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Second Appeal Summary
PA ID# 033-00000; Lake County
DSR ID# 73737; Additional Power and Testing Costs
B>Citation: Appeal Analysis; Second Appeal; Lake County; FEMA-1046-DR-CA; PA #033-00000
Cross-Reference: DSR 73737; Additional Pumping and Testing Costs
Summary: Following the winter storms of 1995, in Lake County (County), FEMA prepared DSR 73737 to fund repair of inundated pumps, additional testing, sand bagging, protective riprap and increased power costs to operate raw sewage pumps. Upon review, FEMA reduced the approved DSR from $24,808 to $10,757, by eliminating servicing of and repair of two motors, as well as additional power consumption, and bacteriological testing which were not considered eligible emergency protective measures. The pump repair was considered permanent in nature and additional power and bacteriological testing were not considered eligible expenses for FEMA funding. On October 7, 1996, the State forwarded the subgrantee's first appeal requesting FEMA reinstate the funding for DSR 73737 by including $5,813 for increased power costs, $2,522 for bacteriological testing, and $5,715 to repair two pumps. On December 11, 1996, the Regional Director partially denied the appeal. It was determined that the increased power consumption fluctuations and bacteriological testing were covered by a contingency fund for such circumstances and not eligible for FEMA funding. However, the pump repair was determined eligible and DSR 83833 was prepared for $5,715. On June 10, 1997, the State submitted the subgrantee's second appeal requesting $5,813 for increased power usage from continual pumping of raw sewage from flooded lift stations. In the second appeal the subgrantee contends that the increased power usage is eligible as a direct result of the flooding, and a necessary action to eliminate an immediate threat to life, public health, and safety, pursuant to 44 CFR 206.225 (3)(i).
Issues: Should FEMA fund increased utility cost incurred following a disaster?
Findings: No. Power consumption costs are an operational expense, and, therefore, do not meet any of the eligibility requirements for an emergency response.
Rationale: A requirement for all types of utilities is that increases in operating expenses, even if a result of a disaster, are not eligible.