential governmental services. The water and sewage systems meet the definition of a utility and are eligible for assistance. The fire station and medical clinic are eligible as essential emergency services. The community center might be eligible if it is open to the general public outside the Homeowners' Association community and if it is established and primarily used as a gathering place for a variety of social, educational enrichment and community service activities (i.e., meeting the requirements of RR Policy 9521.1).

Midwest Methodist University
The University is a private nonprofit education facility as defined in the Stafford Act, Section 102. It is supported by the United Methodist Church organization and offers both secular and religious education. The University is open to the general public. The State's Department of Education officially recognizes the University as a school of higher education offering courses such as history, math, English, science, theology, religious education and religious counseling. The University offers graduate and post-graduate degrees in all fields of study. The campus consists of a large number of buildings for education, administration and religious worship.

ANALYSIS
Damaged buildings that are primarily used for secular courses normally found on university campuses are eligible. Buildings containing student and administrative services also are eligible because they support educational, emergency, or medical facilities (as outlined in 44 CFR 206.221). The damaged buildings with religious courses must be carefully reviewed for eligibility. If a damaged building is primarily used for religious worship or religious education, it most likely is not eligible because a peripheral eligible service is not sufficient to establish the eligibility of a facility.

In comparison to a university offering religious studies, a theological seminary's primary purpose is not for general education and, therefore, would not be eligible.

Last Modified: Wednesday, 20-Feb-2008 11:46:02 EST